OAKHURST – As Payless ShoeSource prepares to close approximately 2,500 store locations in North America, that, of course, includes the Oakhurst store in the Old Mill Shopping Center.
A spokesperson for the company says they don’t have an exact date for the closing of the Oakhurst location, but they expect that Payless store closings will begin at the end of March, with many stores remaining open through the end of May.
Payless filed for Chapter 11 bankruptcy yesterday, marking the second time in as many years that the company has filed. The reorganization and store closings following their April 2017 bankruptcy filing failed to provide enough financial relief to overcome the realities of today’s retail marketplace.
Stephen Marotta was appointed in January 2019 to serve as Chief Restructuring Officer of Payless, and says the challenges facing retailers today are well documented.
“Unfortunately Payless emerged from its prior reorganization ill-equipped to survive in today’s retail environment,” said Marotta. “The prior proceedings left the Company with too much remaining debt, too large a store footprint and a yet-to-be realized systems and corporate overhead structure consolidation. As a consequence, despite our substantial efforts, we were ultimately unable to operate the North American retail and e-commerce operations on a sustainable basis.”
The Oakhurst store is conducting a liquidation sale until the doors close for good.
Payless was founded in 1956 and is headquartered in Topeka, Kan.