Payless To Go Hard On Brick-And-Mortar After Emerging From Bankruptcy

After divesting itself of more than $435M in debt, Payless ShoeSource is expected to emerge from bankruptcy as early as this week, CNBC reports.

The discount footwear chain, one of the largest retail chains to emerge from bankruptcy, was able to retain about 3,200 locations in more than 30 countries despite closing 700 stores across the U.S. while in bankruptcy.

Payless

While many struggling retailers are attempting to focus more heavily on e-commerce sales, Payless has decided to pursue a strategy focused largely on brick-and-mortar sales, with a particular emphasis on international expansion.

Part of its new plan includes opening more stores across Latin America as well as developing new franchises in the Asian market, and positioning itself to compete more effectively in the U.S.

The company intends to invest $234M over the next five years on inventory systems that will improve customer service and give it a stronger competitive edge in the retail sector overall.

Payless is the first of more than a dozen companies to successfully complete the legal restructuring process after seeking bankruptcy protection since the start of 2016, according to USA Today.

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