KGMI News
by Peter Wagner
BELLINGHAM, WASH. – The Payless ShoeSource in Bellis Fair Mall is safe as the company files for Chapter 11 bankruptcy and begins closing some stores.
Payless is closing the next closest store in Burlington as well as locations in Marysville, Kelso and Poulsbo.
ABC’s Aaron Katersky says Payless has been around since the 1950s, but bankruptcy will be difficult in a challenging retail environment.
Under the company’s plan to cut debt and reestablish its reputation, creditors will be getting paid less.
“Under the plan, Payless will close nearly 400 stores. Payless is hardly the only retailer trying to keep up with changing shopping habits,” Katersky says. “American Apparel and Limited have been shutting down. Even Sears is on the brink.”