Payless ShoeSource reportedly plans to close nearly 400 U.S. locations after filing for bankruptcy protection earlier this week.
The brand, which has been around for 61 years, said it will "aggressively manage" its remaining real estate lease portfolio following the store closures, while looking to invest in growth areas and expand in international markets such as Latin America.
According to Reuters,
“Existing lenders have agreed to provide up to $385 million in debtor-in-possession financing, allowing Payless to remain in business and pay its bills throughout the Chapter 11 process.”
Payless is just one of many brick and mortar stores that have felt the impact of declining mall traffic amid the ever-growing rise of internet shopping. Large department stores like Macy's, Sears and J.C. Penny have also announced plans to close hundreds of stores across the U.S.