Hilo Payless Heading Toward Closure
Payless ShoeSource Inc. will file for bankruptcy in February 2019 and close all of its retail locations—approximately 2,300. Among the eight stores closing in Hawai‘i is the Prince Kuhio Plaza shop in Hilo on the Big Island.
It’s the second time the company has filed for bankruptcy in two years, Reuters reported.
The company also has six stores on O‘ahu and one on Maui.
About four months later, Payless emerged from bankruptcy with no CEO and $435 million less debt.
After that, a group of creditors, including hedge fund Alden Global Capital LLC, took over ownership, Reuters reported.
Payless had been trying to find a buyer, and when that failed, it made plans to liquidate, though it’s still possible one could emerge, Reuters reported.
The company takes its place among the ranks of numerous national brick-and-mortar retailers that have closed due to increasing competition with online sales and other shifting consumer habits.