Monday 25 March, 2019

Failing Payless to honour gift cards, store credit into March

FILE- In this May 18, 2006, file photo a worker puts the finishing touches on a sign unveiling the company's new look at a Payless Shoesource store at a mall in Independence, Mo. Payless ShoeSource has filed for Chapter 11 bankruptcy protection and is shuttering its remaining stores in North America. The filing on Monday, Feb. 18, 2019, came a day after the shoe chain began holding going-out-of-business sales at its North American stores. (AP Photo/Charlie Riedel, File)

FILE- In this May 18, 2006, file photo a worker puts the finishing touches on a sign unveiling the company's new look at a Payless Shoesource store at a mall in Independence, Mo. Payless ShoeSource has filed for Chapter 11 bankruptcy protection and is shuttering its remaining stores in North America. The filing on Monday, Feb. 18, 2019, came a day after the shoe chain began holding going-out-of-business sales at its North American stores. (AP Photo/Charlie Riedel, File)

The failing Payless ShoeSource chain will honour gift cards and store credit until March 11 as the company liquidates all operations.

The Topeka, Kansas, company, which filed for bankruptcy protection this week, will allow returns and exchanges of non-final sale items through the end of this month for goods bought before Feb. 17.

Payless said Wednesday that it received court approval to support the orderly closing of about 2,500 stores in the U.S., Puerto Rico and Canada, as well as its e-commerce business. It also received authorisation to pay employee wages and benefits, as well as claims from critical vendors.

Retail operations outside of North America, including company-owned stores in Latin America, are separate entities and are not included in the bankruptcy filing.

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