Another retailer in trouble.

Payless ShoeSource will file for Chapter 11 bankruptcy protection and close 400 stores, including 2 in Central Illinois.

Stores in Danville at 4111 N Vermilion and in Forsyth at Hickory Point Mall will close. The Payless stores at 811 Gilbert in Danville and at 3190 N Water Street in Decatur will stay open as will all other Central Illinois locations.

Payless is the latest brick and mortar retailer to announce some sort of bankruptcy filing. Following the local closures of HH Gregg, Gander Mountain, and the bankruptcy and subsequent purchase of Gordmans.

According to the release on their website, the goal of the Bankruptcy filing is to:

Strengthen its balance sheet and restructure Payless’ debt load

 

Invest in specific areas that Payless believes will provide sustainable growth including omnichannel expansion; product and inventory initiatives; and international expansion in Latin America and elsewhere;

 

Optimize its store footprint, with the immediate closure of nearly 400 underperforming locations in the U.S. and Puerto Rico and work to aggressively manage the remaining real estate lease portfolio either by modifying terms, or evaluating closures of additional locations.

There is no timetable for the closing of the affected stores.