Payless Closing Cranberry Store

Scott Shindledecker

Scott Shindledecker

Published June 16, 2017 1:35 pm
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CRANBERRY, Pa. (EYT) — Payless ShoeSource is closing its Cranberry store as part of an ongoing restructuring plan.

According to information posted on PaylessRestructure.com, the Payless store located on Kimberly Plaza near Walmart is set to be closed; however, a closing date has not been scheduled.

The store was originally under negotiation for closing, but the decision to close it became final this week.

There are three other Pennsylvania locations that are closing, all on the eastern side of the state. Closures include Allentown, Doylestown, and Royersford.

There are also several Payless stores under negotiation for closing, including the ones in Erie and Altoona.

In April, Payless filed for Chapter 11 bankruptcy and announced it would close 400 stores. That number doubled this week when Payless announced it would close an additional 408 locations.

The store closings are part of its effort “to strengthen its balance sheet and position the company for long-term success.”

According to a statement on the company website, Payless will continue to operate in the ordinary course in terms of its customers, vendors, partners, and associates.

Subject to court approval, the company expects to continue:

– Providing associate wages, healthcare coverage, and other benefits without interruption;

– Honoring pre-petition obligations to customers, including all gift cards with Payless stores and Payless.com; and

– Paying vendors and suppliers in the ordinary course for all authorized goods and services provided on or after April 5, 2017.

Payless’ website, https://http://www.paylessrestructure.com includes a FAQ for customers.

Regarding the employees of Payless stores that are closing, the company states on its website, “We will make every effort to offer open positions at nearby stores to associates whose store is closing. If there is not an available opening, Payless associates will receive severance pay, and, if eligible, benefits to help in their career transition.”

Prior to the closings, Payless ShoeSource had approximately 4,400 stores in more than 30 countries and a workforce of over 21,000.

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