Popular shoe shop calls in the administrators

One of your favourite discount shoe stores could be in a lot of trouble. For the second time in three
Business

One of your favourite discount shoe stores could be in a lot of trouble.

For the second time in three years, Payless Shoes has been forced to go into voluntary administration.

You might be wondering why?

Well, at this stage it’s not clear exactly what is wrong with the popular shoe chain.

Administrators Ferrier Hodgson have said the reason for the problems aren’t clear yet.

But don’t worry too much, AAP reports the shop will continue to trade as normal while the administrator looks for potential buyers.

There are fears though for the 870 people working in the 131 Payless Shoes stores dotted across the country.

And it’s not the only retailer in trouble today.

PerthNow is reporting that children’s clothing store Pumpkin Patch will close early next year, putting 1600 workers out of a job.

Apparently, the store was unable to find a buyer. 

The business was placed into voluntary administration in late October, with a reported $76 million worth of debts.

KordaMentha receiver Brendon Gibson told the media there was no choice but to close Pumpkin Patch down.

“Unfortunately, while the brand is attractive, the business itself ultimately drew no interest at the conclusion of the sale process,” he said.

A fire sale will begin on stock in the store this weekend, with the Pumpkin Patch stores to close by February.

It’s following similar businesses this year such as Masters, whose stores are expected to close next month.

Are you sad to hear this news? Did you like shop at any of these shops?

 

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