Payless ShoeSource filed for chapter 11 protection yesterday, saying that it needed to shore up its balance sheet in order to position itself for long-term survival in an increasingly tough retail landscape, Forbes.com reported. "This is a difficult, but necessary, decision driven by the continued challenges of the retail environment, which will only intensify," said Payless' CEO W. Paul Jones in a statement. Payless plans to immediately close 400 stores in the U.S. and Puerto Rico and will also "aggressively manage" the rest of its real estate portfolio. That will mean closing additional stores and seeking to modify existing lease terms. The retailer currently has 4,400 stores in more than 30 countries.
