Payless ShoeSource is shuttering all of its 2,100 remaining stores in the U.S. and Puerto Rico, joining a list of iconic names like Toys R Us and Bon-Ton that have closed down in the last year.

The Topeka, Kansas-based chain said Friday it will hold liquidation sales starting Sunday and wind down its e-commerce operations. All of the stores will remain open until at least the end of March and the majority will remain open until May.

The debt-burdened chain filed for Chapter 11 bankruptcy protection in April 2017, closing hundreds of stores as part of its reorganization.

At the time, it had over 4,400 stores in more than 30 countries. It re-emerged from restructuring four months later with about 3,500 stores and eliminated more than $435 million in debt.

The company said in an email that the liquidation doesn't affect its franchise operations or its Latin American stores, which remain open for business as usual. It lists 18,000 employees worldwide.

Shoppers are increasingly shifting their buying online or heading to discount stores like T.J. Maxx to grab deals on name-brand shoes. That shift has hurt traditional retailers, even low-price outlets like Payless. Heavy debt loads have also handcuffed retailers, leaving them less flexible to invest in their businesses.

But bankruptcies and store closures will continue through 2019 so there's "no light at the end of the tunnel," according to a report by Coresight Research.

Before this announcement, there have been 2,187 U.S. store closing announcements this year, with Gymboree and Ascena Retail, the parent of Lane Bryant and other brands, accounting for more than half the total, according to the research firm. This year's total is up 23 percent from the 1,776 announcements a year ago. Year-to-date, retailers have announced 1,411 store openings, offsetting 65 percent of store closures, it said.

Payless was founded in 1956 by two cousins, Louis and Shaol Lee Pozez, to offer self-service stores selling affordable footwear.

Payless ShoeSource
FILE - This Aug. 29, 2007 file photo shows a Payless ShoeSource store front in Philadelphia. Payless taught fashion influencers a lesson about shoes by opening a fake store that sold Main Street shoes at Madison Avenue prices. Payless ShoeSource held a launch party in Los Angeles for the bogus label Palessi and invited the fashionistas to sample the merchandise. Payless posted a video of what happened on Facebook. The VIP shoppers paid as much as $645 for shoes that sell from $19.99 to $39.99 at Payless. The store rang up $3,000 before Payless came clean with the reveal.AP Photo/Matt Rourke, file)
AP

What other people are reading right now:

Make it easy to keep up-to-date with more stories like this. Download the 10News app now.

Have a news tip? Email desk@wtsp.com, or visit our Facebook page or Twitter feed.