Payless ShoeSource may file for bankruptcy, according to Bloomberg News

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TOPEKA, Kan. (WIBW) - Payless ShoeSource may file for bankruptcy as soon as next week, according to Bloomberg News.

Bloomberg cited people familiar with the matter, saying the company will close 400 to 500 stores as it reorganizes its operations. The company employs about 800 people at its Topeka headquarters.

Bloomberg News says multiple reports over recent months have indicated Payless is struggling to pay its bills.

The company laid off 110 employees in January, and will eliminate more than 20 IT positions in the next 2 months.