Payless files for Chapter 11 bankruptcy, plans to close nearly 400 stores

Payless ShoeSource has filed for Chapter 11 bankruptcy.

The retail chain will close nearly 400 stores in the U.S. as it attempts to boost its balance sheet.

"This is a difficult, but necessary, decision driven by the continued challenges of the retail environment, which will only intensify," W. Paul Jones, Payless Chief Executive Officer, said in a statement.

"We will build a stronger Payless for our customers, vendors and suppliers, associates, business partners and other stakeholders through this process. While we have had to make many tough choices, we appreciate the substantial support we have received from our lenders, who share our belief that we have a unique opportunity to enable Payless -- the iconic American footwear retailer with one of the best-recognized global brands -- to remain the go-to shoe store for customers in America and around the globe." 

ALSO SEE: Here are the Michigan stores that are closing in 2017

Payless was established in 1956, based in Topeka, Kansas.  Payless has approximately 4,400 stores in more than 30 countries.

There are about 20 Payless stores currently open in Metro Detroit. It's unclear which stores will be closing. The list should be available by the end of the day.

Check back for updates on this developing story.