More bad news for retail. According to this CNBC report Footwear maker Aerosoles has filed for bankruptcy citing falling foot traffic and the shift towards online shopping.
Women’s shoe chain Aerosoles filed for Chapter 11 bankruptcy protection on Friday with a plan to close most of its stores and focus on its wholesale, e-commerce and international businesses, becoming the latest casualty in the struggling U.S. retail sector.
Aerosoles, formally known as Aero, blamed its bankruptcy on declining mall traffic, big industry wide markdowns and a shift toward online shopping, according to a court filing.
At least a dozen retailers selling apparel, electronics and discount shoes have filed for bankruptcy this year to slash their store count and better compete with e-commerce companies such as Amazon.
Edison, New Jersey-based Aerosoles said it would close 95 percent of its 78 stores while maintaining four flagship shops in New York and its home state. Known for its comfortable flats and wedges, it will continue to sell its shoes online and at other retailers and department stores.