PetSmart Inc.
With over 1,500 stores across North America, PetSmart Inc. continues to operate. Nonetheless, pet products retailers have to reorganize their debts totaling $8 billion. However, Reuters said they would mature only in 2022. The problem lies in the fact that people prefer online shopping, which is typically more cost-effective and convenient. It decided to buy Chewy, a $3.35 billion e-commerce platform. Although this seems to be a step in the right direction, the company’s costs have also been raised. This is the highest e-commerce amount ever invested! During these days, customers are becoming increasingly more comfortable and sometimes cheaper. E-commerce is being encouraged. This trend also impacts PetSmart, which resulted in some issues. Although PetSmart bought Chewy, its current debt was further loaded with a total cost of $3.35 billion. The most money a company spends on an e-commerce website ever was published in Reuters.
PetSmart
Payless
In 2017, Payless sought insurance from bankruptcy. Hundreds of outlets and jobs also had to be closed by the shoe retailer. Good thing, after a reorganization in August 2017, the company rebounded. CEO Paul Jones said: “We have achieved our objective of improving our balance sheet and of reducing our debt load, positioning Payless to create significant value for our stakeholders.” S&P Capital Markets continues to say that non-payments are still an alternative.
Payless
