One of Australia's largest shoe retailers forced into administration

One of Australia's largest independent shoe retailers, Payless Shoes, will close 132 stores across the country and make 730 staff redundant, the company's administrator Ferrier Hodgson said on Thursday.

The company, which as recently as last month employed 870 staff and made 41 million U.S dollars in sales last financial year, dodged administration in March 2013, but Ferrier Hodgson said the business was untenable and it was a difficult decision that had to be made.

According to a statement released on Thursday, all Payless Shoes stores will be relocated or closed by February 2017.

"While we received a number of expressions of interest from various parties, there were no acceptable offers for the business as a whole," Jim Sarantinos, one of the company's administrators, said in the statement.

"We would particularly like to thank the Payless Shoes employees for their support during the administration process.

"While the closure process is progressed, the administrators will continue to work with interested parties and landlords to transfer stores and employee contracts where possible."

Sarantinos acknowledged it is a "disappointing outcome" for employees who had given loyal service over many years.

Payless Shoes Australia opened its first store in Sydney in 1980. It was obtained in March 2013 by Payless ShoeSource based in Kansas in the United States, saving it from administration at the time.

The closure of the company marks a particularly dour year for Australian retailers, after the forced closure of electronics retailer Dick Smith, home improvement business Masters, and childrens clothing retailer Pumpkin Patch over the last 12 months. Endit