Payless Holdings

The firm was counsel for the creditors' committee in the chapter 11 bankruptcy case of Payless Holdings and its related debtor subsidiaries pending in the United States Bankruptcy Court for the Eastern District of Missouri. Payless emerged from chapter 11 in August 2017 with a substantially deleveraged capital structure and a smaller retail footprint. The distributions to the general unsecured creditors were primarily funded by the proceeds of claims against the equity sponsors for dividend recapitalizations that were alleged to be fraudulent conveyances. The distribution to general unsecured creditors is expected to be in the range of 17%-22%.