Bakers Gone Bust-Chapter 11 Filing

[HappyinHeels]

All,

Bakers Footwear Group, headquartered in St. Louis, Missouri, filed for bankruptcy protection under Chapter 11 of the United States bankruptcy laws on 9 October 2012 and the public first started to see the evidence around the 9th of November. For those unfamiliar with it, Chapter 11 provides financial protection while a company or corporation (it is also available but not widely used by individuals) reorganizes usually through liquidation of a major portion of its assets.

Bakers is closing about two-thirds of its 215 stores in the United States is selling 52 leases to rival Aldo, Inc. which is based in Montreal. Customers will still be able to order most anything online as before and all stores will remain open through 23 December after which the changes begin.

Many of you know how often I have written about Bakers experiences as have many others here. I have drafted a list of suggestions that I intend to send directly to CEO Edison on how to successfully emerge from Chapter 11 proceedings. While I enjoyed buying all sorts of heels at their stores and sharing feedback with their headquarters staff I never owned the stock as I never considered it a "buy". My guess is serious customers may ofer some constructive criticism as Bakers should damn well listen to it.

The effect of the changes in the Chicago-Milwaukee area will be 14 stores will be pared to just five. My most frequented locations in Milwaukee will close as will the iconic downtown Chicago location on State Street. I have decided to make one last visit to my favorite store wearing my favorite boots I bought there and mix/match what I want as a thank you for those who have served me over the years and I'd suggest anyone alese who has a Bakers nearby to so the same. American business is in a precarious atet of affairs despite claims by those in power or the media. The proof is in the small and medium business numbers. No, I am not a business reporter or the like rather a regular guy who enjoys the product they sell and follows business as a hobby. This article is a compilation of some written information and chats with Bakers staff. If you haven't visited your local Bakers in a while then now is a great time. Your local store may well be closing and the prices have likely never been lower. HappyinHeels

[Histiletto]

I use to frequent Bakers when the stores were in my area or I happen to visit a mall where they were located, but they have closed out in this market for I haven't seen any stores for a while. I guess Aldo came in and replaced them. I do think that Aldo has marketed better products overall.

[ilikekicks]

In one of my ' stories ' I posted about visiting a bakers and actually making a ( now ) great friend there. She doesnt know if her store is one on the chopping block or not as from what shes saying, they havent made a final decision and wont until meeting with their creditors. The good thing is the store local to myself is in a mall that already has a NineWest, Aldo, DSW and other ' brand name ' stores like Neiman Marcus. They fair very well considering the competition. If that location closes, I dont think there will be another Bakers outlet within reasonable driving distance. The sad part about this : This wont be the first of the ' mid brand ' stores closing shop in the next year in the States. Theres a HUGE uncertainty that has a severity of repercussions coming along with it in new laws that go into effect in my home ' State '. Its not just a business friendly environment and its just best to close shop and go elsewhere. I have done such myself as its a ' takers ' system. That being said, I have loved bakers footware long before I started wearing their goods. In the 80's, EVERY babe I knew had some Bakers stilettos! ( And big hair, leather skirts.. ). For a while, I think they set a trend for the ' lower tier ' costing footware for the younger crowds.

[Heelster]

Neither are nearby, so anything other than Payless, Famous footwear, and Shoe Dept. would be a good thing. I have to travel about an hour to get much above JC Penney.

[hoverfly]

If you have not noticed the price of shoes has gone up. I also noticed sales but higher prices on stiles that should have completely sold out by now. I think the market has gone soft, and people have enough shoes to fit their needs at the moment and chose to buy other stuff.

[radiodave]

Bummer, there's only one near me, and they do seem a little languid whenever I visit. Hope they don't go the way of Wild Pair.

[Jkrenzer]

This is real shame. I love most of their styles and the prices are very reasonable. I have found the construction to actually be a cut above Aldo, Collin Stuart, and definately Carlos Santana.

[HappyinHeels]

Hoverfly makes a good point about the higher prices of their shoes. Three years ago I noticed the standard launch price of most platform sandals or pumps was $79-89 and $119-139 for most boots with heels of significance. By 2012 these values had risen to $100-120 for sandals/pumps and $130-160 for boots. These figures not only were not justified from an inflationary standpoint but also from the realities of the current economic cycle which has seen median incomes fall precisely for a large part of the customers that most frequent Bakers' stores. I would see a shoe launch at $130 only to be marked down 30% before the shoes had been fully distributed telling me that the initial price wasn't realistic. Other things noted were a lack of inventory tools common to other stores like instant lookup and referrals to other stores-Bakers staff would have to actually call another store and ask if they had a certain style and size. I also noticed a general sloth attitude when it came to reacting to customer requests for larger sizes (SIZE 11) to be stocked in the store. I interviewed scores of Bakers employees in various states and asked this same question and what I was told never varied. They all had received an increasing number of requests for size 11 and passed that on to corporate headquarters and no meaningful change would occur. I chided Bakers for this. I made the point that their business model was one-on-one customer service and the lack of action by corporate staff in light of the avalanche of requests suggests to me that the corporate structure was either incompetant or ignorant or both. It could be that the market softened because of the drop in income for so many or that so many, women and men, finally had stocked up enough on their heels that Bakers fate was sealed. We'll find out as we watch how they come through bankruptcy. Like I said I have prepared a list of ideas I highly recommend Bakers soon-to-be-remade corporate structure listen to. If they don't we'll all lose a source of very cool heels indeed and Bakers will join the ash heap of companies that rested on their laurels when they should have been pushing themselves in new directions. Their stockholders were the big financial losers in it and the rest of us are the fashion losers in it. By the way anyone wanting to know what stores are closing need only scroll to the bottom of the home page and click 'store locations' and then click the map. States in white have stores and states in gray are states that do not have a store. The map has been updated so that such states as Arizona, Washington, Wisconsin, and Idaho and others that had bakers stores will not in 2013. Keep the conversation going! HappyinHeels

[ilikekicks]

Happy in heels : "By 2012 these values had risen to $100-120 for sandals/pumps and $130-160 for boots. These figures not only were not justified from an inflationary standpoint but also from the realities of the current economic cycle which has seen median incomes fall precisely for a large part of the customers that most frequent Bakers' stores. I would see a shoe launch at $130 only to be marked down 30% before the shoes had been fully distributed telling me that the initial price wasn't realistic." You live on a ' boarder state ', same as I do. Presently, HALF of the cars in local parking lots at the stores/malls have Canadian plates on them. The ' value ' of the US dollar has dropped dramatically over the last 4 years. I used to exchange an American dollar for 1.40$ Canadian at local facilities. Now, they are about even. Some would say the Canadian dollar gained value or whatever reasons people wish to use, doesnt matter.. the reason prices have ' gone up ' is due to a devaluation in the currency of the exchanges. This is whats really killing most of the economies on the planet. This might sound sort of ' political ', but its just an economics type of statement with no ill intentions. The ' Dollar ' is a promissory note. It really has no value at all. Gold and Silver do though. Prices will rise and decline as the ' dollar ' gains value or devalues itself. Non-essential items will also have the same thing happen to them. When a dollar is worth less, the prices will reflect such. So Bakers is going bust, Hostess is going bust.. Wondering whom is next?

[Heelster]

""So Bakers is going bust, Hostess is going bust.. Wondering whom is next? "" I do think we will see some more big companies go under. I would be watching Sears Holdings shut down Kmart completely real soon.

[ilikekicks]

Kmart has some ' ok ' footware ( being honest ). ' route 66 ' and ' basic editions ' arent that bad for their prices. Kmart was the original ' dollar store ' type of place. I think JC Penny would be one store to watch.

[Heelster]

Kmart has some ' ok ' footware ( being honest ). ' route 66 ' and ' basic editions ' arent that bad for their prices. Kmart was the original ' dollar store ' type of place. I think JC Penny would be one store to watch.

Kmart must stock based on regional sales and demands. The one near me is worthless unless your buying fuzzy slippers, sneakers, and sweatpants. The only real shopping places near me is Walmart and Kmart, so the local selections basically suck. Even the Payless seems to trend toward the "trailer mentality".

JC Penney is in a bad position - lets see how their new business strategy pans out. I've had decent luck buying from them

[ilikekicks]

The thing I like about JCP.. They carry ' tall ' pants in a LOT of sizes! I can grab 50$, get in my car and go there right now and I guarantee they will have something that fits! I cant say that about many of the other stores I go to. Bakers going down this road though.. its a very sad thing. They have a ' cult like ' following though.

[Steve63130]

I agree with you about JCP's pants, at least in women's pants and jeans. I'm much bigger in the waist than you are, and I also find JCP stuff that fits me well. Target is another place that I have success with. Steve

[Guest]

well, thats whats happening with these old corperate giants, they are arnt as big any more it seems, then down they slide

[Pumped]

Kmart must stock based on regional sales and demands. The one near me is worthless unless your buying fuzzy slippers, sneakers, and sweatpants. The only real shopping places near me is Walmart and Kmart, so the local selections basically suck. Even the Payless seems to trend toward the "trailer mentality".

I noticed that this week. I traveled from the city I live in to, well, lets say less populated area of the state. I happened to pop into a Walmart and while I was there I checked out the shoes, or lack of in this case. The womans shoes was one tiny isle, and not one high heel in the mix. Where I live Walmart has a fair selection of heels. Not that Walmart is my choice for shoes, but just an observation.

[inquisitor]

Some of my first on-line purchases were from Bakers (actually splurged and bought 4 pairs of shoes) a couple of years ago. What did them in for me was the cost. The quality of the shoes were fine, but spending $75+ on one pair scared me off (didn't take much with my college living expenses). Even though the average women in my age group is doing better financially than I am, the price point was probably the killer here; a men's line (like Aldo) wouldn't have hurt either. Maybe they'll figure this out as they navigate Chapter 11.

[HappyinHeels]

Hey All, After receiving a call from my local Bakers store manager about quite a few size 11 shoes they had received I went by for a look. I wore a Bakers hat I had gooten there, my Outer Edge jacket, and the same black wedge heels from Payless one of our members was talking about on his 2886 mile trip. While there I saw an intracompany memorandum that stores should remain open through 30 December instead of 23 December as I previously reported here. While they were talking about the Milwaukee area stores I have no reason to think this doesn't apply to all stores scheduled to close. By the way, the term "liquidation stores", as used on the Bakers website, refers to the stores that are closing as they belng to the liquidating company and no longer to Bakers Footwear Group. I got the "Hudson" knee-high boots in natural color, real cumfy! HappyinHeels

[DProud2700]

I was in one of the local malls the other evening after work and looked in the Bakers Shoe store and found that the prices were very very good on most everything they were selling. They even had a sign saying "Buy one at regular price, second pair 1/2 off.

[jetheelsfan]

When I fist got "into" purchasing shoes in person - it was at Bakers back in the mid 1970's They would have semi-anual clearance sales with shoes in the $2.99 to $5.99 range. My feet were at that time a large 10B to a small 11B. The styles were so much different then as they were just so simply beautiful. I had a thing for white strappy Mary-Jane styles. My all time favorite was a pair of white broad 2 1/2" heel with a 1/4" platform round-toe with a 1/2" wide instep stap pump. Those shoes were so comfortable and were well worn until I "out grew" them. By far, Bakers had the consistantly best looking shoes until the demise of the Qualicraft name. I never knew what happened to the Qualicraft Brand Name - anyone know when and why? I had just looked last week on their site for store locations and noted that all in my state were now missing. At one time I know there were at least 15 stores in the state. There used to be Kinney's, Nobil's, Thomm McAnn, Chandler's, and several others that have lost their "sole" in the business world. Sad for so many involved as employees and customers.

[bluesman]

If Bakers goes completely under and closes up stores, we should be able to score some great deals during the liquidation. Sad for the employees, but maybe a bonanza for heel lovers.

[DProud2700]

Has anyone purchased any Baker Shoe high heel shoes or boots right now?

[shrimper]

When I fist got "into" purchasing shoes in person - it was at Bakers back in the mid 1970's They would have semi-anual clearance sales with shoes in the $2.99 to $5.99 range. My feet were at that time a large 10B to a small 11B. The styles were so much different then as they were just so simply beautiful. I had a thing for white strappy Mary-Jane styles. My all time favorite was a pair of white broad 2 1/2" heel with a 1/4" platform round-toe with a 1/2" wide instep stap pump. Those shoes were so comfortable and were well worn until I "out grew" them. By far, Bakers had the consistantly best looking shoes until the demise of the Qualicraft name.

I never knew what happened to the Qualicraft Brand Name - anyone know when and why?

I had just looked last week on their site for store locations and noted that all in my state were now missing. At one time I know there were at least 15 stores in the state.

There used to be Kinney's, Nobil's, Thomm McAnn, Chandler's, and several others that have lost their "sole" in the business world. Sad for so many involved as employees and customers.

I also came up in that era (the '70's) and my favorite stores were Bakers, Chandlers for a little more mature and upscale styles, and Wild Pair for fiendishly sexy/fetish styles. Time has moved on and no more $3-5-7 sales, except maybe Payless.

[DProud2700]

I ordered a pair of Trendsetter boots from Bakers online (did not have them in my size in the store I went to). I find I will have to have to have them adjusted to fit me.

[HappyinHeels]

DProud2700, Oh friend I think you'll be disappointed! The design is a classic style. I tried on the wine-colored Trendsetter boot in size 11 which went on as a normal size 11 should but could not get the back zipper to go up with having to put significant force on it. I would have broken the zipper had I kept trying but didn't want to damage the boots. There is a curve right above the heel past which you can't get the zipper up. A look at the reviews of this boot reveals details of others' problems. If one were to read the reviews BEFORE ordering then one might indeed reconsider. The boot just doesn't seem to be made for people with anything other than small ankles. That's a shame but it is one sexy boot for sure. HappyinHeels

[DProud2700]

I have noted the flaws and plan to take them to my local shoe hospital for modifications. I have noted that the zipper needs to be worked a bit to lossen it up.

[ChipsHH]

Pretty sure my first pair of heels were from Bakers. It would suck if Aldo bought them out, had a store open in the Mall where the current Bakers store is, and just...ugh. I can't help but think of the somewhat-rude service I received from the saleslady that one day, at an Aldo store. But aside from that, Aldo tends to run small, don't they? Even in 11s, I never manage to find Anything that fits me. Sure, I'm mainly a 12, but Some 11s I can fit into and break-in until comfy. But yeah, prices were definitely a drag and forced once to get a job or *gulp* save money just to afford a pair from them, to which if I'm gonna save up for a pair of Bakers, I might as well save up for some Jeffrey Campbells instead. They were certainly reaching that price range. Sucks that I couldn't buy more pairs from Bakers, though. Here's hoping the River Oaks store isn't the one included in the 2/3s of closing stores. But it seems rather likely it will be, in favor of the Orland Park store sticking around, a nearly 30-60 min. drive from here :/ Probably wouldn't be able to shoot by the store before its leaving, either. Sucks living with parents, haha.

[HappyinHeels]

Hey All,

I am told that the liquidation stores (those that are closing) will be open through Monday 31 December. For people in the Chicagoland area the stores that will NOT be closing are the River Oaks Mall store in Calumet City, the Chicago Ridge Mall store in Chicago Ridge, the North Riverside Mall store on Cermak Road, the Harlem-Irving Plaza store on the nortwest side, and the Woodfield Mall store in Schaumburg. Prices are 50-80% off their normal range. I caught the flu so I shouldn't venture out today but my wife is visiting her mother in Mexico so we will not be opening gifts until she gets back in early January. Until then may you all have a great Christmas! HappyinHeels

[Jimnj3]

The flu for the holidays, sucks, so I hope you get over it quickly. Try to have a great Christmas, in January when she gets home. Should be gone by then!

[Steve63130]

Yeah, feel better soon! Steve