Footstar, Inc., was a

shoe A shoe is an item of footwear intended to protect and comfort the human foot. Though the human foot can adapt to varied terrains and climate conditions, it is vulnerable, and shoes provide protection. Form was originally tied to function, but ...

retailer that was headquartered in

Mahwah, New Jersey Mahwah is the northernmost and largest municipality by geographic area () in Bergen County, New Jersey, Bergen County, in the U.S. state of New Jersey. As of the 2020 United States census, the township's population was 25,487, a decrease of 403 ...

. The company was traded under the symbol “FTAR” on the Pink Sheets. In April 2012, Footstar was merged into Xstelos Holdings, Inc.

History

Footstar was spun off from the Melville Corporation in 1996 as part of that corporation's reorganization of all of its operating divisions including Marshalls, KB Toys, This End Up, and Linens 'n Things. After the spinoff and/or sale of all of its divisions other than CVS Pharmacy, Melville changed its name to CVS Corporation and relocated its headquarters to

Woonsocket, Rhode Island Woonsocket ( ), is a city in Providence County, Rhode Island, United States. The population was 43,240 at the 2020 United States Census, 2020 census, making it the sixth largest city in the state. Being Rhode Island's northernmost city, Woonsoc ...

. Footstar originally consisted of three former Melville divisions: family footwear retailer Thom McAn, athletic shoe retailer FootAction USA, and Meldisco, which operated footwear departments inside department and discount stores, primarily Kmart. After closing down its Thom McAn division, Footstar retained its rights to the Thom McAn shoe brand. The Thom McAn brand and the Kmart footwear departments are now owned and operated by

Sears Sears, Roebuck and Co., commonly known as Sears ( ), is an American chain of department stores and online retailer founded in 1892 by Richard Warren Sears and Alvah Curtis Roebuck and reincorporated in 1906 by Richard Sears and Julius Rosen ...

Brands, LLC. In 2000, Footstar acquired the shoe retailer Just For Feet, which had filed for bankruptcy.

Financial difficulties

The company entered

Chapter 11 bankruptcy Chapter 11 of the United States Bankruptcy Code ( Title 11 of the United States Code) permits reorganization under the bankruptcy laws of the United States. Such reorganization, known as Chapter 11 bankruptcy, is available to every business, w ...

in March 2004, during which the Just for Feet chain was shut down and FootAction USA was sold to Foot Locker Inc. Footstar emerged from bankruptcy on February 6, 2006. Under a July 2005 agreement with Kmart owner Sears Holdings, Footstar agreed to continue operating stores within Kmart until December 31, 2008, at which point Footstar was to sell the remaining inventory to Kmart at book value. In April 2008, Sears Holdings agreed to obtain Footstar's intellectual property, including the Thom McAn brand name.

Pharmaceutical acquisition

In January 2011, Footstar announced that it was acquiring CPEX Pharmaceuticals Inc. The acquisition was made through FCB I Acquisition Corp., a wholly owned subsidiary of FCB I Holdings Inc., which was owned 80.5% by Footstar Corporation and 19.5% by an unaffiliated investment holding company.Footstar Announces Agreement To Acquire CPEX Pharmaceuticals in Transaction Valued at $76.6M (press release)
BioSpace, January 4, 2011.

References

{{reflist

External links

Footstar November 2005 Monthly Operating ReportFootstar February 2006 Press Release
Foot Locker Footwear retailers of the United States American companies established in 1996 Clothing companies established in 1996 Retail companies established in 1996 Shoe companies of the United States Companies based in Bergen County, New Jersey Mahwah, New Jersey 1996 establishments in New Jersey Companies that filed for Chapter 11 bankruptcy in 2004