Discount footwear retailer Footstar yesterday (8 January) said Jon Couchman has taken over the role of CEO and president from 1 January, as it continues to move forward with a previously announced wind-down of its business.

Couchman, who will retain his position as chairman of the board, succeeds Jeff Shepard, left Footstar on 31 December 2008.

He said: "I look forward to continuing my involvement with Footstar in this expanded role as we move ahead with the wind-down of the business.

Footstar is proceeding with the liquidation and dissolution of the company, it said, following the end of an agreement with Kmart under which it operated the footwear departments in Kmart stores.

Kmart has agreed to purchase inventory that was in these Kmart footwear departments at the end of last year.

Footstar also announced a $1 per share cash distribution, payment of which is contingent on receipt of amounts due from Kmart for the inventory.