The penny hardbacked shoe is one of the most iconic brands in the world.
It’s been in business for over a century, and it’s not going anywhere.
But the brand is on the brink of extinction.
Penny Hardaway Shoes, the company that made the iconic shoe, is selling for $2.6 billion in the most recent public offering.
The company is on track to earn $6 billion by the end of the year.
And the company says it expects to lose money in 2020.
“We expect to have lost $8.2 billion in 2020,” Penny Hardaway President and CEO Mark Smith said in a conference call.
“It’s just not sustainable for us to have this amount of debt.”
Pillar Hardaway has more than 100,000 stores in the U.S. and Canada.
Its biggest market is China, where the company has about 5,000 locations.
Smith said the company’s stores in China are doing well.
“The majority of our stores are selling very well.
I think it is a good time to sell,” he said.
But as it becomes more difficult for the company to sell more stores, the brand’s share price will likely fall further, Smith said.
“I think we will have to cut our margins substantially in the future.”
For the next six years, the penny hardbacks sales are forecast to drop by 30 percent, and Smith said the brand will have less than $100 million in revenue.
There’s no sign of a turnaround in China, which is where the majority of the company is based.
The number of China-owned companies dropped to 11 in the past 12 months, from nearly 200, according to research firm Technavio.
The penny hards are sold in about 300 stores across China.
China is not the only country where Penny Hardaways has a problem.
Earlier this year, the US Department of Justice filed a lawsuit against Penny Hardwares parent company PPL Corp. for failing to provide workers with proper health insurance and other protections.
Some stores have closed because they cannot pay employees, Smith told investors last month.
And there’s no guarantee the company will be able to continue to survive in the long run, Smith added.
In a note to investors, Smith wrote that “due to the current market environment, we are not yet able to forecast the full future.”