Disney, Payless reached agreement on children's shoes cooperation

According to sources on Tuesday, Disney (DIS) and Payless ShoeSource Inc. (PSS) plan to develop a franchised children's shoes line that will directly target retailers. Disney products or Disney/Pixar-owned animation characters will be on display.

Payless, a discount footwear retailer headquartered in Topeka, Kansas, noted that Disney-themed children’s shoes will be sold through its 400 stores and Payless.com.

The two companies announced that designers from Payless and Disney Consumer Products will collaborate on the development of this product line.

The two companies also stated that although Payless has sold Disney's footwear and apparel for several years, the above project is the first time that the two sides cooperate in product design, creative direction and marketing.

As of 1:58 pm ET, Disney stocks based in Glendale, Calif., rose 13 cents to $33.25, or 0.39%.