Report: Toys R Us May Liquidate Its U.S. Operations
Posted on March 8, 2018
Toys R Us announced a big round of store closing last month. Now there are reports that it may liquidate its entire U.S. operations. Bloomberg is reporting the toy giant is making preparations for a liquidation in the U.S. Bloomberg is citing its sources while Toys R Us has officially declined to comment on the news.
Toys R Us filed for Chapter 11 bankruptcy protection last September. It announced it was closing 180 stores in February after starting the year with about 800 stores. CNBC says a "terrible holiday season" has hurt the toy giant's shot at a recovery. The holiday season was worse than the company had anticipated and came as it was struggling to reduce its debt.
Toys R Us was founded in 1948 by Charles Lazarus. The company says the "R" in the logo is backwards to give the impression a child wrote it. Geoffrey the giraffe character arrived in 1965.
CNBC says the situation "remains fluid" so there remains the possibility that Toys R Us will find a way to keep its U.S. operations going and its toy stores open.