Economy

Looks Like Play Day Could Be Over For Toys 'R' Us

Looks Like Play Day Could Be Over For Toys 'R' Us

The retailer, which has been a prominent store on Plymouth's Western Approach for years, is considering petitioning for bankruptcy in the United Kingdom in the "following couple of weeks", the Wall Street Journal has reported. But how did the ultimate toy chain get into this situation?

Any reports of possible Toys "R" Us store closings or financial troubles send shock waves through the industry. "It probably took us a while".

Toys R Us has hired Kirkland & Ellis law firm to consider reconstructing options, CNBC reports.

Toys "R" Us is a crucial customer for those manufacturers and most toy companies.

Prices on six-month and one-year swaps have climbed to record highs, suggesting the market is pricing in all-but-certain odds of a Chapter 11 filing, which protects companies against creditors during a reorganization.

The company has spent a lot of money on its brick-and-mortar stores.

There have been more than a dozen significant retail bankruptcies this year, but none for retailers as big as Toys R Us. It now has more than 800 stores in the United States and more in other countries all over the world.

RIP all of our childhoods - the theatre of every 90s kid's dreams could be about to close forever as Toys "R" Us is reportedly set to file for bankruptcy. The company has about $5 billion in debt and over 1,600 stores worldwide.

Doing so would give vendors like Mattel and Hasbro clarity as the holiday season approaches.