After 70 years of being in business and becoming one of the biggest toy retailers in the world, Toys ‘R’ Us will be closing its doors forever.
It is reported that the company will be selling or shutting down all their 735 stores in the United States which will put around 31,000 jobs on the chopping block.
One thing for sure is that we will miss Geoffrey who was the mascot giraffe that invited kids to have fun in the giant playhouses. Another thing that will be greatly missed is that jingle that most people can probably still whistle which was, “I’m a Toys ‘R’ Us kid.”
Following the news of the toy retailer shutting down, a lot of people are saying its downfall is due to Amazon. But you can’t blame them on something that they took advantage of when toy retailers should’ve been the first ones to do so. Kind of reminds me of the Blockbuster and Netflix scenario.
However, this shouldn’t really be considered something out the blue as back in September, Toys “R” Us had filed for bankruptcy, in the hopes that they could get rid of some debt and reinvest more capital into their stores. That didn’t work as in January, they announced that they would be closing 182 stores across the United States.
As far as their locations outside of the United States stand, Toys ‘R’ Us has said that most of their stores in Canada, Europe and Asia “remain strong, viable businesses,” and may be saved or sold. On Wednesday, Toys “R” Us said it was closing all of its stores in the UK.
Toys “R” Us hasn’t made a full-year profit since 2012 and has been steadily losing money since then.
At the time of filing bankruptcy, Toys “R” Us disclosed that it was around $5 billion in debt and that they were spending about $400 million a year to try to pay off the debt.