The retail sector has had a dismal start to 2018, with the collapse of Toys R Us and Maplin and a host of firms undergoing painful restructurings, including New Look and eateries run by celebrity chef Jamie Oliver, as well as Byron and Prezzo.
Toy store chain Toys R Us is planning to sell or close all 800 of its USA stores, affecting as many as 33,000 jobs as the company winds down its operations after six decades, according to a source familiar with the matter. Does the end of the toy retailer mean our children have the hope of growing up in a less materialistic, spirit-breaking hellscape?
Toys "R" Us representatives declined FOX Business' request for comment on the situation. A spokeswoman for Toys R Us told The Record that Brandon told employees it was a sad day and that customers and others would be sad to see the brand disappear. Generally, foot traffic is falling at brick-and-mortar stores. Many in the toy business believe there is room for a smaller version of Toys R Us.
The planned closure in coming months is a blow to generations of consumers and hundreds of toy makers that sold products at the chain, including Barbie maker Mattel Inc, board game company Hasbro Inc and other large vendors such as Lego.
In filing for bankruptcy protection last fall, Toys R Us pledged to make its stores more interactive. "Many of those companies are likely going to be up for sale", Wissink says.
Toys "R" Us hasn't made a full-year profit since 2012 and has lost $2.5 billion since then.
"It was kind of a shocker, but now with online and things like that it really shouldn't be a shocker", Rivera said.
The company has been in bankruptcy reorganization since September, a move that protects a struggling company from those it owes money while it comes up with a plan to reorganize and continues to do business.
Toys R Us controlled 13.6 percent of the toy market in the United States in 2016, according to research from IBISWorld.
The closure of Toys "R" Us would be a blow to generations of consumers and hundreds of toy makers that sold their products at the chain's 885 USA locations, including Barbie maker Mattel Inc, board game company Hasbro Inc and other large vendors such as Lego.
So if you've got Toys R Us gift cards lying around, you might want to buy something soon.