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Toys R Us Closing Columbia Store, All Other SC Locations

16 March 2018, 01:56 | Tara Lloyd

Closing down signs are seen outside the Toys R Us store in Coventry Britain

Closing down signs are seen outside the Toys R Us store in Coventry Britain

Toys" R " Us, Inc. confirmed Wednesday night that it's closing all Toys" R " Us and Babies" R " Us stores in the USA, giving up on restructuring efforts after losing the confidence of lenders and customers.

The toy store chain said it plans to honor gift cards for the next 30 days, including Babies R Us gifts cards.

The impending store closures also include all Babies R Us stores. The company's US online store would still be running for the next couple of weeks in case there's a buyer for it. Workers in the USA will get paid for the next 60 days if they show up for work, but after that, all benefits and pay will be cut, Brandon told employees at the meeting, according to the recording.

And it will force toy makers and landlords who depended on the chain to scramble for alternatives.

"The Toys R Us name is not going away - that's the part of the business that has value", said Friedman of Debtwire.

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"If there is no Toys R Us, I don't think there is a toy business", MGA CEO Isaac Larian said in a statement. "This is the only place we could find it".

Babies R Us has about 5% of market share for online baby product sales, trailing Amazon.com's nearly 20%, according to market researcher IBISWorld.

There's no official date on when Toys "R" Us closes. Both have posted lackluster financial results of late, and there was talk a year ago about the possibility of a merger between them.

The toy has been on her wish list for a long time.

Toys "R" Us was facing $5 billion in debt, largely stemming from a $6.6 billion buyout in 2005 led by KKR & Co.

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So will customers revolt and start to buy more toys from mom and pop toy stores so they don't have to rely on Walmart, Target and Amazon every time their kid wants a new Barbie doll or Star Wars action figure.

The company's troubles have affected toy makers Mattel and Hasbro, which are big suppliers to the chain.

Real estate executives offer different opinions on whether landlords can easily fill the holes at the strip centers where most of the Toys R Us locations are. Founded in 1948, Toys R' Us had been struggling in recent years as it tried to compete with big box retailers like Walmart and online distributors like Amazon. Toys "R" Us actually bought the rights to the KB Toys brand name and its website later that year. And other seemingly dead retailers have a way of coming back to life.

The Cumberland County store opened in 2012 after the company closed its old store near the Capital City Mall in Lower Allen Township.

"The Debtors have developed a potentially value-maximizing transaction that would combine up to 200 of the top-performing US stores (primarily those operating under the side-by-side format similar to the stores operating in Canada) with a going-concern transaction for their Canadian operations", the filing says.

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And FAO Schwarz, whose iconic NY store closed more than two years ago, is trying to revive.

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