• News
  • Business

Toys 'R' Us Has Officially Filed For Bankruptcy Protection

Toys 'R' Us Has Officially Filed For Bankruptcy Protection

The toy giant has struggled to emerge from under so much debt, which has blunted its expansions in physical and online storefronts.

The Canadian retailer said it's opening its 56th store in Orleans, Ont. Tuesday and plans to have locations open later this year in Sudbury, Ont., Langford, B.C., Fredericton, and Toronto.

United Kingdom branches of Toys R Us are open for business as usual, as news broke the retail giant had filed for bankruptcy protection in the USA and Canada after struggling amid mammoth debts and online competition.

The move casts doubt over the future of its approximately 1,600 outlets and 64,000 employees, and comes just as the USA market gears up for the crucial holiday shopping season, during which company's like Toys "R" Us generate a large proportion of their annual sales.

The rise of e-commerce has struck a blow to most retailers, but Toys R Us also has suffered from competition with other big-box retailers such as Walmart and Target, which can drive down the price of toys.

On Monday, September 18, Toys "R" Us made a filing for #Chapter 11 Bankruptcy protection, an action some analysts say has been a long time coming for the toy store.

Ryanair to cancel up to 50 flights/day
In a press conference O'Leary said customers whose flights have been cancelled will receive an email by Monday evening. Most of the cancelled flights are to or from Ryanair's busiest airports, including Barcelona, Rome and Stansted.

Operations in Australia and Europe and a joint venture in Asia were not part of the bankruptcy proceedings.

The proceedings are created to give loss-making Toys R Us time to reorganise its finances as it tackles a debt pile of $5bn (£3.6bn) - protecting it from creditor demands.

Toys "R" Us, which was purchased for $6.6 billion in 2005 by private equity firms KKR and Bain and real estate investment trust Vornado, has not confirmed the reports.

The toymaker said all Toys "R" Us and Babies "R" Us stores would remain in operation. Babies "R" Us, the brand which deals with toys and products exclusively for babies, is also planning to enter India soon.

The 60-year-old company, which is facing about $400m of debt repayments in 2018, said it had secured about $3bn of financing from various lenders, including a JP Morgan-led bank syndicate, to keep its stores open "as usual" as it approaches its key Christmas selling period.

Toys R Us has around $5bn worth of long-term debt on its balance sheet, a substantial chunk of which needs to be repaid next year.

Leave Your Comment

Leave Your Comment


Latest News

  • Pak violates ceasefire on IB; one BSF jawan killed

    Pak violates ceasefire on IB; one BSF jawan killed

    The exchanges of firing between the Indian soldiers and the Pakistan terrorists continued till Friday morning. Panic has gripped scores of border residents living in villages close to the global border of R.S.
    Equifax Failed to Apply Security Patch Available for Months, Leading to Hack

    Equifax Failed to Apply Security Patch Available for Months, Leading to Hack

    Just because I don't have a social security number, I don't get access to information", said the partner at Gowlings law firm. The Equifax Canada website says it costs $19.95 per month for the same monitoring service. "We're equally affected.
    Equifax faces up to $70 billion lawsuit for data breach

    Equifax faces up to $70 billion lawsuit for data breach

    The Atlanta-based company announced last week that a cybersecurity incident has potentially impacted 143 million USA consumers. It can range from $2 to $12 to initiate and then lift a credit freeze, depending on which state a person lives in.
  • Isco renews with Real Madrid until 2022

    Isco renews with Real Madrid until 2022

    The Spaniard has signed a new contract until 2022 and Real Madrid have included a € 700 million release clause in his contract. As a result, the Spain global will now remain under contract with Los Blancos until the summer of 2022.
    11-year-old boy, parents killed in Italian volcanic field

    11-year-old boy, parents killed in Italian volcanic field

    The family's 7-year-old son ran for helped and did not fall into the crater, The Guardian stated. Three members of the same family have died after falling into a volcanic crater in Italy .
    Mercedes-AMG Project One Takes Aim at Aston Martin Valkyrie

    Mercedes-AMG Project One Takes Aim at Aston Martin Valkyrie

    We got a tiny glimpse of the Mercedes-AMG Project ONE hypercar last week, but today we're receiving "The Full Monty". But the Project One, built to celebrate AMG's 50th anniversary this year, is so much more than just its powertrain.
  • US Urges Kurds to Call Off Independence Vote

    US Urges Kurds to Call Off Independence Vote

    In recent years, there have been tensions between Baghdad and Kurdistan over power-sharing, oil revenues and territorial disputes. While Baghdad recognizes Kurdistan's autonomy, the precise boundary between the region and the rest of Iraq is unclear.
    Cassini's greatest hits: Remembering the 20-year mission to Saturn

    Cassini's greatest hits: Remembering the 20-year mission to Saturn

    That's when radio signals from the spacecraft - its last scientific gifts to Earth - came to an abrupt halt. Cassini also discovered evidence of an ocean beneath the icy shell on Saturn's largest moon, Titan .
    Russian war game to 'intimidate' North Atlantic Treaty Organisation  allies

    Russian war game to 'intimidate' North Atlantic Treaty Organisation allies

    This year's exercises, called Zapad ("West") 2017, are the first since Russian Federation annexed the Crimea in 2014. International observers suggest that the invented countries are proxies for the Baltic States and Poland.
  • Boston College students attacked with acid in France

    Boston College students attacked with acid in France

    Four American tourists who were attacked with acid at a train station in Marseille have been identified as college students. In previous incidents in Marseille, a driver rammed into two bus stops last month , killing a woman, USA Today reported .
    Thousands Evacuated in Russia Due to 'Telephone Terror'

    Thousands Evacuated in Russia Due to 'Telephone Terror'

    Sheremetyevo airport, the capital's busiest, tightened security after a threat, Interfax reported. Three more Siberian cities evacuated shopping malls, government offices, schools and hospitals.
    Local Line Workers Assist in Florida Power Restoration

    Local Line Workers Assist in Florida Power Restoration

    These outage numbers continue to decrease, and highlight the resilience, preparedness and collaboration of electric cooperatives. Electric cooperatives expect to be working to restore power for days to weeks, according to officials with Dixie Electric.
  • Leishman takes two-shot lead at BMW C'ship

    Leishman takes two-shot lead at BMW C'ship

    If Day or Fowler intend on catching Leishman, it likely will require a super-low round. "I'm just trying to do that". Chasing his second PGA Tour victory this year, history suggests Leishman can get the job done.
    Watch match highlights of Crystal Palace 0-1 Southampton

    Watch match highlights of Crystal Palace 0-1 Southampton

    During those video meetings he could obviously see the team moving around in a game and he would stop and point out where I was. He returns to English management today, guiding Crystal Palace against Southampton at Selhurst Park, and an inescapable...
    Apple quietly released an update that changes iTunes once for all

    Apple quietly released an update that changes iTunes once for all

    Once it finishes, there will be no need to restart the Mac computer and users can start using iTunes 12.7 immediately. You no longer can buy an iOS app within iTunes , and then load the app to your device when you perform a sync.
  • Endless War Continues as Senate Kills Effort to Repeal 2001 Authorization

    Endless War Continues as Senate Kills Effort to Repeal 2001 Authorization

    Speaking on the Senate floor Tuesday, Paul said , "I rise today to oppose unauthorized, undeclared, and unconstitutional war". Paul's Republican colleagues agree with his sentiments, but think his amendment is the wrong way to do it.
    Apple TV 4K arrives with Dolby Vision and HDR10 support

    Apple TV 4K arrives with Dolby Vision and HDR10 support

    It allows users take calls, check locations in maps, receive and send messages, and more without using their iPhone smartphones. The Series 3 has several variants including new gold aluminium, new band called Sports Loop and new version of the App.
    Former Georgian president Saakashvili forces his way into Ukraine

    Former Georgian president Saakashvili forces his way into Ukraine

    According to Interior Minister Arsen Avakov, 16 border guards and police officers sustained bodily injuries during the incident. And it is all the same to me who breaches the state border, whether fighters in the east or politicians in the west.

Breaking News



Recommended

Owaisi flays Centre's stand on Rohingyas

The plea against deportations was based on grounds of violation of conventions of worldwide human rights. The hearing on the matter has been adjourned for October 3 by the court.

Newcastle fans rave over attacker after Stoke win - 'Invaluable', 'absolute…

The energy is there but we do have our own experience. "We maybe needed a different mindset of what's required". That was a disappointment after working really hard to get back on level terms.

Trump Shares Doctored Image of His Golf Ball Hitting Hillary Clinton

The "deplorables" came back to haunt Hillary. "It doesn't help, I think, in terms of his stature. Trump has repeatedly posted critical tweets about his former 2016 presidential campaign rival.

Baldwin and Johnson sign on to opposing health care bills

But the bill would allow states to obtain waivers exempting them from many of Obamacare's regulations. The bill would also, for the first time in history, place a federal spending cap on Medicaid.

Cassini Spacecraft Makes Its Final Approach to Saturn

Even when Cassini launched neither father nor son knew that project would cause their careers to cross paths. Its fuel tank is nearly empty, and it is simply time to end the $3.9 billion mission.

Angelina Jolie Perfected Her Maleficent Voice While Giving Her Kids Baths

And just like that, the Jolie-Pitt's prove they're just like any other family! She went on, "They're having a great time". Surrounded by her children (only Maddox missed the call), the actress shone and seemed more happy than ever.

Air Berlin cancels more than 70 flights due to pilots' "sick-out"

Lufthansa's low-priced division Eurowings - which is wet-leasing Airbus A320-family jets from Air Berlin - has been affected. The airline filed for insolvency in August after its main shareholder, Gulf carrier Etihad , withdrew financial support.

Tesla Update Extends Vehicle Ranges to Help Customers Escape Hurricane

Initially, Tesla made extra battery capacity available to customers for $9,000 , but has since dropped the price to $2,000 . Alas, the upgrade won't stick around forever - Tesla generally charges at least $5,000 for the permanent equivalent.

Hurricane Irma Arrives And Leaves Downtown Miami Submerged Under Water

Toronto-Dominion Bank is closing all 81 of its branches in South Florida in preparation for the arrival of hurricane Irma. The major exception, Whiteman said, is if a tornado forms, which "virtually nothing" would be able to withstand.

Chelsea condemn anti-Semitic Morata chant

I'm happy to help the team win. "We must be satisfied. now we are trying to involve new players with the older players and this is a process".