Toys R Us is said to miss vendor payments as woes mount

Toys R Us is said to miss vendor payments as woes mount

According to multiple reports, come Tuesday a big announcement could come down from Toys R' Us regarding shutting down all stores if there isn't a last-minute save to bail them out.

The company filed for Chapter 11 protection in September, when it seemed it might be able to reorganize its debt while it renovated stores and operations, but those hopes are fading, according to reports in the Wall Street Journal and Bloomberg. In a tweet last week, Toys R' Us said they've seen an wonderful outpouring of love and they are still open for business. In January, stores in Cherry Hill, New Jersey and Exton, Pennsylvania became a part of a growing list slated to close after the retailer entered bankruptcy past year.

Toys R Us also recently stopped negotiating settlements with vendors on money owned before it filed for bankruptcy, some of the people said. Toys R Us in January had announced it was going to shut down 182 locations, including five in upstate NY.

Earlier in 2018, the company announced it would close about 180 stores as part of its bankruptcy restructuring, which included Babies R Us stores.

Toys R Us now has about 800 stores in the United States.

More news: Vikings offer Kirk Cousins 3-year, $86M deal
More news: All-Party Team To Meet Supreme Court Committee On Delhi Sealing Drive
More news: Florida School Shooting: Prosecutors seeking death penalty

The struggles of Toys R Us have taken a toll on the two largest USA toymakers, Hasbro and Mattel.

"To our loyal customers: We've seen an wonderful outpouring of love and support in recent days and we truly appreciate it", the company tweeted Friday.

In recent years, the toy retail giant has been losing tons of its customers to places like Amazon, Walmart and Target.

The retailer has faced pressure from online retailers and a hefty debt load.

Related Articles