In the Bay Area, a complete shutdown would mean the closure of 19 Toys R Us and Babies R Us stores, not including nine local stores that the company in January announced would close as part of its effort to shutter 182 stores across the country and emerge from bankruptcy.
The fun could be over for Toys "R" Us as the chain reportedly has missed payments to its suppliers without explanation and prepares to file a liquidation plan with a U.S. Bankruptcy Court.
Toys R Us has not spoken publicly about closing all its USA stores, and a spokeswoman declined to comment on that possibility. The company filed for bankruptcy protection less than six ago. Fifteen locations in NY were on the list of planned closures, including a Babies R Us in Latham and a Toys R Us in Glens Falls, which were to start in February and continue through mid-April. Now the company is preparing to liquidate its bankrupt United States division, and though a rescue operation could still come through, it's looking more than likely that the retailer will have to close all of its doors very soon. However, this is bad news for smaller toy retailers who were welcome on the toy mecca's shelves but may not have a space in the limited toy aisles of other stores, like Target and Walmart.
The struggles of Toys R Us have taken a toll on the two largest USA toymakers, Hasbro and Mattel.
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The Latham store will close by the end of the month and has launched a closing sale, an employee at the store said.
The bleak situation lends evidence to the notion that Toys R Us is moving toward winding down its USA operations for good.
The retailer has faced pressure from online retailers and a hefty debt load.