Toys R Us' Bankruptcy Could Come by This Week

Toys R Us' Bankruptcy Could Come by This Week

Toys R Us' Bankruptcy Could Come by This Week

However, Toys "R" Us is considered to be the biggest retailer to take the bullet so far.

Toys "R" Us is the second-largest USA toy retailer behind Amazon.com Inc, according to data compiled by Muller.

If the company decides to file for bankruptcy, however, it could be cut off from those planned orders. It now has more than 800 stores in the United States and more in other countries all over the world.

A Toys R Us bankruptcy would severely damage the toy industry, Reuters reported.

The sources said that plans to file for bankruptcy are not set in stone, and if it does go through, the timing could change. It faces $400 million in debt payments that come due next year, unless it is able to refinance its debt.

The first sign of the store's potential fall began in 2015, when it shut down its major store in New York City's Time Square, according to CNN.

A combination of industry trends and specific mistakes have hurt Toys "R" U.S., experts say.

CNBC reported on Saturday that the company is now wedged with approximately US$5bn in debt.

Toys "R" Us makes about 40 percent of its annual sales during the holiday season and has already received most of its shipments for the holidays.

Social media offered its thoughts on the situation, too.

Roth wrote the store should add more in-store experiences, including adding in-store entertainment, like birthday party programs.

Reorg Research said a bankruptcy filing could be made in Virginia as soon as Monday.

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