Toys R Us planning to liquidate its US operations

Toys R Us in Oldbury West Midlands is still open although the staff do not know when it will close

Toys R Us in Oldbury West Midlands is still open although the staff do not know when it will close

Retailer Toys R Us will close all 800 of its USA stores including one in College Station, leaving 33,000 employees with an uncertain future, according to media reports late Wednesday afternoon.

Toys R Us is set to close or sell all of its 885 stores in the United States in the coming months, the BBC understands.

Toys R Us, as a well-known and long-lasting brand, may yet have a future — the company even quoted its classic jingle in its bankruptcy filings.

After the news was announced to staff on Wednesday, 25 stores are expected to close later this week, with a further 75 shutting in the next six weeks.

Big-box stores such as Walmart and Target ate away at the brick-and-mortar advantage Toys R Us once enjoyed, and the shift to online shopping and Amazon's dominance in that arena was proving costly.

People shop in Time's Square Toys "R" Us store on "Black Friday", in New York November 28, 2008. Needless to say, moves to close down its stores makes sense as the company continues to struggle to stay afloat in markets dominated by Amazon and other retailers.

"The liquidation of Toys R Us is the unfortunate but inevitable conclusion of a retailer that lost its way", Neil Saunders, managing director of the research firm GlobalData Retail, wrote in an email.

The toy giant has launched an up to 40 per cent off closing down sale in all stores in an attempt to shift stock, . "It's sad", she said about the decline of Toys R Us.

The toy company, which has 11 stores in Scotland, will start the redundancy process on Wednesday.

Though it is somewhat unusual for a retailer to file for bankruptcy in the heart of the winter holiday shopping season, the accessories chain Charming Charlie did just that in early December 2017. He added toys two years later and opened the first Toys "R" Us, modeled after self-service supermarkets, in 1957.

The Sun Online has contact Toys R Us and we are expecting a statement shortly.

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