Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection

Transformers News: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection

Tuesday, September 19th, 2017 10:00PM CDT

Categories: Toy News, Company News
Posted by: william-james88   Views: 14,765

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Toysrus has now posted some documents on their website giving specific details of what we can expect from them filing for bankruptcy protection earlier this week. They do not shy away from giving a clear number of their current debt of 5 Billion dollars and even provide an FAQ which covers everything a customer may need to know, from toy availalibility to the Toysrus credit card. In short, everything remains the same as before through the holiday season. We knew that Hasbro would be sending them all their holiday orders and now we know that Toysrus will be putting all these on the shelves throughout the holidays with no stores closing for now. We have quoted the three following articles below:

Restructuring Information

Customer FAQ

A Message to Our Customers

At Toys“R”Us we are undertaking a financial restructuring to ensure the iconic Toys“R”Us and Babies“R”Us brands live on for many generations. For all of our customers, distributors, vendors and talented team members –Toys“R”Us and Babies“R”Us stores around the world are open and web stores are operating normally. The things customers like the most will not be affected. We continue to offer amazing new seasonal products and great customer service, just as we always have. In addition, Toys“R”Us is committed to working with our vendors to help ensure that inventory levels are maintained and products continue to be delivered in a timely fashion.
To achieve our financial objectives, Toys“R”Us and some of our U.S. subsidiaries and our Canadian subsidiary proactively and voluntarily filed for Chapter 11 of the Bankruptcy Code in the U.S. Our Canadian subsidiary also began parallel proceedings under the Companies’ Creditors Arrangement Act in Canada. The Company’s operations outside of the U.S. and Canada, including its approximately 255 licensed stores and joint venture partnership in Asia, which are separate entities, are not part of the Chapter 11 filing and CCAA proceedings.
We are confident that this financial restructuring is the best path forward to ensure that Toys“R”Us can invest in our business, continue to improve our customers’ experience and strengthen our competitive position.

1. Why did Toys“R”Us take this action now?
• Our business and overall ability to win have been significantly impacted by the costs associated with the $5 billion of debt on our balance sheet. This debt has held us back from making the investments we need to compete effectively in what has become an increasingly challenging and rapidly changing retail marketplace worldwide.
• After much consideration, the Company and certain of our subsidiaries proactively and voluntarily filed for Chapter 11 in the U.S. and commenced parallel proceedings under CCAA in Canada.
• The Company is taking this action in order to implement a financial restructuring as a deliberate and decisive step in the process to put us on a successful track for the future.
• Through this process, we expect to restructure our long-term debt and use these resources to reinvest in our business, continue to improve the customer experience in our stores and online and strengthen our competitive position.
• The Company’s operations outside of the U.S. and Canada, which include operations in Asia, Australia and Europe, are not part of the Chapter 11 filings or CCAA proceedings and are not subject to the Court-supervised processes.
2. Will Toys“R”Us continue normal operations?
• Yes. Our operations are continuing as usual. The Company’s stores around the world are open and our web stores and other online platforms will remain up and running, providing customers great service and a curated assortment of merchandise in the toy and baby categories.
• Through this process, we expect to restructure our long-term debt and use those resources to reinvest in our business, improve the customer experience and strengthen our competitive position.
3. Is my local Toys“R”Us open?
• Our Toys“R”Us and Babies“R”Us stores around the world are open, and you can also continue to shop online on our newly launched www.toysrus.com and www.babiesrus.com web stores.
• We are continuing to offer the best quality, value and selection, and our knowledgeable team members are working to provide customers a memorable shopping experience.
4. How will this process affect customers?
• We are serving customers as usual. Our stores around the world are open and our web stores and other online platforms will remain up and running, providing customers with great service and a curated assortment of merchandise in the toy and baby categories.
• We expect to continue honoring return policies, warranties, gift cards and layaway programs. Customers should expect our loyalty programs, including Rewards“R”Us, the Toys”R”Us Wish List, Geoffrey’s Birthday Club and the Babies“R”Us Registry in the U.S., to continue as normal in their current forms. International customer programs will continue as usual as well.
• Customers can continue to count on outstanding service whenever, wherever and however they want to shop with us.
5. Does this affect customer programs, including Rewards“R”Us, Babies“R”Us Registry and
layaway programs?
• We expect to continue honoring return policies, warranties, gift cards and layaway programs. Customers should expect our loyalty programs, including Rewards“R”Us, the Toys”R”Us Wish List, Geoffrey’s Birthday Club and the Babies“R”Us Registry, to continue as normal in their current forms.
6. Will your stores continue to be stocked as normal during this process?
• Toys“R”Us continues to offer the hottest toys this holiday season, along with an outstanding shopping experience.
• We are well stocked as we prepare for the holiday season and are excited about all of our upcoming in-store events.
7. Will Toys“R”Us and Babies“R”Us continue to run their typical sales and promotions?
• Yes. We expect to continue operating our stores, webstores and other online platforms as usual during this process.
• This includes the continuation of our typical sales and promotions.
8. Can I still use my Rewards“R”Us points?
• Yes. Customers should expect our loyalty programs, including Rewards“R”Us, to continue as normal in their current forms.
• We encourage you to continue earning and using your points at our stores or online at toysrus.com or babiesrus.com.
9. Can I still use my “R”Us Credit Card?
• Yes. Your “R”Us Credit Card will continue to be accepted.
• We encourage you to use your card to keep earnings Reward Points.
10. Can I still use my gift card?
• Yes. You can continue to use your gift cards in our stores or online.
• We are focused on continuing to provide the best quality, value and selection in the toy and baby categories and outstanding service whenever, wherever and however you choose to shop with us this season and beyond.
11. Does this affect your return policies or warranties?
• No. We fully expect to continue honoring return policies and warranties.
• You can continue to count on a world-class shopping experience and outstanding service whenever, wherever and however you choose to shop with us this season.
12. How can I obtain more information?
• For questions about products, warranties or rewards, customers in the U.S. should continue to contact our Customer Service Department at 1 (800) TOYSRUS or 1 (800) 869-7787 between the hours of 8 AM and 11 PM ET. Our international customers can contact their local Customer Service teams as usual.
• If customers have questions regarding the financial restructuring process, they can visit other pages on this restructuring website.


To Our Customers,
Since 1948, Toys“R”Us has served kids and families around the world by offering great service and a wide assortment of toy and baby products. Nearly 70 years later, that commitment to our customers remains stronger than ever as we work to be champions of play and a best friend to parents everywhere. We want you to have an outstanding experience whenever, wherever and however you choose to shop with us and this holiday season is no exception. We have a number of exciting initiatives underway including improvements to our stores and loyalty program, and we are leveraging technology to bring our physical stores to life. We’ve also just recently launched a new web store to make it even easier to shop with us.

We are also working to strengthen our financial position. The Company, some of our U.S. subsidiaries and our Canadian subsidiary proactively and voluntarily filed for Chapter 11 in the U.S. and began parallel reorganization proceedings in Canada. The Company’s operations outside of the U.S. and Canada are not part of the Chapter 11 filing and CCAA proceedings. Through these important actions, we expect to restructure our long-term debt and instead use these resources to reinvest in our business, so that we can continue to improve your experience

in our stores and online and separate ourselves from our competitors in today’s rapidly changing retail landscape. What This Means for You: We Are Open for Business
• Our Toys“R”Us and Babies“R”Us stores around the world are open, and you can also continue to shop online on our newly launched www.toysrus.com and www.babiesrus.com web stores. Toys“R”Us continues to offer the hottest toys this holiday season, along with an outstanding shopping experience. We are preparing for the holiday season and are excited about the many events, new technology and features we’ll have in our stores and online.
• We fully expect our customer programs to continue as normal. We expect to continue honoring return policies, warranties, gift cards and layaway programs. Customers should expect our loyalty programs, including Rewards“R”Us, Geoffrey’s Birthday List and the Babies“R”Us Registry, to continue as normal in their current forms. International customer programs are expected to continue as usual as well.
• You can continue to count on a world-class shopping experience and outstanding service whenever, wherever and however you choose to shop with us this season and beyond.
As always, we thank you for your continued support and for shopping with us. If you have questions about this process, you can find FAQs and additional information on the restructuring page of our website at www.toysrusinc.com/restructuring.
For questions about products, warranties or rewards, please contact our Customer Service Department at (800) TOYSRUS or (800) 869-7787 between the hours of 8 AM and 11 PM ET.
We are confident that the steps we are taking will help ensure that Toys“R”Us will be the champion of play for kids everywhere and Babies“R”Us can be a best friend for parents when it comes to caring for their infants and babies.
We look forward to serving you this holiday season and beyond.
Credit(s): Toysrus.com
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Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1911910)
Posted by Ultra Markus on September 19th, 2017 @ 10:27pm CDT
as long as they keep up their stock on current waves i would buy there as i pop in every now and then
but last several times has been pathetic as far as titan wars goes even taget and walmart in my area have a pathetic excuse for selection when it come to TFs! :BANG_HEAD: they make it hard not to buy online
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1911947)
Posted by bengear on September 20th, 2017 @ 8:20am CDT
Not to get political...but why does Mitt Romney hate toys? First KB Toys, now Toys R Us. I really liked KB toys. :( Vulture capitalists can kiss my exhaust port.

The fact that Toys R Us is generally pretty pricey is beyond the point that it is a TOY STORE. Toys and games from wall to wall (and maybe some diapers on the babies r us side). Can you buy it on amazon? sure. Can you get it cheaper at walmart? probably. But the magic of being a kid and walking into a giant store for YOU (and not your parents most likely) is an awesome feeling.

Seeing a rather beloved institution fall under financial assault bums me out. Hopefully they survive relatively unscathed.
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912065)
Posted by WreckerJack on September 20th, 2017 @ 4:11pm CDT
bengear wrote:Not to get political...but why does Mitt Romney hate toys? First KB Toys, now Toys R Us. I really liked KB toys. :( Vulture capitalists can kiss my exhaust port.

The fact that Toys R Us is generally pretty pricey is beyond the point that it is a TOY STORE. Toys and games from wall to wall (and maybe some diapers on the babies r us side). Can you buy it on amazon? sure. Can you get it cheaper at walmart? probably. But the magic of being a kid and walking into a giant store for YOU (and not your parents most likely) is an awesome feeling.

Seeing a rather beloved institution fall under financial assault bums me out. Hopefully they survive relatively unscathed.


Because all politicians hate fun! :evil: :P

Sadly that awesome feeling doesn't make money. Like I said before people don't usually make special trips to toy shops and even so why pay more at TRU than other places. Yeah, it's fun to look but I'd rather save money or order online.

I think there has to be a way to make toy shops more profitable in the modern day. I remember as a kid going to TRU was awesome but it was also a social event. There were weekly events for pokemon and yugioh that kids would go to play, which was a way to get people inside stores.

When I think of this it reminds me of shopping malls and how those are also declining. in the 90's and 00's people would go to the mall to socialize. Often my group of friends would meet at the mall before catching our bus to see a concert. Now people seem to be less interested in hanging out at the malls so they don't go and spend money.

I watch a lot of Dan Bell's dead mall series and it makes me think about how there is a big change in the way we buy stuff. I'll admit that in my late 20's I just don't care about going to the mall and I don't know what is going to revive a lot of brick and mortar stores because I am not in touch with "what's cool" with young people. Even when I was a teen I just did what I liked to do and didn't follow trends.

I think what might help some brick and mortar stores is to have things that you may want to try before you buy. Clothing and shoes are something that are good to try on and inspect the quality of before purchasing. I think maybe toy shops could have some toys out of the box so people could try them out and that may encourage people to come and test them before buying. It would also help keep companies motivated to make quality products because some things you think are great till you get it out of the box.

william-james88 wrote:
Yeah but thats all irrelevant when TRU has a very generous price match guarantee. They price match with Amazon so there is never a time when going to TRU should cost you more if you have solid proof of it selling for less elsewhere.

Of course there are asshole employees and not everyone likes the hassel of price matching, but complaining about higher prices when they will price match doesnt make much sense to me. Due to the price match policy I have bought 90% of my toys there and never ever paid more that I would have for the exact same product at a different retailer.


Indeed, but most people are probably not aware of this. I admit I even forget because it is a drive for me to get to the closest TRU. Factor in time and gas and its easier to just go to another store/order online.

Most of toy sales are probably from children and their parents - not collectors like us that are savvy to these things. I admit I complain their prices are high because it takes advantage of people that don't know and that does not bode well with me. (I know overhead but do people really care about that? Nope. We want our toys and we want them cheap as possible!)
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912090)
Posted by william-james88 on September 20th, 2017 @ 6:35pm CDT
WreckerJack wrote: I admit I complain their prices are high because it takes advantage of people that don't know and that does not bode well with me. (I know overhead but do people really care about that? Nope. We want our toys and we want them cheap as possible!)

Dont let it bother you because those same people know that prices are cheaper elsewhere. Those same people also shop at walmart/amazon so they can see what other prices are out there. Parents are even more aware of costs due to all expenses a kid can be. So most who buy from TRU at full price are fully aware of what they are doing and do it out of convenience or because they cant find it elsewhere. And the savy parents know of the price match, it was my wife who told it to me in the first place since she was buying baby related stuff.

So dont let it bother you, parents are as savy if not more than the average collector. They NEED to save that buck.
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912125)
Posted by fenrir72 on September 21st, 2017 @ 12:05am CDT
Ultra Markus wrote:as long as they keep up their stock on current waves i would buy there as i pop in every now and then
but last several times has been pathetic as far as titan wars goes even taget and walmart in my area have a pathetic excuse for selection when it come to TFs! :BANG_HEAD: they make it hard not to buy online


TRU is at present trying to get in a cash infusion. Don't be expecting them getting new stocks until that happens.

If you were the businessman or multinational firm like Hb, you don't ship blindly to a bankrupt entity unless you are sure ALL your stocks are paid for.

Worst come to worst, TRU may end up like Kenny Rogers Chicken. The name will be purchased by some investor from which the business model would continue.

Kenny R was like THE fast food with home style eating back in the 80s. When it went under, a Malaysian Chinese investor bought the name and sold franchises all over Asia. So TRU overseas may end up like that with one Kenny R existing in California. There might be just one or two TRU left and places like Canada, well the name would be sold to the highest bidder.
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912127)
Posted by fenrir72 on September 21st, 2017 @ 12:16am CDT
bengear wrote:Not to get political...but why does Mitt Romney hate toys? First KB Toys, now Toys R Us. I really liked KB toys. :( Vulture capitalists can kiss my exhaust port.

The fact that Toys R Us is generally pretty pricey is beyond the point that it is a TOY STORE. Toys and games from wall to wall (and maybe some diapers on the babies r us side). Can you buy it on amazon? sure. Can you get it cheaper at walmart? probably. But the magic of being a kid and walking into a giant store for YOU (and not your parents most likely) is an awesome feeling.

Seeing a rather beloved institution fall under financial assault bums me out. Hopefully they survive relatively unscathed.


Read my previous posts. Capitalism is survival of the fittest. Mittens and his type may get a bad rep but they ARE in it for the Money! TRU is now forced to deal with a different business climate from like 30 years ago. Online unfortunately has all but killed the mom and pop style stores. Malls killed them and TRU models thrived for a while but Malls are also in the dying now.

Also, sales are NO big help when the stores bought their stocks at a much higher pricing range. That's just it. Nothing sinister.

If you can't pay your creditors, you get repossessed. Bankruptcy filing is a lifeline until they get a [strike]sucker[/strike], willing investor who can extend credit. They, the investor would be doing it for PROFIT and not nostalgia (well maybe some who might have some for TRU in their childhood). Though more likely, investors with fat wallets would be those from the PRoC. And those same investors got burned with Paramount with their recent box office flops (TLK is a Prime, no pun intended) example.
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912130)
Posted by fenrir72 on September 21st, 2017 @ 12:23am CDT
EunuchRon wrote:Yeah... inventory tax on that much unmoved product would totally burn. :(


Remember how some "geniuses" here said Hb doesn't get hurt with the SALES? Hence why I keep encouraging fellow collector to support buying at full retail price. Sure Hb stock are already "paid" but if the point of sale by Hb (retailers like TRU) die, what then? TRU et al dies.

Sure there's online for Hb but online does indeed have their limitations. Heck, maybe someday, we would no longer have the pleasure to actually eyeball and hold the product when we realtime window shop and just do the click and pay thingie.

But the consequences will be felt eventually.
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912225)
Posted by WreckerJack on September 21st, 2017 @ 4:48pm CDT
william-james88 wrote:
So dont let it bother you, parents are as savy if not more than the average collector. They NEED to save that buck.


Never would have though so, but then again I don't know any parents in my generation (well besides you). I would have imagined that parents were too busy to think to look up such things between all the things they need to do to care for a kid and themselves. I suppose that is the difference between my parent's generation and the current one.
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912328)
Posted by Stealth Claw on September 22nd, 2017 @ 9:59am CDT
I really hope all goes well for Toy R us, I love going their and would hate to lose them, also iv never seen toy r us with higher prices their the same prices at Wall mart, however I'm from ON, Canadian, so my only options to shop transformers in person are tru or wm, and tru always has a better verity and options than wm, so for us Canadian fans I hope tru stays open in the long run at least here.
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912525)
Posted by william-james88 on September 23rd, 2017 @ 8:40pm CDT
While it came to no one's shock that Toysrus was close to bankruptcy in the US, due to all the debt woes since the early 00's, Canadians were left puzzled by Toysrus Canada being the only subsidiary to also file for bankruptcy protection. The confusion came from the fact that Toysrus Canada was known to be autonomous from its parent company, along with having less distribution woes, only 1 major competitor, along with lots of stock and product turnaround making it a haven for any toy enthusiast (all of these later attributes are mainly due to the market only being one tenth the size of the US market, and smaller markets are easier to manage).



Well, an article from the Financial Post confirms how healthy Toysrus Canada is.

[quote]The profitable Toys Canada “operates as a relatively autonomous business unit and has achieved strong financial and operational performance in recent years,” the company said in court filings. It is cash-flow positive, has had compounded annual revenue growth of 5 per cent in the past three years and has almost doubled net earnings in that time, the filings said, and it wants to keep all of its stores open and operating.[/quote]

However, and here is the kicker, the article also confirms how it is linked to its US parent:

[quote]Indeed, the Canadian unit has been sending surplus cash from its operations to support its U.S. parent’s cash flow needs, making $101 million in unsecured inter-company loans to the troubled U.S. division since 2016.[/quote]

So yes, while Toysrus Canada has been doing so well that it has surplus, this $101M loan is unsecured and due to Toysrus declaring bankruptcy, there is no indication that the Canadian operations will ever see that money again. Just to give any reader an idea of how massive this amount is for Toysrus Canada, this $101M unsecured loan is a quarter the size of the $400M debt coming to term soon for TRU USA which caused the later to file for Chapter 11. And this massive $101M amount was given from a subsidiary that only has 10% of the market the US has. This explains how a company which would have been autonomous is instead very much linked financially and how Toysrus going down is dragging the subsidiary down with it.

If you are interested in legal talk, the full article has you covered and you can find it here.
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912528)
Posted by Ig89ninja on September 23rd, 2017 @ 9:04pm CDT
that figure variety!

Why cant the US have that variety!?! :-(
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912534)
Posted by shajaki on September 23rd, 2017 @ 9:12pm CDT
Ig89ninja wrote:that figure variety!

Why cant the US have that variety!?! :-(
There's 3 TRU's in my city, and none of them look like that >:oP

This makes me wonder... could TRU USA disappear while TRU Canada remains? And how are other TRU's fairing? I don't even know how many countries they're in, but I know they're in Japan...
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912540)
Posted by TF-fan kev777 on September 23rd, 2017 @ 9:49pm CDT
shajaki wrote:
Ig89ninja wrote:that figure variety!

Why cant the US have that variety!?! :-(
There's 3 TRU's in my city, and none of them look like that >:oP

This makes me wonder... could TRU USA disappear while TRU Canada remains? And how are other TRU's fairing? I don't even know how many countries they're in, but I know they're in Japan...


I've been to TRU's in Malaysia, Korea, Germany, UAE-Dubai as well as Japan and Canada (Yeah, I travel for work, a nice perk for hunting TF's. It will be interesting to see how the TRU's in other countries fare.
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912542)
Posted by MR Optimus Prime on September 23rd, 2017 @ 9:54pm CDT
Not ONE toy store in Dubai EVER has new Transformers.
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912544)
Posted by shajaki on September 23rd, 2017 @ 10:00pm CDT
TF-fan kev777 wrote:
shajaki wrote:
Ig89ninja wrote:that figure variety!

Why cant the US have that variety!?! :-(
There's 3 TRU's in my city, and none of them look like that >:oP

This makes me wonder... could TRU USA disappear while TRU Canada remains? And how are other TRU's fairing? I don't even know how many countries they're in, but I know they're in Japan...


I've been to TRU's in Malaysia, Korea, Germany, UAE-Dubai as well as Japan and Canada (Yeah, I travel for work, a nice perk for hunting TF's. It will be interesting to see how the TRU's in other countries fare.
So... is TRU USA the only one in trouble then?
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912549)
Posted by JelZe GoldRabbit on September 23rd, 2017 @ 10:20pm CDT
shajaki wrote:
TF-fan kev777 wrote:
shajaki wrote:
Ig89ninja wrote:that figure variety!

Why cant the US have that variety!?! :-(
There's 3 TRU's in my city, and none of them look like that >:oP

This makes me wonder... could TRU USA disappear while TRU Canada remains? And how are other TRU's fairing? I don't even know how many countries they're in, but I know they're in Japan...


I've been to TRU's in Malaysia, Korea, Germany, UAE-Dubai as well as Japan and Canada (Yeah, I travel for work, a nice perk for hunting TF's. It will be interesting to see how the TRU's in other countries fare.
So... is TRU USA the only one in trouble then?


The details specify that any TRU outside of the US and Canada are not part of the Chapter 11 filings.
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912563)
Posted by Cybertronius Primus on September 24th, 2017 @ 3:35am CDT
The only new thing to come in near me was at a Smyth's over here in the UK and that was one step scorn, cogman and drift. Toys r us had a tiny new display piece with some of the new artwork on but that's about it for the past month.
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912566)
Posted by fenrir72 on September 24th, 2017 @ 4:55am CDT
william-james88 wrote:While it came to no one's shock that Toysrus was close to bankruptcy in the US, due to all the debt woes since the early 00's, Canadians were left puzzled by Toysrus Canada being the only subsidiary to also file for bankruptcy protection. The confusion came from the fact that Toysrus Canada was known to be autonomous from its parent company, along with having less distribution woes, only 1 major competitor, along with lots of stock and product turnaround making it a haven for any toy enthusiast (all of these later attributes are mainly due to the market only being one tenth the size of the US market, and smaller markets are easier to manage).



Well, an article from the Financial Post confirms how healthy Toysrus Canada is.

[quote]The profitable Toys Canada “operates as a relatively autonomous business unit and has achieved strong financial and operational performance in recent years,” the company said in court filings. It is cash-flow positive, has had compounded annual revenue growth of 5 per cent in the past three years and has almost doubled net earnings in that time, the filings said, and it wants to keep all of its stores open and operating.


However, and here is the kicker, the article also confirms how it is linked to its US parent:

[quote]Indeed, the Canadian unit has been sending surplus cash from its operations to support its U.S. parent’s cash flow needs, making $101 million in unsecured inter-company loans to the troubled U.S. division since 2016.[/quote]

So yes, while Toysrus Canada has been doing so well that it has surplus, this $101M loan is unsecured and due to Toysrus declaring bankruptcy, there is no indication that the Canadian operations will ever see that money again. Just to give any reader an idea of how massive this amount is for Toysrus Canada, this $101M unsecured loan is a quarter the size of the $400M debt coming to term soon for TRU USA which caused the later to file for Chapter 11. And this massive $101M amount was given from a subsidiary that only has 10% of the market the US has. This explains how a company which would have been autonomous is instead very much linked financially and how Toysrus going down is dragging the subsidiary down with it.

If you are interested in legal talk, the full article has you covered and you can find it here.[/quote]

Filing Chapter 11 is just to protect the company's assets from being cannibalized by the creditors. For the time being.

Unless the debt is paid, the TRU name will just end as as the only part that might survive this fiasco.

And all those SALES just made matters worst. So gloat all you want (you know who you are), but Hb too will also be affected by this. For the good or bad, well...........I got online Takara shopping so no worries for me. 8-}
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912574)
Posted by OptimalOptimus2 on September 24th, 2017 @ 7:47am CDT
Ig89ninja wrote:that figure variety!

Why cant the US have that variety!?! :-(

I the future generations of kids in the United States are losing interests in toys. But what isn't losing profits are electronics. On multiple occurrences, I see parents giving their toddlers tablets and cellphones so they can watch YouTube or play games. These toddlers give so much attention to electronics, that they will lay down in the middle of the floor watching videos or playing games and it's up to you, the pedestrian to walk around them. So the most playful stimulus toddlers are now having is playing with electronics. This desire only increases as they get older because technology gives the most escape from reality than a plastic doll, a die cast car, or a fuzzy teddy bear.

So I think the biggest reason Toysrus and the toy aisles of Target, Walmart, Kmart, etc. are diminishing in the U.S. is due to consumers (children) lower demand for toys and higher demands for electronics and the latest technology.
Re: Toysrus Answers all Customer Related Questions Regarding their Filing for Bankruptcy Protection (1912579)
Posted by hurricane567 on September 24th, 2017 @ 9:33am CDT
My local US TRU has a 4 foot wide Transformers section. :-( [orders Misfire from Timmy's Toy Box/Amazon.com]

Ending Soon On eBay

New Transformers Generation Toy GT-4 J4ZZ MP Jazz Figure - Time Remaining: 2 days 13 hours 32 minutes 35 seconds
Vintage 1985 Andro Base Playset - Go-bots Transformers - Blue Box - Time Remaining: 2 days 15 hours 42 minutes 33 seconds
Transformers legends LG36 Soundwave Japan Import - Time Remaining: 5 days 5 hours 4 minutes 4 seconds
LEE BRADLEY signed autograph In Person TRANSFORMERS 8x10 (20x25cm)  COMIC ARTIST - Time Remaining: 5 days 4 hours 8 minutes 31 seconds
Transformers DOTM MechTech Darksteel MIP - Time Remaining: 7 days 20 hours 9 minutes 35 seconds
Transformers DOTM Autobot Lunarfire Optimus Prime Walmart Brand New Sealed - Time Remaining: 7 days 19 hours 9 minutes 29 seconds
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Transformers Podcast: Twincast / Podcast #186 - NYCC 2017
Twincast / Podcast #186:
"NYCC 2017"
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Posted: Monday, October 16th, 2017
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