There are conflicting reports on whether Toys ‘R’ Us Australia will continue business as usual or liquidate after reports of bankruptcy and closures in both the US and the UK.
The latest news from the US implies that all 885 stores will be sold or closed with up to 33,0000 jobs at risk.
After the news broke, the Wall Street Journal quoted Toys ‘R’ Us chief executive David Brandon, by announcing the store was likely to liquidate in France, Spain, Poland and Australia.
“Our gift cards, VIP club points, lay-buy, returns policy and other services remain unchanged.”
Toys ‘R’ Us Australia has directly disagreed with this statement saying it’s business as usual in their 39 stores across the country.
“Toys ‘R’ Us Australia stores are open for business and continue to serve customers,” a spokesman for the toy company said.
“Our gift cards, VIP club points, lay-buy, returns policy and other services remain unchanged.”
The shocking closure news from one of the world’s most recognised brands has been attributed to the rise of online shopping platforms like Amazon and changing trends in the toy market.
After 70 years, Toys ‘R’ Us, one of the original superstores, filed for bankruptcy back in 2017. Sadly, the company has been struggling with millions of dollars worth of debt since 2006.
Toy makers who sold toys through Toys ‘R’ Us are also suffering from the closure. Stock for companies like Mattel, the makers of Barbie, have seen their stock take a turn for the worse.
We will update this story with more information as it becomes available.
