It’s been a tough time for former retail powerhouse Toys R Us.
Record decreases in profits and increasing competition from Wal-Mart, Amazon, and the like forced Toys R Us to declare bankruptcy in mid-September, and now the stores will be closing 100 locations across the country after what executives are calling a “difficult” third quarter.
Disappointing holiday sales especially are leading to the toy store’s downfall. The store has seen a loss of $624 million, after only losing $160 million last year. Dave Brandon, Toys R Us chairman and chief executive officer, said in a statement, “Though we continue to see growth in our core toy category, we recognize the need for change in order to better meet customers’ ever evolving shopping preferences.”
The chain confirmed their plans to close over 100 stores by early 2018, releasing a statement to Bloomberg News saying, “Decisions about our real estate portfolio will be made only after careful consideration about the best interests of our business. Any speculation about potential store closures at this time is premature and likely to be inaccurate.”
Via USA Today