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Toys R Us Files for Bankruptcy.....

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Old 01-24-2018, 01:22 PM
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I thought it would have been more a majority of SoCal stores closing. Which it is, but I'm shocked to see one that we frequent often in NorCal. It's just a Babies R Us though, so I guess I better go clear them out in February.
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Old 01-24-2018, 10:45 PM
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Damn, the babies R us near me is closing... You know, for when Buy Buy Baby doesn't have what you need so you go to Babies R Us because you are too lazy to wait two days for Amazon Prime.
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Old 01-25-2018, 10:14 AM
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it's funny the list has my local BrUs on there but they posted an instagram message saying they weren't closing... odd...
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Old 01-25-2018, 10:44 AM
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Originally Posted by KaMLuNg View Post
it's funny the list has my local BrUs on there but they posted an instagram message saying they weren't closing... odd...
Isn't denial one of the first stages on the road to recovery?
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Old 01-25-2018, 11:03 AM
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Originally Posted by AZuser View Post
New Jersey

7 Wayne Hills Mall, Wayne NJl
This is a small one... and kind of dumpy. It is also the closest store to their corp hq. I was always puzzled why they never gave this store any attention. You'd think they'd want the closest store to be an example for the rest. ...or maybe it is, and that's why they're shitting the bed.
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Old 01-25-2018, 11:31 AM
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ToysRus has that smell. I can't describe it. Everytime I walk into one it's like WTF is it the smell of children who haven't bathed, is it the smell of new toys. Is it a mixture of both.
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Old 01-25-2018, 11:31 AM
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I wonder what will take the place of the BRU by me. Hopefully something decent.
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Old 01-25-2018, 11:51 AM
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Originally Posted by Flipster23 View Post
I wonder what will take the place of the BRU by me. Hopefully something decent.
sadly the direction that retail is headed, maybe not anything... at least that is what i see around me... huge retailers exit and they just stay vacant... it's damn near depressing...
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Old 01-25-2018, 06:12 PM
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Negotiating tactics for lower leases.
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Old 01-25-2018, 07:54 PM
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I'm surprised that the one by me isn't closing.
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Old 01-26-2018, 09:43 AM
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i think sears is in the best position with how cheap they own the real estate per sq ft.... two of the loactions near me have already sublet space to Dave and Busters...
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Old 02-21-2018, 05:53 PM
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So closing 182 stores wasn't enough. Need to close 200 more.

Approx. 800 U.S. stores - 182 previously announced store closures - 200 more = closing approx. half of U.S. stores.

Put a fork in it. They're done.

Meanwhile, executives will get a nice bonus for keeping stores open for another disappointing holiday season. Everyone else will get Took away promised severance pay too.


https://www.wsj.com/articles/toys-r-...res-1519254948

Toys “R” Us Plans to Close Another 200 Stores

Retailer’s corporate staff would also suffer layoffs following a disappointing holiday season

Feb. 21, 2018

Toys “R” Us Inc . plans to close another 200 stores and lay off a significant portion of its corporate staff following a disappointing holiday sales season, according to people familiar with the matter.

The Wayne, N.J., retailer recently had announced plans to close about 180 stores, affecting approximately 4,500 workers. The latest wave of closings would cut nearly in half the number of U.S. stores it had before its bankruptcy filing, the people said.

The discussions about the store closings are continuing, and the number of closures could change, the people added.

The company has also walked back from a promise to offer severance to all affected employees. According to internal documents reviewed by The Wall Street Journal, managers were recently instructed to tell hourly workers that “there are no severance benefits being provided for the store-closing process.” In January, store managers were instructed to tell employees that the company would provide severance to all affected employees, including hourly workers, according to the documents.

After filing for bankruptcy, Toys “R” Us had sought approval to pay millions in incentive bonuses to its top executives. While those bonuses drew opposition from the government’s bankruptcy watchdog, a judge approved the incentive payments in December.

When Toys “R” Us sought bankruptcy protection in September, hobbled with a hefty debt load and struggling with consumers’ shift to online shopping, it had about 1,600 stores worldwide, with roughly 800 in the U.S.

The company had poor holiday sales, during a period that traditionally is considered to be the toy retailer’s most profitable season, the people added.

“As we have shared publicly, our focus is on the reinvention of our business and emergence from chapter 11,” Toys “R” Us spokeswoman Amy von Walter said Wednesday. “Decisions about our future store footprint and organizational structure will be based on needs of the new business model and so it would be premature for me to comment on that.”

At the North American International Toy Fair in New York this week, executives from toy companies said they were closely watching the bankruptcy proceedings and wondering about doing business with the retailer, including whether to hold back shipments.

“I think many of us in the trade need to understand and make a decision about whether we can continue to hang on with Toys ‘R’ Us or turn our back and walk away,” said Jay Foreman, chief executive of Basic Fun Inc., a Boca Raton, Fla., retailer that sells toys including Lite Brite, K’Nex and retro versions of Fisher-Price toys. “That’s not a place we want to be but a place most of us are.”

While Toys “R” Us has yet to release its holiday earnings, Chief Executive David Brandon told employees in January that the original 182 store closures were planned following a disappointing season.

At the outset of Toys “R” Us’s bankruptcy case, the retailer said it planned to invest close to $65 million to remodel its stores this year, in hopes of improving shoppers’ experience.

Mr. Brandon has said Toys “R” Us was unable to invest in store improvements due to its heavy debt load, a legacy of a 2005 leveraged buyout. Private-equity firms Bain Capital and KKR & Co., along with real-estate investment trust Vornado Realty Trust , took Toys “R” Us private for $6.6 billion, which included $5.3 billion in debt, secured in large part by the company’s assets.
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Old 02-26-2018, 08:36 AM
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That sucks. I had to go to TRU yesterday to buy something for an emergency. TRU was selling the item for $70, while Amazon had it for $50. Not going to survive with that kind of discrepancy.
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Old 02-26-2018, 10:00 AM
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Originally Posted by F-C View Post
That sucks. I had to go to TRU yesterday to buy something for an emergency. TRU was selling the item for $70, while Amazon had it for $50. Not going to survive with that kind of discrepancy.
i would be less concerned with that price discrepancy if there was $20 of value TRU could provide (i.e. via customer service)... there is a price to pay to have it now, and even with same day delivery that Amazon has, i would pay the extra $20 if i wanted it now... i mean that is the point of retail and the additional price of a brick and mortar... HOWEVER, the last few times i have been in a TRU, the customer service sucked so bad, i nearly dropped everything i was going to buy and was going to walk out... what's even worse is that this wasn't even a store that was slated to get closed... if there is no additional value being provided, then people will strictly look at price as a measure and if you can't beat price, you will lose... are you listening TRU?
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Old 02-26-2018, 11:11 AM
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The wifey is scrambling to use the gift cards/credits she has to Babies-R-Us... Our local store is closing.

The thing is, just like Kam said, there is absolutely NO customer service at the store. I would prefer 100% to go to Buy Buy Baby (I mean, if i have to go at all knowwhatImean?) because the store is nice, the people are friendly and helpful, etc.

I hated going to BRU (more than I hated going to other baby stores.)...
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Old 02-26-2018, 10:33 PM
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Originally Posted by stogie1020 View Post
The wifey is scrambling to use the gift cards/credits she has to Babies-R-Us... Our local store is closing.

The thing is, just like Kam said, there is absolutely NO customer service at the store. I would prefer 100% to go to Buy Buy Baby (I mean, if i have to go at all knowwhatImean?) because the store is nice, the people are friendly and helpful, etc.

I hated going to BRU (more than I hated going to other baby stores.)...
I think more BRU are closing than actual TRU.
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Old 02-27-2018, 10:04 AM
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Originally Posted by Sarlacc View Post
I think more BRU are closing than actual TRU.
Free market at work... The place here is a dump. More so the staff than the store, but the store makes me feel like leaving as fast as possible every time I go in.
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Old 02-27-2018, 10:32 AM
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I stopped by Toys a week or two ago with my daughter to look around. The place was packed full of stuff. I don't know if they emptied out the stock room, or if they brought more stuff in, but the place was packed. The sign on the front of the store said everything up to 30% off, but in reality everything was 10% off... and the percent off didn't apply to Legos and other items like that. Waste of time.
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Old 02-27-2018, 10:35 AM
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I myself am curious to know when the Lego sets get blown out
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Old 03-08-2018, 04:01 PM
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Originally Posted by AZuser View Post
So closing 182 stores wasn't enough. Need to close 200 more.

Approx. 800 U.S. stores - 182 previously announced store closures - 200 more = closing approx. half of U.S. stores.

Put a fork in it. They're done.

https://www.wsj.com/articles/toys-r-...res-1519254948
Are they finally coming to the same conclusion?



https://www.cnbc.com/2018/03/08/toys...ns-source.html

Toys R Us may liquidate US operations: Sources

Published 11 Mins Ago

Toys R Us may soon liquidate its U.S. operations, sources told CNBC.

The source cautioned, however, that the situation remains fluid.

In February, CNBC reported that the retailer was at risk of breaching the covenant on a $3.1 billion loan after a disappointing holiday season.

While a terrible holiday season hurt their chances of recovery, some of the lenders have been aggressive in pushing for liquidation.

Toys R Us had already begun liquidation sales ahead of planned store closures.

The toy retailer filed for bankruptcy in September as it struggled with its $4.9 billion in debt. Toys R Us thought that bankruptcy protection would provide the financial flexibility to reduce that debt.

Bloomberg first reported the news.

This story is developing. Please check back for updates.
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Old 03-08-2018, 05:02 PM
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It's sad. My local toy store closed 2 years ago. Now TRU is gone. I guess Target will now be my local toy store.
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Old 03-08-2018, 05:03 PM
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I've been shopping Amazon a lot more lately.
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Old 03-09-2018, 08:14 AM
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Originally Posted by Flipster23 View Post
I've been shopping Amazon a lot more lately.
it's all your fault... you aren't helping the problem...
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Old 03-10-2018, 02:51 PM
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Originally Posted by F-C View Post
It's sad. My local toy store closed 2 years ago. Now TRU is gone. I guess Target will now be my local toy store.
Wifey and I were just talking about this...

Two possible outcomes we came up with:

1. Target and Walmart expand their limited toy selections to fill the void
2. Local stores open offering higher quality toys and really good customer experiences (like the old days), but with higher prices than Amazon, etc.

Hopefully, it's come combo of the two. All my local Imaginarium stores closed, and that was my go to place for kid toys, etc...
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Old 03-10-2018, 03:44 PM
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Originally Posted by stogie1020 View Post
Wifey and I were just talking about this...

Two possible outcomes we came up with:

1. Target and Walmart expand their limited toy selections to fill the void
2. Local stores open offering higher quality toys and really good customer experiences (like the old days), but with higher prices than Amazon, etc.

Hopefully, it's come combo of the two. All my local Imaginarium stores closed, and that was my go to place for kid toys, etc...
Online stores...some manufacturers have their own storefronts (i.e. LEGO) and/or are carried by large department mega-stores like the Walmarts and online vendors like Amazon. It's just very tough to be competitive with bricks and mortars-type stores that specialize in only 1 thing (i.e. toys) now unless their prices are by-far better than the competition.

Pretty much all my purchases for Little Cha are from online now...occasionally a toy store will be visited for the novelty but once I do a quick look online to check the price, more often than not, we just order from Amazon and with Prime, we get it basically the next day.
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Old 03-10-2018, 04:04 PM
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^ I've never had any problem getting Toys R Us to price match Amazon, Target, or Walmart. I get item right there (no waiting) and I support the local economy.
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Old 03-12-2018, 09:56 AM
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Rumor has is that they may start closing stores this week.

My niece started working there back in October, she said they haven't gave them word yet.

I told her they may do like everyone else does these days. You go to work and it's closed down without warning.
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Old 03-12-2018, 10:33 AM
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64,000 employees about to lose their jobs.
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Old 03-12-2018, 10:42 AM
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they won't go anywhere until they sell all the crap in the stores
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Old 03-12-2018, 10:45 AM
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Originally Posted by brian2 View Post
they won't go anywhere until they sell all the crap in the stores
Probably would just send it to their overseas stores.

Or sell it to HomeGoods or something.
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Old 03-12-2018, 10:58 AM
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Originally Posted by stogie1020 View Post
Wifey and I were just talking about this...

Two possible outcomes we came up with:

1. Target and Walmart expand their limited toy selections to fill the void
2. Local stores open offering higher quality toys and really good customer experiences (like the old days), but with higher prices than Amazon, etc.

Hopefully, it's come combo of the two. All my local Imaginarium stores closed, and that was my go to place for kid toys, etc...
walmart has always been the number one toy seller is the States.
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Old 03-12-2018, 11:01 AM
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Originally Posted by AZuser View Post
^ I've never had any problem getting Toys R Us to price match Amazon, Target, or Walmart. I get item right there (no waiting) and I support the local economy.
Just because Amazon doesn’t have brick and motar, still supporting local economy. In my area there are four distribution centers with a two hour drive of me. All those people there and the drivers are locally employed people.
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Old 03-12-2018, 11:03 AM
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Originally Posted by jupitersolo View Post


walmart has always been the number one toy seller is the States.
Sure, but it isn't because of the vastness of their selection, rather the ease of access to their many stores. WM's toy selection range sucks. Sales figures don't necessarily equate to a great selection.

It's the general and cheapo stuff, nothing really cool or specialized or higher end.

Walmart may have more stores than anyone, but the in-store selection of quality toys is lacking.
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Old 03-12-2018, 11:30 AM
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Originally Posted by jupitersolo View Post
Just because Amazon doesn’t have brick and motar, still supporting local economy. In my area there are four distribution centers with a two hour drive of me. All those people there and the drivers are locally employed people.
Amazon isn't supporting local economy in the same way though. If a Toys R Us store is in a shopping center where it's the anchor, a loss of this anchor store can have rippling affects, causing smaller nearby stores to lose foot traffic and sales. If the anchor store cannot be replaced with another anchor, the loss often results in the loss of smaller retailers and more jobs.

https://commercialobserver.com/2016/06/anchors-away/

Anchors Away: How the Loss of an Anchor Tenant Is Felt Down the Retail Chain

Trusted household names such as Sears, Kmart, J.C. Penney, Sports Authority, Macy’s and Aeropostale have announced bankruptcies or store closures. The aforementioned stores are all core anchor tenants in numerous retail properties across the U.S., so what happens to satellite tenants when the heavy weight that grounds them abandons ship?

“The loss of an anchor tenant not only hurts a property’s cash flow; it also will negatively impact traffic at the center. A large dark store is an eyesore,” said Greg Reimers, the regional manager of real-estate banking at J.P. Morgan Chase. “Satellite tenants are likely to suffer until the anchor is replaced.”

Anchor tenants are placed in a retail property with a certain level of clout. This clout allows the anchor to pay a reduced rent in return for the expected foot traffic it will draw. Accordingly, a satellite tenant moved into that center because of the influence that the anchor will have on its own foot traffic and revenues. Like the cool kid in school, if people visit the anchor, chances are they’ll stop by to say hello to you too, her less popular sidekick, purely for proximity reasons.
I saw what the closure of Sport Authority, Sports Chalet, Borders, Barnes & Noble, etc did to local shopping centers. After they closed up, foot traffic fell and other stores suffered. Some closed. Others are struggling.

Last edited by AZuser; 03-12-2018 at 11:35 AM.
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Old 03-12-2018, 11:42 AM
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And if Toys R Us goes, so do the smaller toy manufacturers, who mainly sold through Toys R Us, and those jobs.

https://www.cnbc.com/2018/03/09/10-p...iquidates.html

If Toys R Us liquidates, 10 to 15 percent of all toy sales could be lost forever
  • An analyst from Jefferies estimates that 10 to 15 percent of Toys R Us' total business will be lost if it liquidates.
  • Toy companies such as Hasbro and Mattel have already begun preparing contingency plans in the event that Toys R Us initiated a full liquidation.
  • Smaller toy brands that rely heavily on Toys R Us will likely have to explore sales.

9 March 2018

Toys R Us could soon liquidate its U.S. operations and the result will leave a lasting impact on the toy industry, Jefferies analyst Stephanie Wissink wrote in a note to investors Friday.

While Toys R Us accounted for 15 to 20 percent of U.S. toy sales last year, not all of that will shift to other retailers when the retailer is gone. Instead, about 10 to 15 percent of this volume will fall through the cracks and be lost for good.

While Amazon, Walmart and Target will pick up the slack for bigger toy companies, small toy brands could be in trouble.

Toys R Us' massive size allowed it to sell both name-brand toys and products from upstart toymakers. However, with its closure, the big-box retailers likely won't take in these brands because they are already pinched for shelf space in the toy section. This will make it even harder for small toy manufacturers to gain ground.
Larger toy manufacturers will suffer as well and could see layoffs there too.

When Sports Authority went bankrupt, sales a Nike and Under Armour dropped.

Sports Authority?s Bankruptcy Is Still Hurting the Industry in 2017 | Footwear News

Why Sports Authority’s Bankruptcy Isn’t Done Wreaking Havoc on the Industry Yet

It’s been nearly a year since former sporting goods heavy hitter Sports Authority filed for Chapter 11, but it’s impact on the industry remains palpable.

Canaccord Genuity Inc. analyst Camilo Lyon said Monday that disruption stemming from the sporting goods bankruptcies — Sport Chalet, Bob’s Stores and Eastern Mountain Sports owner Vestis Retail Group LLC also filed for Chapter 11 last year — is dragging on much longer than anticipated.

“The Sports Authority’s bankruptcy has left sales that we believe have not yet found a home in the channel,” Lyon wrote Monday. “We suspect it will take another two quarters for a (near) complete realization of the $2.6 billion in annual sales to materialize via other channels.”

When Sports Authority announced last May that it abandoned its initial restructuring plans and would close all of its stores, industry chatter surmised that Dick’s Sporting Goods as well as smaller sporting goods player Modell’s would snap up the firm’s abandoned market share. But Lyon and other analysts now say that some customers are lagging when it comes to making the shift to Sports Authority’s competitors, stunting overall growth in the sporting goods channel.

For example: Market research firm The NPD Group said its December footwear revenues data showed soft sales in the athletic specialty and sporting goods channel — a fact that the company is also partly attributing to Sports Authority’s demise.

“Sales in that channel were down in the low single digits, dragging down the overall market,” NPD sports-industry analyst Matt Powell said. “Those soft sales were primarily caused by the absence of The Sports Authority — nowhere was this void felt more than in running footwear, which declined 8 percent.”

The number of customers who may eventually fall off the sporting goods bandwagon altogether with Sports Authority now off the radar is also a major concern.
Result? Layoffs at Under Armour and Nike.

Under Armour is cutting about 280 jobs - Aug. 1, 2017

Under Armour is cutting about 280 jobs

Under Armour said Tuesday it would cut about 280 jobs, or 2% of its workforce, after reporting slower-than-expected sales in its second quarter and recasting revenue projections.

The sports apparel industry, like other retailers, has been hit hard in recent years. Sports Authority, a national sporting goods retailer, went out of business last year. And Nike, a direct competitor, said in June that it would eliminate about 2% of its workforce.

https://www.wsj.com/articles/nike-to...ump-1497534435

Nike to Cut Jobs as It Combats Sneaker Slump

Nike Inc. is cutting more than 1,000 global jobs as part of a restructuring to help the sneaker giant battle slowing sales.

The company said Thursday that the layoffs would affect 2% of its global workforce. The Beaverton, Ore., company employed more than 70,000 around the world as of last May, including retail staff.

In recent quarters, the company has reported slowing future orders for its products in its North America market.

A shift to online shopping and the demise of traditional sporting goods chains such as Sports Authority has pinched the company and U.S. rival Under Armour Inc.

Last edited by AZuser; 03-12-2018 at 11:55 AM.
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Old 03-12-2018, 12:17 PM
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The Sports Authority was in the same Parking lot as our Toys R Us.

The only store that will be there now is Joann's.
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Old 03-12-2018, 12:24 PM
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Originally Posted by AZuser View Post
And if Toys R Us goes, so do the smaller toy manufacturers, who mainly sold through Toys R Us, and those jobs.

https://www.cnbc.com/2018/03/09/10-p...iquidates.html



Larger toy manufacturers will suffer as well and could see layoffs there too.

When Sports Authority went bankrupt, sales a Nike and Under Armour dropped.

Sports Authority?s Bankruptcy Is Still Hurting the Industry in 2017 Footwear News



Result? Layoffs at Under Armour and Nike.

Under Armour is cutting about 280 jobs - Aug. 1, 2017




https://www.wsj.com/articles/nike-to...ump-1497534435
Sales don’t mean anything if ToyRUs isn’t paying the bills.


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Old 03-13-2018, 03:25 PM
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Liquidating....

https://www.cnbc.com/2018/03/13/toys...the-court.html

Toys R Us prepares to file liquidation plan with the court

Published 14 Mins Ago

Toys R Us, the iconic U.S. retailer, is in the process of drafting the court motion for its liquidation plan, a source familiar with the situation told CNBC on Tuesday.

The retailer could file as soon as the end of Wednesday, making the motion official. This step begins the wind down of the storied toy retailer, after more than half a century in business.

The retailer this week missed a payment to some of its vendors, two people familiar with the situation said.

The retailer has not been responsive to calls from its vendors, they added. Bloomberg first reported the missed payment.

Toys R Us declined to comment.

The retailer was battered by dismal holiday season, in which sales, traffic and profit all fell far short of what it had told lenders to expect. Poor holiday performance, as well as a group of lenders that have been pushing for liquidation, have challenged the retailer's ability to emerge from bankruptcy.

The retailer filed for bankruptcy protection in September with $4.9 billion in debt.
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Old 03-13-2018, 05:23 PM
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Old 03-14-2018, 08:42 AM
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Very sad...

I'll always remember when I cried in TRU until I got the toy I wanted. I always worked very hard when I was a kid.
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