Toys R Us is closing all 100 of its United Kingdom stores

Thursday, 15 Mar, 2018

The company had to divert hundreds of millions of dollars to servicing its debt that could have gone to improving its stores, which many consider have become drab. The company laid off 67 people at its headquarters Wednesday.

According to Bloomberg, it's still unclear whether employees will receive severance.

"It would be a tough market for those folks to go into with their specific skills", said Andy Challenger, a vice president at Challenger Grey.

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

-2007: Toys R Us buys well-known NY toy store FAO Schwarz.

According to the Wall Street Journal, Toys "R" Us Inc. plans to try and sell its operations in Canada, Central Europe and Asia.

But the changes ultimately proved futile in the face of the online retailing competition from the likes of Amazon, Walmart and Target.

Toys R Us is set to shut down all of its United Kingdom stores after failing to find a buyer, with the retailer now shutting down in the region indefinitely.

The company had already been working with liquidators Tiger Capital Group LLC, Great American Group LLC, Hilco Merchant Resources LLC and Gordon Brothers Retail Partners LLC on previously announced store closures, and the four are expected to continue with the additional closings, sources said.

The Toys "R" Us branch in Reading opened before Christmas in 2017, after moving from its original store in Kenavon Drive, where 765 homes are being built.

"It is with great regret that we have made the hard decision to make a number of positions redundant at the company's head office in Maidenhead and proceed with a controlled store closure program", he commented. Sales during the recent holiday period, which the company has yet to report, are believed to have been very bad.