Toys R Us got court approval for the next step in the process of closing down stores in the US. The company now can set up going-out-of-business sales at about 170 stores. And they start soon, the NorthJersey reports.
Sales could actually begin as early as today. Toys R Us plans to complete the sales in the selected stores by April 15, 2018.
Toys R Us currently has 880 stores in the United States, including the Babies R Us stores. Last month the retailer filed a motion to close up to 182 stores in the country. Since then it has revised the plans and lowered that number to about 170 with reviews still going.
While sales could start as early as today, that’s just the court approval. The actual sales will start a bit later on. Toys R Us and the companies involved will release details soon, so keep on the look out for them. The Toys R Us attorney also ads that stores could be added to the list in the future.
Pretty much all stores are undergoing revisions and negotiations for better deals from landlords and so on. Those that manage to lower costs could also be saved. Others that can’t or perform even worse, could be added to e closing list.
It’s not an easy time for Toys R Us for sure. The company has an over $5 billion in debt and said the 2017 holiday toy sales were bad. This is why analysts expect the number of closed stores to jump by a lot as the reorganization continues. Currently, Toys R Us is not commenting on such reports. Still, the company officials say they plan to emerge from the bankruptcy before this year’s holiday season. Basically, this leaves toys R us with about 9-10 months to get through the reorganization. It seems like quite the challenge for such a short amount of time.