It is not enough that we had to stress after chapter 11 over which stores would be closed, now we get to stress over if ALL off the stores will be closed. Before, we at least could hope we would not be among those affected.
I've read in a Wall Street Journal article that the announcement could be made as soon as Monday. This is not going to be a fun and relaxing weekend, that's for sure.
Good luck to all the employees who helped children dream of toys!
It’s going to be so sad if they liquidate
Yes leave toys now! Use your vacation time and personal now . You going to have to deal with cobra and that s---s. Been there done that. I was laid off from toys in 2003. With no notice at all. Good luck to you!
Get out of Toys'R'Us now.
Toys'R'Us has over $500 million in debt that caused it to file bankruptcy in the first place. When they did that, they borrowed $3.1 billion from various banks to continue to fund day to day operations (keep stores open, payroll, benefits, etc.). They have another $400 million in debt due in 2021. That's nearly $4 billion in debt as of right now, and they're on the verge of breaching covenant with the $3.1 billion they borrowed from the banks (ie: they can't pay it back and they've almost tapped that fund dry).
That's why liquidation is not only probable, but at this point guaranteed. The information didn't "leak", it was strategically thrown out by Toys'R'Us in hopes that it would entice a buyer of the debt to come out of the woodwork to save the chain. Unfortunately, no buyer has emerged and thus come Monday Toys'R'Us will announce liquidation of all assets, including the sell-off of Toys'R'Us Asia to it's other shareholders (the Chinese brothers whose names I forget will pry buy it outright).
There's a chance it may announce at 5pm EST today. Once liquidation starts, your stores will have up to 45 days to sell off everything, including fixtures, before the store closes. Your store manager will be given incentives to sell as much as possible.
As a former KB Toys Store Manager I was enticed to sell as much as I could at the lower discounts to meet a threshold. Doing so got me a bonus from Gordon Brothers (a liquidator) of a couple thousand dollars.
Once you hit the 30% storewide mark, you will have days, not weeks, left. All non-essential employees will be let go, and all shipments will stop immediately. District, Regional, and Home Office personnel will bet let go the day liquidation is announced and the liquidators will take full control of the company operations.
This is a sad time but this is the truth. My heart breaks for all of you.
I don't want to grow up, i'm a Toys R Us kid.
You should try and find a job that pays similar to your current salary that way you won't need to take a pay cut.
I'm spending the weekend applying for jobs. I stuck around way longer than I should have because I have such a great team working at my store and I made decent money as an ASM. Whatever I take will end up being a pay cut, but life goes on, I guess. Good luck to everyone out there in your job searches.