Buried within the docket of the ongoing Toys R Us bankruptcy case is some surprising news at entry #5058, shared by 2005 boards member Spiderus Prime:
the Debtors have determined, in consultation with the Consultation Parties, to cancel the Intellectual Property Auction and reorganize Debtor Geoffrey [as a] new, operating Toys “R” Us and Babies “R” Us branding company that maintains existing global license agreements and can invest in and create new, domestic, retail operating businesses under the Toys “R” Us and Babies “R” Us names, as well as expand its international presence and further develop its private brands business.
In a year that saw thousands of employees lose their jobs as a result of ceased operations in the states as well as the U.K. and Australia, this decision is sure to meet with mixed feelings. Additional details from various sources, including Fortune and the Wall Street Journal, indicate that such a change of course will still take many months to implement thereby missing the 2018 holiday shopping season. Another point to consider is where any future store inventory might be held, since:
Toys [R Us] has sold all of its stores and distribution centers, with some of the most valuable retail space going to a separate group of secured creditors. Other stores were either taken over by landlords or the leases sold to other retailers.
With Hasbro making retail decisions to avoid any further losses related to the bankruptcy, might Transformers ever return to TRU shelves someday? You can follow the case in real time on Prime Clerk here, then join to the discussion on the 2005 boards!