Toys "R" Us customers will start to find liquidation deals at their local stores sooner than later.
The company is closing down all of its U.S. stores over the next few months, and liquidation sales will begin at most of those stores on Thursday of this week (via USA Today). Toys "R" Us hopes to have those sales ending around June.
Going out of business sales have already started at around 144 locations, though those were among the first closures to be announced. If inventory runs out at certain locations, then those stores will close earlier than June.
So if you've been waiting to grab some deals on bigger items, this would be the time to pick them up.
Closures extend past just the retail side though, as the company's distribution centers will close before the stores do according to Alvarez & Marsal's Bill Kosturos, who is the vice chairman of one of the companies advising Toys "R" Us during the liquidation.The liquidation process is currently set to take about 14 weeks, but that is being contested in Bankruptcy Court by toy manufactuerers, who say that the timeline and plan are unfair.8comments
That included companies like Lego and Mattel, who have opposed Toys "R" Us liquidation plan for multiple reasons, one being how much product the company plans to pay for. At the moment Toys "R" Us is slated to pay for any toy shipments received after March 5, but the companies are also wanting $450 million for the products shipped to Toys "R" Us previously.
While most of this is sad news, there is still currently hope that around 200 stores will stay active thanks to a bid looking to combine them with the Canadian division, which will remain open. Time will tell if this happens, but in the meantime take advantage of the deals while they are around.