Beijing time 7th Sep morning CNBC reports, the world's largest toy retailer Toys R Us (Toys R Us) has hired legal counsel to help its reorganization in 2018 due to the debt of approximately $400 million, including the possibility of filing for bankruptcy protection.
According to informed sources, toysrus has hired Kai Yi law firm (Kirkland & Ellis) the reorganization of lawyers, to help them cope with the debt problem will expire. The company's total debt is close to $5 billion, of which about $400 million will expire next year.
Affected by the electricity supplier, more than 12 retailers have filed for bankruptcy protection this year, including Gymboree, a children's clothing retailer, and Rue21, a youth clothing retailer. In addition to the electricity supplier, toysrus faces such as WAL-MART and Target discount retailer competition.
The company reported in June this year, the first quarter net loss of $164 million, with the same store sales fell by 4.1%. As of April 29th, the company's balance sheet was only about $300 million in cash.
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