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Toys R Us Financial Problems

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Bah, they made their own rope to hang themselves with.

I agree with you on that, I think they do so many exclusives is to pull people in, proplom is they charge to much for them, I'd buy all the reissus from them if the cost was $10.00 per figuer, but insted they slap a $30.00 price tag on them and don't mark them down till their in troble, thats smart, do AFTER you'er in troble :tfmad

$10 for diecast, come on dude....I hope that was just a random number. :redface

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For sure my TRU won't shut down. It has won several awards. And since it is close to the border they sell a lot. Just like the Kmart here.

Now that they're going to mark things down, I do wish that the Toys R Us in my area actually carried 20th Prime.

I remember the frenzy when Ames shut down, right at the holiday season too. I just hope TRU goes out with some honor.

Bah, they made their own rope to hang themselves with.

I agree with you on that, I think they do so many exclusives is to pull people in, proplom is they charge to much for them, I'd buy all the reissus from them if the cost was $10.00 per figuer, but insted they slap a $30.00 price tag on them and don't mark them down till their in troble, thats smart, do AFTER you'er in troble :tfmad

$10 for diecast, come on dude....I hope that was just a random number. :redface

not really, I just fill $30 for a toy that only cost $10 back inthe day is stuped, throw safty changes and the fact thatI can get a Takara one for the same or less (plus the price drops for Vintage verisons) it dosn't work

Bah, they made their own rope to hang themselves with.

I agree with you on that, I think they do so many exclusives is to pull people in, proplom is they charge to much for them, I'd buy all the reissus from them if the cost was $10.00 per figuer, but insted they slap a $30.00 price tag on them and don't mark them down till their in troble, thats smart, do AFTER you'er in troble :tfmad

$10 for diecast, come on dude....I hope that was just a random number. :redface

not really, I just fill $30 for a toy that only cost $10 back inthe day is stuped, throw safty changes and the fact thatI can get a Takara one for the same or less (plus the price drops for Vintage verisons) it dosn't work

While I agree that they are marked up due to the "collector value", I still think $10 is a bit too low a price. You have to take into account the inflation rate since 1984. I'd say that the reissues should be about $20-$25 dollars each. Gotta take into account inflation. Yes, it sucks.

Bah, they made their own rope to hang themselves with.

I agree with you on that, I think they do so many exclusives is to pull people in, proplom is they charge to much for them, I'd buy all the reissus from them if the cost was $10.00 per figuer, but insted they slap a $30.00 price tag on them and don't mark them down till their in troble, thats smart, do AFTER you'er in troble :tfmad

$10 for diecast, come on dude....I hope that was just a random number. :redface

not really, I just fill $30 for a toy that only cost $10 back inthe day is stuped, throw safty changes and the fact thatI can get a Takara one for the same or less (plus the price drops for Vintage verisons) it dosn't work

While I agree that they are marked up due to the "collector value", I still think $10 is a bit too low a price. You have to take into account the inflation rate since 1984. I'd say that the reissues should be about $20-$25 dollars each. Gotta take into account inflation. Yes, it sucks.

There ya go, you have to look at inflation....not to mention you also have to look at how much the contract with Hasbro to have the G1 figures exclusive to ToysRus is costing them. So they are not that overpriced when you take those two factors into consideration.

this news explains a lot as far as my local tru is concerned. half of it is clearance half of it is overpriced. no new energon figs haven't appeared there in a couple of months while that section has been slowly becoming empty. not to mention they actually just put MORE armada primes out! (they have over a dozen of those now) not to mention over 60 unicrons still at regular price.

 

then they have big sections of marked down crap that nobody even looks at. the big zoids that used to sell for $30-$40 are marked down to around $10 and STILL nobodys buying them.

 

one of the biggest reasons they are suffering is because they are still packed full of crap that other stores got rid of loooooooong ago. by the time they finally do mark that stuff down it doesn't matter because at that point they'd have a hard time giving that stuff away, like the insane amount of the hulk movie crap they still have.

 

outside of getting their exlusives and rarely finding a figure there i wasn't able to find anywhere else, theres no other reason i'd ever shop there.

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one of the biggest reasons they are suffering is because they are still packed full of crap that other stores got rid of loooooooong ago. by the time they finally do mark that stuff down it doesn't matter because at that point they'd have a hard time giving that stuff away, like the insane amount of the hulk movie crap they still have.

Yup, that's true. A number of TRU around here have stacks of Armada Unicrons, which they're still trying to sell fo $50 when Target has them as low as $13. That's pretty bad that KayBee dropped the prices long before TRU, and looked what happened to them.

This was hanging in our breakroom. No doubt our MOD got sick and tired of being asked about the issue. No scanner available at the moment...enjoy anyway.

 

Part 1

 

TO: "R" Us Store Associates

 

FROM: John Eyler

Chairman and CEO, Toys "R" US, Inc.

 

Subject: Media Coverage of the August 11 Company Annoucement

 

As you know, on August 11 we announced our intent to separate Babies "R" Us and Toys "R" Us.

 

This announcement drew a lot of attention from the news media as they began speculating about specific outcomes of our ongoing strategic review and what will happen next. I'm sure these are your concerns as well.

 

First, let me remind you that our company will not seperate untill sometime next spring. Untill then, we continue to be a large, successful and profitable Fortune 500 company. Even afterwards, our global toy business will still be a profitable $9-billion toy business. We believe both the Toy and Babies businesses have an excellent business models and that both will be successful in the future.

 

I'd also like to address two issues raised by the media. The first is the talk about the possible sale of the toy business. Our Board of Directors is obligated to look at all possibilities that provide value to our shareholders. Therefore, in our press release, the possibility of sale was listed as one alternative. The media chose to focus on that line, which was simply a statement by our Board that they're obligated to review all options.

 

As a reminder, in April of 2003, share of our company were selling for $8, and no one bought us then. Now our shares are $15. So you can draw your own conclusions about the probability of a sale.

 

The second issue is store closings. The company very clearly stated in its press release that, since the majority of our cash is generated in the latter part of the year, it is not appropriate to make a decision at this time to close any of our stores between now and the conclusion of the 2004 holiday season. Remember, closing and relocating stores is a normal part of any retail business, and we should all try to realize that these activites that help our business remain profitable. However - we need to remind our guest that we are not closing stores.

 

End Part 1

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