Suppliers suffering ripples from Toys R Us bankruptcy (The Washington Post)
Within hours of Toys R Us' bankruptcy filing last week, the maker of Max Tow Truck and Animal Babies Nursery sounded a financial alarm of its own. Toy supplier Jakks Pacific now expects to record a loss this year because of the retailer's bankruptcy.
Toys R Us owes $14.06 million to Jakks Pacific, which last year posted a profit of $1.2 million, making the California-based toy supplier one of more than 100,000 creditors hit by the chain's bankruptcy in the run-up to Christmas shopping season. In total, Toys R Us owes $7.5 billion to a group that includes virtually every major toy-maker in the country: Mattel (owed $136 million), Hasbro ($59 million), Spin Master ($33 million), Lego ($32 million), Radio Flyer ($12 million), Crayola ($2.6 million).