Toys R Us built a kingdom and the world’s biggest toy store. Then, they lost it.

Toys R Us’ status as the most important toy store in town left it cavalier, if cocky at times, according to conversations with former employees, executives and industry insiders, who spoke to CNBC on the condition of anonymity. The story begins with Lazarus, the store’s visionary who wanted the “R” written backward — an ode to childlike scrawl. Lazarus, who has been described as one of the great merchants of his time, expanded a baby furniture store he owned into a toy store. In its heyday in th


Toys R Us’ status as the most important toy store in town left it cavalier, if cocky at times, according to conversations with former employees, executives and industry insiders, who spoke to CNBC on the condition of anonymity. The story begins with Lazarus, the store’s visionary who wanted the “R” written backward — an ode to childlike scrawl. Lazarus, who has been described as one of the great merchants of his time, expanded a baby furniture store he owned into a toy store. In its heyday in th
Toys R Us built a kingdom and the world’s biggest toy store. Then, they lost it. Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-01-26  Authors: lauren hirsch, eduardo munoz, jacques m chenet, corbis, getty images, scott mlyn, peter foley, bloomberg, jason alden
Keywords: news, cnbc, companies, written, toy, biggest, toys, worlds, built, went, store, lost, stores, lazarus, world, week, kingdom, important


Toys R Us built a kingdom and the world's biggest toy store. Then, they lost it.

The toy emporium that Charles P. Lazarus envisioned has been reduced to dusty floors and empty shelves.

Much has been said about the demise of the toy empire, which this week announced its plan to liquidate. There have been fingers pointed at corporate raiders, Amazon and big-box stores. All contributed to its undoing.

Ultimately, though, Toys R Us’ collapse is a story of loyalty run dry. The store in its early days fostered devotion from customers and toymakers. In the end, it lost hold on both.

Toys R Us’ status as the most important toy store in town left it cavalier, if cocky at times, according to conversations with former employees, executives and industry insiders, who spoke to CNBC on the condition of anonymity. It didn’t invest in its stores, even as it was adding to the fleet, leaving it vulnerable when new competition moved in.

The story begins with Lazarus, the store’s visionary who wanted the “R” written backward — an ode to childlike scrawl. Lazarus, who has been described as one of the great merchants of his time, expanded a baby furniture store he owned into a toy store. By 1978, he had created a toy superstore large enough to become a public company.

In its heyday in the 1980s and 1990s, it was the most important toy store in the country, if not the world. Its strength grew as competitors Kiddie City and Child World went out of business.


Company: cnbc, Activity: cnbc, Date: 2019-01-26  Authors: lauren hirsch, eduardo munoz, jacques m chenet, corbis, getty images, scott mlyn, peter foley, bloomberg, jason alden
Keywords: news, cnbc, companies, written, toy, biggest, toys, worlds, built, went, store, lost, stores, lazarus, world, week, kingdom, important


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‘Nightmare’ conditions at Chinese factories where Hasbro and Disney toys are made

Chinese factory workers producing toys for Hasbro, Disney, and Mattel and are being subjected to “nightmare” working conditions in the run-up to Christmas, an investigation has alleged. The report, titled “A Nightmare for Workers,” shows findings from campaign groups China Labor Watch, ActionAid, CiR, and Solidar Suisse, who sent undercover investigators to four factories that produced toys sold at Walmart, Costco, Target and other international retailers. Four factories were investigated betwee


Chinese factory workers producing toys for Hasbro, Disney, and Mattel and are being subjected to “nightmare” working conditions in the run-up to Christmas, an investigation has alleged. The report, titled “A Nightmare for Workers,” shows findings from campaign groups China Labor Watch, ActionAid, CiR, and Solidar Suisse, who sent undercover investigators to four factories that produced toys sold at Walmart, Costco, Target and other international retailers. Four factories were investigated betwee
‘Nightmare’ conditions at Chinese factories where Hasbro and Disney toys are made Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-12-07  Authors: chloe taylor, solidar suisse
Keywords: news, cnbc, companies, workers, undercover, nightmare, watch, target, factories, titled, hasbro, chinese, working, disney, walmart, toys, conditions


'Nightmare' conditions at Chinese factories where Hasbro and Disney toys are made

Chinese factory workers producing toys for Hasbro, Disney, and Mattel and are being subjected to “nightmare” working conditions in the run-up to Christmas, an investigation has alleged.

The report, titled “A Nightmare for Workers,” shows findings from campaign groups China Labor Watch, ActionAid, CiR, and Solidar Suisse, who sent undercover investigators to four factories that produced toys sold at Walmart, Costco, Target and other international retailers.

Four factories were investigated between April and September this year.


Company: cnbc, Activity: cnbc, Date: 2018-12-07  Authors: chloe taylor, solidar suisse
Keywords: news, cnbc, companies, workers, undercover, nightmare, watch, target, factories, titled, hasbro, chinese, working, disney, walmart, toys, conditions


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Ryan Toysreview: YouTube’s highest-earning star is seven years old

YouTube’s highest-earning star made $22 million in 12 months – and is only seven years old. According to a Forbes estimate published Monday, Ryan — the child star behind YouTube channel Ryan ToysReview — earned $22 million in the year to June 2018, and is one of the platform’s top “influencers” with 17.3 million followers. Ryan’s following has built up since the 2015 launch of his channel, which showcases videos of himself reviewing toys. He also has his own line of toys in Walmart and Target, F


YouTube’s highest-earning star made $22 million in 12 months – and is only seven years old. According to a Forbes estimate published Monday, Ryan — the child star behind YouTube channel Ryan ToysReview — earned $22 million in the year to June 2018, and is one of the platform’s top “influencers” with 17.3 million followers. Ryan’s following has built up since the 2015 launch of his channel, which showcases videos of himself reviewing toys. He also has his own line of toys in Walmart and Target, F
Ryan Toysreview: YouTube’s highest-earning star is seven years old Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-12-04  Authors: chloe taylor, eric piermont, afp, getty images
Keywords: news, cnbc, companies, watching, seven, star, ryan, forbes, old, channel, toysreview, toys, 22, youtube, highestearning, million, youtubes


Ryan Toysreview: YouTube's highest-earning star is seven years old

YouTube’s highest-earning star made $22 million in 12 months – and is only seven years old.

According to a Forbes estimate published Monday, Ryan — the child star behind YouTube channel Ryan ToysReview — earned $22 million in the year to June 2018, and is one of the platform’s top “influencers” with 17.3 million followers.

Ryan’s following has built up since the 2015 launch of his channel, which showcases videos of himself reviewing toys. He also has his own line of toys in Walmart and Target, Forbes reported.

In an interview with NBC News last month, Ryan said other children liked watching his channel because he was “entertaining and funny.”


Company: cnbc, Activity: cnbc, Date: 2018-12-04  Authors: chloe taylor, eric piermont, afp, getty images
Keywords: news, cnbc, companies, watching, seven, star, ryan, forbes, old, channel, toysreview, toys, 22, youtube, highestearning, million, youtubes


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The stock market’s woes could weigh on the holiday shopping season

From turkey to the malls, more than 164 million Americans figured to hit the stores between Thanksgiving and Cyber Monday according to the National Retail Federation. But how will the retailers fare the rest of the holiday season? “I don’t think the consumer could be healthier,” retail consultant Jan Kniffen told CNBC’s “On the Money” in an interview. Kniffen said there have been studies done that show “the correlation between retail sales in the holiday season and the S&P 500 are pretty high.”


From turkey to the malls, more than 164 million Americans figured to hit the stores between Thanksgiving and Cyber Monday according to the National Retail Federation. But how will the retailers fare the rest of the holiday season? “I don’t think the consumer could be healthier,” retail consultant Jan Kniffen told CNBC’s “On the Money” in an interview. Kniffen said there have been studies done that show “the correlation between retail sales in the holiday season and the S&P 500 are pretty high.”
The stock market’s woes could weigh on the holiday shopping season Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-24  Authors: erin barry
Keywords: news, cnbc, companies, stores, holiday, season, weigh, retail, woes, stock, kniffen, markets, store, retailers, toys, national, things, shopping, sp


The stock market's woes could weigh on the holiday shopping season

From turkey to the malls, more than 164 million Americans figured to hit the stores between Thanksgiving and Cyber Monday according to the National Retail Federation. But how will the retailers fare the rest of the holiday season?

“I don’t think the consumer could be healthier,” retail consultant Jan Kniffen told CNBC’s “On the Money” in an interview. “Rising wages, they’re all working, unemployment at a 50-year low, the consumer’s got no problems unless the S&P 500 is a problem.”

In the past two months, stocks have taken a beating with the S&P 500 down around 10 percent. Kniffen said there have been studies done that show “the correlation between retail sales in the holiday season and the S&P 500 are pretty high.” But he’s hoping this year will be different because everything else, including low energy costs and credit scores, is going right.

For the first time ever, the average national FICO score reached 704. Kniffen predicts brick and mortar retailers will see 5.5 percent growth in holiday sales over last year.

The consultant said retailers including Kohl’s, Macy’s, Nordstrom’s and Walmart are putting in place strategies to give consumers what they want, when they want it — such as curbside pickup, returning online orders in stores and buying online with in store pickup.

But all of this costs money.

“Getting the customer into the store is more expensive than it used to be,” Kniffen said. “And those things are showing up in their numbers.”

But he says, “Overall this is about as good as we’ve seen these retailers perform since the internet was invented.”

As for toy stores, this is the first holiday season without a national toy brand since Toys R Us declared bankruptcy at the end of last year and closed all of its stores this year.

“Unfortunately the only time you can make money in toys is the fourth quarter and Walmart and Target won’t let you, and now Amazon won’t let you. [Toys R Us] was overleveraged, but they were going to struggle either way,” Kniffen said.

But it’s not all bad news — FAO Schwarz recently opened a new store at Rockefeller Center in New York City with plans to open a few more stores in the future. Kniffen said FAO Schwarz can be successful because it can build a handful of stores and is making the time in the store fun with experiences such as Build a Bear Workshop and a baby doll adoption center.

“They’ve got all these things you can be engaged in if you’re the kid,” Kniffen said. “That’s the kind of things you have to do to stay relevant in retail.”

On the Money airs on CNBC Saturday at 5:30 am ET, or check listings for air times in local markets.


Company: cnbc, Activity: cnbc, Date: 2018-11-24  Authors: erin barry
Keywords: news, cnbc, companies, stores, holiday, season, weigh, retail, woes, stock, kniffen, markets, store, retailers, toys, national, things, shopping, sp


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Target is winning out in post-Toys R Us toy sales, says former Walmart CEO

The well-known toy retailer, which shuttered its U.S. stores in June, accounted for 15 to 20 percent of the country’s total toy sales in 2017, based on estimates from Jefferies. Some retail experts worried that its liquidation would leave a sizable gap in toy sales this holiday season because less-specialized retailers weren’t as committed to the category. Still, experts agreed that big-box operators such as Target, Walmart and Costco, not to mention e-commerce giant Amazon, are the biggest winn


The well-known toy retailer, which shuttered its U.S. stores in June, accounted for 15 to 20 percent of the country’s total toy sales in 2017, based on estimates from Jefferies. Some retail experts worried that its liquidation would leave a sizable gap in toy sales this holiday season because less-specialized retailers weren’t as committed to the category. Still, experts agreed that big-box operators such as Target, Walmart and Costco, not to mention e-commerce giant Amazon, are the biggest winn
Target is winning out in post-Toys R Us toy sales, says former Walmart CEO Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-23  Authors: elizabeth gurdus
Keywords: news, cnbc, companies, target, toy, walmart, posttoys, stores, ceo, retailers, toys, winning, squawk, sales


Target is winning out in post-Toys R Us toy sales, says former Walmart CEO

Fmr. Walmart US CEO: ‘More anxiety than there needs to be’ for retailers on China trade 5 Hours Ago | 08:07

Big-box retailers such as Target and Walmart are capitalizing on the demise of Toys R Us this holiday season, and it’s paying off, according to industry leaders.

The well-known toy retailer, which shuttered its U.S. stores in June, accounted for 15 to 20 percent of the country’s total toy sales in 2017, based on estimates from Jefferies. Some retail experts worried that its liquidation would leave a sizable gap in toy sales this holiday season because less-specialized retailers weren’t as committed to the category.

But early data and anecdotal evidence suggest that’s not how early holiday sales are playing out at national chains.

Bill Simon, the former CEO of Walmart, told CNBC’s “Squawk on the Street” that it was “exciting” to watch the “battle for the toy business” as Thanksgiving Day sales and early Black Friday promotions got underway Thursday evening.

“I thought Target was a winner last night in the toy area,” he said on Friday. “I think the demand for toys continues. I think that there’ll be a lot of people that get engaged and in fact saw toys in a lot of the retail Black Friday events in places that you wouldn’t have guessed.”

Department stores, grocery chains and drugstores have reportedly allocated room for toys on their shelves in the wake of the bankruptcy. Best Buy, an electronics retailer, has begun selling Mattel’s Barbie dolls.

Even athletic stores such as Academy Sports + Outdoors, a discount sporting goods chain owned by KKR & Co., Simon’s current employer, stocked toys on their shelves, the former Walmart chief said.

Still, experts agreed that big-box operators such as Target, Walmart and Costco, not to mention e-commerce giant Amazon, are the biggest winners of the Toys R Us fallout.

It will undoubtedly “help the Targets and Walmarts of the world,” Women’s Wear Daily editor James Fallon said on “Squawk Box,” adding that the recent reopening of famed toy seller FAO Schwarz underscored the still-powerful demand for toys.

Allen Questrom, former CEO of J.C. Penney, told “Squawk Box” that store closures around the country have been a “big, big plus” for larger retailers, not just in the shifting toy space but also in apparel, where closings of smaller department stores such as Bon-Ton are giving operators such as Macy’s — which has also been reducing its store count — a boost.

But while store closures have compressed the square footage at retail’s upper ranks, they haven’t necessarily weighed on major public operators’ profitability, Ron Johnson, the founder and CEO of Enjoy, said Friday.

“This is the first time in nearly two decades that the physical stores have the upper hand as we head into the holidays,” Johnson told “Squawk on the Street.” “You see that at Target. … They’ve turned the stores from what people thought was an anchor into the engine of their omni-channel strategy.”

Retail, the fellow J.C. Penney veteran added, is “a really good business for the survivors.”

Even so, the CEO of MGA Entertainment — the company behind L.O.L. Surprise, one of the year’s hottest toys — harbored concerns that no single retailer, or even a combination, could come close to fully replacing Toys R Us.

“I’m afraid that nobody’s going to fill the whole void, and the only reason for that is Toys R Us only sold toys,” Isaac Larian explained on “Closing Bell.” “In December, they had all the hot toys, but when you go to January, most retailers are going to cut back on their inventory, so there’s going to be [a] shortage of merchandise, especially hot toys, come this Christmas.”

Shares of Walmart rose nearly 1.5 percent in intraday trading on Friday as consumers took advantage of online and in-store Black Friday sales. Target’s stock, still under pressure from the company’s muted third-quarter earnings report, shed more than 2 percent intraday. Costco shares rose 1 percent.

October court filings revealed that Toys R Us’ top lenders have cancelled the bankruptcy auction in the hopes of reviving the brand and maintaining the brand’s global license agreements. Toys R Us filed for Chapter 11 bankruptcy protection in September 2017.


Company: cnbc, Activity: cnbc, Date: 2018-11-23  Authors: elizabeth gurdus
Keywords: news, cnbc, companies, target, toy, walmart, posttoys, stores, ceo, retailers, toys, winning, squawk, sales


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Connected toys privacy risks

The Mozilla Foundation’s Privacy not Included list for 2018 gives a great rundown of the privacy pros and cons of several popular connected toys this year. But even toys that meet the foundation’s minimum safety standards carry risks. To understand the risks to any connected devices, it’s important to understand the Internet of Things — a term for all of the devices we own that connect to the internet, but that aren’t computers, smartphones or tablets. That includes devices like smart watches,


The Mozilla Foundation’s Privacy not Included list for 2018 gives a great rundown of the privacy pros and cons of several popular connected toys this year. But even toys that meet the foundation’s minimum safety standards carry risks. To understand the risks to any connected devices, it’s important to understand the Internet of Things — a term for all of the devices we own that connect to the internet, but that aren’t computers, smartphones or tablets. That includes devices like smart watches,
Connected toys privacy risks Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-23  Authors: kate fazzini, magdalena petrova
Keywords: news, cnbc, companies, toys, value, internet, connected, devices, privacy, understand, used, kids, valuable, security, risks


Connected toys privacy risks

The Mozilla Foundation’s Privacy not Included list for 2018 gives a great rundown of the privacy pros and cons of several popular connected toys this year.

But even toys that meet the foundation’s minimum safety standards carry risks.

To understand the risks to any connected devices, it’s important to understand the Internet of Things — a term for all of the devices we own that connect to the internet, but that aren’t computers, smartphones or tablets. That includes devices like smart watches, Amazon Alexa microwaves, baby monitors and security systems — and many connected toys for children.

IoT devices are, as a rule, inherently insecure. They often come with default passwords, or no password at all, which means even a novice hacker can connect to one of these devices. Many of them rely on firmware instead of software, so updating these items to get rid of security bugs is problematic. Sometimes it’s impossible.

Finding many of these insecure IoT devices can be relatively simple, using publicly available search engines like the Shodan network, which can be used to pinpoint IoT devices running around the globe. The search engine is often used by cyber pros doing vulnerability analyses, or companies that can identify vulnerable devices. But it can also be used by criminals looking for wide-open webcams or other equipment.

If you want to be as safe as possible, treat your family like a company. Do a personal risk assessment, by considering the risks of whatever device or app versus the value to your child. Once you have an idea, you can use that formula to decide whether or not a product is valuable enough for the trade-off.

For instance, coding is rapidly becoming one of the most valuable skills for kids, so I place a high value on what a good coding toy can offer to my kids and am less stringent on what data it might be collecting.

By contrast, my kids also love puzzles — but it’s not worth the trade-off for the location and information tracking associated with many puzzle apps. They still make puzzles that come in boxes, and I can live with picking all the pieces up off the floor.

Lastly, you can enable passwords and change settings to disable microphones or videocameras on any device your children use that connects to the internet. In a pinch, you can always use Mark Zuckerberg’s favorite method and stick piece of tape over any camera.


Company: cnbc, Activity: cnbc, Date: 2018-11-23  Authors: kate fazzini, magdalena petrova
Keywords: news, cnbc, companies, toys, value, internet, connected, devices, privacy, understand, used, kids, valuable, security, risks


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Parents should shop for toys early this holiday season

Parents hoping to nab the hottest toys this holiday better hit the shops early, or risk missing out on getting the top electronics, dolls and games on their kids’ wish lists. The first holiday season without Toys R Us is going to look very different for parents. Toys R Us had accounted for about 15 to 20 percent of all U.S. toy sales last year. Toys R Us could stock toys without the fear of having to discount them in the new year. Parents on the hunt for some of the hottest toys this year — like


Parents hoping to nab the hottest toys this holiday better hit the shops early, or risk missing out on getting the top electronics, dolls and games on their kids’ wish lists. The first holiday season without Toys R Us is going to look very different for parents. Toys R Us had accounted for about 15 to 20 percent of all U.S. toy sales last year. Toys R Us could stock toys without the fear of having to discount them in the new year. Parents on the hunt for some of the hottest toys this year — like
Parents should shop for toys early this holiday season Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-21  Authors: sarah whitten, target ramps up toy department in time for the hol, source, lol surprise
Keywords: news, cnbc, companies, retailers, holiday, space, toys, shop, stores, inventory, early, toy, season, hottest, stock, parents, target


Parents should shop for toys early this holiday season

Parents hoping to nab the hottest toys this holiday better hit the shops early, or risk missing out on getting the top electronics, dolls and games on their kids’ wish lists.

The first holiday season without Toys R Us is going to look very different for parents. While department stores, grocery chains and even drug stores are picking up the slack this holiday season, they may not have stocked enough inventory to meet demand.

“Usually, it is normal to be out of stock on the hottest toys towards [Christmas], but this year could be worse than usual,” Steve Reece, CEO of toy consulting firm Kids Brand Insight, said in an email to CNBC. “Other retailers are less committed to the [toy] category.”

Toys R Us had accounted for about 15 to 20 percent of all U.S. toy sales last year.

While companies like Target and Walmart have expanded their toy sections for the holidays — Target reallocated 250,000 square feet of permanent retail space across 500 locations just for toys and Walmart expanded its assortment of toys by 30 percent at all of its locations — come January, much of that space will be replaced with seasonal items like Valentine’s Day gifts and candy.

The same can be said for retailers such as Kohl’s, J.C. Penney and Best Buy that have also cleared more shelf space for toys.

Toys R Us’ had massive 40,000-square-foot warehouses to stock toys year-round, while big box retailers sell so many different products that it’s risky for them to stockpile a lot of toy inventory just for the holidays, said Richard Gottlieb, CEO of Global Toy Experts.

These stores don’t want leftover products that they would have to heavily discount post-holidays, so they are more likely to have been conservative when placing orders for toys earlier in the year, he said. Toys R Us could stock toys without the fear of having to discount them in the new year.

Parents on the hunt for some of the hottest toys this year — like L.O.L. Surprise, FurReal Pets’ interactive Chewbacca and the Don’t Step In It board game — will have to move fast before they disappear off shelves early in December.

Target spokesman Lee Henderson said the company has been “proactive” in stocking up its toy inventory this year. He said that it’s a few weeks too early to determine which toys will be the most in demand, but that Target has made sure to stock up on toys on its top toy list and of last year’s favorites.


Company: cnbc, Activity: cnbc, Date: 2018-11-21  Authors: sarah whitten, target ramps up toy department in time for the hol, source, lol surprise
Keywords: news, cnbc, companies, retailers, holiday, space, toys, shop, stores, inventory, early, toy, season, hottest, stock, parents, target


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Target shares tumble 9% as earnings miss mark, weighed down by higher costs

Sales at Target stores open for at least 12 months were up 5.1 percent, slightly short of expectations for growth of 5.2 percent. The company said digital sales rose 49 percent during the third quarter and contributed 1.9 percentage points to same-store sales growth. Target said its strongest sales gains during the quarter came from the toys, baby and beauty categories. But first, Target has to prove it can keep the momentum going through this holiday season. This holiday season, for example, Ta


Sales at Target stores open for at least 12 months were up 5.1 percent, slightly short of expectations for growth of 5.2 percent. The company said digital sales rose 49 percent during the third quarter and contributed 1.9 percentage points to same-store sales growth. Target said its strongest sales gains during the quarter came from the toys, baby and beauty categories. But first, Target has to prove it can keep the momentum going through this holiday season. This holiday season, for example, Ta
Target shares tumble 9% as earnings miss mark, weighed down by higher costs Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-20  Authors: lauren thomas
Keywords: news, cnbc, companies, costs, weighed, higher, quarter, shares, tumble, earnings, sales, season, toys, market, growth, miss, stores, mark, holiday, target


Target shares tumble 9% as earnings miss mark, weighed down by higher costs

Sales at Target stores open for at least 12 months were up 5.1 percent, slightly short of expectations for growth of 5.2 percent. The company said digital sales rose 49 percent during the third quarter and contributed 1.9 percentage points to same-store sales growth. It said the number of transactions at its stores jumped 5.3 percent, while the average shopper’s ticket dropped 0.2 percent.

Target said its strongest sales gains during the quarter came from the toys, baby and beauty categories. Toy sales were up more than 20 percent from a year ago. The company has devoted more space in some stores to sell toys following the demise of Toys R Us.

But investors were still concerned about higher expenses eating into profits, despite the sales gains.

Target’s third-quarter gross margin rate fell to 28.7 percent from 29.6 percent a year ago, with the company attributing the decline to higher supply chain costs as it fulfills more online orders ahead of the holiday season. It also said it ordered more holiday-related inventory ahead of the fourth quarter, earlier than when it did last year. Target ended the quarter with inventories up nearly 18 percent.

CFO Cathy Smith said during a call with analysts that margins will continue to be pressured during the fourth quarter, though not to the extent they were during the third quarter.

“While digital channel sales continue to grow rapidly, we are benefiting from the healthy traffic and sales growth in our stores as well,” Cornell told analysts on a separate call Tuesday. “I will say that we are optimistic about our ability to deliver profitable growth next year and beyond.”

But first, Target has to prove it can keep the momentum going through this holiday season. The retailer said it expects its adjusted earnings per share for the fiscal year to fall within a range of $5.30 to $5.50. For the holiday quarter, it’s anticipating same-store sales will be up roughly 5 percent.

The retailer has been pouring money into store renovations, while opening up smaller-format locations in urban cities and college towns. It continues to add more in-house brands for apparel and home goods, which offer higher margins than national labels. And it’s investing in logistics to be more competitive with Walmart and Amazon. This holiday season, for example, Target is dropping its minimum purchase threshold for free, two-day shipping, while Walmart still has a $35 threshold.

Target also said Tuesday it has met its hiring goals for the holidays to bring on 120,000 seasonal workers. There’s been some concern, more broadly, that retailers won’t be able to meet these lofty hiring goals with such a tight labor market in the U.S.

As of Monday’s market close, Target shares have rallied more than 35 percent over the past 12 months, bringing its market cap to roughly $41.1 billion.

WATCH: Target is getting back to its ‘cheap chic’ roots


Company: cnbc, Activity: cnbc, Date: 2018-11-20  Authors: lauren thomas
Keywords: news, cnbc, companies, costs, weighed, higher, quarter, shares, tumble, earnings, sales, season, toys, market, growth, miss, stores, mark, holiday, target


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Bain and KKR establish a severance fund for Toys R Us workers

KKR and Bain Capital, the private equity firms that owned Toys R Us before the company declared bankruptcy earlier this year, said Tuesday that they have each pledged $10 million to create the TRU Financial Assistance Fund, which aims to distribute severance funds to former employees. In a joint statement, KKR and Bain said the fund is being established in response to “an extraordinary set of circumstances” for both of the firms. The ex-employees will have to have worked at Toys R Us for at leas


KKR and Bain Capital, the private equity firms that owned Toys R Us before the company declared bankruptcy earlier this year, said Tuesday that they have each pledged $10 million to create the TRU Financial Assistance Fund, which aims to distribute severance funds to former employees. In a joint statement, KKR and Bain said the fund is being established in response to “an extraordinary set of circumstances” for both of the firms. The ex-employees will have to have worked at Toys R Us for at leas
Bain and KKR establish a severance fund for Toys R Us workers Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-20  Authors: isabel soisson, andrew harrer, bloomberg, getty images
Keywords: news, cnbc, companies, statement, employees, companys, firms, payments, workers, severance, toys, fund, establish, bain, kkr, provide


Bain and KKR establish a severance fund for Toys R Us workers

KKR and Bain Capital, the private equity firms that owned Toys R Us before the company declared bankruptcy earlier this year, said Tuesday that they have each pledged $10 million to create the TRU Financial Assistance Fund, which aims to distribute severance funds to former employees.

The move is unusual for the firms, as they are not required under bankruptcy law to do such a thing.

In a joint statement, KKR and Bain said the fund is being established in response to “an extraordinary set of circumstances” for both of the firms.

“The confluence of the disruption in retail, the push by the company’s secured creditors to liquidate the company’s U.S. operations, and the fact that we have never experienced something like this in the history of either firm led us to try and find a way to provide some financial relief for former employees,” the firms said in a statement.

In order to be eligible for the payments, those who were left jobless as a result of the company’s liquidation will have to meet certain criteria. The ex-employees will have to have worked at Toys R Us for at least a year, they can’t have more than $110,000 or less than $5,000 in annual income, and they must have met the termination and employment guidelines in the Toys R Us plan.

New Jersey Democratic U.S. Sens. Cory Booker and Bob Menendez, and U.S. Rep. Bill Pascrell Jr., D-N.J., whose district once included the company’s headquarters, issued a joint statement regarding Tuesday’s announcement of the creation of the fund.

“Fundamental to our values as Americans is the ideal that if you work hard and play by the rules, you should be able to get ahead,” the statement said. “For months, we have been raising concerns around the lack of support for impacted Toys ‘R’ Us employees and their families in an effort to provide some measure of fairness to the workers who built a great New Jersey company. Today marks a positive step toward fulfilling a moral obligation to thousands of former Toys ‘R’ Us workers.”

The two senators and congressman stood with Toys R Us workers in June outside the New Jersey-based retailer’s former headquarters in Wayne demanding fairness for the workers and their families affected by the company’s demise.

Shortly after Toys R Us announced it was going out of business, employees across the country banded together to protest for severance payments in Washington, D.C., and New York, and even lobbied in front of Congress and the firm’s investors. In September, the firms and the ex-employees agreed to the deal.

Now, ex-employees are focusing their attention on hedge funds Solus Alternative Asset Management and Angelo Gordon & Co. that were behind the decision to liquidate the company.

Kenneth Feinberg and Camille Biros have been appointed by Bain and KKR to be the independent administrators of the fund, according to a joint release from the firms. In the past, the two have assisted in distributing funds to various groups, including compensation to victims of the 9/11 attacks.

“We have designed a transparent, straight-forward, and simple process that should provide some financial relief to eligible former employees,” Biros said in a statement. “Next, we want to hear from those former employees affected by the unexpected liquidation.”

There will be a two-week period for all interested parties to comment on the terms and conditions of the plan. These comments will be evaluated by both Feinberg and Biros. After outlining the final terms and conditions, the claims process is expected to begin Dec. 15 and the aim is to complete payments by April 30, 2019.


Company: cnbc, Activity: cnbc, Date: 2018-11-20  Authors: isabel soisson, andrew harrer, bloomberg, getty images
Keywords: news, cnbc, companies, statement, employees, companys, firms, payments, workers, severance, toys, fund, establish, bain, kkr, provide


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FAO Schwarz makes its return to New York. Here’s what its new store looks like inside

Iconic toy retailer FAO Schwarz is making its return to New York City after shutting its famed flagship store on Fifth Avenue in 2015, when the brand was still owned by Toys R Us. FAO Schwarz, meanwhile, has already embarked on expanding around the globe. And, of course, FAO Schwarz brought back its iconic keyboard on the floor. FAO Schwarz will also be selling its own branded items inside other retailers including Kohl’s and Hudson’s Bay this holiday season. Back at 30 Rock, FAO Schwarz will of


Iconic toy retailer FAO Schwarz is making its return to New York City after shutting its famed flagship store on Fifth Avenue in 2015, when the brand was still owned by Toys R Us. FAO Schwarz, meanwhile, has already embarked on expanding around the globe. And, of course, FAO Schwarz brought back its iconic keyboard on the floor. FAO Schwarz will also be selling its own branded items inside other retailers including Kohl’s and Hudson’s Bay this holiday season. Back at 30 Rock, FAO Schwarz will of
FAO Schwarz makes its return to New York. Here’s what its new store looks like inside Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-11-16  Authors: lauren thomas, fao schwarz
Keywords: news, cnbc, companies, walls, store, experiential, heres, fao, inside, toys, threesixty, makes, toy, space, return, york, 30, looks, schwarz


FAO Schwarz makes its return to New York. Here's what its new store looks like inside

Iconic toy retailer FAO Schwarz is making its return to New York City after shutting its famed flagship store on Fifth Avenue in 2015, when the brand was still owned by Toys R Us.

Now under a new owner, FAO Schwarz will bring its plush stuffed animals and walk-on piano keyboard — featured in the 1988 movie “Big” with Tom Hanks — back to life, and just in time for the 2018 holiday season. The store opens Friday at 30 Rockefeller Plaza in Manhattan. FAO Schwarz, meanwhile, has already embarked on expanding around the globe.

The goal is to make the space “experiential” and one that can “deliver theater and can drive customers,” David Conn, CEO of FAO Schwarz’s parent company ThreeSixty Group, told CNBC last month.

Brands featured in the 20,000-square-foot 30 Rock store include two of those also owned by ThreeSixty — electronics from The Sharper Image and toys from Melissa & Doug. There are walls of Barbie dolls, a Build-A-Bear Workshop station, a racetrack for kids to play with cars, a space where a magician will teach tricks, a candy shop and so much more for visitors to do there, beyond shopping.

And, of course, FAO Schwarz brought back its iconic keyboard on the floor. (This time it’s also on the ceiling, in bright lights, to spark the curiosity of those walking by.) The massive clock tower is there too, along with a new centerpiece, a rocket ship.

Without Toys R Us now that it’s bankrupt, there is a huge share of the toy market left up for grabs, giving FAO Schwarz the chance to make a name for itself again. FAO Schwarz will also be selling its own branded items inside other retailers including Kohl’s and Hudson’s Bay this holiday season.

Back at 30 Rock, FAO Schwarz will offer everything from hot items like Hatchimals to the brands older generations of consumers grew up with, like Steiff teddy bears. Its goal is to be a store that customers remember and keep coming back to.

The experience is the key. It’s a strategy many retailers are employing to lure consumers out of their homes and into the stores — but it’s also part of FAO Schwarz’s heritage. The fun of going to the old store is a memory for many generations, but today’s shoppers may find many “Instagrammable” moments inside the walls of the new store

“We think this transcends even just toys,” Conn said. “We joke around … we were experiential before it was cool to be experiential.”


Company: cnbc, Activity: cnbc, Date: 2018-11-16  Authors: lauren thomas, fao schwarz
Keywords: news, cnbc, companies, walls, store, experiential, heres, fao, inside, toys, threesixty, makes, toy, space, return, york, 30, looks, schwarz


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