Christmas is not coming early for Toys 'R' Us this year, as the retailing giant announced on Monday that it has filed for chapter 11 bankruptcy protection.
While the company says it plans to operate its 1,600 Toys 'R' Us and Babies 'R' Us worldwide as usual during bankruptcy proceedings, the filing is among the largest ever by a specialty retailer.
"While today's decision does not necessarily mean it is game over for Toys 'R' Us, it brings to a close a turbulent chapter in the iconic company's history," says Neil Saunders, managing director of GlobalData Retail.
The company is reportedly saddled with $4.9 billion in debt stemming from when it was bought out in 2005.