Toys R Us is filing for bankruptcy. The Chapter 11 protection will allow the company to deal with nearly $5 billion in debt.
Toys "R" Us, the largest U.S. toy store chain, filed for bankruptcy protection on Monday, the latest sign of turmoil in the retail industry caught in a vise-like grip of online shopping and discount chains.
The Chapter 11 filing is among the largest ever by a specialty retailer and casts doubt over the future of the company's approximately 1,600 stores and 64,000 employees.
It comes just as Toys "R" Us is gearing up for the holiday shopping season, which accounts for the bulk of its sales.