The American toy retailer that employs thousands of workers around the globe filed a request for bankruptcy protection due to enormous debts it has run into since the rise of online shopping.







The international chain has 1,600 stores worldwide

The international chain has 1,600 stores worldwide Photo Credit: Reuters/Channel 2 News

The world’s biggest toy retailer Toys R Us filed for bankruptcy and protection from creditors due to immense debt. The company has run up debts as high as $5 billion, of which it must pay off $400 million this year. The retailer filed the request in Virginia and joined other companies that experienced a major sales drop resulting from the rise of online shopping.

The request will provide the company with a funding of $3 billion that will enable it to pay off its debts to its existing creditors. Toys R Us employs no less than 64,000employees and has 1,600 branches worldwide. The company has not registered profits since 2013 and reported a loss of $164 million at the end of the first 2017 quarter in April.