Toys ‘R’ Us Inc. is planning to close about 180 U.S. stores as part of a reorganization plan to emerge from its September bankruptcy, Bloomberg News reported. The move to shutter about 20 percent of its U.S. store base, which needs court approval, comes four months after the world’s largest toy chain filed for protection from its creditors, a response to years of lackluster results and an unsustainable $5 billion debt load. The closures will begin next month, with Babies ‘R’ Us locations accounting for at least half. Toys ‘R’ Us had a challenging Christmas shopping season in the U.S. and overseas, Chief Executive Officer Dave Brandon wrote in a letter to employees that was obtained by Bloomberg News. While the bankruptcy hurt customer confidence and disrupted other parts of the business, the company has made operational mistakes that need to be fixed, he said.
