Australia's Toys R Us Stores To Close
700 people will be out of work.
Toys R Us stores around Australia will be shut down, putting 700 people out of work, after administrators failed to find a buyer for the failed business.
The chain of 44 toys and baby goods stores has been trading since entering voluntary administration in May but on Wednesday administrators McGrathNicol said all potential buyers had pulled out and the business will be wound down.
Retail stores, the head office and Sydney-based distribution centre will close in coming weeks and the online ordering system will be closed on June 22.
McGrathNicol said stock will be liquidated through the store network.
The administrators said 700 employees would be affected, but "all accrued employee entitlements will rank as priority claims... and are expected to be paid by the administrators in full".
Gift cards will only be honoured by stores until July 5, and only if customers spend an equivalent additional amount in-store -- for instance, administrators said, a $100 gift card can only be redeemed if an additional $100 is spent.
Lay-bys will be honoured until July 5.
More to come.