The once-popular store, Toys "R" Us, has done what a lot of other companies have done when they struggled with debts. At one time, the store was at the top of the list for parents to purchase toys for their children, especially around the Christmas holiday. That is no longer the case. It has been competing with larger stores and online companies such as Amazon. Toys "R" Us and had no other choice but to file for Bankruptcy protection on September 18, 2017, to restructure its debts and save the company.

The bankruptcy will impact only the stores in the United States and Canada.

Those in other countries are doing much better and are not included in the filing. The stores around the world will continue to operate as usual throughout the holiday period. That's good because that is when sales are the highest.

Customers need to know that even though the toy chain is going through bankruptcy, it will continue to do business throughout the process. As of now, there has been no announcement that any stores will close. Therefore, Toys "R" Us wants its usual customers to continue to shop there. New customers are invited to shop at the brick and mortar stores as well as at the online store.

The toy retailer has been around since 1948. It has two headquarters. One is in Wayne, New Jersey, and the other one is in New York City.

It is the largest toy store chain in the United States. The store has 1,600 locations with 64,000 employees. For many years, the store has been one of the primary sources for kids' toys for Christmas, birthdays and other occasions.

The major problem

The retailer of toys and juvenile products knows its principal problems include high debts and loss of sales because of competitors.

The company believes new financing will help it stay afloat during the bankruptcy. Therefore, Toys "R" Us is working with its debt holders and other creditors to restructure the $5 billion of debt, according to chief executive Dave Brandon.

Online stores

Toys "R" Us has decided to jump on the bandwagon and do what so many other companies are doing.

The store believes it can get online sales to help get out of debt. Its web stores have already launched. Statistics show that online sales for toys have gone up in recent years. In fact, GlobalData Retail records that last year about 13.7 percent of all toy sales were made online. That number is up from 6.5 percent just five years ago because buying habits are changing.