Houston Principal Hugh Ray discussed the retail giant’s bankruptcy with Bloomberg in an article titled “How Toys ‘R’ Us Collapsed So Quickly.” The article explains that Toys “R” Us Inc., which managed to sustain a crushing debt load for more than a decade after its 2005 buyout, finally succumbed this week to a “dangerous game of dominoes.” While creditors held out for a better offer, people with knowledge of the matter said, the company started preparing for a possible Chapter 11 filing. That kicked off a chain of events that showed how quickly a retailer can buckle when key suppliers and creditors get spooked. “The bankruptcy became a self-fulfilling prophecy,” said Hugh.
The full article can be found here.