Netherlands-based retailer Intertoys has filed for bankruptcy with the Amsterdam District Court. Approximately 3,200 employees across 286 stores, two distribution centers and a service center will be affected by the bankruptcy.
Intertoys’ more than 100 franchise locations across the Netherlands—as well as its stores in Belgium, operating under the name Bart Smit Speelgoedpaleizen België—are exempt from the filing. In fact, the retailer is in the advanced stages of selling its Belgian-based locations.
The company’s administrators announced that debts prior to the date of suspension of payments will not be reimbursed and suppliers with retention of title cannot collect goods that have been delivered due to a previously announced cooling-off period of two months. All obligations incurred by the administrators during the suspension of payments will be honored, however, and the salaries of employees will be paid.
In the past year, the retailer appointed new management, launched a new online store and made improvements to its supplier conditions, inventory management and supply chain. Intertoys’ bankruptcy follows similar moves by a number of US-based companies including retailer Sears, toy manufacturer Toy State and retail giant Toys “R” Us. (Last week, however, TRU announced its return as a new company, Tru Kids, with new leadership.)
Moving forward, all Intertoys stores will remain open as the retailer is in discussions with a number of parties in an effort to retain as many jobs, shops and franchises as possible through a potential restart or partial sale.