Struggling toy retailer Toys "R" Us said it plans to close 180 stores across the U.S. as the company looks to position itself for profitability once it emerges from bankruptcy restructuring.
"The reinvention of our brands requires that we make tough decisions about our priorities and focus," Chairman and CEO David Brandon wrote Tuesday in a memo to customers. "The actions we are taking are necessary to give us the best chance to emerge from our bankruptcy proceedings as a more viable and competitive company."
Toys "R" Us has about 880 stores in the U.S. The company said in a separate memo that its 83 locations in Canada will not be impacted by Wednesday's announcement.
The company said it will focus on improving its in-store and online shopping experiences while also improving its mobile and digital marketing.
Store closing sales will begin in early February with the majority of locations closing in mid-April.
Toys "R" Us filed for bankruptcy in September after revealing it was saddled with $5 billion in debt.
More of What's Trending on TheStreet: