Company Will Operate Legendary FAO Schwarz Stores As a Distinctive Business and Purveyor of Extraordinary Toys
WAYNE, NJ (May 27, 2009) -- Toys“R”Us, Inc., the world's leading dedicated toy and baby products retailer, today announced it has acquired FAO Schwarz, one of the most iconic children' retailers in the world and a brand synonymous with quality and innovation.
“We have enormous respect for the FAO Schwarz brand and for the special place it holds in the hearts of children everywhere,” said Jerry Storch, Chairman and CEO, Toys“R”Us, Inc. “Building upon this storied tradition is a responsibility we take very seriously. We will work tirelessly to preserve the distinctiveness and integrity of the FAO Schwarz stores and brand as we grow the business and, indeed, take the brand to even greater heights.”
Following the acquisition, Toys“R”Us, Inc. will continue to operate the two FAO Schwarz retail stores, including the flagship location in New York City and a store at the Forum Shops at Caesars Palace in Las Vegas. In addition, the company will operate the FAO Schwarz e-commerce and catalog operations. Each of these businesses will continue to operate under the legendary FAO Schwarz name. All merchandising, management, distribution and marketing operations will immediately begin to transition to Toys“R”Us, Inc. Other terms of the transaction were not disclosed.
“This acquisition allows us to grow our toy specialist market share and draw upon the unique strengths of both brands in developing quality products that differentiate us from our mass market competitors,” continued Storch. “To that end, we look forward to working together with the expanded universe of respected FAO Schwarz manufacturers and other valued partners, while developing innovative and quality product offerings. We are committed to providing the loyal clientele of FAO Schwarz with the unique shopping experience they have come to expect.”
Toys“R”Us, Inc. will offer employment opportunities to FAO Schwarz associates in the New York and Las Vegas stores.
Toys“R”Us, Inc. currently operates stores in 33 countries worldwide, offering its customers a differentiated merchandise assortment and a first-to-market experience with the hottest new toys. The acquisition of FAO Schwarz further advances the company' toy authority position and broadens its growing portfolio of family-friendly brands. Earlier this year, Toys“R”Us, Inc. expanded its online brand offerings through the acquisition of the highly regarded eToys.com, babyuniverse.com, Toys.com and parenting resource site, ePregnancy.com.
FAO Schwarz, which has been in operation since 1862, is the oldest toy retailer in the United States. Over time, it evolved from a simple toy store to a world-famous experience. It offers distinctive quality merchandise, including a line of toys marketed under the FAO Schwarz brand name. The toy retailer is best known for its famous flagship store in Manhattan which attracts millions of visitors annually. A destination for unique hands-on family activities, the store has become a much-anticipated part of any visit to New York for generations of children and adults worldwide.
About Toys“R”Us, Inc.Toys“R”Us, Inc. is the world's leading dedicated toy and baby products retailer. Currently it sells merchandise through more than 1,500 stores in 33 countries worldwide, including 847 Toys“R”Us and Babies“R”Us stores in the U.S., more than 700 international stores, which includes licensed and franchise stores, and through its Internet sites, Toysrus.com, Babiesrus.com, eToys.com and babyuniverse.com. The company also operates the parenting resource website, ePregnancy.com.