AthenorBattle Hardened OptimistThe Skies of HiigaraRegistered Userregular
Just a quick reminder/request - I am all for hashing out leveraged buyouts and bank stuff in relation to Bain, but remember to keep it focused on TRU. I think everyone is agreeing that they are being predatory, and should be stopped, but I've seen some good arguments from Tyrannus to not apply the Bain model to all banking.
Just a quick reminder/request - I am all for hashing out leveraged buyouts and bank stuff in relation to Bain, but remember to keep it focused on TRU. I think everyone is agreeing that they are being predatory, and should be stopped, but I've seen some good arguments from Tyrannus to not apply the Bain model to all banking.
Nobody is applying the Bain model to all banking. What people are pointing out is that a system that allows the Bain model to exist is seriously flawed.
Just a quick reminder/request - I am all for hashing out leveraged buyouts and bank stuff in relation to Bain, but remember to keep it focused on TRU. I think everyone is agreeing that they are being predatory, and should be stopped, but I've seen some good arguments from Tyrannus to not apply the Bain model to all banking.
Nobody is applying the Bain model to all banking. What people are pointing out is that a system that allows the Bain model to exist is seriously flawed.
Yeah but you seem to be upset about the wrapper but not the sloppy mess inside. An LBO is the box and wrapping paper but inside is a bundle of tears and blood. LBO's still lets you aggressively do what you already can do without using an LBO. You probably shouldn't be able to do what you can do now even without the leverage. That's where I'm thinking the problem is.
Yeh, I was going in thinking it would be quiet, get 10% off a vidya and say bye to the store, but it was swamped with angry entitled folks, yelling at the teenagers for wasting their time.
Also confirmed all the Lego had been marked up even higher, so. Whoo. ;P
Toys r us has always been a good bit higher on LEGO sets. That’s nothing new lol.
Charles Lazarus, who founded Toys "R" Us 70 years ago, died Thursday, week after the company announced it will be forced to shut down its U.S. operations.
Lazarus, 94, no longer had any ownership position in the chain. He started the company as a 25-year old in 1948, anticipating that the post-war baby boom would create demand for baby supplies and toys. He stayed on as CEO until 1994.
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AthenorBattle Hardened OptimistThe Skies of HiigaraRegistered Userregular
Charles Lazarus, who founded Toys "R" Us 70 years ago, died Thursday, week after the company announced it will be forced to shut down its U.S. operations.
Lazarus, 94, no longer had any ownership position in the chain. He started the company as a 25-year old in 1948, anticipating that the post-war baby boom would create demand for baby supplies and toys. He stayed on as CEO until 1994.
Just got to my local store and saw a sign when walking in about the liquidation being on hold. I guess this explains it. Glad they were able to put it on hold out of respect.
Charles Lazarus, who founded Toys "R" Us 70 years ago, died Thursday, week after the company announced it will be forced to shut down its U.S. operations.
Lazarus, 94, no longer had any ownership position in the chain. He started the company as a 25-year old in 1948, anticipating that the post-war baby boom would create demand for baby supplies and toys. He stayed on as CEO until 1994.
Just got to my local store and saw a sign when walking in about the liquidationbeing in hold. I guess this explains it. Glad they were able to put it on hold out of respect.
Almost certainly not related, although it is a nice coincidence.
Bain Capital, KKR & Co. and Vornado Realty Trust stand to have their Toys “R” Us Inc. investment erased as the retailer they bought in 2005 for $7.5 billion seeks bankruptcy protection.
The three firms and their co-investors sank $1.3 billion of equity into the takeover of the Wayne, New Jersey-based toy company, financing the rest with debt, according to company filings. The debt included senior loans in which they held a stake.
Partly offsetting the loss is more than $470 million in fees and interest payments that Toys “R” Us awarded the firms over time.
“I was quick when I came in here, I’m twice as quick now”
-Indiana Solo, runner of blades
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FencingsaxIt is difficult to get a man to understand, when his salary depends upon his not understandingGNU Terry PratchettRegistered Userregular
Bain Capital, KKR & Co. and Vornado Realty Trust stand to have their Toys “R” Us Inc. investment erased as the retailer they bought in 2005 for $7.5 billion seeks bankruptcy protection.
The three firms and their co-investors sank $1.3 billion of equity into the takeover of the Wayne, New Jersey-based toy company, financing the rest with debt, according to company filings. The debt included senior loans in which they held a stake.
Partly offsetting the loss is more than $470 million in fees and interest payments that Toys “R” Us awarded the firms over time.
Key phrase there
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knitdanIn ur baseKillin ur guysRegistered Userregular
Ok but they spent 1.3 billion and only got back 470 million before the company went belly up.
That’s not “Bain made a profit by killing TRU”
That’s “Bain lost 830 million while also killing TRU”
“I was quick when I came in here, I’m twice as quick now”
-Indiana Solo, runner of blades
Ok but they spent 1.3 billion and only got back 470 million before the company went belly up.
That’s not “Bain made a profit by killing TRU”
That’s “Bain lost 830 million while also killing TRU”
The article isn't detailed enough for that conclusion.
The three firms and their co-investors sank $1.3 billion of equity into the takeover of the Wayne, New Jersey-based toy company, financing the rest with debt, according to company filings. The debt included senior loans in which they held a stake.
We have no idea exactly how much equity came from which source. Depending on the fee income (which is the good sort of income because it goes straight to the bottom line), Bain could have managed a profit on this.
Shut up, Mr. Burton! You were not brought upon this world to get it!
Bain Capital, KKR & Co. and Vornado Realty Trust stand to have their Toys “R” Us Inc. investment erased as the retailer they bought in 2005 for $7.5 billion seeks bankruptcy protection.
The three firms and their co-investors sank $1.3 billion of equity into the takeover of the Wayne, New Jersey-based toy company, financing the rest with debt, according to company filings. The debt included senior loans in which they held a stake.
Partly offsetting the loss is more than $470 million in fees and interest payments that Toys “R” Us awarded the firms over time.
This is what I was referring to but I didn't have any, like, concrete numbers. But this is what I mean - that asset sat at 1.3 billion, around, divided up by investors, and then kept on going down and down and down.
This is a template financial statement for PE firms. Notice on page 6, the Statement of operations, all unrealized/realized gain/loss from the investments hits the bottom line. That means even if they haven't sold the asset, they still recognize any loss the asset has in market value.
Bain is at the end of step 2 in a 3 step process. When you buy a mechanics special planning to use it as an Uber it until it breaks for good and scrap it, you don't say you've lost money when the engine blows up but you haven't scrapped it yet.
Remember, this was an election issue not long ago: That steel mill? Romney's justification was that when it finally went bankrupt, Bain hadn't made half their money back yet. But Bain made a handsome profit from that after step 3.
If anything will endanger their final profits, it will be if manufacturers manage to take back unpaid merchandise, leaving them without most of their top selling items when the markdowns finally start.
Was 10% off most things when we went yesterday. 5% of consoles and other random things. So, nothing worth getting (not that we didn't know that, just confirming from experience).
I'm just gonna assume by the time it gets to like 50%+ off that almost everything worth getting will be gone.
Toxic ToysAre you really taking my advice?Really?Registered Userregular
I went to the store that started closing down a month and a half ago again this Sat. It's up to 60% off now for most items. Video games are only 40% and they did have some, Lego and video game hardware is still only 10%. The store itself was looking really rough. It wasn't picked clean but you could see the bones. Half of the isles were taped off and empty. They had some cool toys left but most of the brand names were gone or just the lame stuff left. They had a whole shelf of Star Wars basket ball hoops, some over prices specialty Hot Wheels cars and car makers, and tons of Minions crap. I was able to find enough toys that looked are are cool to cover for my nieces and nephews birthdays and Christmas for the year. I was able to get a "Only At Toys R Us" Sigma & Ultron Funko Pop 2 pack, a Desert Mission Armor Finn, 4 packs of replacement ink for the Splatoon gun, and 5 Animal Crossing Amiibo. My wife and kid got stuff too.
So waiting about a month seems like the sweet spot. My first trip to this store still had some good stuff and was half off. This time it was a little hard to fill out my shopping list.
3DS code: 2938-6074-2306, Nintendo Network ID: ToxicToys, PSN: zutto
Just make sure that whatever is labelled "50% off" is actually 50% off what you could get at a competitor's. Clearance sales are notorious for setting an unrealistic reference price and then calculating discounts from that.
I am debating running by the TRU. Might have some cheap Lego Dimensions stuff.
I wish! My store's stock was wiped out in a day when it went to 40% off, all they have left at 60% is some original starters and a whole ton of some Chima guy.
AthenorBattle Hardened OptimistThe Skies of HiigaraRegistered Userregular
Should mention again, if you are into amiibo keep an eye out for Chibi Robo. Before the news broke, my store had it on clearance for $8.95, game and all.
Toxic ToysAre you really taking my advice?Really?Registered Userregular
The selection on Amiibo and Lego Dimensions was bad before the clearance. But both stores I went with had a ton of different Marvel Playmation figures.
3DS code: 2938-6074-2306, Nintendo Network ID: ToxicToys, PSN: zutto
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Mx. QuillI now prefer "Myr. Quill", actually...{They/Them}Registered Userregular
So that's been hard for me the last week. I've wanted to stop in, say hi to the employees, show encouragement. But when I drive by, the parking lot is absolutely PACKED. And I just know what is going on...
Yes. Yes it is.
Depressing to see the empty shelves. Depressing to see the workers realizing they're weeks from being unemployed. Depressing to see the vultures circling. Depressing to remember that I'm just another one of those vultures...
When I stopped by I saw stickers on warehouse/floor equipment showing that they are claimed and sold already. Shelving, cashier computers, scanners, and card payment readers.
It looks like the Toys R Us website's shut down, but they shut it down in a weird broken way where when you visit or try to add something to your cart they pop up a redirect to an unprofessional WordPress site. Stupid thing is that if your browser is set up to block that type of shit you don't ever see it and the site works like normal, so you could still technically make orders. Don't know if they'll be honored though.
As an aside, it's both funny and sad to see the ads for Labo on that site, since the company won't last that long at this point (and if they do, no way Nintendo's sending them any).
Isaac Larian said Friday that he's entered a formal offer of $675 million to buy many of the Toys "R" Us stores in the United States, along with an additional $215 million for Toys "R" Us stores in Canada.
Larian is looking to buy more than 200 of the remaining 735 locations in the US, and almost all of more than 80 locations in Canada, a spokesperson said.
...
Larian's vision for Toys "R" Us includes turning its stores into entertainment hotspots.
"We will make Toys 'R' Us an experience in and of itself; a fun and engaging place where families can spend an entire day," he said in his statement on Friday. "Imagine a mini-Disneyland in each neighborhood."
In the past, Larian has blamed the demise of Toys "R" Us on its private equity owners, which saddled the company with debt.
"Every penny it made went to paying the debt service," he said in an interview with CNNMoney last month.
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Mx. QuillI now prefer "Myr. Quill", actually...{They/Them}Registered Userregular
That sort of sounds like they want to turn it into miniature versions of the NYC store or FAO Schwartz?
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Nobody is applying the Bain model to all banking. What people are pointing out is that a system that allows the Bain model to exist is seriously flawed.
Yeah but you seem to be upset about the wrapper but not the sloppy mess inside. An LBO is the box and wrapping paper but inside is a bundle of tears and blood. LBO's still lets you aggressively do what you already can do without using an LBO. You probably shouldn't be able to do what you can do now even without the leverage. That's where I'm thinking the problem is.
Toys r us has always been a good bit higher on LEGO sets. That’s nothing new lol.
http://money.cnn.com/2018/03/22/news/companies/toys-r-us-founder-obituary/index.html
Just got to my local store and saw a sign when walking in about the liquidation being on hold. I guess this explains it. Glad they were able to put it on hold out of respect.
Almost certainly not related, although it is a nice coincidence.
From this article back in September: https://www.bloomberg.com/news/articles/2017-09-19/bain-kkr-vornado-suffer-wipeout-in-toys-r-us-bankruptcy
-Indiana Solo, runner of blades
Key phrase there
That’s not “Bain made a profit by killing TRU”
That’s “Bain lost 830 million while also killing TRU”
-Indiana Solo, runner of blades
The article isn't detailed enough for that conclusion.
We have no idea exactly how much equity came from which source. Depending on the fee income (which is the good sort of income because it goes straight to the bottom line), Bain could have managed a profit on this.
This is what I was referring to but I didn't have any, like, concrete numbers. But this is what I mean - that asset sat at 1.3 billion, around, divided up by investors, and then kept on going down and down and down.
https://home.kpmg.com/content/dam/kpmg/us/pdf/2016/11/illustrative-financial-statements-pe.pdf
This is a template financial statement for PE firms. Notice on page 6, the Statement of operations, all unrealized/realized gain/loss from the investments hits the bottom line. That means even if they haven't sold the asset, they still recognize any loss the asset has in market value.
Remember, this was an election issue not long ago: That steel mill? Romney's justification was that when it finally went bankrupt, Bain hadn't made half their money back yet. But Bain made a handsome profit from that after step 3.
If anything will endanger their final profits, it will be if manufacturers manage to take back unpaid merchandise, leaving them without most of their top selling items when the markdowns finally start.
I'm just gonna assume by the time it gets to like 50%+ off that almost everything worth getting will be gone.
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So waiting about a month seems like the sweet spot. My first trip to this store still had some good stuff and was half off. This time it was a little hard to fill out my shopping list.
I wish! My store's stock was wiped out in a day when it went to 40% off, all they have left at 60% is some original starters and a whole ton of some Chima guy.
3DS: 1521-4165-5907
PS3: KayleSolo
Live: Kayle Solo
WiiU: KayleSolo
Buy up dozens of Tom Nooks to sneak into your neighbor's mailboxes if they borrow something for too long.
So that's been hard for me the last week. I've wanted to stop in, say hi to the employees, show encouragement. But when I drive by, the parking lot is absolutely PACKED. And I just know what is going on...
Yes. Yes it is.
Depressing to see the empty shelves. Depressing to see the workers realizing they're weeks from being unemployed. Depressing to see the vultures circling. Depressing to remember that I'm just another one of those vultures...
Well when you plan to do it for a while...
Also keep in mind that a good chunk of the stores were already announced to close, so they are much further along in the process.
As an aside, it's both funny and sad to see the ads for Labo on that site, since the company won't last that long at this point (and if they do, no way Nintendo's sending them any).
PS4 Lumo 10% off $17.99
WiiU Starfox Zero 10% off $16.18
Also $10 off with gift card.
Not bad.
Warning. They are marking barcodes with markers.
Edit: I looked on Amazon. It wasn't much of a deal. Good thing I had the gift card.
http://money.cnn.com/2018/04/13/news/companies/toys-r-us-billionaire-bid/index.html