The swift collapse of Toys “R” Us has been particularly painful for the company’s employees, more than 30,000 of whom will lose their jobs. Jeenah Moon for The New York Times
Last spring, Toys “R” Us, struggling in the face of competition, wanted to refinance about $200 million in debt.
A year and a messy bankruptcy later, Toys “R” Us is expected to pay as much as $348 million for the dozens of bankers, lawyers and consultants that tried to fix its problems.
The giant payout, detailed in company documents released on Friday, shows how lucrative corporate bankruptcies can be for professionals, while leaving many workers and creditors with scraps.
Toys “R” Us’ swift downfall has been particularly painful for the company’s more than 30,000 employees, who are losing their jobs as the company shuts its doors across the United States in the next few weeks.