Toys R Us To Shutter A Fifth Of Its Stores As It Emerges From Bankruptcy

After facing a season of weak holiday sales, Toys R Us will be closing an estimated 180 stores across the U.S. from February through April.

The move is part of the retailer's attempt to emerge from bankruptcy, as well as putting more focus on the customer shopping experience both online and in its brick-and-mortar stores, Reuters reports.

Toys R Us has struggled in recent months, but the toy retailer said in September its physical stores and online operations would remain open for business throughout the bankruptcy proceedings.

The company will now be using an estimated $400M of its $3.1B in bankruptcy loans to renovate its remaining stores throughout the next three years, including turning several locations into dual Toys R Us and Babies R Us stores.

The retailer will also provide discounts to consumers, roll out an improved loyalty program and focus on offering experiential shopping to compete with the onslaught of e-commerce retailers like Amazon, Reuters reports.

Toys R Us has said it plans to exit bankruptcy within the next 12 months.

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