Kids Denied Toys: Mattel Profits Plummet
Toy-maker Mattel reported moments ago that its fourth-quarter profit plunged 46 percent, much worse than analysts expected, and a clear sign that no sector is safe from recession -- not even makers of toys for the kiddies.
As reported, it was a Black Christmas for toymakers. And, evidently, lots of kids, too.
“Toy retailers weren’t immune to the economic downturn, with significant toy sellers in the U.S., U.K., Mexico and other major markets either closing their doors or entering bankruptcy,” chairman and chief executive Robert A. Eckert said in a conference call with investors.
Mattel's "American Girl" dolls showed a 5 percent sales hike.
Things are tough all over: Rival KB Toys filed for bankruptcy protection in the fourth quarter.
Part of the problem: Mattel doesn't make the XBox, the Wii or the PlayStation. For kids these days (LOVE writing that), toys are so 20th century.
February 2, 2009; 11:39 AM ET
Categories: The Ticker | Tags: KB Toys, Mattel, toys
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