>> When Toys R Us filed for bankruptcy last month, expectations were for the humbled retail giant to descend into the typical slow decline that's marked with liquidation sales all the way down to store fixtures. But thanks to a change of heart by stakeholders, that's not going to happen, at least for now.
Bankrupt retailers like Toys R Us are getting some extra breathing room just in time for the Christmas rush says Reuters reporter Jessica DiNapoli.>> Seems like this is a sea change in retail bankruptcies, at least in these instances. There will still be liquidations in retail bankruptcies for sure.
But this is kind of a turning point. With all these private equity owned retailers that are coming into financial distress, but managing to re-emerge on the other side.>> Since 2014, at least 19 retail chains have been forced to shut down the bulk of their operations. And this year alone, 100,000 retail jobs have disappeared.
After this seismic wreck, creditors, landlords, and vendors, are rethinking whether it pays to push retailers into oblivion to only end up with a few pennies.>> When they do the math, they realize a liquidation is going to yield them pennies or nothing. So they'd rather take the chance of getting ownership in the retailers and hope for an upside.
But many of the retailers that are exiting bankruptcy that have been able to reorganize worked out terms with their vendors during bankruptcy that will allow them to get merchandise and have stuff on their shelves for the next couple of months. Toys R Us in particular got bankruptcy financing that will allow it to stock up ahead of the holiday season.
>> In a world where Amazon is a behemoth using its online powers to shake up the physical world in order for this gamble to really pay off for stakeholders. Retailers are going to have to find a way to defend their turf instore as well as online. Or only delay becoming the next tombstone in the retail graveyard.