FTC is seeking public comment on Toys “R” Us, Inc.’s Request to Reopen and Modify Final Order, Related to 1998 Agreement #00003

Submission Number:
00003
Commenter:
Eric Dela Pena
Organization:
N/a
State:
California
Initiative Name:
FTC is seeking public comment on Toys “R” Us, Inc.’s Request to Reopen and Modify Final Order, Related to 1998 Agreement
Matter Number:

941 0040

Following a disastrous Christmas 1999 trading period where it failed to deliver gifts on time, it entered into a ten-year contract with Amazon.com to be the exclusive supplier of toys on the website. Amazon eventually reneged on the terms of the contract by allowing third-party retailers to use its marketplace to sell toys, citing Toys "R" Us's failure to carry a sufficiently large range of goods, including the most popular lines. In 2006 Toys "R" Us won a lawsuit against Amazon and in 2009 were awarded $51 million, just over half of the $93 million damages claimed for in their filing.[16] It placed at #29 in the Internet Retailer Top 500 Guide for 2012.[17] Toysrus.com is one of the most visited sites in the specialty toy and baby products retail category with an assortment of toys. In addition, Babiesrus.com offers a wide selection of baby products and supplies and access to the company's baby registry. Looking to expand its web portfolio, in February 2009, the company acquired online toy seller eToys.com from Parent Co., which filed for bankruptcy protection in December 2008. Financial terms were not disclosed. Around the same time, it was reported that Toys "?" Us, Inc. bought Toys.com for an estimated $5.1 million. Today, the company operates Toys.com to list unadvertised and exclusive deals available on its portfolio of e-commerce sites.controlled municipality, Municipality directly under the central government, or Province-level Municipality is the highest level classification for cities used by the People's Republic of China.Price fixing is an agreement (written, verbal, or inferred from conduct) among competitors that raises, lowers, or stabilizes prices or competitive terms. Generally, the antitrust laws require that each company establish prices and other terms on its own, without agreeing with a competitor. When consumers make choices about what products and services to buy, they expect that the price has been determined freely on the basis of supply and demand, not by an agreement among competitors. When competitors agree to restrict competition, the result is often higher prices. Accordingly, price fixing is a major concern of government antitrust enforcement. http://www.cftc.gov/ucm/groups/public/@internationalaffairs/documents/fi... In 2010, Toys "R" Us, Inc. reported that its Internet sales grew 29.9% year-over-year to $782 million from $602 million, and in April 2011, the company announced plans to open a dedicated e-commerc