Toys "R" Us will appeal a Washington judge's finding that the retailer leaned on toy firms to keep their wares away from cut-rate competitors like Price-Costco. Administrative Judge James Timony upheld 1996 FTC charges that the company used its market clout to pressure suppliers not to sell popular toys to discount clubs. The practical result: Hollywood Hair Barbie, Mr. Potato Head, et al. were kept off discounters' shelves, and Toys "R" Us gained an even more dominant place in the market.
Toys 'R' Us Slammed
Toys "R" Us will appeal a Washington judge's finding that the retailer leaned on toy firms to keep their wares away from cut-rate competitors like Price-Costco. Administrative Judge James Timony upheld 1996 FTC charges that the company used its market clout to pressure suppliers not to sell popular toys to discount clubs. The practical result: Hollywood Hair Barbie, Mr. Potato Head, et al. were kept off discounters' shelves, and Toys "R" Us gained an even more dominant place in the market.
