FAO Inc. has no plans to discontinue its catalog or Internet operations despite filing for bankruptcy protection this week and its plan to close 70 under-performing stores.
“Our plans are that our catalog business and Internet operations will go forward,” spokesperson Alan Marcus said.
The firm operates three catalogs, FAO Schwarz Ultimate Toy Catalog, Right Start and Zany Brainy from its offices in King of Prussia, PA. More than 8 million FAO Schwarz catalogs mailed last year. Circulation numbers were not available for Right Start and Zany Brainy.
Marcus warned that as the bankruptcy proceedings move forward “all is subject to change.” He said that staff reductions would take place at the retail and corporate levels but he declined to comment on whether catalog operations would be affected.
The FAO Schwarz toy catalog has more than 150,000 buyers according to Edith Roman Associates Inc., which manages the customer list.
FAO Schwarz was bought by toy retailer Right Start Inc. for $55 million last year. Right Start changed its name to FAO Inc. It had purchased toy seller Zany Brainy Inc. out of bankruptcy in 2001 for $100 million.
Zany Brainy, which sells educational toys, has 1.5 million last 12-month buyers. That customer file is also managed by Edith Roman.
The Right Start brand originated in 1985 through the creation of the Right Start catalog offering products for infants and preschool children. Its catalog buyers
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