Remaining Staff to Go at eToys

06 February 2001

Cash-strapped online etailer eToys announced yesterday that it will lay off its remaining 293 employees by April 6 as it flails to resolve its financial woes.

Meantime, the informal committee of creditors has extended its payment moratorium until February 15 while merchant bank Goldman Sachs explores eToys' options – among them the sale of assets or a takeover.

The etailer’s troubles, already severe, were exacerbated by a disastrous Christmas trading period in which sales reached only half the expected level.

News source: Financial Times