Mattel reports loss as Barbie sales plummet
New York (AFP) - Toymaker Mattel has a problem: Barbie's performance has not been very pretty of late.
Sales of the iconic blond dolls tumbled 14 percent in the first quarter, the second straight quarter to see a double-digit decline.
Barbie's slump comes as Mattel and other toymakers contend with bloated product inventories and a cut-throat retail environment that has pinched profits and pushed toymakers into cost-cutting mode.
Mattel, reporting a quarterly loss of $11.2 million on lower sales, has slashed its inventory of toys, downsized its staff of 28,000 by 1.5 percent and employed strict data analysis to determine marketing priorities, company officials said.
Some of Mattel's other products have made up for the sag in Barbie's sales. Sales have been strong for the Thomas train toys, products linked to the movie "Frozen" and the "American Girl" line of dolls, clothes and games. ...more