FAO: We're A-OK

Responding to what it called “negative press” in the Oct. 17 issue of "The New York Post," children's products cataloger/retailer FAO issued a press release refuting statements in the article.

The parent company of toys retailer Zany Brainy and cataloger/retailers The Right Start and FAO Schwarz said that, contrary to the "Post," it is not experiencing a cash crunch and is paying its bills and funding operations in the normal course of business. Its suppliers have not been tightening merchandise credit limits or holding back merchandise, and it does not plan to vacate the flagship FAO Schwarz store in Manhattan.

The company issued the statement because it was afraid “this misleading report” would hurt operations.