Toy retailer Toys R Us have called in lawyers to help restructure its massive loan, according to Bloomberg.

The US-based company, which has 100 stores in the UK including one in the Peel Centre in Gloucester, is struggling to compete with online and discount retailers.

And it is also facing repayment of $400 million (£295 million) of its total debt, due to be repaid next year.

They are hoping to secure a loan to allow them to continue trading over the important holiday season fourth quarter of the year, believed to be the time that they make about 40 per cent of their sales.

Media company Bloomberg said reports indicated that one possible outcome of the deliberations could be bankruptcy, but added that wasn't being seriously discussed at this point.

However, Toys R Us has seen some of its suppliers reduce their shipments over fears that they won't be able to recoup their investment if the company goes under.

In Gloucestershire and around the UK, the store is up against increasing online competition from companies such as Amazon, as well other high street retailers such as Smyths toys, Argos and the leading supermarkets.

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