OK, this is almost literally kicking a dead horse, but I did a little digging into the bankruptcy filing for Right Start and babystyle. At first, I was trying to figure out if I needed to correct the suggestions made earlier about gift cards and merchandise credit. [Short answer: yes, you should expect them to be worthless and next-to-worthless, respectively.]
Then I did some quick analysis of their performance and prospects [short answer: horrible and next-to-none], and I posted the details of their cash, assets, and debt, and what the likely outcomes will be for the oft-bankrupted company.
The results will be of interest to you in direct proportion to how much money you stand to lose when Right Start and babystyle disappear in the next few weeks or months.
To anyone not directly involved, the bankruptcy will just be a sobering reminder that gift cards and store credits are "use it or lose it," and that in this economy, the latter scenario is not hypothetical anymore.
This comes as no surprise. Rumor has it it's pretty much over for both companies. You're right when it comes to GC you MUST use them ASAP. Go easy on the store personel they had nothing to do with the decision. I've heard both sides of the story sounds like the investment company never had a chance to save them or did they even try. Two great companies now gone.
If you dig deep enough into Hancock Park who owned all 3 companies ( not to mention Busy Body and American, also recently filed BK) You can chalk this up to bad management on their end. Funny that the CEO for all the companies mentioned here is the same person...huh. Interesting
A report from the field: I was at the Right Start store in Reston, VA this afternoon. Big sign on the door stating they are in bankruptcy proceedings and won't take store credit or gift cards.
A second sign on the door said car seats and strollers (including several Bugaboos) were 20% off; everything else in the store was 30% off. A couple of car seats were sold out but everything else was as well-stocked as usual. The store was as busy as I've ever seen it. Cashiers freely discussed the bankruptcy and (probable) closing.