By Mary Ellen Lloyd
Of DOW JONES NEWSWIRES
Echoing comments by Mattel Corp. (MAT) last month, Hasbro Inc. (HAS) on Thursday said retailers' early, aggressive discounts on holiday toys aren't being funded by fresh price concessions from the toy maker.
"We are not funding any of the additional price cuts," Hasbro Chief Executive Brian Goldner said during the company's investor conference, which was broadcast on the Internet.
Earlier this week, Wal-Mart Stores Inc. (WMT) announced a new wave of "rollbacks" on toy prices, on top of 100 toys for $10 it began offering last month. Target Corp. (TGT), too, is promoting toy savings in a toy book mailed out this week that features $5-off coupons on various Hasbro toys, such as a popular Nerf gun and board games.
Like Mattel, Hasbro said that it sets up incentive programs with retailers at the beginning of every year, providing support for agreed-on plans to feature certain toys in advertisements and promotions. Chief Operating Officer David Hargreaves said some retailers opt for smaller profits on toys in order to get shoppers into their stores, while other retailers go with other promotions. "That is their choice," he said.
Mattel executives last month said that while some retailers are choosing to use promotional dollars from the toy maker to compete on price, its overall level of help for promotions is about the same as last year.
-By Mary Ellen Lloyd, Dow Jones Newswires, 704-948-9145; maryellen.lloyd@dowjones.com