EToys to merchandise, fulfill Circuit City's online toy business

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Circuit City has signed a deal with The Parent Company for the latter to merchandise and fulfill select toys on CircuitCity.com through its eToys division.

EToys will provide children's products for the toys and kids' electronics department on the Circuit City Web site. The eToys platform will also include category management, product content, inventory control and order fulfillment. The online toy merchant provides similar services to Sears.com, Kmart.com, Shop.com, Amazon.com, Macys.com, KBtoys.com, HSN.com and Buy.com.

Earlier this month, Circuit City reported net sales for the fourth quarter ended February 29, decreased 7.7% for a total of $3.65 billion. Comparable store sales decreased 10.4% during the same period. Net sales for the fiscal year ended February 29 decreased 5.5% for a total of $11.74 billion and comparable store sales dropped 7.7%.

On Monday, the multichannel consumer electronics merchant reported it had received an unsolicited acquisition bid from Blockbuster.

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