Wal-Mart Canada, Lego fall out on pricing: report

A view shows the world's tallest standing Lego tower at 29.3 metres (96.1 feet) in Toronto August 22, 2007. The tower beat the previous record of 28.75 metres (94.3 feet). Wal-Mart Stores Inc's Canadian unit has discontinued business with toymaker Lego Group after disagreeing on pricing after a rise in the Canadian dollar, The Wall Street Journal reported on Wednesday.

NEW YORK (Reuters) - Wal-Mart Stores Inc's (WMT.N) Canadian unit has discontinued business with toymaker Lego Group after disagreeing on pricing after a rise in the Canadian dollar, The Wall Street Journal reported on Wednesday.

Canada's government has called on retailers to lower their prices as the Canadian dollar appreciated, and retailers in turn have asked suppliers to lower wholesale prices.

The report quoted a Wal-Mart Canada executive as saying it had told suppliers that it "would not tolerate unfair pricing" for its Canadian customers.

Officials at Lego's U.S. offices, and at Wal-Mart Stores, were not immediately available for comment.

(Reporting by Ritsuko Ando, editing by Will Waterman)