Toy executives back rescue to calm consumers
NEW YORK (Reuters) - It is vital for the U.S. Congress to pass a revised bailout plan to calm U.S. consumers, who are suffering higher fuel and food prices, and declining stock portfolios and home values, top toy executives said on Wednesday.
"What I would hope is, whatever the plan people decide on, they take politics out of it and really focus on the consumer on Main Street, on the needs of individuals, families, communities and small businesses," Brian Goldner, chief executive of Hasbro Inc, told Reuters at a toy website launch.
The U.S. Senate is preparing to vote on Wednesday evening on a revised $700 billion rescue plan that will let the Treasury Department buy toxic mortgage-related assets from banks. The House of Representatives already failed to pass an earlier draft of the plan, which aims to thaw credit markets and avert a deeper economic downturn in the United States and abroad.
The rescue plan should "certainly give people at least the comfort that their money is safe," Neil Friedman, president of Mattel Inc's Mattel brands, told Reuters.
"I hope whatever the government does will calm people's fears about the economy and will do what is necessary to stabilize what has been an unbelievable roller coaster for the last week," Friedman said.
The biggest financial crisis since the Great Depression has raised fears holiday shopping could suffer greatly this year as consumers continue to battle job losses and higher prices for fuel and food. The holiday season is particularly vital for toy companies, which derive a lion's share of annual sales during the period.
A rescue plan should come quick, said Vic Bertrand, chief innovation officer of Canadian toy maker Mega Brands Inc, which makes construction toys, games and puzzles.
"We really need to put some stability in the markets," Bertrand said.
"There will be a lot of turmoil unless they come up with an action plan that they can agree upon in a shorter period of time. Some form of action as soon as possible is better than the uncertainty."
(Reporting by Aarthi Sivaraman; Editing by Steve Orlofsky)
