Mattel to rebuild Bratz brand if it gains control

NEW YORK (Reuters) - The world's No. 1 toy maker, Mattel Inc MAT.N, intends to rebuild the Bratz doll brand if it gains control of the line at the end of a legal battle with privately held MGA Entertainment.

But the company cannot discuss specific details of its plans since it is still trying to resolve the matter, Mattel Chief Executive Robert Eckert said at the Reuters Global Retail Summit on Thursday.

"If we were to gain control of that brand, we certainly intend to rebuild it," said Eckert, participating in the summit by telephone. "We do see the opportunity."

A federal jury in California ruled last summer that Barbie doll designer Carter Bryant was still under contract to Mattel when he sold MGA some of the drawings on which the Bratz line was based. The matter is still in court.

Eckert also told the summit that Mattel, which is cutting costs by making its manufacturing and distribution processes more efficient, is not ruling out additional job cuts in the future. Nothing is planned imminently, he added.

Mattel eliminated about 1,000 jobs last November.

"As we garner more efficiencies, we do see opportunities to continue tightening the work force," Eckert said.

While there is intense pressure on prices currently, it is not as great as a year or two ago, when Mattel faced higher commodity costs, he said.

The company would rather "chase" holiday demand for toys and deliver merchandise than build up inventory levels, Eckert said.

(Reporting by Aarthi Sivaraman; editing by John Wallace)