Wednesday, September 5, 2007

China Lead Mattel, OH WELL.

Cheung Shu-hung, the former head of Lee Der Industrial Co., may have had known even more than the rest of us had originally thought. Prior to committing suicide, he most likely saw the future orders of other toys sent from china. Now, going into the ump-teenth week of recalls, the toys from china have struck an American icon.

Barbie never even had a chance to change into her harmful chemicals costume. Could this tainted paint really be the looming death of Mattel toys? It's a possibility. With past knowledge about how the American public often over reacts to mass media coverage, the 800,000 new toys that have been recalled will immediately blanket the company with a stench that even Febreze can't get out. But, one must take into account the other entities that Mattel still operates without direct knowledge to the consumer, those of which are still functioning without missing a step. So, perhaps the Fisher Price brand will falter this quarter, and Barbie will have to get another makeover for her spring fashion line next year.

Now, I'm not sitting here and looking at the accounting books for Mattel, so I don't know if they are "preparing for the worst," but I can take a guess. Mattel, is in it to win it, and just because the stock went down 2.9 percent yesterday, it doesn't mean that this 5.6 billion dollar company will have to cancel any new toys being manufactured. Its a bump, perhaps a hill, to go over for the time being, and this company will have an all terrain GI Joe Bradley Assault Tank pulling them up it. Or perhaps a Barbie classic model with good old fashioned Ken coming back from the dead. I'm sure they have a bunch of those in a warehouse somewhere to replace new Venice beach model ken.

Using my inexpert opinion, I'm going to guess that Mattel and Lee Der Industrial, have a quarters worth of toys being made with this problematic paint. See you at the next news story about dancing hamster recalls.