EToys Quits Shipping to Canada

EToys Inc., which already has begun closing its European operations and laying off 70% of its domestic staff, said it has stopped shipping merchandise to Canada.

The Los Angeles-based online toy retailer, which is searching for an investor or buyer, said notification of the change was scheduled to be posted on its Web site Wednesday night.

EToys does not break out Canadian sales, but a spokesman characterized that portion of the business as “very insignificant.”

The company warned that sales in the quarter ended December would miss its target by half, and it has begun dismantling its operations.

EToys shares were unchanged at 19 cents Wednesday on Nasdaq.