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The Associated Press reports that Toys R Us has decided to close the iconic FAO Schwarz store that has operated on New York's Fifth Avenue since 1986. The store is famous for having appeared in several movies, most notably Big, in which Tom Hanks and Robert Loggia danced on the store's giant piano keyboard.

Toys R Us bought the FAO Schwarz brand in 2009; the retailer has been operating in New York since 1870, and is the oldest toy store in the US.

The retailer says that high costs led to the decision.
KC's View:
A shame ... and probably a pretty good bet that we've seen the last of an FAO Schwarz flagship NYC store. It always seemed like more people were sightseeing there than actually shopping, and in an e-commerce age, it just seemed to have outlived its usefulness.