Senate hearing: Toy industry reps reaffirm greater testing 

By Staff -- Playthings, 9/12/2007 11:11:00 AM

WASHINGTON—Toys "R" Us chairman and CEO Jerry Storch and Mattel chairman and CEO Robert Eckert—along with Toy Industry Association president Carter Keithley—today reaffirmed their support for proposed federal legislation that would mandate third-party toy testing as well as boost funding for the Consumer Products Safety Commission (CPSC).

The executives made the comments in testimony before the Senate Appropriations Subcommittee on Financial Services and General Government, at a special hearing on the issue of toy safety.

TRU adds new safety steps, microsite for customers
In his testimony, Storch also reaffirmed Toys "R" Us' support for production code stamping, and announced new steps the retailer is taking to ensure customers receive even more rapid and detailed information regarding toy safety issues. These include the launch of a toy safety microsite, www.toysrus.com/safety, which provides information about TRU's standards and procedures and specific recall information; a recall email notification system; the addition of bilingual recall notices to its communication protocols; and the addition of new Safety Boards in stores, which will contain important product safety information, including recall notices.

"We recognize that the issue of toy safety goes well beyond business and directly to the well-being of the families we serve," Storch said before a panel of three U.S. senators. "We have reiterated that simple, single fact to our employees, suppliers and business partners. We will not tolerate products that do not meet our rigorous safety standards."

Storch also testifed, "We believe the recall process itself could be improved in two ways: First, we support legislation shortening the timeframes during the period between identification of a problem and the eventual recall of that product. Second, we also believe that production code stamping of products and packaging would significantly help in tracing potential safety issues."

He continued, "We are also moving to require that our vendors submit to us certification of testing for each batch coming to Toys 'R' Us. To reinforce this direction, we strongly support strengthening third-party testing requirements. Specifically, we advocate for legislation requiring accredited certification of testing facilities."

Mattel blames subcontractors, increases paint testing protocals
"I, like you, care deeply about the safety of children. And I, like you, am deeply disturbed and disappointed by recent events," Eckert told the Congressional committee today, apologizing on behalf of the company for its recent toy recalls that resulted in the pulling of more than 18 million toys off shelves worldwide due to paint with excessive levels of lead or because of potentially unsafe magnets. "As to lead paint on our products, our systems were circumvented, and our standards were violated. We were let down, and so we let you down," Eckert said, adding, "I can’t change the past, but I can change the way we do things. And I already have. We are doing everything we can to prevent this from happening again."

Eckert pointed to Mattel's long-standing safety protocols that require vendors to purchase paint from certified suppliers (or test the paint they use), audit vendors for compliance and conduct safety tests on product samples. 

"Our own extensive investigation, which is continuing, has uncovered that certain vendors or their subcontractors violated our well-established rules," Eckert testified. "In some cases, they appear to have been careless. In others, they appear to have deliberately avoided doing what they knew they were required to do. In several instances, vendors failed to identify subcontractors or facility locations, even though it was mandated that they do so. Some vendors failed to provide certified paint to their subcontractors, while another vendor did not perform the mandated test on paint. We have already terminated relationships with some vendors and subcontractors, and we are continuing to investigate others."

Eckert noted, however, that "out of an abundance of caution, Mattel decided to be over-inclusive in the products we recalled. We did not just recall those specific toys that tested positive for lead paint. Instead, we recalled additional toys where our investigation of the circumstances suggested that some of those toys might be affected by non-complying paint, even though the tested samples of those toys were fine." Further, the amount of toys recalled "amount to less than one half of 1 percent of the toys that we’ve produced over the last 12 months," Eckert said.

Eckert also announced the company's new measures, a three-point safety check system, to better ensure toy safety in the U.S. These steps include mandating that every batch of paint be purchased from a certified paint supplier and also re-tested before it is used; that paint on samples of finished products from every production run be tested; and that vendors and subcontractors will be inspected for compliance frequently, randomly and without prior announcement. All paint testing will be conducted by Mattel’s own laboratories or by laboratories certified by Mattel.

Additional protections will include the segregation of all Mattel production by vendors and subcontractors, dedicated storage for paint used on Mattel products, and the prohibition of any subcontractor further subcontracting out any part of a job to other locations.

Eckert also announced the creation of a new corporate responsibility organization, which will report directly to him, and reaffirmed the company's commitment to the CPSC and its processes.

"Mattel believes in the Consumer Product Safety Act and its goals, and we would like to work with members of Congress to strengthen the Commission. We fully support the Commission and the vital work that it does, and we recognize that more resources are needed for the organization to carry out its important duties. Mattel also supports proposals that would ensure laboratories used for testing toys are fully qualified and are accredited by independent organizations.

"Ensuring safety is crucial to the long-standing trust this company has built with parents for more than 60 years. There is simply nothing more important to Mattel than the safety of children," Eckert said.

Senator Dick Durbin (D.-Ill.) told the panel of toy business executives that he was "heartened by your industry's response to this situation."