Hasbro Considers Moving From Pawtucket to Boston

Iconic toy and entertainment maker Hasbro is considering moving its headquarters from Pawtucket, Rhode Island, to Boston. If it happens, it would leave a void in the Ocean State but would bolster Boston’s recovering downtown.

“All hands are on deck to keep Hasbro in Pawtucket,” Rhode Island Gov. Dan McKee said in a statement.

McKee and Mayor Don Grebien reached out to Hasbro CEO Chris Cocks in hopes of persuading the company to stay in the state.

“Together, the state and the city will absolutely explore every option to maintain Hasbro’s presence in Pawtucket,” McKee said.

Rhode Island Congressman Gabe Amo, who grew up in the town, also hopes to help persuade the company to stay.

“For more than a century, Hasbro’s Pawtucket headquarters has been where toy ideas come to life,” he said in a statement. “The employees of this iconic Rhode Island company have been an invaluable part of our community, and I hope this rich history will live on in the minds of Hasbro’s leadership.”

Hasbro is one of the few major companies headquartered in Rhode Island, along with CVS, Textron and FM Global.

The international company is known for its portfolio of more than 1,800 brands, including Monopoly, Dungeons & Dragons, Nerf, Transformers, Play-Doh and Peppa Pig.

Hasbro was founded in 1923 by Henry and Hillel Hassenfeld. It started out selling fabric scraps before expanding to pencil cases and school supplies. In 1952, it revolutionized the toy industry with the Potato Head.

According to the company’s 2023 annual report, it has approximately 5,500 employees worldwide, with about half of them in North America. The company is headquartered in Pawtucket, with an area of ​​approximately 343,000 square feet, and an adjacent facility of approximately 23,000 square feet.

The Boston Business Journal reported Monday that Hasbro is looking for locations in the Boston area.

According to a source close to Governor Maura Healey, members of her economic team met informally with Hasbro.

“We are always competing for businesses to locate and grow in our state and will continue to support existing businesses throughout Massachusetts,” Healey spokeswoman Karissa Hand wrote.

Hand added that the state is ranked No. 1 in innovation, education and health care and is also the best state to raise a family and for women.

In a message Cocks sent to Hasbro employees Monday, a copy of which Boston.com obtained, he told employees, “Don’t pack your bags yet,” because nothing is final and it could take up to two years to move.

“As we build a workplace for the future that reflects our brands, our vision, and our impact, we are exploring options for a more suitable headquarters, particularly in the Greater Boston area,” Cocks wrote in his email. “We are looking to find a space that allows for collaboration and design and that showcases who we are and what we stand for. A space that is accessible to our teams and our partners.”

Hasbro faces headwinds:

The decision comes after a difficult year for the company.

In 2023, the company’s net sales decreased by 15% from the previous year to approximately $5 billion.

In a filing last December, the toymaker announced it was cutting 1,100 jobs, or 20% of its workforce. The cuts come on top of 800 job cuts it made last year as part of a strategic move to save up to $200 million to reinvest in the company.

The same filing also announced the company’s plans to close its 136,000-square-foot leased office space in Providence, Rhode Island, by January 2025.

Additionally, the annual report said Hasbro completed the sale of its Entertainment One film and television business, eOne Film and TV, to Lions Gate Entertainment Corp. for $370 million last December.

However, Cocks was upbeat in second-quarter results released in July.

“Hasbro is emerging as a more profitable, agile and operationally superior company that delights fans of all ages through the magic of play,” Cocks said in a statement to Business Wire.