Mattel Set To Announce Second Recall In 2 Weeks Of Chinese-Made Toys Because Of Lead Paint

Monday, August 13th 2007, 7:29 pm

By: News On 6

NEW YORK (AP) _ Mattel Inc. is set to announce the recall of a Chinese-made toy as early as Tuesday because it may contain excessive amounts of lead paint. The expected announcement would mark the second recall involving lead paint by the world's largest toy maker within two weeks.

The latest recall, whose details could not be immediately learned, involves a different Chinese supplier, according to three people close to the matter who spoke on condition of anonymity because of the sensitivity of the situation. It follows a highly publicized worldwide recall, announced Aug. 1 by its Fisher-Price division, of 1.5 million preschool toys featuring characters such as Dora the Explorer, Big Bird and Elmo. That action included 967,000 toys sold in the United States between May and August.

One of the three people confirmed the latest case involves lead paint.

Scott Wolfson, a spokesman for the Consumer Product Safety Commission, declined to comment. Mattel officials did not immediately return phone calls.

On Aug. 2, Mattel, based in El Segundo, Calif., apologized to customers for the preschool toy recall and said the move would cut pretax operating income by $30 million. In that case, Fisher-Price ``fast-tracked'' the recall, which allowed the company to quarantine two-thirds of the tainted toys before they reached store shelves.

In documents filed the next day with the Securities and Exchange Commission, Mattel noted that additional information became available in July on ``other smaller product recalls and similar charges were recorded.'' Those recalls involved design problems, according to company officials questioned last week.

The latest action would mark the latest in a string of toy recalls that have rocked the toy industry just as it prepares for the critical holiday season. With more than 80 percent of toys sold worldwide made in China, toy sellers are nervous that shoppers will shy away from their products.

In June, toy maker RC2 Corp. voluntarily recalled 1.5 million wooden railroad toys and set parts from its Thomas & Friends Wooden Railway product line. The company said that the surface paint on certain toys and parts made in China between January 2005 and April 2006 contain lead, affecting 26 components and 23 retailers.

The toy recalls are the latest in a string of hazards in products from China, ranging from faulty tires to tainted toothpaste.

Until now, Fisher-Price and parent company Mattel had never before recalled toys because of lead paint.