New Mattel recall adds to parents’ fears

First it was tens of millions of containers of pet food recalled because of tainted ingredients from China; then it was 1.5 million of the popular Thomas & Friends wood trains, made in China, recalled for lead paint.

Two weeks ago, El Segundo-based Mattel Inc., one of the most trusted names in playthings, jolted consumers with warnings that 1.5 million of its Chinese-made Fisher-Price toys also could contain lead paint.

And on Tuesday, Mattel recalled more than 18 million more toys worldwide because of new worries about lead paint and, because of design problems, magnets that can come loose and cause serious health problems if swallowed.

Recalls happen every year -- many of them far bigger than the ones that have grabbed headlines in 2007. But lists of products deemed unsafe after being shipped to stores don’t usually get the attention that they have of late.

“There’s more awareness,” said Britt Beemer, chairman of America’s Research Group, a consumer marketing firm that conducts nationwide weekly surveys of 8,000 to 15,000 consumers. “The pet story probably brought it home that people should be more concerned about the things made in China than ever before. And the toys issue has the potential of bringing that threat to your children, which makes it even more emotional.”

No injuries have been reported in connection with any of the toys recalled Tuesday. But the Consumer Product Safety Commission, the federal agency that oversees product recalls, said it was unacceptable for any product to be imported with lead paint, which has been banned in the United States for nearly 30 years because of its link to brain and neurological problems.

Still, a spokeswoman for the agency sought to put recent recalls into perspective.

“Of the 409 recalls that the agency has done this year, 44 are toys. That’s a lot less than last year,” said Julie Vallese. “People are paying attention to recalls, and that’s a good thing.”

In toy aisles around Los Angeles on Tuesday, many consumers were aware of the recent problems and concerned.

As he pushed a shopping cart toward the Toys R Us store on La Cienega Boulevard in West L.A., Mark Rosenkrantz, 57, a physicist from Israel, wasn’t sure what he was going to buy for his new grandson. But he said it probably wouldn’t be “anything with paint on it from China.”

“I’m definitely less secure about what I am going to buy now,” he said. “You just can’t be sure, and it raises questions about everything that comes from China.”

Legislators and federal officials have seized on consumer awareness to demand better oversight, more company accountability and industrywide cooperation to safeguard products on U.S. store shelves.

Wall Street analysts were split on the possible repercussions for Mattel and the toy industry as a whole. Some suggested that consumers have short memories, particularly when it comes to trusted brands and toys at holiday time. Other analysts lowered sales and earnings estimates for the company because of the possibility of more lasting consequences.

Mattel said Tuesday that routine product tests late last month -- not the enhanced safety checks put in place after the first recall -- identified lead paint in a “Sarge” toy from the “Cars” movie die-cast vehicle line.

After getting confirmation of those findings at the end of last week, Mattel said the company asked the government to “fast track” a recall of 436,000 of the items -- which look like military Jeeps -- including 253,000 in the U.S.

Mattel said one of its subcontractors, Early Light Industrial Co. in China, engaged another Chinese factory, Hong Li Da, for one part of the decorating process and followed Mattel rules by supplying the second company with an appropriate paint for the job. Mattel said that Hong Li Da, however, instead used an unauthorized paint with lead from another supplier.

Mattel’s bigger announcement Tuesday was an expansion of a recall from November that centered on a design issue rather than a production problem.

The company said 7.3 million Polly Pocket play sets contained small, powerful magnets that could come loose.

If two or more magnets are swallowed, they can attract each other and cause intestinal perforation or blockage, the Consumer Product Safety Commission said. Three reports last year of children who required surgery to correct intestinal perforation after ingesting the magnets prompted the recall of 2.4 million of the dolls and accessories.

Mattel said a renewed examination of similar products, most of which are no longer on the market, prompted it to widen the recall and add 1 million Doggie Day Care play sets, 683,000 Barbie and Tanner play sets and 345,000 Batman and One Piece magnetic action figure sets.

The company said the products make up less than 2% of the roughly 1 billion products it makes each year.

“I’m disappointed about what has occurred,” said Mattel Chief Executive Robert Eckert. “There could be additional recalls; we are testing at a very high level here. What I think is important is that parents understand what we’re doing to fix those issues.”

New procedures put in place after the Fisher-Price recall expand on the company’s previous program of testing raw materials and testing random samples of finished products, said Jim Walter, the company’s head of worldwide quality assurance.

Besides requiring that paint come only from certified suppliers, Mattel will require testing of every batch of paint at every vendor plant. The company also said it would increase unannounced random inspections and would test every batch of finished toys to ensure their safety.

Eckert said he could not put a price tag yet on the new procedures. But the company said the costs of the recall were factored into the $30-million charge it announced after the first lead-paint issue arose.

Some analysts questioned that figure.

Typically, companies think only about the short-term expense of getting bad products off the shelves and fail to consider future costs, said Keenan Yoho, a Rand Corp. supply-chain management specialist who believes that Mattel’s costs could be double its estimate.

“Some parents will say, ‘OK, I only have to worry about these toys,’ but others will eliminate both the immediate threat and the possibility of other threats,” Yoho said.

Gerrick Johnson, an analyst with BMO Capital Markets in New York, reduced earnings and sales forecasts for a second time after Tuesday’s announcement.

“I think people will shy away from certain brands and certain toys because of what’s happened, and I’ve actually seen that already,” said Johnson, who has cut $50 million from his Mattel sales forecasts because of the two recalls.

“People aren’t going to drop Dora and “Cars” products en masse, but on the periphery, you have a few lost sales here and there, they add up.”

Johnson also cautioned that the broader toy market could suffer if parents shy away from Chinese-made goods, which make up about 80% of the toys on U.S. shelves.

At a Toys R Us in Los Feliz, teacher Steve List credited Mattel for quick action in launching the recall.

“I think they corrected the problem very quickly,” he said.

And he added that he wasn’t inclined to check labels every time he headed to the toy store.

“If I like a toy I’m going to buy it,” he said. “Hopefully Toys R Us and Mattel will have dealt with any problems.”

In part as a result of the recent recalls, the federal safety agency said it was talking to the toy industry about setting up an independent system for testing and certifying toy safety, spokeswoman Vallese said.

For more information about the recalled magnet toys, consumers can call Mattel at (888) 597-6597. For the recalled cars, call (800) 916-4997.

On the Web, consumers can check www.service.mattel.com and click on “Recall Information.”

[email protected]

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Recalled toys

Model names and product numbers for the nearly 9 million Mattel Inc. toys recalled in the U.S., according to the Consumer Product Safety Commission:

B2632 Polly Pocket! Polly Place Hangin’ Out House

B3158 Polly Pocket! Polly Place Treetop Clubhouse

B3201 Polly Pocket! Spa Day

B7118 Polly Totally! Polly Place Totally Tiki Diner

G8605 Polly Pocket! Quik-Clik Boutique

H1537 Polly Pocket! Quik-Clik City Pretty Playset

H1538 Polly Pocket! Quik-Clik Sporty Style Playset

H3211 Polly Pocket! Totally Zen Playset

55503 Polly Pocket! Happenin’ Pet Station

B2631 Polly Pocket! Polly Place Magnetic Additions Assortment

B3203 Polly Pocket! Activity Lunchbox

B3204 Polly Pocket! Activity Locker

B3207 Polly Pocket! Collectible Lip Gloss

B3209 Polly Pocket! Collectible Make Up Powder Puff

B3210 Polly Pocket! Dip N’ Dive Pool

B3396 Polly Pocket! Birthday Surprise

B7078 Polly Pocket! Dazzlin’ Pet Show Divine Dogs

B7082 Polly Pocket! Rick’s Magic Show

B7125 Polly Pocket! Sweet Treats

B7127 Polly Pocket! Birthday Mailbox

B7128 Polly Pocket! Stretch Polly Disco Lamp

B7129 Polly Pocket! Jewelry Box Purple

B8478 Polly Pocket! Polly Magnet Bus

B9521 Polly Pocket! Collectible Caboodle

B9522 Polly Pocket! Activity Lunch Box Pink

B9523 Polly Pocket! Activity Locker Orange

B9525 Polly Pocket! Polly Glitter Puff

B9578 Polly Pocket! Collectible Caboodle Purple

B9929 Polly Pocket! Fashion Boutique on the Go

C0504 Polly Pocket! Birthday Mailbox Pink

C0505 Polly Pocket! Jewelry Box Yellow

C1341 Polly Pocket! Disco Lamp

C1342 Polly Pocket! Disco Lamp Purple

G8602 Polly Pocket! Mermaid Stars

G8606 Polly Pocket! Quick Click Playset

G8612 Polly Pocket! Snow Cool Hotel

G8614 Polly Pocket! Quick Click House of Style Playset

G8615 Polly Pocket! Totally Beadiful Jewelry Maker

G8616 Polly Pocket! Quick Click Penthouse

H1553 Polly Pocket! Quick Click Movie Time Playset

J1659 Polly Pocket! Pollywood Limo-Scene Vehicle

J1661 Polly Pocket! Pollywood Dial A Style Lila

J1662 Polly Pocket! Pollywood Dial A Style Lea

J1670 Polly Pocket! Stick N’ Style

J1681 Polly Pocket! Pollyworld Rockin’ Theme Park Playset

J1687 Polly Pocket! Pollyworld Dress N’ Drive Lounge Playset

J1695 Pollyworld Theme Park Party Quick Click Doll and Fashion

J4169 Polly Pocket! Pollyworld Quick Click Polly Doll

J4170 Polly Pocket! Pollyworld Quick Click Crissy Doll

J4171 Polly Pocket! Pollyworld Quick Click Lea Doll

J4172 Polly Pocket! Pollyworld Quick Click Shani Doll

J9305 Polly Pocket! Pollyworld Costume Art Lea

J9306 Polly Pocket! Pollyworld Gift Shop Lila

J9648 Polly Pocket! Twirl and Swirl Beauty Case

J9965 Pollyworld Dial a Song Polly Fashions

J9966 Pollyworld Dial a Song Polly Fashions

K3460 Pollyworld Rockin’ Tour Bus

H1554 Polly Pocket! Quick Click Pool Party Playset

H1532 Doggie Day Care Coco

H1533 Doggie Day Care Sparley

G4461 Doggie Day Care Lula and Baby

G4462 Doggie Day Care Crockett and Baby

G4464 Doggie Day Care Taffy and Baby

G4459 Doggie Day Care Snack Time with Cookie

G4460 Doggie Day Care Diaper Change with Ginger

H1530 Doggie Day Care Ice Cream with Ranger

G9703 Doggie Day Care Puppy Park with Dixie

G4457 Doggie Day Care Dream House Nursery with Honey

G4458 Doggie Day Care Bath Time with Beau

J9472 Barbie and Tanner play set

J9560 Barbie and Tanner play set

M1253 “Sarge” toy car sold alone

K5925 “Sarge” toy car sold in a package of two

J1944 Batman Magna Battle Armor Batman figure

J1946 Batman Magna Fight Wing Batman figure

J5114 Batman Secret ID figure

J5115 Batman Flying Fox figure

J4142 One Piece Triple Slash Zolo Roronoa figure