When Toys R Us secured a $3.1 billion bankruptcy loan in September, toy makers were reassured they would be paid for goods delivered to the company as it tried to emerge from Chapter 11.

Now those payments are at risk in a dramatic turn of events as the iconic toy retailer speeds toward U.S. liquidation.

More than a dozen executives, specialists and lawyers interviewed by Reuters said they expected many small vendors to go bankrupt due to the disappearance of Toys R Us and Babies R Us in the United States.