MGA Entertainment CEO Isaac Larian breaks down how the toy giant is donating masks and goggles for doctors. He joins Yahoo Finance’s On The Move to discuss.

Video Transcript

JULIE HYMAN: Well, as we've been talking about, there have been a lot of companies that have re-mobilized, or shifted manufacturing operations, or tried to help in other ways amidst this coronavirus crisis. We're joined now by Isaac Larry. And he's MGA Entertainment founder and CEO, frequent guest on the program.

Isaac, it's great to talk to you. You have instituted something called Operation Pac-man, appropriately enough being in the toy business. What does this entail for you? Because I know there's sort of a manufacturing portion, but also just an outright donation portion. So talk to me about that part first.

ISAAC LARIAN: Thank you, Julie. Yes, we are-- we have definitely launched Operation Pac-man. Pac-man is going to eat the coronavirus one at-- one time or maybe more. We are launching MGAcares.org later on this afternoon.

To date, we have imported and distributed over 250,000, all donated, of the masks. We have more than 1.5 million pieces on order to come. We have goggles on the way here. These are all for the front line doctors, nurses, paramedics only. That's how we are donating them. And we are going to do a lot more.

The other thing we are doing is that we are-- as you know, we have Little Tykes in Hudson, Ohio. And we are fast retooling that facility to be able to provide and make medical supplies for this unfortunate pandemic. And that's where we are. You know, toy business, toy companies have a lot of-- a lot of different sources of supply. And we have taken a lead to do that.

Frankly, at 66, I'm working 20 hours a day, 80% of my time devoted to this. So I'm not sitting home in the sun relaxing. And I encourage everybody else in the toy business to please, please, please help anything you can, anything you can.

ADAM SHAPIRO: Isaac?

ISAAC LARIAN: Yes. I'm sorry. Go ahead.

ADAM SHAPIRO: Hi, Isaac. It's Adam Shapiro. I'm curious.

ISAAC LARIAN: Right.

ADAM SHAPIRO: So we are-- we're seeing, for instance, you're doing this. We're seeing that New Balance. LL Bean, a lot of companies across the country are now manufacturing the masks and the medical supplies. But is anybody coordinating with you, either from the federal government, or from the Governors Association, to make sure that the areas that need these devices immediately get them immediately?

ISAAC LARIAN: Adam, to be very frank and brutally honest with you, the answer is no, except for the Mayor of LA, Eric Garcetti, who's been very, very proactive. And he has been pointing me what hospitals, where to send supplies. Beside that, I haven't heard from anybody. We have tried to reach Governor of California. We have tried to reach the Governor of Ohio. I mean, we are not making any money, a penny on this. We want to help.

And the other thing I'm very worried about is, Adam, to be very candid with you, the bureaucracy and red tape that exists. So we're not giving these to a city or state to distribute. We are going directly to the hospitals. And this website that we're launching today allows the front line hospital workers to contact us directly and tell us what they need, and we will ship it to them.

DAN HOWLEY: Hey, Isaac, this is Dan Howley. I just have a question. You talk about in the announcement here that you're going to be able to go to factories overseas and have them produce masks and then bring them over. How is it that companies are able to do this, but we hear from, you know, the government, you know, states, cities, that they're unable to get access to these masks? Where is this disconnect coming from?

ISAAC LARIAN: The disconnect is the difference between entrepreneurs and the bureaucrats at the government. The other-- that's very plain. And the other issue is that there are a lot of-- there's a lot of, unfortunately, profiteers in the middle here.

We're buying, for example KN95 masks, which are FDA and CE approved for $1.65. And again, we are donating all of those. And yet, the cities are paying for $4, $5, $6 for these masks. I don't-- somebody in the middle is making a lot of money on this-- from on this unfortunate event, which, frankly, sickens me.

JULIE HYMAN: Isaac, while you're doing all of this, what's going on with your underlying business? Are you seeing people who are stuck at home with their kids-- me included-- or are you seeing them order toys? Or are you seeing a drop, because a lot of people's incomes are compromised right now?

ISAAC LARIAN: Excellent question, Julie. Surprisingly, we are seeing our sales to be very, very good. Little Tykes sales have increased over 120% from last year same time. And the reason is that parents are buying these toys, especially Little Tykes, to keep their keep their kids occupied and busy in the backyard, so they, the kids, can have physical and mental health and so can have parents.

So we have seen a major increase in sales. As a matter of fact, we are on Little Tykes, made in the USA, made in Ohio, now we have so much orders that we're allocating.

JULIE HYMAN: Wow, interesting stuff. We all need what we can for both our kids and our own mental health these days. Isaac Larian, MGA Entertainment founder and CEO. Thank you, as always. Good to talk to you.

ISAAC LARIAN: Thank you, Julie. Thank you, Adam. Goodbye.