KMart has a toy clearance sale twice a year. During this sale, all clearance items are an additional 50% off. I went in today and found a large display at the front of the store, an aisle of clearance in the toy department and a section of clearance toys that had been placed in the garden center. They also had 15 or so carts waiting for a place to go. Many items in the carts had clearance stickers and I suspect the others will soon. According to the employees at the store nearest me, they are adding new items to the clearance daily.
Some of the items I saw today were: the Toy Story LeapFrog Tag Readers for $15, Tag books for $5, iXL cartridges, vtech cartridges, a couple of Leapster Explorer games for $10, Play-Doh, Handy Manny, Imaginext, Polly Pocket, Barbie, Toy Story and a lot more. I believe that the clearance only lasts one week.