FrankThePunisherCastle
Level: 30


POSTS: 98/319
POST EXP: 18210
LVL EXP: 164170
CP: 56.3
VIZ: 35764

From Reuters:


Quote:
NEW YORK (By Phil Wahba) - Borders Group Inc, the second-largest U.S. bookstore chain, filed for bankruptcy protection, after years of sharp sales declines that made it impossible to manage its crushing debt load, and it plans to close nearly one-third of its stores.
Its inability to garner significant online business and its near absence from the growing digital books market have made it difficult for Borders to compete with larger rival Barnes & Noble Inc and online retailer Amazon.com Inc.
Borders had liabilities of $1.29 billion and assets of $1.28 billion as of December 25, 2010, according to documents filed on Wednesday with U.S. Bankruptcy Court in Manhattan.
Borders Group President Mike Edward said in a statement that the chain "does not have the capital resources it needs to be a viable competitor."
Borders said in January it might have to file for bankruptcy if it could not meet certain conditions for securing a $550 million credit facility from GE Capital, a unit of General Electric Co (GE.N: Quote, Profile, Research, Stock Buzz).
It failed to meet those conditions, which included arranging financings with other lenders, vendors and landlords.
In bankruptcy, GE Capital will provide Borders with $505 million in debtor-in-possession financing to allow it to continue operating, contingent on court approval.

Borders, whose second largest shareholder William Ackman has said it was his worst investment ever, had been preserving its cash by delaying payments to suppliers, such as publishers and landlords.
Sales at Borders declined by double-digit percentage rates in 2008, 2009 and in each quarter in 2010 it has reported.
Borders, which has 6,100 full time staff, operates 508 namesake superstores as well as a chain of smaller Waldenbooks stores.
The company said it would close about 30 percent of its stores in the next several weeks and plans to continue to pay its employees.
Borders' largest unsecured creditors include major publishers that provide the books it sells. Borders owes Pearson PLC's Penguin $41.2 million, Hachette Book Group USA $36.9 million, and CBS's Simon & Schuster $33.8 million, according to court documents.
The case is In re: Borders Group Inc, U.S. Bankruptcy Court, Southern District of New York, No: 11-10614.
(Reporting by Phil Wahba; additional reporting by Santosh Nadgir; Editing by Derek Caney)
----------------------------------------------------------------------------------------
your thoughts or feed back

GrowlitheGolbat

Member
Affected by 'Laziness'

Position: Member
Since: 03-11-11
From: USA
Last Post: 8 days
Last Active: 8 days

JazzCoon
Level: 42


POSTS: 445/629
POST EXP: 35725
LVL EXP: 507708
CP: 0.0
VIZ: 69

What a shame. I loved Borders.....

Mandolorian Shock Trooper
Affected by 'Laziness'

Position:
Since: 08-17-10
From: Mineral Wells, Texas
Last Post: 546 days
Last Active: 545 days

FrankThePunisherCastle
Level: 30


POSTS: 105/319
POST EXP: 18210
LVL EXP: 164170
CP: 56.3
VIZ: 35764

So I have another question for the vizzed crew : What was your last item or items that you brought at boarders before it went under?

GrowlitheGolbat

Member
Affected by 'Laziness'

Position: Member
Since: 03-11-11
From: USA
Last Post: 8 days
Last Active: 8 days

soxfan849
Level: 58


POSTS: 99/1365
POST EXP: 94039
LVL EXP: 1505167
CP: 2008.2
VIZ: 187815

I've never actually even seen a Borders. All I have near me is a library and a Barnes and Noble. And with the movement toward e-readers like Amazon's kindle, I won't be too surprised when Barnes and Noble goes under.

The Reaper
Affected by 'Laziness'

Position: Elite
Since: 01-09-11
From: soxfan849
Last Post: 2 days
Last Active: 11 hours

geeogree
Level: 224


POSTS: 14985/21140
POST EXP: 1271607
LVL EXP: 170800990
CP: 3000.0
VIZ: 817732

.... filing for bankruptcy protection doesn't mean the company is going to disappear. More than likely the company will get restructured and will dump the worst performing stores and be back shortly.

I had never heard of Borders before, but I live in Canada We don't have any where I live.

Muck
Elara: "You are, of course, the undisputed master of the ban hammer. You're like Thor for Vizzed."
Affected by 'Carpal Tunnel Syndrome'

Position: Admin
Role: Moderator Manager

Since: 01-03-05
From: Alberta, Canada
Last Post: 19 hours
Last Active: 9 hours

FrankThePunisherCastle
Level: 30


POSTS: 127/319
POST EXP: 18210
LVL EXP: 164170
CP: 56.3
VIZ: 35764

I guess I will have to Go to the mall now for my books and CD's are rare
back orders of sound tracks and dvd Borders was like a one stop shop for
some people My Borders recipet will be locked away and saved

GrowlitheGolbat

Member
Affected by 'Laziness'

Position: Member
Since: 03-11-11
From: USA
Last Post: 8 days
Last Active: 8 days

BNuge
Level: 110


POSTS: 2649/5608
POST EXP: 358844
LVL EXP: 14210181
CP: 3124.0
VIZ: 511598

I only go for calendars once a year. Any books that I want can be reserved on the library's massive network for free.

Third Place in Feb 2011 VCS Achieved Ravering Syndrome + on Jan 6, 2012
Affected by 'Laziness'

Position: Elite
Since: 04-30-10
From: Northeast US
Last Post: 16 days
Last Active: 12 days

Elara
Level: 101


POSTS: 1664/3267
POST EXP: 268991
LVL EXP: 10420187
CP: 372.9
VIZ: 148753

They are closing 1/3 of their stores... that means that the other 2/3 will remain open. The outlet store near me is one of the ones that is closing, and I bought the hardcover Prisoner of Azkaban for $13 thanks to the massive sales.

Vitreous
Dark Elf Goddess
Penguins Fan
Affected by 'Laziness'

Position: Elite
Since: 12-08-04
Last Post: 5 days
Last Active: 2 days