tangent4ronpaul
02-16-2011, 12:02 PM
http://online.wsj.com/article/SB10001424052748703373404576147922340434998.html
Borders Group Inc. filed for Chapter 11 protection Wednesday and said it will close about 30% of its stores nationwide in the coming weeks.
The struggling operator of the Borders and Waldenbooks chains sought protection from its creditors in the U.S. Bankruptcy Court in Manhattan a month after it warned it may have to restructure the company in Chapter 11.
"It has become increasingly clear that in light of the environment of curtailed customer spending... and the company's lack of liquidity, Borders Group does not have the capital resources it needs to be a viable competitor," said Borders Group President Mike Edwards in a statement.
[...]
Earlier this week, a count of Borders stores using its store locator found it had 644 stores in 48 states, Washington, D.C., and Puerto Rico.
[...]
In its bankruptcy petition, Borders listed assets of $1.28 billion and liabilities of $1.29 billion as of Dec. 25.
[Uh - HELLO - US GVMT!!!!]
On its website Wednesday, Borders told customers that it will continue business operations "as normal."
[...]
The Borders brothers sold their company to Kmart Corp. in 1992, which already owned the Waldenbooks mall bookstore chain. Three years later, Kmart spun off Borders Group Inc. at $14.50 per share at a time when book superstores were beginning to dominate the bookselling landscape.
A decade ago, Borders was neck-and-neck with chain rival Barnes & Noble Inc. But in 2001, it made a crucial mistake: it transferred its online business to Amazon.com Inc., surrendering the potential opportunity to build long-term relationships with millions of customers who increasingly favored shopping via the Web. The bookseller got back into the online business in 2008 with Borders.com, but by then Amazon was the dominant Web retailer for books.
[...]
========
Few notes here: 30% of Borders and Walden books stores will most likely be having going out of business sales - good chance to pick up RP and other books.
I saw a related headline, but haven't tracked it down again, about Amazon closing one of it's book distribution warehouses in Tx due to a state tax hike.
Interesting waves in the economy these days...
-t
Borders Group Inc. filed for Chapter 11 protection Wednesday and said it will close about 30% of its stores nationwide in the coming weeks.
The struggling operator of the Borders and Waldenbooks chains sought protection from its creditors in the U.S. Bankruptcy Court in Manhattan a month after it warned it may have to restructure the company in Chapter 11.
"It has become increasingly clear that in light of the environment of curtailed customer spending... and the company's lack of liquidity, Borders Group does not have the capital resources it needs to be a viable competitor," said Borders Group President Mike Edwards in a statement.
[...]
Earlier this week, a count of Borders stores using its store locator found it had 644 stores in 48 states, Washington, D.C., and Puerto Rico.
[...]
In its bankruptcy petition, Borders listed assets of $1.28 billion and liabilities of $1.29 billion as of Dec. 25.
[Uh - HELLO - US GVMT!!!!]
On its website Wednesday, Borders told customers that it will continue business operations "as normal."
[...]
The Borders brothers sold their company to Kmart Corp. in 1992, which already owned the Waldenbooks mall bookstore chain. Three years later, Kmart spun off Borders Group Inc. at $14.50 per share at a time when book superstores were beginning to dominate the bookselling landscape.
A decade ago, Borders was neck-and-neck with chain rival Barnes & Noble Inc. But in 2001, it made a crucial mistake: it transferred its online business to Amazon.com Inc., surrendering the potential opportunity to build long-term relationships with millions of customers who increasingly favored shopping via the Web. The bookseller got back into the online business in 2008 with Borders.com, but by then Amazon was the dominant Web retailer for books.
[...]
========
Few notes here: 30% of Borders and Walden books stores will most likely be having going out of business sales - good chance to pick up RP and other books.
I saw a related headline, but haven't tracked it down again, about Amazon closing one of it's book distribution warehouses in Tx due to a state tax hike.
Interesting waves in the economy these days...
-t