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Borders Books

February 16, 2011 by · Comments Off on Borders Books 

Borders Books, Headquartered in Ann Arbor, Mich., through its subsidiaries, Borders Group, Inc. (NYSE: BGP) is a leading specialty retailer of books and other educational and entertainment elements. The company employs about 19,500 across the United States, primarily in its borders and Waldenbooks stores. Online shopping is offered by borders.com

On January 30, 2010, the company operated 511 stores in the U.S. Borders, including 508 in the United States and three in Puerto Rico. The company also operates 175 stores in the Waldenbooks Specialty Retail segment, including Waldenbooks, Borders Express, Borders airport stores, and Borders Outlet stores.

On February 16, 2011, the company announced it had filed for protection under Chapter 11 bankruptcy, listing assets of $ 1.275 billion U.S. dollars and 1.293 billion of debt in its filing.

Borders U.S. bookstore chain announced Wednesday it has requested bankruptcy protection from its creditors so it can reorganize itself and regain its position as “a seller delivers stronger and more dynamic.”

“It has become increasingly clear that, given the environment of customer spending limits, our ongoing discussions with publishers and other vendor parts thereof, and the lack of liquidity of the company, Borders Group has the financial resources it needs to be a viable competitor that are essential to move forward with its corporate strategy to reposition itself successfully in the long term, “Frontiers President Mike Edwards said in a statement.

The 40-year Borders Group has long struggled to stay afloat as more people are buying books online in electronic form, or in grocery stores.
Stores in Wyomissing, Berks County, Langhorne, Bucks County, Whitehall Township, Lehigh County, and King of Prussia, Montgomery County are among the approximately 30 percent, or about 200 stores, ending in the next weeks, the company said.

[source: via wikipedia and various online sources]

Borders Bankruptcy

February 16, 2011 by · Comments Off on Borders Bankruptcy 

Borders Bankruptcy, (CNN) – Borders Group has filed for Chapter 11 bankruptcy and plans to close about 200 of its stores and reduce its staff, a retailer in the nation’s second book, said Wednesday. “It has become increasingly clear that, given the environment of customer spending limits, our ongoing discussions with publishers and other vendor parts thereof, and the lack of liquidity of the company , Borders Group has the financial resources it needs to be a viable competitor, “the company said in a statement.  As we do close our stores, ultimately there will be staff reductions, “said spokesman Donald Cutler borders. But he did not say how many workers would lose their jobs.

Borders ranks just behind Barnes & Noble (BKS, Fortune 500) in the chains of the nation’s bookstores. It currently has 659 stores and employs nearly 20,000 workers, including 5,842 full-time employees, both regular and temporary employees and 13,661 part-time, “said Cutler.

The bankruptcy filing by borders is a sign of change in technology and business model that shook the industry to sell books, “said G. Logan Jordan, associate dean at Purdue University Krannert School of Management.  The booksellers have faced three major waves of change, “said Jordan. “The first wave was the power that came from the Internet, allowing online purchases and orders,” he said. . The second wave was the power of data systems and customer relationship management to anticipate trends and interests and promote the good books at the right time to the right customer is now the third wave -. The e-book or electronic ”

Jordan says that these changes in technology have changed the cascading behavior of buyers and reduces the value of distribution assets established brick and mortar stores such as Borders wants to close.

Borders Group Inc. said it will close five stores Indiana after the bankruptcy filing. The bookseller said it will close 30 percent of its sites across the country. Purdue University Krannert School of Management Dean G. Jordan Logan said the filing is a sign of the ASA model changes in technology and business that have shaken the traditional industry of the library.

Source: Purdue University, Borders Group Inc.

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