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Borders now on the brink of death

Written by Andre Yoskowitz (Google+) @ 13 Jul 2011 23:10 User comments (5)

Borders now on the brink of death It appears that a recent Borders deal with invester Jahm Najafi has fallen apart today, leaving the struggling book store chain on the brink of death.
Najafi offered $215 million for the company, plus the assumption of $220 million in liabilities, assuming publishers would give him normal trade terms.

As of today, many had agreed, but a few major ones had not, leaving the company on the brink as Najafi withdrew his bid.

Furthermore, a liquidating group has offered $252 million for the chain, which creditors believe to be a better deal.

If sold to the liquidator group, however, all 399 stores will be closed and 11,000 employees will be out of work.

Borders President Mike Edwards has told employees he is hopeful that new bidders will come in before next week, when the bankrupt chain goes into auction, but if no one steps up then the world has seen the end of Borders.

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5 user comments

113.7.2011 23:27

The Kobo was just too little too late.

I wonder if this has something to do with the fact that Borders are only located within 150 feet of (much better) Barnes-n-Noble stores.



214.7.2011 14:18

I think both are crap. Any book I need I can either get at a used bookstore or online both of which are incredibly cheaper.

314.7.2011 15:02

I wonder if it has anything to do with letting all those deadbeats read whatever they wanted without paying.

416.7.2011 7:24

Originally posted by Hrdrk20:
I wonder if it has anything to do with letting all those deadbeats read whatever they wanted without paying.
That was one of their most profitable ventures ever...people come in and read a book in-store...it takes them 8-10 hours, during which time they would eat and drink from the overpriced coffee bar. Then they would leave without the book, having spent far more than the cost of the book they read!


517.7.2011 9:00

Bit of a shame.

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