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Old 02-16-2011, 12:35 PM   #25
bill_mchale
Wizard
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Quote:
Originally Posted by queentess View Post
This is correct. Even if they have the cash in hand, they cannot record it as a revenue until the card is spent (which is why many cards have an expiration date). However, Borders is having a cash problem ("liquidity shortfall"), so even if people use their cards (which I did, in case they close the only Borders in my area) it doesn't really help them.
In many respects you are right. That being said, the more revenue they can record, the more likely that they will be able to find creditors who will support their efforts and reorganizing.

One way or the other, I suspect we will know in six months or so if they are successful.

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Bill
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