Borders files for bankruptcy

FF2 · 02-16-2011, 09:53 AM

Chapter 11 and to close stores

http://news.yahoo.com/s/nm/20110216/bs_nm/us_borders

questionfear · 02-16-2011, 10:29 AM

Sad day...I think everyone knew it was coming, but still a bummer.

shorttimer1 · 02-16-2011, 10:41 AM

They did say it would be all Superstores they are closing and not Waldenbooks or Borders Express. They will continue to honor gift cards but with so much debt their selection will probably deteriorate. They already owe bunches to the publishers. Personally, I doubt this storied company will be able to pull a rabbit out of its hat.

queentess · 02-16-2011, 10:45 AM

What's with all the "Borders was liberal and that's what killed it" comments on that website?

jsites · 02-16-2011, 10:54 AM

Quote:

Originally Posted by queentess

What's with all the "Borders was liberal and that's what killed it" comments on that website?

The giant stacks of Sarah Palin, Bill O'Reilly, Glenn Beck, and other Republican-authored books in the Borders I work at tends to differ with those comments.

We tend to sell more right-leaning books than left-leaning ones.

Luckily, the store I work at is a very profitable store, with no competition anywhere around, so I don't foresee our store ever closing until they close down every store.

Kali Yuga · 02-16-2011, 11:14 AM

AFAIK Borders is getting a $500 million loan to prolong the misery.

In the short term they shouldn't have a problem with gift cards or supply, though it will take a few weeks for them to catch up on what they owe the publishers and distributors.

bill_mchale · 02-16-2011, 11:20 AM

Gift cards are kind of complicated. In one sense they are a liability, since they represent goods and services they have already received money for that they still have to provide. On the flip side, I remember reading something years ago that said that a company was not allowed to record a profit associated with a gift card until it had been spent. So Borders probably is hoping that lots of people who received gift cards for Christmas comes in and uses them.

--
Bill

ardeegee · 02-16-2011, 11:23 AM

Quote:

Originally Posted by queentess

What's with all the "Borders was liberal and that's what killed it" comments on that website?

Give a child a hammer and the whole world looks like a nail.

AnemicOak · 02-16-2011, 11:29 AM

Here's a sortable chart of the stores being closed...

http://s.wsj.net/public/resources/do..._20110216.html

Looks like four of the seven in the metro area here are getting the ax.

tubemonkey · 02-16-2011, 11:40 AM

Quote:

Originally Posted by AnemicOak

Here's a sortable chart of the stores being closed...

http://s.wsj.net/public/resources/do..._20110216.html

In a 50 mile radius of me, there are 11 Borders. Two of them are on the hit list, and also are the only stores that will be closed in my state.

AnemicOak · 02-16-2011, 11:41 AM

For those who have bought eBooks through Borders.com Kobo says they're safe...
http://blog.kobobooks.com/2011/02/16/kobo-update/

soondai · 02-16-2011, 11:48 AM

yup, the one I hang out at every week while the wife and kiddo do Gymboree is getting the axe. gonna miss it

Anthem · 02-16-2011, 11:48 AM

Hats off, a moment of silence.

They are closing the only one that is near me, so there ends my relationship with Borders.

boswd · 02-16-2011, 11:50 AM

I think people have to understand the word Bankruptcy does not automatically equate they are folding.

This is chapter 11 which is restructuring and protection from creditors. This isnt like Circuit City's bankruptcy where they were liquidated.

yes some stores will close, there will be tough decisions to be made. Some companies have emerged from Chapter 11's in the past and have done just fine. Kmart is a good example, they emerged and actual went on to buy out Sears and then Land's End.

It just seems we are trained to think Bankruptcy = closed up for good. That is not the case.

I can see Barnes and Noble closing some of it's store's in the future as well. It's taking a step backwards in hopes of taking two steps forward.

I'm not saying that it's doors closing for good isn't a possibliity in the future, I 'm just pointing out that bankruptcy doesn't automatically mean that. There are many different types of Bankkruptcy.

abookreader · 02-16-2011, 11:55 AM

I think I'm going to have to grit my teeth and throw some of my business toward Barnes and Noble. It isn't good for consumers for Amazon to have no viable competition at all.

02-16-2011, 09:53 AM	#1
FF2 Wizard Posts: 1,105 Karma: 1025784 Join Date: Oct 2010 Device: WiFi Kindle3	Borders files for bankruptcy Chapter 11 and to close stores http://news.yahoo.com/s/nm/20110216/bs_nm/us_borders

02-16-2011, 11:29 AM	#9
AnemicOak Bookaholic Posts: 14,391 Karma: 54969924 Join Date: Oct 2007 Location: Minnesota Device: iPad Mini 4, AuraHD, iPhone XR +	Here's a sortable chart of the stores being closed... http://s.wsj.net/public/resources/do..._20110216.html Looks like four of the seven in the metro area here are getting the ax. Last edited by AnemicOak; 02-16-2011 at 11:43 AM.

02-16-2011, 11:50 AM	#14
boswd Banned Posts: 2,391 Karma: 1001781 Join Date: May 2010 Device: The Nook, Nook color and Droid X	I think people have to understand the word Bankruptcy does not automatically equate they are folding. This is chapter 11 which is restructuring and protection from creditors. This isnt like Circuit City's bankruptcy where they were liquidated. yes some stores will close, there will be tough decisions to be made. Some companies have emerged from Chapter 11's in the past and have done just fine. Kmart is a good example, they emerged and actual went on to buy out Sears and then Land's End. It just seems we are trained to think Bankruptcy = closed up for good. That is not the case. I can see Barnes and Noble closing some of it's store's in the future as well. It's taking a step backwards in hopes of taking two steps forward. I'm not saying that it's doors closing for good isn't a possibliity in the future, I 'm just pointing out that bankruptcy doesn't automatically mean that. There are many different types of Bankkruptcy. Last edited by boswd; 02-16-2011 at 11:55 AM.

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02-16-2011, 10:29 AM	#2
questionfear Connoisseur Posts: 73 Karma: 1516 Join Date: Mar 2008 Device: Amazon Kindle 3	Sad day...I think everyone knew it was coming, but still a bummer.

02-16-2011, 10:41 AM	#3
shorttimer1 Enthusiast Posts: 41 Karma: 762676 Join Date: Feb 2011 Device: Kindle KB X3 Kindle Fire HD 32GB	They did say it would be all Superstores they are closing and not Waldenbooks or Borders Express. They will continue to honor gift cards but with so much debt their selection will probably deteriorate. They already owe bunches to the publishers. Personally, I doubt this storied company will be able to pull a rabbit out of its hat.

02-16-2011, 10:45 AM	#4
queentess Reading is sexy Posts: 1,303 Karma: 544517 Join Date: Apr 2009 Device: none	What's with all the "Borders was liberal and that's what killed it" comments on that website?

02-16-2011, 11:14 AM	#6
Kali Yuga Professional Contrarian Posts: 2,045 Karma: 3289631 Join Date: Mar 2009 Device: Kindle 4 No Touchie	AFAIK Borders is getting a $500 million loan to prolong the misery. In the short term they shouldn't have a problem with gift cards or supply, though it will take a few weeks for them to catch up on what they owe the publishers and distributors.

02-16-2011, 11:20 AM	#7
bill_mchale Wizard Posts: 1,451 Karma: 1550000 Join Date: Sep 2008 Location: Maryland, USA Device: Nook Simple Touch, HPC Evo 4G LTE	Gift cards are kind of complicated. In one sense they are a liability, since they represent goods and services they have already received money for that they still have to provide. On the flip side, I remember reading something years ago that said that a company was not allowed to record a profit associated with a gift card until it had been spent. So Borders probably is hoping that lots of people who received gift cards for Christmas comes in and uses them. -- Bill

02-16-2011, 11:41 AM	#11
AnemicOak Bookaholic Posts: 14,391 Karma: 54969924 Join Date: Oct 2007 Location: Minnesota Device: iPad Mini 4, AuraHD, iPhone XR +	For those who have bought eBooks through Borders.com Kobo says they're safe... http://blog.kobobooks.com/2011/02/16/kobo-update/

02-16-2011, 11:48 AM	#12
soondai Guru Posts: 672 Karma: 1109784 Join Date: Aug 2010 Device: Paperwhite	yup, the one I hang out at every week while the wife and kiddo do Gymboree is getting the axe. gonna miss it

02-16-2011, 11:48 AM	#13
Anthem Guru Posts: 704 Karma: 1622328 Join Date: Dec 2010 Location: USA Device: Kindle Oasis, OnePlus Nord	Hats off, a moment of silence. They are closing the only one that is near me, so there ends my relationship with Borders.

02-16-2011, 11:55 AM	#15
abookreader Wizard Posts: 1,516 Karma: 2567610 Join Date: Oct 2009 Device: Kindles - Keyboard, Fire, 2-US, iPhone, iPAD	I think I'm going to have to grit my teeth and throw some of my business toward Barnes and Noble. It isn't good for consumers for Amazon to have no viable competition at all.

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