In a conference call with vendors on Friday, Borders executives reiterated the Pollyannish view that they have held since their “not a liquidity crisis” days, asking major suppliers to treat them like a normal business even though they are not. The company confirmed what’s been part of the plan since their bankruptcy filing: “the decision will be made early next week” (now this week) on how many additional stores to close. They are allowed a maximum of 75 additional store liquidations (though a Borders spokeswoman indicated that number is closer to 20 to 25 stores at the moment) and are […]
Bookstores
Briefs: ‘Heaven Is For Real’ A Sleeper Hit; Whitcoulls For Sale; Continuing Fenn Fallout; And More
Heaven Is For Real, recounting evangelical pastor Todd Burpo‘s the-four year old son Colton’s otherworldly experience while undergoing surgery for a burst appendix, has proven to be a sleeper paperback hit for Thomas Nelson. The publisher tells the NYT the book (co-written with Sarah Palin ghostwriter Lynn Vincent) had “broken company sales records”, going back to press 22 times on an initial print run of 40,000 copies since the book’s November release. There are now more than 1.5 million copies in print (and “hundreds of thousands of copies” sold) with strong sales in both Barnes & Noble and Christian specialty markets. […]
Borders Creditors Say Financing Favors Lenders Too Much–And Warn Bookseller Needs A Real Plan By June
The committee of unsecured Borders creditors filed an objection in bankruptcy court Thursday afternoon over the terms of Borders’ debtor-in-possession financing, which they view to be “unreasonable, overreaching and otherwise inappropriate.” The main contention is that Borders borrowed more money than they actually need, creating oversized fees in the millions of dollars for lenders, which only reduces the available funds to pay back creditors. The filing argues that the lenders used their leverage “to impose the objectionable provisions” which Borders was “forced to agree to,” knowing that the bookseller “was on the brink of collapse” before filing for Chapter 11.” […]
NYSE Officially Delists Borders Stock; Seattle’s Best Complains Bankruptcy Will ‘Expose Trade Secrets’
The New York Stock Exchange somewhat obviously filed notice with the SEC that they will officially delist Borders stock on March 21, noting “the uncertainty as to the timing and outcome of the bankruptcy process, as well as the ultimate effect of this process on the Company’s common stockholders. Borders stock was suspended when they filed chapter 11, and even though the company had 10 days to appeal, they did not do so. SEC Filing Meanwhile, Starbucks subsidiary Seattle’s Best Coffee lodged an objection with the bankruptcy court on the grounds that Borders closing 200 stores could damage the company’s […]
Riggio Sees Expanding Market, For Digital, Stores and Publishers Alike
Barnes & Noble chairman Len Riggio was the keynote speaker at this morning’s annual meeting of the Association of American Publishers (AAP), his first appearance there in 11 years, when he was excited about the possibilities the Rocket eBook held for his company and the industry at large. “Think of all that could have happened had we all led tje digital age together instead of following it,” Riggio said. His primary message was that “too many of us see bookselling as a zero sum game–that there’s a limit to how many books people will buy and how many books people […]
Borders Lease Costs, Remaining Australian Stores for Sale, and Indie Closings
In reporting their recent quarterly earnings, Agree Realty took a $7.7 million impairment charge related to four leases for Borders stores that are currently being liquidated and another two stores that were closed earlier in the year. They retain exposure on additional store leases, as well as the lease on the Borders headquarters building in Ann Arbor. The company reduced their dividend by 22 percent because of Borders, which they say “should provide the company with sufficient liquidity and flexibility to accommodate any further development in the bankruptcy.”Crains Detroit Last Friday the Borders bankruptcy judge declined to hear arguments on […]