Add Arkansas and Connecticut to the list of states Amazon is cutting ties with over new sales tax laws. In Arkansas, where the law enables the state to charge sales tax on companies who exceed $10,000 in annual sales, Amazon notified associates by email that it would terminate their contracts on July 24. And in Connecticut, affiliates will be cut off “effective immediately,” per a separate Amazon email. AP UPI Kobo is said to be preparing its own ebook lending and self-publishing services to launch before the end of the year. GoodeReader Waterstone’s sale to Alexander Mamut will not affect […]
Finance
A Boston Borders Is Closing-And the 50 Others that Might
Manager of Borders Downtown Crossing store in Boston store manager Don Durica told the Boston Herald that his store is definitely closing after being unable to renegotiate their lease. That store is one of the 51 on a list Borders provided to the bankruptcy court as locations they might liquidate to remain in compliance with their DIP financing. At the same time, Borders has emphasized in their filing and public statements that they hope they will need to close only some of those locations. In a supplementary motion on Thursday, the AlixPartners managing director who serves as Borders svp, restrucuting […]
Borders May Close Up to 51 More Stores to Avoid Defaulting On Latest Loans
As potential bidders emerge for more than 200 of Borders’ superstores in a deal the company hopes will close in the next two to four weeks, the retailer may need to close an additional 51 stores and liquidate assets to avoid defaulting on their debtor-in-possession loan in the meantime. According to a motion filed in court Thursday morning, the move may result in worse terms for creditors, since the closed stores would not be available for sale to a bidder–and at least some of them are stores that “buyers have indicated that they also wish to purchase.” Though Borders hasn’t […]
Aletheia Continues to Sell Barnes & Noble Stock; BN Files Pre-Emptive Suit Against Chipmaker
The mysterious masters (or mischievous monkeys?) who run the trading desk at Aletheia Research & Management continue their daily churn of Barnes & Noble stock, buying and selling strange blocks of shares day after day. But the trend of slimming their position continues; in the reported period since April 25, the firm reduced their holdings to 8.65 percent of all shares, down from about 10.4 percent. In other BN news, the company filed a pre-emptive suit in a San Francisco federal court recently against chipmaker LSI, seeking to protect itself from potential claims of patent infringement in their Nook devices. […]
Najafi Said to Join Borders Hunt
The Wall Street Journal says that private-equity firm Najafi–the company willing to take Bookspan/Direct Brands off of Bertelsmann’s hands–has joined negotiations as a potential acquirer of some significant portion of Borders 265 superstores. A prospective buyer would acquire Borders’ web site and customer lists, reaffirming our initial inference that a buyer for the superstores would take all of the significant operations, leaving the remaining superstores and Waldenbooks outlets unable to function. The Journal’s source adds that “Borders hopes to soon select one of the suitors as a so-called stalking-horse bidder that would make an offer others must top in the […]
Borders Gets More Time To Reorganize
In federal bankruptcy court Wednesday morning, Judge Martin Glenn agreed to extend the exclusive time period in which Borders can come up with a plan for emerging from Chapter 11 bankruptcy or selling the company’s assets. As previously reported, Borders would have run up against a June 16 deadline to file a plan under an exclusivity period, which has now been extended to October 14, with time to solicit votes on such a plan pushed back to December 13. Borders representative Andrew K. Glenn explained in court that a sale is now the focus of their efforts rather than reorganization, […]