Michael Neil’s latest quote on Bertram’s: “We are up for sale and a sale agreement is imminent. We are confident it will be sorted by the end of the week.”Norwich paper
Finance
Will Borders Need A Reverse Stock Split?
Absent other dramatic changes, it’s possible that Borders will need to execute a reverse stock split if its shares stay below $1 as the Ann Arbor News notes. “According to the NYSE, a company is sent a delisting warning letter if its average closing stock price falls below $1 for 30 consecutive trading days. The company then has six months to get the share price above $1.” Borders Anne Roman comments: “We are of course mindful of the stock price and we are mindful of what the New York Stock Exchange rules are as it applies to stock prices. We […]
The Next Domino: Layoffs at S&S
Simon & Schuster has “enacted a reduction in staff in which 35 positions across the company were eliminated, from areas including our publishing divisions and international, operations and sales,” according to a memo from ceo Carolyn Reidy. Despite having “literally examined our budget line-by-line to find those areas large and small where we might further economize,” Reidy says “today’s action is an unavoidable acknowledgment of the current bookselling marketplace and what may very well be a prolonged period of economic instability. In light of this uncertainty, we must responsibly position ourselves for challenges both near term and long.”
Today's Woolworths/Bertram's/EUK Update
As usual, the British press is all over the map with their reports. The Times warns that “the entire Woolworths empire, including its stake in 2Entertain, the BBC joint venture, is likely to be in administration by the end of the week.” They add that “the BBC is trying to cut its initial 100 million pound offer to take full control of 2Entertain.” But the Guardian fires back with a spokeswoman for the BBC calling the threat of administration for 2Entertain “categorically untrue.” She adds, “Our view is it is not going to go into administration, you can’t put a […]
Today's Debt Report: Redstone, Bertram's, and EUK
The WSJ continues to stay on top of Sumner Redstone’s efforts to restructure his debt and suggests that there may not be a clear answer (or end to speculation over CBS stock) this year: “Negotiations to restructure its debt are moving slowly and a deal looks increasingly unlikely this year, say people familiar with the situation.” Redstone is said to now have “a trove of cash and near-term liquid assets of around $500 million.” Along with the massive tax benefits that will come from his bargain sale of Midway Games, the hope is that provides National Amusements “with a cushion […]
Amazon Closes AbeBooks Purchase
The deal announced on August 1 for Amazon to acquired AbeBooks has now closed. The company reaffirms “AbeBooks will continue to function as a stand-alone operation based in Victoria, British Columbia. AbeBooks will maintain all its Web sites, including its Canadian Web site. The Web sites will continue to have country-specific content, such as reviews of Canadian-authored books and interviews of Canadian writers.” Still no update on what Amazon will do with its minority stake in LibraryThing. Release