Meanwhile, the surprise bankruptcy filing came yesterday from Canada, where the country’s largest distributor HB Fenn & Company initiated bankruptcy proceedings under the country’s Bankruptcy and Insolvency Act. In a brief statement Fenn said it had “encountered significant financial challenges due to the loss of distribution lines, shrinking margins and the significant shift to e-books, […]
Bankruptcy
Distributor Tells Clients No Cash from Borders
Distributor IPG told clients in an e-mail (now cited on multiple websites) that Borders “tell us that they will not be paying us for two months due to anticipated excessive returns.” In the letter, clients were told that for new shipments to Borders, the distributor will guarantee only the actual printing cost of those books, […]
When Retailers Go Under
When times are good, retailers thrive during the holidays and when times are hard, the holiday selling season can be the springboard to bankrupty. Bloomberg explains, “In the last quarter century, about a fifth of large retailers that went bankrupt, including RH Macy & Co. Inc. and FAO Schwarz, did so in January, using holiday […]
Children's Publisher Playmore Files for Bankruptcy
Facing sharply declining revenue, publisher of value-priced children’s mass market titles Playmore filed for bankruptcy in New Jersey recently. The company, which had sales of $22.8 million in 2006, registered just $3.2 million in sales this year. The NJ Record notes that “the bankruptcy comes 15 months after Playmore sued its partner, Waldman Publishing Corp. […]
Olsson's Wins Conversion to Chapter 11
Struggling under an involuntary Chapter 7 liquidation filing from a group of creditors, Washington, DC-area bookseller Olsson’s was granted a conversion to Chapter 11 status by a Federal Bankruptcy court of Maryland last Friday. Olsson’s listed assets of $929,428 and liabilities of $1,951,629. In a filing from three major publishers, Random House has an unsecured […]