Second-Largest US Bookstore Chain To Liquidate

[webfact]

Second-largest US bookstore chain to liquidate

Published on July 19, 2011

Washington - The second-largest US bookstore chain Borders will liquidate its remaining business after already closing many of its stores as part of bankruptcy proceedings, the company said Monday.

The chain had filed for bankruptcy reorganization earlier this year as increased competition from e-readers, discounters and online book sales eroded its bottom line. Borders had unsuccessfully sought a buyer for the remaining business.

Borders said it would sell itself to Hilco and Gordon Brothers, a company that conducts liquidations.

"Following the best efforts of all parties, we are saddened by this development," Borders Group President Mike Edwards said in a statement.

"We were all working hard towards a different outcome, but the head winds we have been facing for quite some time, including the rapidly changing book industry, eReader revolution and turbulent economy, have brought us to where we are now."

Borders will begin closing its remaining 399 stores later this week and will complete the process by the end of September.

Borders is the number two US bookstore chain behind Barnes & Noble, which is also struggling.

-- The Nation 2011-07-19