Borders Bankruptcy To Close 200 Stores
February 16, 2011 at 3:39 PM (PT)
BORDERS GROUP INC.has filed for Chapter 11 bankruptcy protection to shed its physical presence and restructure its burdensome debt, reports the WALL STREET JOURNAL. The bookstore chain (which also sold music) will close about 30% of its 642 stores nationwide in the coming weeks.
BORDERS released its list of 200 stores that will close, and said it has hired HILCO TRADING LLC to liquidate them. "This is a debtor that's seeking rehabilitation, indeed seeking rebirth," said BORDERS lawyer DAVID M. FRIEDMAN of KASOWITZ BENSON TORRES & FRIEDMAN LLP. Friedman said that while jobs will be lost, Borders will try to save as many as possible.
In its bankruptcy petition, BORDERS listed assets of $1.28 billion and liabilities of $1.29 billion as of DEC. 25th, 2010.