From an article in tomorrow's New York Times:
Struggling against both online and big-box retailers, the Borders Group, the bookseller, said Thursday that it had hired two investment banks to advise it on a potential sale and had turned to its largest shareholder for additional money.I've been wondering about Borders for several months now — the coupons seem to come with greater and greater frequency, while the shelves at my nearby branch offer fewer and fewer new books and the CD racks grow bare.
Borders said that it would take other measures to shore up its capital, including suspending its quarterly dividend.
The announcement, made at 1:31 a.m. Thursday and accompanying a report on a slight drop in first-quarter earnings, reflected the chain’s continued troubles. Buffeted by a tougher environment and a tighter credit market that has made borrowing more expensive, Borders has been left with few options.
"This will be a challenging year for retailers due to continued uncertainty in the economic environment," Borders's chief executive, George L. Jones, said in a statement.