Borders Bookstore Files Chapter 11 Bankruptcy?

Have you been to a Borders bookstore lately?

If you haven’t, you may have already lost your chance. The Borders Group Inc. filed for Chapter 11 bankruptcy this morning, and will be closing 30 percent of its remaining stores across the nation. That’s about 200 stores shutting down over the next couple weeks. Borders is the nations second largest bookstore, right under Barnes & Noble, and they have been struggling to avoid this day for five years.

After round the clock efforts to strike a deal with various lenders/vendors failed, and a $550 million financing commitment with GM Capital fell short, Borders was unable to keep their last thread of hope from fraying.  Mike Edwards, the Borders President, announced they will begin reorganizing the remaining stores, and emerge “a stronger and more vibrant book seller.”

We’ve seen many Chapter 11 filings turn themselves around, so if you haven’t given Borders any love lately, it might be time to reacquaint yourself.

(Photo via Quintinlake.com)