Borders (again) has trouble with debt

According to this report Borders is delaying and attempting to restructure payments to vendors – not a good sign. The article says that they may sell off some (more) assets, and that they may not get refinancing. The statement itself is a bit of a mess, indicating that they are trying multiple approaches to one big problem; that they are trying to restructure debt (bankruptcy) while selling off assets to raise money to pay the debt that is left (consolidation). That is a lot to do at once, and the one may have a negative affect on the other. Sounds like more Border’s fire-sales are in the future.

I hate the idea of brick and mortar bookstores going the way of the Roman Empire, but a part of me wonders if the demise of big-box type stores may mean that mom-and-pop stores will be given a chance to thrive again. I honestly can’t see the day when bookstores are gone for good, so if the giant online stores put the major retailers down for the count, does that mean that the small frys will have a chance to fill the tiny little gaps that the online retailers are likely to leave in their wakes? An interesting thing to think about. I remember when Sacramento had over a dozen used bookstores, and even had one that specialized in SF, just like in San Francisco! Oh, for those days to return again. I wouldn’t have to traipse off to Portland (Powell’s World of Books), Seattle (University Bookstore) or San Francisco (Borderlands Books) for a decent SF section.

That’s right, Tidwell. It’s all about you.

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