The Borders Wake: Day 18

Editor's Note: The term wake is now used as a synonym for funeral, but it original referred to the period between a death and burial where one waited for the deceased to wake up (seriously). Go look up the effects of lead poisoning if you don't believe me. A modern equivalent would be sitting at the bedside of someone in a coma, trying to decide if the life support should be turned off. Deathwatch would be another good word, but I'm saving that for next time. Borders laid off another 40+ workers today. Almost all used to work at Borders HQ in Ann Arbor, Mich. According to Borders spokesman Mary Davis:

The realignment at the store support center encompasses nearly all business areas, including IT, human resources, finance and merchandising. This decision is a result of Borders’ focus on reducing costs and readjusting its business model to improve profitability and cash flow.

In other news, the WSJ reported last week that Borders had hired a new law firm that specilaized in bankruptcies.  KBT&F were present at the Thursday meeting between publishers and Borders. They had instructions to do their best to avoid bankruptcy and negotiated on Borders' behalf.

Borders Group Inc. is continuing talks to a secure a $500 million credit line and has hired bankruptcy and restructuring lawyers, said people familiar with the matter.

Borders has chosen law firm Kasowitz, Benson, Torres & Friedman to advise on its current refinancing efforts, these people said. Kasowitz's instructions are to keep the company out of bankruptcy court, one of these people said.

About Nate Hoffelder (11481 Articles)
Nate Hoffelder is the founder and editor of The Digital Reader: "I've been into reading ebooks since forever, but I only got my first ereader in July 2007. Everything quickly spiraled out of control from there. Before I started this blog in January 2010 I covered ebooks, ebook readers, and digital publishing for about 2 years as a part of MobileRead Forums. It's a great community, and being a member is a joy. But I thought I could make something out of how I covered the news for MobileRead, so I started this blog."

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