This weekend Borders UK, the failed bookseller launched a stock liquidation in its 45 stores over the weekend as administrators prepare to shut down its shops.
The firm has been under severe pressure for a year from the internet competition and supermarkets selling books at heavy discounts. The company is not taking orders through its website and has launched "closing down sales" at some stores. Administrators at MCR said the business will continue to trade while a buyer is sought. Borders UK has struggled with "severe" cash-flow pressure this year as sales falls increased. Stock levels were also hit as several of its suppliers stopped or reduced its credit limits.
Up to 1,100 Borders UK staff could lose their jobs. MCR, the administrator, is preparing to appoint the restructuring specialist Hilco to liquidate the failed company. Many rivals including HMV and Foyles are believed to be interested in picking up a few stores located in desirable areas, but as yet there has been no interest for the business as a going concern. The fire sale will threaten Border’s bookseller rivals who will have to compete over the crucial Christmas period with the discounted stock.
Back in May during my trip to London I dropped to Borders and drank coffee at its Starbucks on Oxford Street. I remember that only at this shop I found a book that I relentlessly looked for for several months. Imagine my surprise in September when I returned to UK, but couldn't find a trace of this shop. And now I found out why.
The Guardian told the sad story of rise and fall of the company in two articles closing the chapter and ending it. I was surprised how caring and sad were the authors. Both articles are written in a reminiscing style that can't help reminding of the cosy atmosphere inside every bookshop in the chain. The author encapsulated the good and the bad in the industry and guided us to the times of enormous anxiety about the booksellers' future concerns and suggested economic models.
BBC News is concise as usual. Facts and a little notice about the employees who were contacted to be updated on the situation.
Times Online explained the role of Hilco that is expected to wind down the shop before closing them as well as stating the possibility of saving a small number of jobs.
The Daily Mail honoured the legacy of Borders with a little article sorting out those who cast a potentially fatal blow upon the struggling company.
The Independent gathered the specialists' opinions and gave a little overview of potential acquirers of the failed company. It also offers the figures for partner companies, expressing awareness for their possible losses.
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