MAIN NEWS HEADLINES
December 3 – December 10, 2009 Edition
Borders UK Holds Closing Sale, Lays Off 36 Staff
UNITED KINGDOM/AUTHORLINK NEWS/12/02/09–Borders UK this past weekend launched a going-out-of-business sale at all 36 Borders and nine Books Etc. stores, according to the Bookseller.
The sale started with a 20% discount on all items in the stores. Revenues in some Borders stores in the UK have dropped as much as 61% this year and as much as 50% in another store over a three year period. Some publishers said they have “limited their exposure” to the company, in some cases demanding COD terms.
Borders Group sold off its UK operations two years ago, and the chain was again bought in July by private equity firm Valco Capital Partners and some members of Borders management.
On Monday, the administrators of Borders announced it has cut 36 staff members from the London store support office on Charing Cross Road. Phil Duffy, a partner at administrators MCR, said: “Following our appointment as administrators we have undertaken a review of the company’s business and operations in the context of an administration and consequently identified a number of positions that have become redundant. This has resulted in the employee redundancies being made today.” He added that no layoffs have been made at the store level.