MAIN NEWS HEADLINES
March 15- March 22, 2007 Edition
S&P Cuts Borders’
To Hear New Strategies
ANN ARBOR, MICH/3/13/07–Standard & Poors announced late last month that it is lowering its fiscal 2007 (ended January) and fiscal 2008 earnings-per-share (EPS) estimates for Borders Group, Inc. following the company’s disappointing holiday sales results. S&P downgraded the bookseller’s stock from 3 stars (hold) to 2 stars (sell). Analysts have lowered earnings estimates per share for fiscal 2007 from 66 cents down to 29 cents. Despite the anticipated July 2007 release of the final Harry Potter book, S&P projects 2008 EPS will be 75 cents, down from the projected $1.25 per share, citing continued pressures on profit margins due to a highly promotional environment.
Borders has scheduled a conference call for investors at 9 a.m., Thursday, March 22, 2007 to discuss the company’s fourth quarter and full year 2006 financial results and will outline its strategic plan for the future. The call will be web cast by Thomson Financial and can be accessed at the borders Group corporate web site at www.bordersgroupinc.com. Headquartered in Ann Arbor, Mich., Borders Group is a leading global retailer of books, music and movies with more than 1,200 stores and over 34,000 employees worldwide.