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Borders goes into administration
The Borders bookshop chain in the UK has gone into administration.
Administrators MCR said all 45 Borders stores would remain open while it sought a buyer for all or some of the outlets.
Borders has suffered from increased competition from online retailers and supermarkets, and its website recently stopped taking new book orders.
MCR said Borders had "severe cash flow pressures" and that several suppliers had stopped or reduced its credit.
"All outstanding employee wages have been paid up to date and ongoing wages for retained staff will continue to be paid as an expense of the administration, said Phil Duffy, of MCR, a business turnaround specialist.
Waterstones owner HMV has refused to comment on recent reports it is interested in buying some of the Borders shops.
The Borders chain was originally owned by the US book giant of the same name, but was sold in June 2007 to Risk Capital Partners, which is headed by Channel 4 chairman Luke Johnson.
Risk Capital then sold it on to the private equity firm Valco earlier this year.
Story from BBC NEWS:
BBC News - Borders bookshops in the UK go into administration
Published: 2009/11/26 17:22:49 GMT
© BBC MMIX
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The Borders bookshop chain in the UK has gone into administration.
Administrators MCR said all 45 Borders stores would remain open while it sought a buyer for all or some of the outlets.
Borders has suffered from increased competition from online retailers and supermarkets, and its website recently stopped taking new book orders.
MCR said Borders had "severe cash flow pressures" and that several suppliers had stopped or reduced its credit.
"All outstanding employee wages have been paid up to date and ongoing wages for retained staff will continue to be paid as an expense of the administration, said Phil Duffy, of MCR, a business turnaround specialist.
Waterstones owner HMV has refused to comment on recent reports it is interested in buying some of the Borders shops.
The Borders chain was originally owned by the US book giant of the same name, but was sold in June 2007 to Risk Capital Partners, which is headed by Channel 4 chairman Luke Johnson.
Risk Capital then sold it on to the private equity firm Valco earlier this year.
Story from BBC NEWS:
BBC News - Borders bookshops in the UK go into administration
Published: 2009/11/26 17:22:49 GMT
© BBC MMIX
Print Sponsor
Advertisement