- Posted March 17, 2011
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Judge OKs extension request
NEW YORK (AP) -- A judge on Tuesday granted Borders a 90-day extension to determine how many additional stores it will close as it reorganizes under bankruptcy protection.
Borders said in February, when it filed for Chapter 11 reorganization, that it planned to close 200 stores. It now seeks to close up to 75 more, although the number is likely to be closer to 20 to 25, Borders spokeswoman Mary Davis said.
The Ann Arbor, Mich., company will receive more time to negotiate with landlords, confirmed Borders Attorney David Friedman. The 90-day extension gives it until Sept. 14.
Borders hopes to have a formal reorganization plan to present to its creditors by early April and plans to exit bankruptcy in August or September. The final number of additional closings will depend on how negotiations with landlords go.
Traditional book sellers are facing tough competition from online sites and discounters. The No. 2 U.S. bookseller is attempting to reorganize so it can emerge from bankruptcy protection a smaller and profitable company.
The hearing was held at the U.S. Bankruptcy Court for the Southern District of New York.
Published: Thu, Mar 17, 2011
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