Skip to main content

Borders files for bankruptcy

Image used with permission by copyright holder

Book retailer Borders has filed for Chapter 11 bankruptcy protection and plans to close as many as 30 percent of its “underperforming” stores in the next several weeks—which adds up to about 200 retail locations. Borders says it has acquired over $500 million of “debtor-in-possession” financing led by GE Capital to help the company restructure its business into a viable long-term venture…but, in the meantime, the company says it has assets of about $1.3 billion along with about the equivalent amount of debt.

“Borders Group does not have the capital resources it needs to be a viable competitor and which are essential for it to move forward with its business strategy to reposition itself successfully for the long term,” said Borders Group president Mike Edwards, in a statement. “This decisive action will give Borders the opportunity to achieve a proper infusion of capital in order to have the opportunity to have the time to reorganize in order to reposition itself to be a successful business.”

Borders has been struggling for some time, and the move has been widely anticipated in the publishing and bookselling industries. At the heard of Borders’ financial woes are debts owed to publishers, with the Wall Street Journal reporting (subscription required) that the company’s five largest unsecured creditors are all major publishers, including Penguin Putman, Hachette, Simon & Schuster, Random House, and HarperCollins. The bankruptcy declaration enables Borders to dodge a significant amount of that debt as they compete with other creditors for repayment from the company, and likely see sales through Borders decline as the company shutters stores. The company says it expects to continue being able to make salary and benefits payments for its employees, and all gift cards and other customer programs will be honored.

Borders says it will continue operations as normal, but will be implementing a Strategic Store Reduction Program that will see about 30 percent of its retail locations closed in the next several weeks. Borders says it intends to close “underperforming” locations—and a 30 percent reduction equates to about 200 stores. Remaining stores will continue operating as normal, as will

Over the years, pundits have been predicting the end of the traditional bookstore, first due to competition from the likes of, which has succeeded in driving many mom-and-pop and local bookstores into the ground through the convenience of online ordering and prices small booksellers just can’t match. More recently, booksellers have been threatened as readers increasingly turn to ebooks, enabled by the likes of the Amazon Kindle, Barnes & Noble Nook, Apple iPad, and Sony Reader. Borders’ bankruptcy is another indication of the shifts in the broader publishing word: now, not even megastores are immune from the economic realities of book retailing.

Geoff Duncan
Former Digital Trends Contributor
Geoff Duncan writes, programs, edits, plays music, and delights in making software misbehave. He's probably the only member…
Meet the game-changing pitching robot that can perfectly mimic any human throw
baseball hitter swings and misses

Who’s your favorite baseball pitcher? Shane McClanahan? Sandy Alcantara? Justin Verlander? Whoever you said, two of the top sports-tech companies in the U.S. -- Rapsodo and Trajekt Sports -- have teamed up to build a robot version of them, and the results are reportedly uncannily accurate.

Okay, so we’re not talking about walking-talking-pitching standalone robots, as great a sci-fi-tinged MLB ad as that would be. However, Rapsodo and Trajekt have combined their considerable powers to throw a slew of different technologies at the problem of building a machine that's able to accurately simulate the pitching style of whichever player you want to practice batting against -- and they may just have pulled it off, too.

Read more
The best portable power stations
EcoFlow DELTA 2 on table at campsite for quick charging.

Affordable and efficient portable power is a necessity these days, keeping our electronic devices operational while on the go. But there are literally dozens of options to choose from, making it abundantly difficult to decide which mobile charging solution is best for you. We've sorted through countless portable power options and came up with six of the best portable power stations to keep your smartphones, tablets, laptops, and other gadgets functioning while living off the grid.
The best overall: Jackery Explorer 1000

Jackery has been a mainstay in the portable power market for several years, and today, the company continues to set the standard. With three AC outlets, two USB-A, and two USB-C plugs, you'll have plenty of options for keeping your gadgets charged.

Read more
CES 2023: HD Hyundai’s Avikus is an A.I. for autonomous boat and marine navigation
Demonstration of NeuBoat level 2 autonomous navigation system at the Fort Lauderdale International Boat Show

This content was produced in partnership with HD Hyundai.
Autonomous vehicle navigation technology is certainly nothing new and has been in the works for the better part of a decade at this point. But one of the most common forms we see and hear about is the type used to control steering in road-based vehicles. That's not the only place where technology can make a huge difference. Autonomous driving systems can offer incredible benefits to boats and marine vehicles, too, which is precisely why HD Hyundai has unveiled its Avikus AI technology -- for marine and watercraft vehicles.

More recently, HD Hyundai participated in the Fort Lauderdale International Boat Show, to demo its NeuBoat level 2 autonomous navigation system for recreational boats. The name mashes together the words "neuron" and "boat" and is quite fitting since the Avikus' A.I. navigation tech is a core component of the solution, it will handle self-recognition, real-time decisions, and controls when on the water. Of course, there are a lot of things happening behind the scenes with HD Hyundai's autonomous navigation solution, which we'll dive into below -- HD Hyundai will also be introducing more about the tech at CES 2023.

Read more