Six Stores Of Borders Salvaged From Closing

by San Antonio Attorney

Borders Group Inc. will no longer close six of its bookstores as initially planned in order to comply with the terms of its GE Capital loan.

The Detroit and Boston landlords are two of those who have given the bankrupt bookstore additional time to make the decision if it should maintain or keep property leases, according to the court papers filed by Borders on Friday.

Borders explained to the court on Thursday that it may need to shut 51 stores to comply with the terms of its bankruptcy financing loan from GE Capital.

With the time extensions, only 45 stores will be closed instead. Border is trying to get the same extensions with the other stores, said its spokeswoman.

The sites that are saved include Raleigh-Durham Airport, Logan International Airport in Boston, stores in Mansfield, Michigan, and Westland, and two sites in Detroit Metro Airport. The company is likewise waiting for acourt endorsement of an extension agreement for its store in Mt. Kisco, New York.

Originally, Borders only had until September 14 to consider if it should keep on operating over 400 stores across the country. The terms of its bankruptcy loan say that the process of closing has to be started on June 22.

It got deadline extensions on approximately 360 stores previously. The recent deals moved the due date to January 12, 2012.

Borders is planning an auction on June 16 to appoint a liquidating agent to the stores where extensions of deadline are not agreed upon. The Columbus Circle location in Manhattan is among the locations that may close.

Borders is one of the forerunners of book super stores, but it had shut down 226 of its stores since it had filed for bankruptcy due to plummeting sales.

The bookstore is seeking out buyers for the stores which are still operating. Najafi Cos and Gores Group private equity firms have been interested with its stores.

If you are considering liquidation to pay off your debts, find out more by asking a San Antonio attorney’s for advice.

 

 

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