On the heels of news that Borders delayed payments to a number of vendors, landlords and other groups last month, the Wall Street Journal predicts the bookseller could file for bankruptcy next week.
Here’s more from the article: “The Ann Arbor, Mich., bookseller could file for Chapter 11 bankruptcy protection as soon as Monday or Tuesday, said people familiar with the matter, paving the way for the closure of about 200 stores and thousands of job losses.”
Borders Group did not respond to these rumors. According to the article, the company could not strike a deal with “publishers and others” to refinance the delayed payments. In a profile today, Borders investor William Ackman said his firm “has lost $125 million” on the bookseller.