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As I mentioned the other day, Borders is going into bankruptcy. This has been confirmed today — and I recommend the Blomberg article I just linked, as it has some very good discussion on the issue. As part of its reorganization, Borders will be closing up to 275 stores (out of 642 stores total). The one nearest me is one of the ones that will be shut down. Wonder if they’re going to have a massive sale or if the remaining stock will be dispersed to other stores? Here is a link to the official list of stores to be closed. Oh and this is all going to happen very rapidly: these are just the stores that are going to be shut down by April 2011. I wouldn’t be surprised if there’s a second wave of stores to be closed before the end of the year. I can see why they’re doing this: their assets and their debts are even and they owe vendors more than $300 million and have been missing payments on the debt. Not a pretty picture.

Here’s a letter from the CEO to Borders Rewards members:

Should be really interesting to see how this all shakes out, and what the effects are on the rest of the book retail industry.