Borders will axe 200 Waldenbooks stores, 1,500 jobs
Filed under: Company News, Media
Borders (BGP) announced Thursday afternoon that it will close 200 of its Waldenbooks stores by early January, cutting as many as 1,500 jobs, most of them part-time. The move is intended as part of Borders's ongoing plan to streamline costs and find its way out of a money pit that's plagued it for years and led to a flurry of executive shuffles.The shutdown will leave 130 of the mall-based WaldenBooks stores in operation; 45 branches had closed since the end of May.
"We believe there remains an opportunity to profitably operate a much smaller Waldenbooks segment that complements our core Borders superstore business and continues to serve readers in their communities," Borders CEO Ron Marshall said in a statement. The closings, he said, "will reduce the number of stores with operating losses, reduce our overall rent expense and lease-adjusted leverage, and generate cash flow through sales and working capital reductions."
The move comes as Barnes & Noble (BKS) prepares to shutter all but two of its smaller, mall-based B. Dalton stores by January, signaling the last nail in the 1980s-era heyday of shopping-mall retail for book chains. But mostly, it's further indication of Borders's ongoing financial struggles: the company almost lost its place on the NYSE this year. Its stock rose 1.44 percent to $2.11 per share in trading today.



























Reader Comments (Page 1 of 8)
11-06-2009 @ 9:38AM
Ed said...
People don't read as much as they used to. They are too busy with the internet.
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11-06-2009 @ 2:27PM
Humming Bird said...
Ed: Now that I'm retired I read almost constantly. The Walden Book Store in our mall closed down but it didn't bother me at all. I hated that store. It was a crammed mess, they didn't carry a wide range of paperbacks or many of the hardcovers that I wanted. If that was still the only bookstore in town, I wouldn't be able to feed my habit of reading. I used the library and the used book store a lot. Now I use BAM and Amazon, Wal Mart or Sam's Club.
11-06-2009 @ 1:49PM
aurorab said...
real ignorant comment there buddy,i love the internet,but as much as i love the internet i still love reading a good book and e-books just don't do it for me i want the real book in my hand.some technology is good but the kind of technology that turns people into lazy a@#@ is not.we should try to keep these bookstores in business.
11-06-2009 @ 11:58PM
Jan said...
Book stores are closing because more and more people are making their purchases on the internet. It's much easier and there are lots of bargains.
11-06-2009 @ 3:19PM
Say No to e-books said...
I don't think its that people aren't reading anymore. Its just we can read our news online, we can read e-books on kinder and get the books free instead of paying $8 to $10 for a paperback. Personally, I love holding a book in my hand. But you can by the kinder from Sprint and download books for free. Which in this Depression makes sense. But if you can read your news and fav magazines online for free, why subscribe to them??? Although people don't realize if you don't go to the bookstore they will close, if you no longer subscribe to magazines they will close or at the least people will lose jobs...Its 11.5% unemployment here, and in one county in California its 28% because most of them worked for the State. It is a sad thing this Depressiona nd is only getting worse. We bailed out WallStreet and the banks with our taxes, but there is no relief for Main Street like promised.
11-06-2009 @ 6:48PM
halfe said...
you could have fooled me by looking at my daughter whos 11. i have to buy her 2 books every week and shes done with them in like 2 or 3 days. and no they are not small bookes either. they are full novels like twilight and vampire diarys and she just got wuthering heights last nite. all by the way we did get at borders.
11-06-2009 @ 8:04AM
Ray said...
That's because books are too expensive. Liquor, Tobacco should be expensive but not books. I get mine second hand.
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11-06-2009 @ 9:03AM
Auctionjjk said...
Yeah, but I would not like to buy my alcohol and tabacco second hand.
11-06-2009 @ 9:27AM
Ray said...
auctionjjk, That's because the Liquor and smoke has already affected both your brain and liver.
11-06-2009 @ 1:13PM
Mary said...
You are right Ray, book sellers make all the $$$. I am an author and make 35% of each book that is sold. Credit is due where credit is deserved! To the next 20 people who respond with their email (so I may have a delivery address) I am going to send my book absolutely free, free, free!! Authors unite - make it right!
11-06-2009 @ 1:26PM
Mary said...
Sorry, there is a chance to reply to my message on Pg. 4
Authors unite - make it right!
11-06-2009 @ 8:01AM
Joyce said...
It saddened me to learn of so many bookstores closing. But I have to admit that I have been an Amazon customer for many years. My home is overflowing with books. I grew up on books, learned from books, have been amused, mystified and even written books. As a child, the public library was my sanctuary. Now, when Christmas rolls around I always let my kids know which books would make ideal presents. And I often give them books.
There is a Barnes & Noble store a few blocks away, but in recent years, I have only gone there to buy Christmas cards. I feel both sad and disloyal about not patronizing my local bookstore, but the prices and convenience of Amazon are too tempting.
Joyce
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11-06-2009 @ 9:51AM
Chris said...
Barnes and Noble is not a local bookstore to any town it's a chain -- pure and simple it the chains that sucked the life out of the mom and pop local book stores.. What goes around comes around so the chains are getting what they did to the mom and pop from Amazon. Moral of this story is buy locally .. If you really care about your community.
11-06-2009 @ 8:12AM
Frank Calcara said...
This is typical of our economy , however, I never really understood why people would pay outrageous amounts for a book when the Library is free. I can understand having a book as a permanent reference, display in ones home, a new hard to get book not available in libraries or a gift but the cost for a book is afordable to only those with extra income. I am sorry to see Waldenbooks go!
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11-06-2009 @ 8:32AM
Rose said...
I agree Frank because once you've read the book then what good is it?
11-06-2009 @ 11:21AM
Alex said...
A good book is always a good book and always worth reading again. A good reader will find something new everytime. And some libraries are crappy. I'm lucky my library isn't one of them and that they have most of the books I like to read. However they only update every so often and don't contain a lot of newer authors, or older ones gone out of print.
I still like to go to my bookstore because they have sale bins every so often and you can always find a bargain in there. Even some of the books on the bookshelf will be there for $4 and cost $16 if you didn't look in the bin. Plus it's a quiet place, good cocoa and the staff are all awesome. Though I'm a huge online shopper too. Depends on my mood if I want to pay full price or not.
11-06-2009 @ 11:30AM
suteko said...
Libraries are great but also being closed down faster than bookstores. Pretty soon the only place to buy books will be online or at the grocery/walmart stores. I am an avid..okay crazy avid reader. And Amazon can be pricier than I can afford at times. Libraries never had the books I wanted to read unless I donated what I had. And waiting for them to open so I could get my daily fix just wasnt useful. With the chain books stores closing and the wonderful mom and pop stores gone I am really worried about how people who would rather read a book than blurbs online are gonna life. Everyone I work with knows me as the book lady and borrows from me. Guess I will have to open my own library!
11-06-2009 @ 8:43AM
RCadogan said...
Although it may not seem to be the case right now, the employees who are being let go from Waldenbooks may be getting the better end of the deal. As a manager at a Borders superstore, I have had the dubious pleasure of experiencing the maelstrom that has defined Ron Marshall's tenure as CEO. Thanks to Mr. Marshall's idea of leadership, Borders has, in a relatively short time, become one of the worst places I have ever worked. To call the atmosphere toxic is an understatement. Many of my peers have updated their resumes and are seriously looking to get out before it gets any worse. There is a stockholders' meeting coming up soon, and one can only hope that the stockholders can see beyond the pumped-up stock value and corporate doublespeak and realize that the coach is really a pumpkin and the clock is ticking inexorably toward midnight.
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11-06-2009 @ 9:19AM
kristen said...
I totally agree. I quit after working for borders/waldenbooks for 6 years (I started as a bookseller and worked my way up)...the managment style and business model wasn't going in a direction with which I agreed. I quit and joined team gamestop, I even took a paycut... stupid borders.
11-06-2009 @ 8:50AM
comhunt00 said...
THEY WOULD HAVE HAD TO LAY OFF 2,000 EMPLOYEES......... IF OBAMA HADN'T "CREATED OR SAVED" 500 OF THEM.
Reply