News Borders 1st Quarter Sales Drop 15.4%
posted on 2010-06-02 23:57 EDT
The Borders Group book and media store chain has reported first quarter consolidated sales of US$542.4 million, down 15.4 percent from the first quarter last year. The net loss for the quarter decreased to US$64.5 million, down from a US$86.0 million net loss during the same time last year. Sales for the domestic store group dropped 16.1 percent to US$520 million, and same-store sales fell 6.8 percent. Borders closed six stores during the first quarter, which ended on May 1, leaving the company with 680 domestic stores at the end of the quarter. However, sales in the company's international segment rose 3.7 percent to US$22.4 million for the quarter.
Borders had previously reported a 13.7 percent decrease in sales for the 2009 holiday season. In January, Borders had cut 10 percent of its corporate workforce, following the resignation of CEO Ron Marshall a few days before. Borders then laid off more employees in March. Borders raised US$25 million in a sale of new shares, and also brought on a new chairman of the board for the company.
Source: Publishers Weekly