Borders Abandons Sale, Moves To Liquidate

Law360, Washington (July 18, 2011, 6:44 PM EDT) -- Borders Group Inc. said Monday in New York that it would abandon plans for a bankruptcy auction in favor of liquidating the company, shuttering nearly 400 stores and eliminating all 10,700 employees, after a $215 million offer to buy the bookstore chain collapsed last week.

Borders will sell itself, as previously announced, to a team of private equity firms, Hilco Merchant Resources and Gordon Brothers Group LLC, that wishes to liquidate the country's second-largest bookstore chain.

"Following the best efforts of all parties, we are saddened...
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