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Posted on Fri, Jul 29, 2011 : 9:50 a.m.

Borders' brand name, website could live on through sale

By Nathan Bomey

You may still be able to shop at Borders after the bookstore chain's liquidation ends — but not at a physical store.

Borders is asking the U.S. Bankruptcy Court's Southern District of New York to allow the company to pursue the sale of its brand name, website and other intellectual property assets.

Borders_website.jpg

Borders' website could be sold under a proposal the company submitted to the bankruptcy court.

Ann Arbor-based Borders Group Inc. is currently closing all of its 399 remaining stores as part of its bankruptcy liquidation — but the company's brand name and web presence could live on.

The company's fate is beginning to look lot like that of Circuit City, the defunct electronics retailer that liquidated three years ago. Circuit City no longer operates any physical stores, but its website was sold and is still operational.

The company said the sale of its IP assets "should garner significant interest from potential bidders" and, in fact, have already attracted "multiple inquiries."

At the time of its Chapter 11 bankruptcy filing in February, online sales made up only about 3 percent of Borders’ total revenue.

Borders is also asking the court for the right to sell "membership lists, customer information, including contact information and email addresses and other purchasing history and related information" in accordance with its privacy policy.

The bookstore chain has more than 40 million members of its Borders Rewards program, a loyalty program through which the company distributes coupons and various communications.

Borders asked the court to approve bidding procedures that would govern the auction of its IP assets. Under the company's proposal, procedures would be approved at a hearing Aug. 10, and the company wants to hold an auction Sept. 14.

Contact AnnArbor.com's Nathan Bomey at (734) 623-2587 or nathanbomey@annarbor.com. You can also follow him on Twitter or subscribe to AnnArbor.com's newsletters.

Comments

HenryA

Sun, Jul 31, 2011 : 12:57 a.m.

Great. I'll buy from them instead of Amazon. We should be happy for them.

A2comments

Sat, Jul 30, 2011 : 11:43 a.m.

This is why I unsubscribed from Borders email list last week...

TomUpNorth

Fri, Jul 29, 2011 : 7:30 p.m.

CompUSA does have retail stores. TigerDirect has renamed their outlet stores to the CompUSA brand and has opened a few new locations. Check out their web site: <a href="http://www.compusa.com/retailstores/compusaStores/index.asp" rel='nofollow'>http://www.compusa.com/retailstores/compusaStores/index.asp</a>

GoblueBeatOSU

Fri, Jul 29, 2011 : 4:07 p.m.

great..it can live on like the Compusa web site. Remember Compusa? Compusa, Circuit City, Borders...who cares...

Wolf's Bane

Fri, Jul 29, 2011 : 3:07 p.m.

The Border's brand is about as valuable as the that of ENRON!