Happy New Year!
Last week’s news about Borders was anything but happy and it could mean very bad news for all of us in the publishing business.
Evidently, this past week executives from the bookstore chain have been meeting with publishers to ask them for leniency in paying their bills. At the same time, the company has been in talks with Wall Street firms about restructuring and bankruptcy though they are quick to say that bankruptcy isn’t being contemplated now.
But the fact is that Borders has said that they will delay paying vendors (book publishers) who undoubtedly shipped them lots of product for the holiday season. If these publishers aren’t paid, that will sift throughout the business all the way down to the authors, of course.
What a shame that a company that expanded way too quickly and helped to put so many wonderful independent bookstores out of business is now in this state of disarray. They have been so incredibly badly run for so many years, it is difficult to fathom.
I certainly don’t have a solution to this problem. I am simply pointing it out and hoping that this will serve as a lesson to other companies, most particularly Barnes & Noble, who could find itself in the same spot. And I hope that publishers and Borders will come to some kind of mutual understanding so that as few of us as possible will be affected by this state of affairs.
Here’s hoping anyway.
Your thoughts about this situation are welcome, of course.