BORDERS GROUP, INC.
Exhibit 99.1
CAUTIONARY STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION
REFORM ACT OF 1995 - "SAFE HARBOR" FOR FORWARD-LOOKING STATEMENTS
This report and other written reports and oral statements made from time to time
by Borders Group, Inc. (the "Company") may contain so-called "forward-looking"
statements, all of which are subject to risks and uncertainties. One can
identify these forward-looking statements by their use of words such as
"expects", "believes", "anticipates", "plans", "will", "estimates", "forecasts",
"guidance", "opinion", "projects", "initiatives", "goals" and other words of
similar meaning. One can also identify them by the fact that they do not relate
strictly to historical or current facts. These statements are likely to address
the Company's growth strategy, financial performance (including sales and
earnings guidance), marketing and expansion plans, Y2K compliance and similar
matters. One must carefully consider any such statement and should understand
that many factors could cause actual results and plans to differ from those
included in the Company's forward-looking statements. These factors include
inaccurate assumptions and a broad variety of risks and uncertainties, including
some that are known and some that are not. No forward-looking statement can be
guaranteed and actual future results may vary materially. Although it is not
possible to predict or identify all such factors, they may include the
following:
- consumer demand for the Company's products, which is believed to be related
to a number of factors, including overall consumer spending patterns,
weather conditions and with respect to the mall business, overall mall
traffic
- an unexpected increase in competition, including Internet competition and
competition resulting from electronic or other alternative methods of
delivery of books, music, and other products to consumers, or unanticipated
margin or other disadvantages relative to our competitors
- the continued availability of adequate capital to fund the Company's
operations
- higher than anticipated interest, occupancy, labor, distribution and
inventory shrinkage costs
- unanticipated adverse litigation expenses or results
- unanticipated work stoppages
- higher than anticipated costs associated with the closing of
underperforming stores
- unanticipated increases in the cost of the merchandise sold by the Company
- the performance of the Company's new strategic initiatives, including the
Internet and international expansion
- the stability and capacity of the Company's information systems
- unanticipated costs or problems relating to the Company's Year 2000
compliance or systems enhancements required for the operations of the
Company
- changes in foreign currency exchange rates
- and the continued ability of the Company to locate and develop suitable
sites for its superstore expansion program and kiosk programs.
The Company does not undertake any obligation to update forward-looking
statements.
