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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT PURSUANT TO SECTION 13 OR
15(d) OF SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported) July 6, 2000
Borders Group, Inc.
(Exact name of registrant as specified in its charter)
Michigan 1-13740 38-3196915
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(State or other juris- (Commission (IRS Employer
diction of incorporation) File Number) Identification (No.)
500 East Washington Street, Ann Arbor, Michigan 48104
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code 734-477-1100
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(Former name or former address, if changed since last report.)
(End of cover page)
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Item 5. Other Events
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[GRAPHIC OMITTED]
FOR IMMEDIATE RELEASE
Investor Relations Inquiries: Media Inquiries:
Bruce Quinnell Joele Frank
Vice Chairman Joele Frank, Wilkinson Brimmer Katcher
(734) 477-1906 (212) 355-4449, ext. 107
BORDERS GROUP ANNOUNCES DISCUSSIONS WITH RESPECT TO THE SALE OF THE COMPANY
HAVE BEEN TERMINATED
ANN ARBOR, Mich., July 6, 2000 -- Borders Group, Inc. (NYSE: BGP) today
announced that discussions with respect to a potential acquisition of the
company have terminated.
On March 3, 2000, Borders announced it would explore strategic alternatives
to increase shareholder value, including the sale of the company. The company
will continue to explore other alternatives, including share repurchases.
Gregory P. Josefowicz, president and chief executive officer of Borders
Group, said, "We believe Borders is undervalued in the market and we are focused
on changing that. As we explore our other strategic alternatives, we will
continue to concentrate our efforts on running the business, improving
efficiencies and growing revenues."
Borders Group, Inc., is a leading global retailer of books, music, video
and other information and entertainment items with stores in the United States,
United Kingdom, Australia, New Zealand, and Singapore. Headquartered in Ann
Arbor, Mich., Borders Group, Inc., is the parent company of Borders, Inc., which
operates over 300 Borders Books and Music stores in the United States and the
U.S. territory of Puerto Rico, offering what is widely regarded as the broadest
selection of books and multi-media titles available to consumers anywhere. It is
also the parent of Borders.com, an electronic commerce site that has access to
nearly 700,000 titles and over 10 million books, music and video items in stock
and ready for immediate shipping from a state-of-the-art fulfillment and
distribution center. With cafe operations in nearly all of its stores, Borders,
Inc., is one of the nation's largest specialty coffee retailers. Through Borders
(UK) Limited, Borders Group, Inc., also operates 27 Books etc. and six Borders
stores in the U.K. In addition, Borders Group, Inc., owns Walden Book Company,
Inc., which has approximately 900 Waldenbooks stores in malls, shopping centers
and airports across the country. Borders Group, Inc., trades on the New York
Stock Exchange under the symbol "BGP." To learn more about the company, visit
http://www.bordersgroupinc.com. For information on Borders stores, visit
http://www.bordersstores.com. For the ultimate online book, music and video
shopping experience, explore http://www.borders.com.
This release contains forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995. One can identify these
forward-looking statements by the use of words such as "expects," "plans,"
"will," "estimates," "believes," "forecasts," "guidance," "intends," "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),
strategic alternatives, marketing and expansion plans or expectations, the
impact of growth initiatives, Y2K compliance and similar matters. The Company
has identified certain risk factors which could cause actual results and plans
to differ substantially from those included in the forward-looking statements.
These factors are discussed in Exhibit 99.1 to the Company's Form 10-K Report
for the fiscal year ended January 24, 1999, and that discussion regarding risk
factors is incorporated herein by reference. The Company does not undertake any
obligation to update forward-looking statements.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned thereto duly authorized.
BORDERS GROUP, INC.
(Registrant)
Date: July 10, 2000 By: /s/ Kenneth E.Scheve
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Kenneth E. Scheve
Senior Vice President and Chief
Financial Officer
(Principal Financial and
Accounting Officer)
