Borders said Monday it will close its remaining 399
stores and sell its assets to a liquidation firm. The No. 2 U.S. bookstore
chain, which has operated under bankruptcy protection since February, blamed
industry challenges, e-readers and the economy for its demise. Borders joins
Blockbuster, Circuit City and Linens n’ Things on a list of retailers with more
than $1 billion in assets that have succumbed to bankruptcy in soccer jerseys wholesale recent
years. Many stronger chains, including Ann Taylor (ANN: 27.95, -0.13, -0.46%)
and Starbucks (SBUX: 39.83, -0.49, -1.22%), have shuttered underperforming stores
to bolster profits. Others like Wal-Mart (WMT: 53.89, -0.08, -0.15%) are
focusing on smaller store formats for future openings. At shopping centers
nationwide, the vacancy rate recently hit a two-decade high.
Even liquidators are liquidating. On Tuesday,
Ontario-based closeout chain Liquidation World, which exited the U.S. last
year, sold its remaining operations to Big Lots (BIG: 34.65, 0.52, 1.52%) for a
scant $20 million, or less than $225,000 per store. Which remaining retailers
are vulnerable? There are two ways to English
Premier League Soccer Jersey answer that question. The easiest
way to find companies with near-term liquidity concerns is to look for ones
with credit ratings that suggest vulnerability — for Standard & Poor’s
ratings, CCC and worse. But such ratings are uncommon. Sbarro and Perkins
/Marie Callender, restaurant chains rated D, filed for bankruptcy in April and
June, respectively.
Barneys is rated CCC with a “negative” outlook,
suggesting its rating may be lowered. It has a strong brand but a small store
base, a narrow market, heavy debt and “very thin” credit protection measures,
according to S&P. Founder Barney Pressman’s family lost control of the
designer clothing chain in Arsenal
Soccer Jerseys 1998 and following a bankruptcy and brief
ownership by Jones Apparel Group, it was sold to Istithmar, an investment
vehicle of Dubai government, which has larger concerns than Barneys, including
those palm-shaped islands it built when its real estate
Beyond companies with near-term debt concerns are many
with long-term operating challenges. Here are a few that aren’t in financial
trouble but are struggling to find new customers and turn profits: Build-a-Bear
Workshop (BBW: 6.15, -0.08, -1.28%) has a cash surplus, but its sales are
shrinking and profits have disappeared. Perhaps it can do without the Fifth Avenue
store in Manhattan that’s bigger than Apple’s nearby flagship. Zale (ZLC: 6.47,
0.48, 8.01%) shares sells for about what they did in 1994. Back then the with Nike
arsenal away football shirt mall jeweler turned a yearly profit of $21
million. Over its last two fiscal years it lost more than $250 million, and
more sizeable losses are projected for this year and next. Frederick’s of
Hollywood (FOH: 0.67, 0.01, 1.52%), it seems, still exists. Last week, the
maker of the Extreme Cleavage bra announced the opening of a flagship location
in Abu Dhabi. The company’s income statement is anything but flattering, with
steep losses showing since 2007. The entire business is valued at about $25
million.