Borders Gets Delisting Warning From NYSE

ANN ARBOR, Mich. (AP) - Beleaguered bookstore chain Borders Group received a warning from the New York Stock Exchange that it could get delisted if its shares continue to trade under $1.

The New York Stock Exchange requires a minimum average closing price of $1 per share over a consecutive 30-day period.

The last time Borders shares traded over $1 was Jan. 14, and before that, Dec. 30.

Big-box bookstores such as Borders Group Inc. have struggled to adapt as more books are sold online, in electronic form and at grocery stores or discounters such as Wal-Mart Stores Inc. locations.

Borders has cut jobs, shuttered stores, downsized its smaller Waldenbooks chain and made other moves to try to improve net income, but it still faces losses.

In late January, Borders said it received a commitment for a $550 million credit line from GE Capital.

But the agreement is subject to finding financing from other lenders and Borders said it was still considering "the possibility of an in-court restructuring," implying it could file for Chapter 11 bankruptcy protection.

Borders, founded in 1971 in Ann Arbor, Mich., operated about 674 stores as of last October.