ORIONS Money Stocks

[AugustaFriends]

BGP - Borders Group Inc., the second- largest U.S. bookstore chain, may file for protection from creditors as soon as next week, according to three people familiar with the matter.

The retailer will likely close at least 150 stores, one person said. The people declined to be identified because the proceedings aren’t public.

Several private equity groups are weighing whether to provide a junior loan to the Ann Arbor, Michigan-based company, one of the people said.

Mary Davis, a Borders spokeswoman, declined to comment and referred to a Jan. 27 statement from Borders President Michael Edwards. He said the company “is doing everything possible” to maintain its relationships with vendors and publishers. While his company has a financing commitment from General Electric Capital Corp., Borders may proceed to an in-court restructuring, Edwards said in the statement.

Borders sank 26 cents, or 36 percent, to 47 cents at 4:01 p.m. in New York Stock Exchange composite trading, the largest decline since December 2008. New York-based Barnes & Noble Inc., the largest U.S. bookseller, advanced $1.17 or 7.4 percent to $16.92.