Borders Group Inc. (fka BGPIQ)

[Windfall Magic]

The biggest difference is the notes and preferred shares do not exist here. So equity will not be fighting over scraps. Also keep in mind that CEMJQ they were hoping for a buyer. The mud was a bit thick and they also had little real assets like real estate to move in order to get cashflow. The reason boarders filed was to hold off vendors and keep the doors open until they could reset and unload under performing stores. a better model is PIR (Pier One) although they didn't wind up filing for BK because vendors came on board with a plan and the secured interim financing that was just prior to the econo crash and credit crunch. Boarders does not have that luxury because money and credit just is not available.

This is a great in/out, in/out play as long as the speculation is they will survive. Remember how much we made playing the speculation on GM. how many flips were done until that last Thursday.
CEMJQ also isn't retail different business model and cash flow proforma. CCTQ could be used but they just didn't have enough equity in their real estate plus electronics have a very short gestation period and legacy cost and venor restriction killed them.

JMO

Windfall Magic