BGP’s Shares Climb As Q1 Loss Narrows

The second largest specialty US bookseller Borders Group Inc BGP announced a loss of $64.1 million, or $1.07 a share, for its Q1 ended May 1, versus a $86 million, or $1.44 a share loss in the year ago quarter. Excluding discontinued operation, BGP’s loss was $1.08 a share. Borders’ revenues for the quarter dropped 16% to $547.2 million, from $650.2 million in the year-ago period. Analysts were expecting revenue to come in at $590 million. The company’s gross margins fell to 19.7% from 22.1%. Last week, financier Bennett LeBow invested $25 million in BGP in exchange for a 15.5% stake in the bookseller. With this investment, Bennett LeBow became Borders’ largest shareholder, surpassing Bill Ackman's Pershing Square Capital Management. Borders climbed 1.75% to $2.33 in the pre-market session. Read more from Benzinga's Company news.