Borders Stock Up, Reneges on Plan for Stock Split16 Apr, 2009 By: Billy Gil
Borders Group April 16 said it will not ask its shareholders at its May 21 annual meeting to vote on an amendment to allow the company a reverse stock split in order to boost per market share price to be listed on the New York Stock Exchange.
Borders had previously disclosed it would request the stock split option from shareholders at its annual meeting, but Borders has said it will postpone that request until it is necessary. Its stock, which had been trading at 77% less than in the previous year at less than $1, has recently risen; it rose 21 cents, or nearly 15%, to $1.66 in midday trading April 16.
Additionally Borders announced two of its board of directors members, Edna Medfor and Michael Weiss, will not stand for re-election at the annual meeting, reducing the size of the board to eight. Also, five incumbent board members will stand for re-election but have advised that they plan to step down in the coming months when suitable replacements are found.