Ann Arbor, Mich. Borders Group reported Tuesday that its loss widened significantly in its fiscal first quarter due to continued weak sales and more than $70 million in after-tax charges. But results still beat Wall Street expectations.
The company reported a loss of $86 million for the quarter, which ended May 2, compared with a loss of $31.7 million in the same period a year earlier. The results included $70.1 million in charges primarily due to a previously announced finance arrangement with Pershing Square Capital Management.
Borders' first-quarter revenue fell to $650.2 million from $735.8 million a year earlier. Same-store sales fell 13.5% at Borders superstores and 5.5% at Waldenbooks for the quarter.