Borders Group, Inc. is a leading specialty retailer of books as well as other educational and entertainment items headquartered in Ann Arbor, Michigan, through its subsidiaries. The company employs approximately 19,500 throughout the U.S., primarily in its Borders and Waldenbooks stores. Online shopping is offered through borders.com.
As of January 30, 2010, the company operated 511 Borders superstores in the United States, including 508 in the U.S. and three in Puerto Rico. The company also operated 175 stores in the Waldenbooks Specialty Retail segment, including Waldenbooks, Borders Express, Borders airport stores, and Borders Outlet stores.
On February 16, 2011, the company announced that it had filed for Chapter 11 bankruptcy protection, listing $1.275 billion in assets and $1.293 billion in debts in its filing.
Since reporting its first quarterly profit amidst its worst ever holiday sales season, Borders Group (BGP) has proven to effectively manage through its troubles and position itself as a strong brand/household name in the book retail environment. They have managed to prove their worthiness to creditors and obtain financing on reasonable terms. They have also strengthened their efforts to get in tune with their customers and employees by initiating new programs/incentives to help employee retention/satisfaction as well as customer loyalty/service.
As Borders Group (BGP) works to ensure its success as a standalone company, we believe they will be acquired while they are still in the process. The case is simple: There were many eyes on Borders Group (BGP) going into 2008, as they begin to show signs of improvement; the most prudent of the potential buyers will begin to emerge and potentially take action before the company's full value realizes and market prices reflect it.
The list for potential buyers has not really changed. The book retail sector is one that will be consolidating, and for the companies that remain, the best option for growth will be through strategic acquisitions.
Furthermore, Borders Group's (BGP) largest shareholder Bill Ackman has made it clear he is very open to, if not interested in a potential sale of the company. Borders Group (BGP) has been a long and drawn out holding for Ackman, and he will likely see it through at a profit.
There was a time when employers established these groups simply to “support” employees with similar backgrounds. Today, their function goes far beyond social support and, if optimized, is invaluable to both the employer and their employees. Today these corporate groups are tasked with a three-fold role:
• Represent the company to outsiders (recruitment, marketing, customer retention, community development)
• Represent the broader diverse population when it comes to new initiatives (new product development, messaging, market research/insight)
• Act as vehicles for internal development and support (communications, retention, professional development, mentoring, perspective on company policies and projects).
• Provide insight and advice to management through a unique knowledge of particular markets, demographics, and customers – particularly in relation to sales, marketing and product/service development
• Be corporate ambassadors for the company at corporate events, community events or recruiting initiatives - build relationships and identify business opportunities
• Assist with recruitment through personal networks, as well as by promoting the organization as an employer of choice
• Support the professional development of members through networking, mentoring and learning opportunities
• Act as a retention tool by empowering employees and helping them to buy into the company brand/mission, ensuring a positive sense of employee identity
• Act as a focused communication channel between senior management and employees, communicating new initiatives and supporting cultural change
• Provide a channel for employees to give input and feedback on company policies, practices and products/services
• Drive the creation of a more inclusive work environment
Retention
Medical – Comprehensive Hospital, Surgical and Medical coverage, including routine exams. The maximum benefit payable for each covered person during the first year of coverage is limited to $100,000. Coverage starts first of the month following 1 month in regular, full-time status. Prescription drug program with low generic co-pay. Same-Sex Domestic Partner coverage.
Dental – Preventive, basic and restorative care. Orthodontia coverage for dependents under 19, up to $1,000 per dependent. Preventive care paid at 100%. Same-Sex Domestic Partner coverage.
Vision – Coverage for eye examination and eyeglasses or contact lenses each plan year. Same-Sex Domestic Partner coverage.
Flexible – Spending Accounts Saves money by using pre-tax dollars to pay for eligible health care and/or dependent care expenses. Tax savings to participants.
Basic Life Insurance – 1 times annual base pay, rounded to next thousand. 100% Company-paid.
Supplemental Life Insurance
Dependent Life Insurance – For spouse or same-sex domestic partner, elect $25,000 or $50,000 coverage; for dependent children, elect $5,000 or $10,000 coverage.
Business Travel Accident – Coverage for accidental death and/or dismemberment if it occurs while on company-authorized travel.
Short-Term Disability – Weeks 2-6 80% of pay. Weeks 7-26 60% of pay. (50% of pay for weeks 2-26 if go on disability with less than one year of regular, full-time service) First of the month following 6 months in regular, full-time status.
Long-Term Disability – 40-60% of pay up to age 65; min-$50/max-$10,000/month Same as Short-Term Disability. 40% Company-paid benefit after 18 months of regular full-time service; may buy-up to 60% coverage; 60% Optional plan available upon eligibility.
Workers Compensation – State-mandated plans providing compensation/coverage for work-related injuries. All employees.
Part-Time Medical/Dental/Vision – Benefits for Medical, Dental and Vision care. First of the month following 1 month in regular, part-time status. Medical includes choice of benefit levels of coverage. Same-Sex Domestic Partner Coverage.
Ownership Benefits
401(k) Savings Plan – Up to 50% of pay may be contributed, regardless of whether pre-tax or after-tax. Broad selection of investment options including Advise Access. Loan feature. Age 21 and 500 hours worked within the first 6 months of employment or 1,000 hours worked in any anniversary year.
Paid Time Off Benefits
Vacation – One to five weeks off per fiscal year, depending on length of continuous, full-time service. All regular, full-time employees
Personal Days – Six days off per fiscal year for personal reasons. All regular, full-time employees
Paid Holidays – New Year’s Day, Memorial Day, Independence Day, Labor Day, Thanksgiving and Christmas
2010 benefits summary
This summary is intended to assist you in understanding the provisions of our benefit Plans and services. However, in the event of any conflict between the terms of this summary and the terms of the Plans or applicable state or federal laws, the terms of the Plan Documents or laws shall prevail.
PLAN BENEFIT START DATE AUTO
ENROLL OPT.
ENROLL KEY POINTS
Health and Welfare Benefits
Medical Comprehensive Hospital, Surgical and Medical coverage, including routine exams. The maximum benefit payable for each covered person during the first year of coverage is limited to $100,000. First of the month following 1 month in regular, full-time status X Prescription drug program with low generic co-pay. Same-Sex Domestic Partner coverage.
Dental Preventive, basic and restorative care. Orthodontia coverage for dependents under 19, up to $1,000 per dependent. Same as Medical X Preventive care paid at 100%. Same-Sex Domestic Partner coverage.
Vision Coverage for eye examination and eyeglasses or contact lenses each plan year. Same as Medical X Same-Sex Domestic Partner coverage.
Flexible Spending Accounts Saves money by using pre-tax dollars to pay for eligible health care and/or dependent care expenses. Same as Medical X Tax savings to participants.
Basic Life Insurance 1 times annual base pay, rounded to next thousand Same as Medical X 100% Company-paid.
Supplemental Life Insurance Same as Medical X
Dependent Life Insurance For spouse or same-sex domestic partner, elect $25,000 or $50,000 coverage; for dependent children, elect $5,000 or $10,000 coverage Same as Medical X
Business Travel Accident Coverage for accidental death and/or dismemberment if it occurs while on company-authorized travel. All employees X
Short-Term Disability Weeks 2-6 80% of pay
Weeks 7-26 60% of pay
(50% of pay for weeks 2-26 if go on disability with less than one year of regular, full-time service) First of the month following 6 months in regular, full-time status X
Long-Term Disability 40-60% of pay up to age 65; min-$50/max-$10,000/month Same as Short-Term Disability X X 40% Company-paid benefit after 18 months of regular full-time service; may buy-up to 60% coverage; 60% Optional plan available upon eligibility.
Workers? Compensation State-mandated plans providing compensation/coverage for work-related injuries. All employees X
Part-Time Medical/Dental/Vision Benefits for Medical, Dental and Vision care. First of the month following 1 month in regular, part-time status X Medical includes choice of benefit levels of coverage. Same-Sex Domestic Partner Coverage.
Ownership Benefits
401(k) Savings Plan Up to 50% of pay may be contributed, regardless of whether pre-tax or after-tax. Broad selection of investment options including Advise Access. Loan feature. Age 21 and 500 hours worked within the first 6 months of employment or 1,000 hours worked in any anniversary year X
Paid Time Off Benefits
Vacation One to five weeks off per fiscal year, depending on length of continuous, full-time service. All regular, full-time employees X
Personal Days Six days off per fiscal year for personal reasons. All regular, full-time employees X
Paid Holidays New Year?s Day, Memorial Day, Independence Day, Labor Day, Thanksgiving and Christmas All regular, full-time employees X
Other Benefits & Services
Merchandise Discount Discounts on store merchandise. All employees X
Borders Group Foundation The Borders Group Foundation is a 501(c)(3) nonprofit, charitable organization that coordinates programs to strengthen and support Borders employees and their families, including bereavement, financial assistance and scholarship programs. All regular employees X
Adoption Assistance Reimbursement of a portion of adoption expenses. All regular, full-time employees X
Voluntary Benefits Group discounted rates on auto, homeowners, renters, boat & pet insurance. Also discounts on home, auto & boat financing, as well as consumer products and services. All employees X
Natural Alternatives Discounts on chiropractors, acupunctures, massage therapists, nutritional counselors & health-related products (not available in all states). Aetna Medical Plan Participants(not available in all states) X
Aetna.com 24-Hour Nurse Line, Audio Library, Healthwise Knowledgebase, Fitness Discounts, Salon Discounts, and Weight Management Discounts All employees enrolled in an Aetna health plan X
Tobacco Cessation Program Company-paid program includes a quit coach, nicotine replacement therapy and a web coach. All regular, full-time employees and their dependents who are enrolled in the Medical Plan as tobacco users X
Long-Term Care Long-Term Care Insurance helps cover the cost of nursing home care or home health care. All regular, full-time employees X Portable benefit with employee rates available to employee spouse/same sex domestic partner, parents, grandparents and in-law parents and grandparents.
1-800-Flowers.com Discounts on gifts and flower purchases All employees X
As of January 30, 2010, the company operated 511 Borders superstores in the United States, including 508 in the U.S. and three in Puerto Rico. The company also operated 175 stores in the Waldenbooks Specialty Retail segment, including Waldenbooks, Borders Express, Borders airport stores, and Borders Outlet stores.
On February 16, 2011, the company announced that it had filed for Chapter 11 bankruptcy protection, listing $1.275 billion in assets and $1.293 billion in debts in its filing.
Since reporting its first quarterly profit amidst its worst ever holiday sales season, Borders Group (BGP) has proven to effectively manage through its troubles and position itself as a strong brand/household name in the book retail environment. They have managed to prove their worthiness to creditors and obtain financing on reasonable terms. They have also strengthened their efforts to get in tune with their customers and employees by initiating new programs/incentives to help employee retention/satisfaction as well as customer loyalty/service.
As Borders Group (BGP) works to ensure its success as a standalone company, we believe they will be acquired while they are still in the process. The case is simple: There were many eyes on Borders Group (BGP) going into 2008, as they begin to show signs of improvement; the most prudent of the potential buyers will begin to emerge and potentially take action before the company's full value realizes and market prices reflect it.
The list for potential buyers has not really changed. The book retail sector is one that will be consolidating, and for the companies that remain, the best option for growth will be through strategic acquisitions.
Furthermore, Borders Group's (BGP) largest shareholder Bill Ackman has made it clear he is very open to, if not interested in a potential sale of the company. Borders Group (BGP) has been a long and drawn out holding for Ackman, and he will likely see it through at a profit.
There was a time when employers established these groups simply to “support” employees with similar backgrounds. Today, their function goes far beyond social support and, if optimized, is invaluable to both the employer and their employees. Today these corporate groups are tasked with a three-fold role:
• Represent the company to outsiders (recruitment, marketing, customer retention, community development)
• Represent the broader diverse population when it comes to new initiatives (new product development, messaging, market research/insight)
• Act as vehicles for internal development and support (communications, retention, professional development, mentoring, perspective on company policies and projects).
• Provide insight and advice to management through a unique knowledge of particular markets, demographics, and customers – particularly in relation to sales, marketing and product/service development
• Be corporate ambassadors for the company at corporate events, community events or recruiting initiatives - build relationships and identify business opportunities
• Assist with recruitment through personal networks, as well as by promoting the organization as an employer of choice
• Support the professional development of members through networking, mentoring and learning opportunities
• Act as a retention tool by empowering employees and helping them to buy into the company brand/mission, ensuring a positive sense of employee identity
• Act as a focused communication channel between senior management and employees, communicating new initiatives and supporting cultural change
• Provide a channel for employees to give input and feedback on company policies, practices and products/services
• Drive the creation of a more inclusive work environment
Retention
Medical – Comprehensive Hospital, Surgical and Medical coverage, including routine exams. The maximum benefit payable for each covered person during the first year of coverage is limited to $100,000. Coverage starts first of the month following 1 month in regular, full-time status. Prescription drug program with low generic co-pay. Same-Sex Domestic Partner coverage.
Dental – Preventive, basic and restorative care. Orthodontia coverage for dependents under 19, up to $1,000 per dependent. Preventive care paid at 100%. Same-Sex Domestic Partner coverage.
Vision – Coverage for eye examination and eyeglasses or contact lenses each plan year. Same-Sex Domestic Partner coverage.
Flexible – Spending Accounts Saves money by using pre-tax dollars to pay for eligible health care and/or dependent care expenses. Tax savings to participants.
Basic Life Insurance – 1 times annual base pay, rounded to next thousand. 100% Company-paid.
Supplemental Life Insurance
Dependent Life Insurance – For spouse or same-sex domestic partner, elect $25,000 or $50,000 coverage; for dependent children, elect $5,000 or $10,000 coverage.
Business Travel Accident – Coverage for accidental death and/or dismemberment if it occurs while on company-authorized travel.
Short-Term Disability – Weeks 2-6 80% of pay. Weeks 7-26 60% of pay. (50% of pay for weeks 2-26 if go on disability with less than one year of regular, full-time service) First of the month following 6 months in regular, full-time status.
Long-Term Disability – 40-60% of pay up to age 65; min-$50/max-$10,000/month Same as Short-Term Disability. 40% Company-paid benefit after 18 months of regular full-time service; may buy-up to 60% coverage; 60% Optional plan available upon eligibility.
Workers Compensation – State-mandated plans providing compensation/coverage for work-related injuries. All employees.
Part-Time Medical/Dental/Vision – Benefits for Medical, Dental and Vision care. First of the month following 1 month in regular, part-time status. Medical includes choice of benefit levels of coverage. Same-Sex Domestic Partner Coverage.
Ownership Benefits
401(k) Savings Plan – Up to 50% of pay may be contributed, regardless of whether pre-tax or after-tax. Broad selection of investment options including Advise Access. Loan feature. Age 21 and 500 hours worked within the first 6 months of employment or 1,000 hours worked in any anniversary year.
Paid Time Off Benefits
Vacation – One to five weeks off per fiscal year, depending on length of continuous, full-time service. All regular, full-time employees
Personal Days – Six days off per fiscal year for personal reasons. All regular, full-time employees
Paid Holidays – New Year’s Day, Memorial Day, Independence Day, Labor Day, Thanksgiving and Christmas
2010 benefits summary
This summary is intended to assist you in understanding the provisions of our benefit Plans and services. However, in the event of any conflict between the terms of this summary and the terms of the Plans or applicable state or federal laws, the terms of the Plan Documents or laws shall prevail.
PLAN BENEFIT START DATE AUTO
ENROLL OPT.
ENROLL KEY POINTS
Health and Welfare Benefits
Medical Comprehensive Hospital, Surgical and Medical coverage, including routine exams. The maximum benefit payable for each covered person during the first year of coverage is limited to $100,000. First of the month following 1 month in regular, full-time status X Prescription drug program with low generic co-pay. Same-Sex Domestic Partner coverage.
Dental Preventive, basic and restorative care. Orthodontia coverage for dependents under 19, up to $1,000 per dependent. Same as Medical X Preventive care paid at 100%. Same-Sex Domestic Partner coverage.
Vision Coverage for eye examination and eyeglasses or contact lenses each plan year. Same as Medical X Same-Sex Domestic Partner coverage.
Flexible Spending Accounts Saves money by using pre-tax dollars to pay for eligible health care and/or dependent care expenses. Same as Medical X Tax savings to participants.
Basic Life Insurance 1 times annual base pay, rounded to next thousand Same as Medical X 100% Company-paid.
Supplemental Life Insurance Same as Medical X
Dependent Life Insurance For spouse or same-sex domestic partner, elect $25,000 or $50,000 coverage; for dependent children, elect $5,000 or $10,000 coverage Same as Medical X
Business Travel Accident Coverage for accidental death and/or dismemberment if it occurs while on company-authorized travel. All employees X
Short-Term Disability Weeks 2-6 80% of pay
Weeks 7-26 60% of pay
(50% of pay for weeks 2-26 if go on disability with less than one year of regular, full-time service) First of the month following 6 months in regular, full-time status X
Long-Term Disability 40-60% of pay up to age 65; min-$50/max-$10,000/month Same as Short-Term Disability X X 40% Company-paid benefit after 18 months of regular full-time service; may buy-up to 60% coverage; 60% Optional plan available upon eligibility.
Workers? Compensation State-mandated plans providing compensation/coverage for work-related injuries. All employees X
Part-Time Medical/Dental/Vision Benefits for Medical, Dental and Vision care. First of the month following 1 month in regular, part-time status X Medical includes choice of benefit levels of coverage. Same-Sex Domestic Partner Coverage.
Ownership Benefits
401(k) Savings Plan Up to 50% of pay may be contributed, regardless of whether pre-tax or after-tax. Broad selection of investment options including Advise Access. Loan feature. Age 21 and 500 hours worked within the first 6 months of employment or 1,000 hours worked in any anniversary year X
Paid Time Off Benefits
Vacation One to five weeks off per fiscal year, depending on length of continuous, full-time service. All regular, full-time employees X
Personal Days Six days off per fiscal year for personal reasons. All regular, full-time employees X
Paid Holidays New Year?s Day, Memorial Day, Independence Day, Labor Day, Thanksgiving and Christmas All regular, full-time employees X
Other Benefits & Services
Merchandise Discount Discounts on store merchandise. All employees X
Borders Group Foundation The Borders Group Foundation is a 501(c)(3) nonprofit, charitable organization that coordinates programs to strengthen and support Borders employees and their families, including bereavement, financial assistance and scholarship programs. All regular employees X
Adoption Assistance Reimbursement of a portion of adoption expenses. All regular, full-time employees X
Voluntary Benefits Group discounted rates on auto, homeowners, renters, boat & pet insurance. Also discounts on home, auto & boat financing, as well as consumer products and services. All employees X
Natural Alternatives Discounts on chiropractors, acupunctures, massage therapists, nutritional counselors & health-related products (not available in all states). Aetna Medical Plan Participants(not available in all states) X
Aetna.com 24-Hour Nurse Line, Audio Library, Healthwise Knowledgebase, Fitness Discounts, Salon Discounts, and Weight Management Discounts All employees enrolled in an Aetna health plan X
Tobacco Cessation Program Company-paid program includes a quit coach, nicotine replacement therapy and a web coach. All regular, full-time employees and their dependents who are enrolled in the Medical Plan as tobacco users X
Long-Term Care Long-Term Care Insurance helps cover the cost of nursing home care or home health care. All regular, full-time employees X Portable benefit with employee rates available to employee spouse/same sex domestic partner, parents, grandparents and in-law parents and grandparents.
1-800-Flowers.com Discounts on gifts and flower purchases All employees X
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