Borders Group, Inc. and 7 associated debtors (the “Debtors” or “Borders”) filed voluntary petitions under Chapter 11 of the Bankruptcy Code on February 16, 2011 in the Bankruptcy Court for the Southern District of New York (Case No. 11-10614). The Honorable Martin Glenn has been assigned to the case.  This initial note provides the Debtors’ consolidated list of their 30 largest unsecured creditors.  See related list Borders’ top 50 recipients of payments in the 90 days prior to the Borders’ bankruptcy or read the complete Borders preference analysis by going here:  For 1786 Borders’ Suppliers and Other Creditors, Its Not Time to Close the Books.

The Debtors' Consolidated List of Holders of Largest Unsecured Claims

The Debtors' have requested authority to file a consolidated list of the holders of the Debtors' largest unsecured claims in lieu of a separate list for each of the Debtors. The consolidated list is set forth below. The Debtors' list did not identify any claims that were “Contingent, unliquidated, disputed, or subject to setoff”. Accordingly that column is omitted.

ListedName of creditorNature of claim
(trade debt, bank loan,
government contract, etc.)
Amount of claim
if secured, also the
value of the security
01  Penguin Putnam Inc.
200 Old Tappan Road Bldg. 1
Old Tappan, NJ 07675
Attn: Lindsay Carter
Trade debt$41,118,914
02  Hachette Book Group USA
PO Box 8828
Boston, MA 02114-8828
Trade debt$36,879,656
03  Simon & Schuster Inc.
JP Morgan
131 S. Dearborn 6th Fl. Chicago, IL 60603
Attn: Lockbox 70660
Trade debt$33,757,445
04  Random House
Box 223384
500 Ross St, 154-0455
Pittsburgh, PA 15262
Trade debt$33,461,062
05  Harper Collins
Publishers
PO Box 360846
Pittsburgh, PA 15251- 6846
Trade debt$25,793,451
06  Macmillan / MPS
175 Fifth Avenue
New York, NY 10010
Trade debt$11,434,306
07  John Wiley and Sons Inc.
Attn: Kevin Glennon
432 Elizabeth Avenue
Somerset, NJ 08873
Trade debt$11,191,435
08  Perseus Distribution Svcs
15636 Collections Center Drive
Chicago, IL 60693
Trade debt$7,776,292
09  Source Interlink Companies
275000 Riverview Center Blvd
Ste 201
Bonita Springs, FL 34134
Trade debt$6,879,906
10  Twentieth Century Fox
Bank of America
Attn: Lockbox #402665
6000 Feldwood Road
College Park, GA 30349
Trade debt$6,445,467
11  Seattle's Best Coffee Inc,
PO Box 84348
Seattle, WA 98124-5648
Trade debt & Commission$4,991,818
12  F&W Media Inc.
PO Box 715157
Columbus, OH 43271- 5157
Trade debt$4,546,275
13  Houghton Mifflin Harcourt
Attn: Mary A. Durrance, Finance
Credit Dept.
9400 South Pk Center Loop
Orlando, FL 32819
Trade debt$4,400,756
14  Sony Music
Entertainment Inc.
c/o Mellon Bank
Dept. Ch 10247
Palatine, IL 60055-0247
Trade debt$4,273,824
15  Workman Publishing Company
225 Varick St.
91h Fl.
New York, NY 100144381
Trade debt$4,003,126
16  Diamond Comic Distributors
1966 Greenspring Dr. h 300
Timonium, MD 21093
Trade debt$3,906,550
17  U M G D
co Bank of America PO Box 98279
Chicago, IL 60693
Trade debt$3,754,699
18  Warner Elektra Atlantic
Dept Ch. 10125
Palatine, IL 60055-0125
Trade debt$3,396,812
19  The McGraw-Hill Companies
PO Box 2258
Carol Stream, IL 60132- 2258
Trade debt$3,093,871
20  Sony Pictures Home Ent
c/o Mellon Bank
PO Box 120001
Dept. 0648
Dallas, TX 75312-0648
Trade debt$2,930,139
21  Pearson Education Inc.
200 Old Tappan Road
Old Tappan, NJ 07675
Trade debt$2,784,766
22  Rosetta Stone Ltd.
Dept. Ch 17714
Palatine, IL 60055-7714
Trade debt$2,226,553
23  National Book Network Inc.
PO Box 62188
Baltimore, MD 21264- 2188
Trade debt$1,956,713
24  WW Norton & Company Inc.
Box 2626
PO Box 8500
Philadelphia, PA 191782626
Trade debt$1,940,826
25  Zondervan Corporation
Department CH10303
Palatine, IL 60055-0303
Trade debt$1,886,752
26  EMI Music
Dept. CH 17714
Palatine, IL 60055-0380
Trade debt$1,782,358
27  Hay House Inc.
PO Box 5100
2776 Loker Ave W
Carlsbad, CA 92018
Trade debt$1,725,589
28  Elsevier Science
PO Box 0848
Carol Stream, IL 60132- 0848
Trade debt$1,606,992
29  Papyrus-Recycled Greetings
3613 Solutions Center
Chicago, IL 60677-3006
Trade debt$1,490,891
30  Publications Intl Ltd
Dept 77 3401
Chicago, IL 60678-3401
Trade debt$1,079,421

_

The list does not include: (1) persons who come within the definition of “insider”); or (2) secured creditors, unless the value of the collateral is such that the unsecured deficiency places the creditor among the holders of the largest unsecured claims.

Bankruptcy Rule 1007(d) provides that a debtor shall file “a list containing the name, address and claim of the creditors that hold the 20 largest unsecured claims, excluding insiders.” Fed. R. Bankr. P. 1007(d). In the case of a multi-debtor filing, it is likely that many creditors are shared among certain of the debtors. This is especially the case where the debtors operate as a single business enterprise. Under these circumstances and provided that there is a request for joint administration, it is common for multiple, related debtors to request authority to file a single, consolidated list of their collective largest general unsecured creditors. These requests usually are granted by the bankruptcy court.

The Top Unsecured Creditor List is never to be considered a waiver of any defense to or “allowability” of a listed claim or an admission of the amount of any listed claim. It is common for the amount of the claims to shift and sometimes a claim that is initially is undisputed is later disputed. Creditors should always consult the official claims register.