Beloved Bookstore Chain Files for Bankruptcy!
California’s Oldest Bookstore Chain, Books Inc., Files for Bankruptcy
Books Inc., the San Francisco Bay Area’s iconic and long-standing independent bookstore chain, filed for Chapter 11 bankruptcy on January 21st, 2025. This move aims to restructure the business and involves closing one of its locations.
Facing a Changing Retail Landscape
The 174-year-old bookstore chain cited several challenges in its bankruptcy filing:
- Rising Operating Costs: Maintaining stores has become increasingly expensive.
- Shifting Consumer Habits: The rise of online retail and changing book buying habits have impacted sales.
- COVID-19 Pandemic: The pandemic further exacerbated these existing issues.
Strategic Restructuring for Survival
Books Inc. emphasizes that this is a strategic move for long-term survival. Here are the key elements of their plan:
- Chapter 11 Reorganization: This legal process allows the company to restructure its finances and operations.
- Store Closure: The Berkeley, California location will close on February 9th, 2025.
- Staff Redeployment: Impacted employees will be offered positions at other stores whenever possible.
- Continued Online Presence: The Books Inc. website will remain operational for online orders.
- Loyalty Program Maintained: The Frequent Reader Program and its benefits will continue uninterrupted.
A Rich History Facing Modern Challenges
Founded in 1851, Books Inc. boasts a rich history as a California institution. However, the rise of national bookstore chains and the changing retail landscape have presented significant challenges.
- Company Origins: Established in Shasta City by European immigrant Anton Roman, the bookstore later moved to San Francisco.
- Ownership Changes: The store operated under various names until 1946 when Lew Lengfeld renamed it Books Inc.
- Expansion and Contraction: The company expanded to multiple states but faced financial difficulties in the 1990s. It emerged from bankruptcy in 1997 with a smaller footprint.
The Future of Books Inc.
Books Inc. seeks court approval for its reorganization plan, which may involve consolidating some physical stores. The company remains committed to serving California readers and will continue operating its remaining stores and online presence.
