Borders Said to Seek $50 Million in Additional Funding

Borders Group Inc., the bankrupt book chain, is seeking at least $50 million in additional financing as sales trail expectations and publishers demand cash in advance, said two people who have seen the chain’s plans to reorganize.

The funds are needed to help Borders emerge from its in-court restructuring, said the people, who declined to be identified because the process isn’t public. The retailer already has a $505 million debtor-in-possession loan, which offers sufficient capital for the next few months, the people said. The retailer may risk liquidation without further investment, easier terms from vendors or a buyer, they said.