It looks like Borders had a rough Christmas. They just announced they won't be able to make their December 31st payments to vendors:

Borders spokeswoman Mary Davis said Thursday that the company will work with vendors to restructure their payment arrangements while it continues to work to refinance senior credit facilities. But Ann Arbor, Mich.-based Borders warns that there is no assurance that it will be able to refinance that debt. Without financing, it could violate terms of its debt in the first quarter of 2011 and "experience a liquidity shortfall."

Someone just forwarded me an e-mail from an author suggesting that if you got a Borders gift card for Christmas, you might want to use it quickly. According to Reuters, "Borders shares fell to $1.03 after hours, from a close of $1.16." UPDATE: Now it's down to 98 cents.