I hear they're being acquired by the Bottom Line. ----- Original Message ----- From: "Jaimie Vernon" To: Cc: Sent: Friday, February 06, 2004 11:33 AM Subject: Tower Records bankruptcy > This from the Toronto Star: > > Tower Records headed for bankruptcy? > ASSOCIATED PRESS > > WEST SACRAMENTO, Calif. - Tower Records, the pioneering record > retailer that invented the music megastore, is likely to file for > bankruptcy in the next week, a source close to the matter said today. > The bankruptcy could clear the way for a potential buyer, the source > said, speaking on the condition of anonymity. > > MTS Inc., the privately held parent of the West Sacramento-based > chain, declined to comment on the possible court filing. Such a > filing would be nearly a year after MTS decided to sell Tower because > it could not pay off $5.2 million (U.S.) in debt. > > Tower Records was launched with a single store in 1960 - the same > year as the Twist dance craze - and soon became internationally > recognized for its in-store concerts and a deep selection of popular > and obscure music. > > But the chain has fallen victim to a slump in the music business and > its own missteps in a rapidly changing retailing environment. > "It doesn't surprise me," said Phil Leigh, digital music analyst with > Digital Inside Media. "The brick-and-mortar retailers are facing a > serious problem. They've got to deal with Borders and Wal-Mart and > the trend toward digital distribution." > > Tower Records owns about 100 stores, down from 171 during its heyday > when annual sales topping $1 billion were routine. > The retailer's decline began in 1998 as falling sales, lack of hits > and discounters such as Best Buy and Wal-Mart cut into profits of > traditional record stores. > > _________________________________________________________________ > The new MSN 8: advanced junk mail protection and 2 months FREE* > http://join.msn.com/?page=dept/bcomm&pgmarket=en-ca&RU=http%3a%2f%2fjoin.msn .com%2f%3fpage%3dmisc%2fspecialoffers%26pgmarket%3den-ca > >