I couldn't fit it into the title, but B&N (major Borders Bookstore competitor) issued a statement as well, pointing out that if Borders is offered special terms, those same terms should be available to other bookstores as well.
I saw the 25 million deal that went through at $2.25 a share which was just below market rates.
Assuming things are worse and you could again get just below market rates would it be unreasonable to assume you could get it at .75 a share or ~54M (72.04 * .75)?
Equity is worth 80 Million. He was able to take control with $25 million when the share price was ~2.5x of what it is today. So for $10 million you could take control. Why couldn't you spend $10 million and then declare bankruptcy canceling all/most debts? Would you be better off letting them declare themselves and then going in and buying the the assets your self?
Problem is if borders declares BK, it will wipe out your equity and give control to creditors. If you thought BK likely, better strategy may be to buy debt if you can.