Barnes & Noble and Ingram Book Group Announce Plans to Terminate Acquisition
Posted on June 2, 1999Barnes & Noble, Inc. and the Ingram Book Group have announced their agreement to terminate Barnes & Noble's planned acquisition of Ingram. Barnes & Noble's application before the Federal Trade Commission (FTC) for the purchase will be formally withdrawn today. Barnes & Noble plans to continue to work closely with Ingram even as it moves forward on alternative plans, including the building of two new distribution centers.
"Although we believe the Ingram acquisition would have provided benefits to both Barnes & Noble and the entire industry, including consumers, publishers and booksellers, our long-range financial interests will not be affected," said Leonard Riggio, chairman and chief executive officer of Barnes & Noble, Inc. "We remain committed to leading the marketplace and offering consumers the best value, choice and service in the bookselling industry. By terminating the acquisition, we now have available the $600 million for other strategic investments and acquisitions."
"Our relationship with the Ingram Book Group and the Ingram family remains a critical component of our business planning going forward. Ingram's commitment to customer service, market leadership and corporate values that first led us to consider this acquisition has been in evidence throughout the process," Mr. Riggio added.