Borders has released its third quarter earnings and the result, while still not great, isn't as bad as feared. They reported third quarter consolidated sales of $851.6 million, which is up 1.7% over the same period in 2005. The consolidated net loss increased to $39.1 million, compared to a loss of $14.1 million a year ago.

"Third quarter performance was as expected, but we certainly are not satisfied with these kinds of results in the long run," said Borders CEO George Jones. "To drive shareholder value long-term, we are developing a strategic plan that has four key goals -- differentiating Borders superstores from the competition in meaningful ways, including product merchandising and presentation; aggressively right-sizing the mall business; driving profitability in the International segment; and embracing innovation and technology. I'm excited about where we are headed and look forward to driving a significant turnaround for Borders Group in years to come."