Yesterday Borders Group announced that total sales were $1.1 billion for the final quarter in 2008, down nearly 13 percent from last year. For the year, total sales declined by almost 9 percent.

Earlier this week, Borders Group reported that Pershing Square Capital Management had extended the bookseller’s $42.5 million loan until April 1, 2010, granting the struggling company a chance to recover this year.

In a statement, CEO Ron Marshall praised the new terms: “The extension of the loan gives us some necessary breathing room, which is important in the current economic environment.”