Recapitalization Plan

To continue our solid history of excellence in the college bookstore marketplace, we are positioning our company to provide more industry-leading solutions to our customers. We have a solid history of excellence in our industry and expect our reputation and level of success to continue far into the future. Read the Recapitalization Newsletter

We Have Solved our Financial Issues

First and foremost are the financial aspects of our growth plan. We have reached an agreement with our largest creditors to restructure approximately $450 million in loans and bonds. This agreement solves our debt issues. Because there are many holders of our public debt, the most efficient way to implement a full recapitalization of our company is through a proceeding under chapter 11 of the United States Bankruptcy Code. While our use of the chapter 11 process may make some nervous, this recapitalization is great news for our future because it will give us the financial flexibility we need to execute our business plan. We are not liquidating; chapter 11 is simply the legal vehicle we are using to complete our recapitalization.

Our Customers Will Not be Affected

Nebraska Book Company is open for business! We are committed to serving our customers and have made sure that they will be unaffected by our recapitalization.

• Our doors are open and we are continuing to operate our business as usual;
• The programs and accommodations we offer our customers are not affected;
• We are honoring our normal return and refund policies going forward.

Promising Business Results

We should all be confident and excited about where our business is headed. Our rent-every-book model is gaining traction and we fully expect it to propel our stores. We have plenty of cash to fund operations and we have secured commitments for financing to help us navigate the recapitalization process.

Our Operations are Stronger than Ever

In addition to the court process that will address the legal and financial steps the company is taking to position for growth, Nebraska Book Company has taken operational steps to position for our future. Over the past 12-18 months, we have completed a number of projects to assist in making our organization stronger and even more profitable.

• We have launched a new business strategy - rent-every-book. Rental is taking the industry by storm and we are already seeing great results from our stores. This is the most strategic move our company has made in many years. We can be very price competitive and we certainly know the book industry; something online-only companies simply cannot match.
• We are rolling out more and more general merchandise products that our bookstore guests want. Our selection will expand and we have staffed the company with the right people to make this happen
• We will be executing on strategies that will take the store and our merchandise to the bookstore guest. What does that mean? We plan to open "pop-up" stores in certain locations that will be strategically located. You have no doubt heard of our mobile trailers; well we have others!
• We will be more aggressively marketing our online tools and they are getting great attention and the plan is to continue to market them to the industry and drive more traffic.

For more information, please call 1.888.369.6612.

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