At Borders Group , we’re challenged daily to deliver shareholder value. To achieve this goal, we’re taking initiative — looking squarely at our business. Building on what works. Changing what doesn’t. Our store model has power. The book, music and video buying experience we deliver is compelling. Retail convergence, our unique and highly effective merger of selling channels, has momentum. Our plan for 2001 is aggressive. Many initiatives launched in 2000 are producing positive results that we will continue to leverage for greater growth. Inside this report, we’ll share insight into our key initiatives and illustrate how they will lead Borders Group to drive increased shareholder value.