I've always known Borders more as a music store than as a book store, even though any time I was ever looking for a book, they had it (same goes for CDs, actually). When I moved to Ann Arbor in Y2K, the flagship store had 2/3 of the second floor devoted to music, with a dedicated staff running the section. You actually paid for your CDs upstairs in that section! Seems so long ago. It changed not long after, maybe in mid-2001, when you could go down to the regular check out to pay, and the music staff was no longer there full-time, but still the selection was pretty deep.
They are closing the second best Ann Arbor store, the one in the Arborland mall, the only one actually with any decent music selection left. Figures. If they attempt to come back as strictly a bookseller and ditch music altogether, how do they hope to survive? Are enough people buying music or books in physical form for both chains to keep surviving?