BORDERS Bookshop today warned it may pull out of Britain.

BORDERS Bookshop today warned it may pull out of Britain.

The shock news, which threatens 2000 jobs across the UK, could see the sale of one of the most prestigious locations in Glasgow city centre.

US-based Borders took over the former Royal Bank of Scotland site at Buchanan Street and Royal Exchange Square in 1998. The prospect of the Glasgow store disappearing from the A-listed building is a massive blow to the city centre.

Borders also has a store in the Fort in Easterhouse and four others throughout Scotland. The two city stores employ more than 100 people.

The sell-off threat follows last month's announcement that Borders' overseas arm - 70% of which is concentrated in the UK - lost £254,000 in the year to February, against a profit of £6million the previous year.

The company said it was considering the sale of the 71-store UK division as part of a "strategic review" brought on by the "challenging retail environment".

Borders has become a major player in the book business, challenging established names like Waterstone's and Dillons.

HMV, which owns Waterstone's, recently issued its second profits warning since the start of the year and announced a rescue plan to try to boost flagging sales, which could see the closure of up to 30 Waterstone's outlets.