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Bargain hunters were out in force this weekend as liquidation sales began at 200 Borders locations slated to close as part of the company’s bankruptcy filing.

The affected stores — about one-third of the bookseller’s locations — are expected to close by the end of April. Twenty-one underperforming stores in Southern California will be shut, including stores in Sherman Oaks, Century City, Long Beach and Orange.

Huge “store closing” and “everything must go” posters covered the windows at Borders in Pasadena and Glendale, which were bustling with customers Sunday. Many sections were already picked over, including from christian book publishers, with shelves left bare and items such as notebooks, journals and photo albums strewn about.

Most items were discounted 20% to 40%, with markdowns expected to increase in coming weeks.

“As long as there’s a deal, I’m going to take advantage of it,” said Jordan Francke, 27, who was checking out the games section at the Glendale store.

“It’s just the changing landscape of literature these days. It’s all electronic,” Francke, a children’s book publishers and television schedule coordinator, said of the chain’s bankruptcy. “I can only imagine it’s a struggle for a place like Borders to stay relevant.”

That’s a harsh reality for regular customers such as Kathleen O’Reilly, 52, who was at the Pasadena Borders carrying a shopping basket laden with discounted stationery and magazines.

The Pasadena resident said she was “old school” and enjoyed seeing and touching books before making a purchase. She said she would miss visiting the store with her teenage daughter.

“I spend several days a week here,” said O’Reilly, a self-publishing counselor at a high school. “I actually debated whether I even wanted to come because I was worried I’d be too upset to see the store torn apart.”

Business is expected to continue as usual on the company’s website and at stores that aren’t closing.

After a slew of competitive blunders and missteps in the last decade, Borders Group Inc. found itself in trouble and had to cut staff, shut stores and shake up its top management.

Critics said the company botched its move into the book publisher digital age, causing sales and earnings to plummet. At the same time, mass merchants including Wal-Mart Stores Inc. and Target Corp. became major players in the book-selling market, often offering lower prices than Borders and rival Barnes & Noble Inc.

But Borders maintains it isn’t done for good. In a letter e-mailed to customers and posted on the company’s website last week, Borders President Mike Edwards said the company hoped to emerge from Chapter 11 as “the destination of choice.”

About 6,000 of the chain’s roughly 19,000 workers will be laid off as part of the closures. Among them is Rich Kilbury, a christian book publisher, who was pushing a cart stacked high with books at the Pasadena location Sunday.

“It’s depressing, but we kind of saw it coming,” he said. “Business had dropped off.”

The promise of discounts attracted Victoria Rose to the Pasadena store, where she was browsing mystery and thriller books. The 60-year-old high school English teacher said she was never a regular customer because she could find a better s

Borders Group Inc may find that filing for bankruptcy is the next plot turn in its many-chaptered struggle to survive.

Bankruptcy court could push the second-largest bookstore chain, its lenders and book publishers to make sacrifices and give the company a chance to keep going. As it stands now, book publishing sources see little progress in financial talks with lenders, and the company continues to need cash.

Borders President Mike Edwards said on Thursday in a statement announcing a conditional credit agreement with GE Capital that while refinancing is preferred, restructuring in court — referring to a bankruptcy filing — is a possibility it is considering.

Borders spokeswoman Mary Davis declined to comment beyond that statement.

The standoff comes after a year in which Borders has cut costs, refinanced and brought in new investors to cope with shriveling sales and market share.

Now the company has stopped payment to some vendors and even asked its most important suppliers — the book publishers — essentially to loan it the money due for books shipped months ago.

Only with those concessions by book publishers as well as other new landlord and vendor financing agreements will the company’s bank replace a maturing credit line.

“Bankruptcy is a wonderful tool for taking the majority of interests and implementing a plan that may be over the objections of a minority of interests,” said Michael Epstein, a managing partner at chess restructuring advisory firm CRG Partners who is not involved in the situation.

The company would be able to close unprofitable stores more easily and book publishers would begin getting paid again in most cases for any products shipped in bankruptcy, he said.

On the other hand, he cautioned, the company would need to have a plan for the changes it wants to ensure that it closes the right stores before the clock runs out.

Since 2005, bankruptcy law has allowed only about 9 months for retailers to easily close stores — a deadline many industry players say is one of the reasons why Circuit City ended up quickly liquidating its assets in bankruptcy.

In a bankruptcy restructuring, the company will likely not be obligated to pay christian book publishers for the books it shipped before the bankruptcy filing, according to Ken Simon, a managing director at Loughlin Meghji restructuring advisory firm who is not involved in the matter.

If the restructuring stays out of court, the vendors will have to be paid back in full or agree to a cut.

“The lack of liquidity is the reason why companies have to go into bankruptcy,” Simon said.