Publishers have been generally complimentary of last week’s Family Christian Stores (FCS) sale to FCS Acquisition, though some literary agents have expressed concern with the chain’s behavior.

Earlier this year, FCS filed for Chapter 11 bankruptcy. In an effort to save itself, FCS attempted to sell itself to FCS Acquisition, owned by Richard Jackson, but was denied in court after allegations of a possible insider deal came out. FCS revised its plan for reorganization, and creditors responded by voting overwhelmingly to allow the sale. Following this vote, U.S. Bankruptcy Judge John Gregg approved the sale Aug. 11.

Though the ruling means many publishers have accepted deep losses, it also ensures that FCS continues to stay open as a retailer. As a result, publishers have been among the most pleased with the deal.

Byron Williamson, CEO of Worthy Publishing, was glad to see Family Christian resolve its legal situation.

“The Worthy team is thrilled that Family Christian has emerged from such a tough period to resume their much needed leadership role as a book retailer,” Williamson said. “It's an answer to our prayers!”

Fred Evans, senior vice president of sales at B&H Publishing Group, was also positive about the deal.

“We are pleased everything has been resolved and to be working with them again,” said Evans.

Dwight Baker, president of Baker Publishing Group, looked forward to Baker and Family Christian’s future.

“Baker Publishing Group expects to restore our relationship with FCS and explore together how we can serve readers of Christian books,” Baker said.

From authors’ perspectives, however, the deal received a more mixed reaction. Literary agent Chip MacGregor expressed his frustration with Family Christian Stores on his blog.

“I’ll celebrate that writers in CBA still have some brick-and-mortar store shelves to sell books from,” MacGregor said. “I’ll celebrate that publishers in CBA showed enough grace that they were still willing to work with people who took their product and sold it but never paid for it. And I’ll celebrate that, at least for the time being, there will still be a chain of stores that aren’t owned by a denomination, so readers can find books that aren’t in a very limited theological window. But I’ll also remember that a lot of people didn’t get paid, some lost their jobs, and others lost their entire companies.”

Literary agent Steve Laube expressed cautious optimism on his blog, but also noted that Family Christian’s failings had harmed many in the industry.

“Since the publisher wasn’t paid, the author doesn’t get paid,” Laube explained. “So far the impact has been modest for most authors since FCS had been highly selective in the titles they have carried in their stores. … My hope is that the Family Christian Stores can use this to become a powerful tool in God’s kingdom.”

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