Check Out some weakness in book and drug stores sales.

Borders dumped Chief Executive George Jones less than three years after he joined the No. 2 U.S. specialty bookseller, replacing him with a private equity executive with experience turning around ailing companies. The company, which reported a sales decline of almost 12 percent during the holiday shopping season, also named a new chief financial officer as well as replacing its executive vice president for merchandising and marketing.

In November, Borders said it was no longer pursuing a possible sale of the company even as it posted a larger-than-expected operating loss.

Meanwhile, same-store sales at drug stores were not what those retailers were hoping for. Walgreen, which saw sales at store open at least a year rise 4.9 percent in December, said shoppers focused on basic necessities, while staying away from seasonal items. Rite Aid’s same-store sales in the same period slipped 0.2 percent.

President-elect Barack Obama plans to propose up to $310 billion in tax cuts as part of his massive economic stimulus package in an effort to help the U.S. economy escape its recession.

Also in the basket:

LG, Netflix to launch TVs with instant movie viewing

China’s young generation gets thrifty in gloomy economy

China maker Waterford Wedgwood calls in receivers

Consumers to Pare High-Tech Purchases (Wall Street Journal)

The Coming Fallout: Who’s Vulnerable? (WWD)

(Photo/Reuters)