Amazon.com

(AMZN) - Get Report

was down 6.9% in preopen

Island

trading.

CNBC

and other outlets reported that the company was rumored to be seeking Chapter 11 protection, but Amazon denied that.

Amazon today debuted an expanded music downloads section, offering songs from hundreds of artists in a bid to jump-start slowing CD sales. The online retailer began a modest downloads section two years ago. The expansion comes as Amazon faces dwindling growth in its core business of books, music and videos.