What the heck is Publish America up to?

A number of authors have recently received some emails from Publish America.  The first one goes like this:

Dear author:
Your book has shown no sales for more than a year. At this time you may want to have your book's publishing rights reverted back to you.
We can arrange that.
Go to www.publishamerica.net/productnumber.html and instruct us to return the rights to you. In the Ordering Instructions box, write the title of your book. You will receive the termination documents by mail. There are no strings attached to this termination except the $99 processing fee that covers our administration costs and our de-listing obligations to vendors and/or wholesalers. You must choose a shipping option to activate your rights return instruction.
Thank you for having been a PublishAmerica author, or for sticking around if that's what you prefer!
--PublishAmerica Author Support Team

The second email goes like this:

Dear author:
Sometimes a book deserves a new start.
Not labeled in book vendor databases as POD.
A low list price.
A new publisher.
Introducing:
Independence Books.
Independence Books is our new subsidiary. It is treated as an independent publisher. Not registered as POD in vendor databases. Not registered as PublishAmerica. Uniform list prices are $14.95.
Want a new start for your book? We will cause it to be published as an Independence Books title. It will receive a new ISBN and the new $14.95 list price. It will not show as POD. It will not list as PublishAmerica. ISBN-fed databases will show that your book is an Independence Books book, readily available from Independence Books.
Go to www.publishamerica.net, find your softcover, add to cart, use this discount coupon: IndyBooks40. Minimum volume is 7 softcovers. For 12 or more softcovers use the IndyBooks45 coupon.
This will cause your book to be published as an Independence Books title. It will no longer be available from us as a PublishAmerica softcover. (Your book's paperback or hardback versions, if already activated, will keep their PublishAmerica designation.) Your order today will be printed under the new Independence Books logo ( www.publishamerica.com/independence), with its new ISBN. Transfer may take up to 6-8 weeks to be completed and will be permanent. Book remains under contract with PublishAmerica. Use this coupon for your softcover only; other applications will not be processed. PublishAmerica's online bookstore will re-list the book as an Independence Books title generally within 24 business hours. Other vendors may do so at their discretion.
Thank you.
--PublishAmerica Author Support Team

Quite frankly I can't even work out what this new craziness is all about, but it all sounds pretty shady to me.