Date

Sat - 23.09.2017


bankruptcy

Affiliated Media Inc. has won court approval of its restructuring plan, which will reduce its debt by about 81 percent and eliminate about US$751 million through a debt-for-equity swap, Bloomberg reported.

U.S. Bankruptcy Judge Kevin J. Carey, at a hearing Thursday in Wilmington, Delaware, approved the reorganisation plan which will provide lenders a majority of the reorganized company's equity, according to Bloomberg. The company publishes the Denver Post, San Jose Mercury News and 52 other dailies.

The company will be under chapter 11 bankruptcy protection by April 1.

As the holding company for MediaNews Group, Affiliated is headed by William Dean Singleton, who is also chairman of The Associated Press, according to ABC News.

"We knew we had a good plan going in, and it had been approved by the lenders before it was filed," said Singleton in a statement. "We are pleased that it won confirmation, and that our company is now well-positioned for the changing days ahead."

Author

Erina Lin

Date

2010-03-04 22:11

Morris Publishing Group announced today its "pre-packaged" reorganisation plan has been confirmed in U.S. Bankruptcy Court, based in Atlanta, Georgia, Editor & Publisher reported today. After its disclosure statement was approved, the U.S. publisher was predicted to begin debt recovery as early as March 1, according to PR Newswire.

PR Newswire suggested that Morris Publishing and its 13 daily newspapers would be reducing debt from around US$418 million to almost $107 million. Affiliates owned and operated by the Morris family will be offering $85 million in financial aid, Reuters reported today.

The publisher mentioned that it would be substituting $100 million of new second lien secured notes (due in 2014) for the cancellation of approximately $278.5 million of senior subordinated unsecured notes (due in 2013) as well as accumulated and unpaid interest.

"Our commitment is to remain an agile and innovative market-driven newspaper company whose core mission is to gather and distribute news, support our advertisers and publish great newspapers and Web sites," said Chairman William S. Morris III.

Author

Alisa Zykova

Date

2010-02-17 18:51

Two groups may bid for CanWest's chain of 46 newspapers, the largest auction of media assets undertaken in Canada. The transaction may be worth as much as C$1 billion, or US$940 million, according to Bloomberg.

Paul Godfrey, president of CanWest's National Post and former chief executive officer of the Sun Media group, is leading one group.

Unidentified sources said Godfrey joined with Vancouver-based directory publisher Canpages Inc., which has the backups from the U.S. private equity firm Hicks Muse Tate & Furst, the Globe and Mail reported.

"The group also includes at least six top CanWest executives willing to run the operation if the bid is successful," said a source familiar with the proposal.

However, there may encounter another strong competing group including Glacier Media Inc., a Vancouver-based community newspaper company which has stakes in about 120 titles and covets CanWest's community publications, according to the Globe.

Author

Erina Lin

Date

2010-02-10 23:39

A bankruptcy judge yesterday overruled protests from a union representing workers and federal bankruptcy monitors and approved bonuses for Tribune Co. executives totalling US$45.6 million, Dow Jones Daily Bankruptcy Review reported.

The amount represents about 11 percent of the company's operating cash last year, according to Bloomberg. The bonuses will go to the company's top 720 executives, including its top 10 leaders.

Chicago-based Tribune is currently in bankruptcy protection for more than $11 billion in debt. It filed for Chapter 11 in December 2008, and Chairman Sam Zell said in mid-January said he expects the U.S. publishing company to exit bankruptcy in the first half of this year.

U.S. Bankruptcy Court Judge Kevin Carey did not decide whether another $21 million will go to executives.

Author

Leah McBride Mensching

Date

2010-01-28 23:13

The holding company for MediaNews Group, publisher of The Denver Post, San Jose Mercury News and 52 other daily publications, has filed for bankruptcy, Editor and Publisher reports.

Affiliated Media Inc., the privately held parent company for the publisher, expects to emerge from bankruptcy in one or two months. It has said that it has a deal with creditors to reduce its $930 million debt to $165 million. Lenders including Bank of America would get most of the company's stock, wiping out shareholders such as Hearst Corp. A bankruptcy court in Delaware still has to approve the plan.

For more on this story, visit our sister publication, editorsweblog.org.

Author

Leah McBride Mensching

Date

2010-01-25 19:34

Core newspapers in Canwest Global Communications Corp.'s bankrupt newspaper unit have piqued the interest of bidders, the Financial Post reported yesterday. Following the newspaper chain's bankruptcy filing, secured lenders are selling off the newspapers or, if that should fail, may spin the division out into an independent public company, according to FP.

Expected to bid on the Montreal Gazette, the National Post and the Ottawa Citizen is a group headed up by Jerry Grafstein, a former Canadian senator. The group also includes Ray Heard, a former media executive, and Beryl Wajsman, owner of community newspapers, The Globe and Mail reported.

Grafstein told Bloomberg his group is working on an application that would allow them to review the company's finances, a move toward making a bid. He would not name investors.

Canwest, Canada's largest media group, on Jan. 8 put its newspaper division under bankruptcy protection while searching for a buyer. The division includes 10 dailies and 26 community papers, including the Vancouver Sun and Calgary Herald.

Author

Savita Sauvin

Date

2010-01-19 21:02

Affiliated Media Inc., the holding company for U.S. publisher MediaNews Group, will restructure the company's debt in a "prepackaged" Chapter 11 bankruptcy filing, The Salt Lake Tribune reported. Debt will be cut from about US$930 million to $165 million, and senior lenders will be given equity.

MediaNews Group publishes 54 daily newspapers, including The Tribune and the Denver Post, as well as 100 non-dailies.

CEO William Dean Singleton said day-to-day operations won't be affected, and the company has enough cash to cover its operations. Under the restructuring, management will also be allowed to own 20 percent of the company, The Associated Press reported.

On Wednesday, U.S. company Morris Publishing Group, also announced it would also file a prepackaged bankruptcy plan, which will cut its debt load of $415 million by 70 percent, the Juneau Empire reported.

Author

Leah McBride Mensching

Date

2010-01-15 23:22

Tribune Co. Chairman Sam Zell told CNBC today that he expects the U.S. publishing company to exit bankruptcy in the first half of this year, the Chicago Tribune reported.

"I think that an awful lot of the steps that the management of this company has taken to change the model, to reduce costs, to make the operations more efficient have all been coming through. So I'm very optimistic about the future of the company," he said in the interview.

Zell bought the Tribune Co., which publishes the Chicago Tribune and Los Angeles Times, in 2007. Due to a huge debt load taken on when Zell took the company private, Tribune filed for bankruptcy in December 2008.

Author

Leah McBride Mensching

Date

2010-01-13 23:21

As court documents have been filed, details of arguments between Canada's largest newspaper company and the group's secured lenders have emerged, The Toronto Star reported today. According to these documents, it appears the CEO of Canwest Global Communications Corp. and CanWest Media, Inc. was asking lenders for more time, noting a stabilising economic outlook.

Leonard Asper also wrote that he "profoundly disagrees" with the lenders' move to push CanWest LP (which holds the company's major newspapers) into an "early filing," which could cost the newspaper group as much as C$45 million in fees that would go to "advisory groups that are driving the process." He also asked for six months to find a plan that would be best employees, suppliers and unsecured lenders.

But the Bank of Nova Scotia was not interested. In a letter back to Asper, the bank's executive vice president, Jane Rowe, stated that CanWest LP is behind at least $100 million in payments on several loans, and has been since last May. "It is plain and obvious that [CanWest LP] can not support its massive debt, and that a transaction will have to occur that fundamentally alters the balance sheet of the newspaper business."

Since the letters were exchanged, CanWest LP, which includes 10 dailies and 26 community papers, has filed for bankruptcy.

Author

Leah McBride Mensching

Date

2010-01-12 22:56

CanWest Global Communications, Canada's largest media group has put its newspaper division under bankruptcy protection while it searches for a buyer for the group, the BBC reported today. The division includes 10 dailies and 26 community papers, including the Ottawa Citizen, Montreal Gazette, Vancouver Sun and Calgary Herald.

The group is C$1.3 billion in debt. Lenders led by five of the largest banks in Canada have taken over ownership of the titles, and announced today that "substantially all" of the 5,300 newspaper employees will be kept on, according to The Globe and Mail.

Currently there are "no obvious buyers," but because CanWest has integrated its publishing arm so fully, "piecemeal sales" would be unlikely, The New York Times reported.

Author

Leah McBride Mensching

Date

2010-01-08 23:00

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