The company that owns both The Chicago Tribune and The Los Angeles Times has hired advisers for a possible bankruptcy filing. Although it's unknown whether The Tribune has just hired the advisers in an abundance of caution, the newspaper company did fall below cash flow requirements it has for bondholders.The New York Times: Tribune Co. Could Be Flirting With Bankruptcy (December 7, 2008)
The company has fallen on hard times since its December 2007 privatization that placed Samuel Zell as head of operations. The resulting debt from that transaction weakened its balance sheet, and the move to sell off Newsday was conducted primarily to pay down some of the transaction's obligations.The New York Times: Tribune Co. Could Be Flirting With Bankruptcy (December 7, 2008)
References
Fast Facts
-
Fact:
The Tribune owns 23 TV stations and 12 newspapers
-
Assets include
The Los Angeles Times and The Chicago Tribune
-
Fact:
Has employed the help of its law firm, Lazard and Sidley Austin
-
Fact:
The company is making an effort to sell the Chicago Cubs baseball team, the team's stadium and a share of its broadcasting networkThe New York Times: Tribune Co. Could Be Flirting With Bankruptcy (December 7, 2008)
-
Fact:
The sale of the Cubs and other related assets would result in a $1 billion cash influxThe New York Times: Tribune Co. Could Be Flirting With Bankruptcy (December 7, 2008)
-
Fact:
Not in compliance with earnings before interest, taxes, depreciation and amortization requirementThe New York Times: Tribune Co. Could Be Flirting With Bankruptcy (December 7, 2008)
-
Fact:
If the requirement is not met by the end of December, The Tribune will be in default of its obligation to its bondholdersThe New York Times: Tribune Co. Could Be Flirting With Bankruptcy (December 7, 2008)
-
Fact:
Such a default may result in bankruptcy
