Tribune Company Files for Bankruptcy

by Excel Hearts Choi on Dec 8, 2008 1:18 PM CST

According to this article, the Tribune Company, owners of about 6 major papers, 23 television stations, WGN, and the Cubs, has filed for bankruptcy. However, the Cubs and Wrigley field are not included in the Chapter 11 filing. Anybody out there know what this means for the Cubs that they are not included in their bankruptcy plans?

According to another article, the Tribune Company has about $300 million in the bank and $12 billion in debt. Today is the deadline for a $70 million payment. Another $512 million payment is due in June. The Tribune Company previously planned on selling off some assests, namely the Cubs, to cover the debt payments. Negotiations dragged on with the sale of the Cubs, which the article states had been previously appraised at more than $1 billion (I am sure this includes Wrigley Field among other assets, but the article does not specifiy).

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Newspapers

It’s a rough time for the industry. Coupled with the generally terrible economic situation, there are probably going to be a lot more stories like this. Sad.

"You’re the only here who contributes schtick only." - brettgardner

by trza on Dec 8, 2008 1:58 PM CST reply actions

one of the only 4 nationally circulated newspapers

christian science monitor just recently (within the last 6 weeks or so) decided to focus on online-only news – completely dropping their print paper

Scout: He was a first-round pick right? Got a huge bonus?
KG: Oh yeah.
Scout: Well, he spent a lot of it on milkshakes.

by knockoutking on Dec 8, 2008 2:58 PM CST up reply actions

the real question regarding

the decline of print media is how this will affect Jean-Jacques Taylor?

"You’re the worst poster here I think."--- brettgardner

by red shoe ranger on Dec 8, 2008 3:06 PM CST up reply actions

I’m not a bankruptcy attorney, but I am unclear how Tribune is able to separate just a portion of their assets (keeping out Cubs and Wrigley). Seems very odd unless possibly the Trustee or Judge feels that the sale of those assets outside of the Court will net more money and thus be more valuable to the bankruptcy debtors? I really have no idea.

My Music Blog

by FuturePants on Dec 8, 2008 2:16 PM CST reply actions

didnt Pilgrims Pride just file

bankruptcy but not include certain operations?

just looked it up mid post:

http://www.usatoday.com/money/industries/food/2008-12-01-pilgrims-pride-bankruptcy-chicken_N.htm

“The Chapter 11 filing will help the company to sell assets, because buyers will have a clearer view of Pilgrim’s future. Its substantial Mexican operations weren’t included in the filing.”

"You’re the worst poster here I think."--- brettgardner

by red shoe ranger on Dec 8, 2008 2:54 PM CST up reply actions

they are really big in mexico

and what do you know about PP? you live in the PP area? lol

Scout: He was a first-round pick right? Got a huge bonus?
KG: Oh yeah.
Scout: Well, he spent a lot of it on milkshakes.

by knockoutking on Dec 8, 2008 3:01 PM CST up reply actions

That seems different

…if only because it is distinguishing between US and Mexican assets. Again, I’m speculating; we refer clients to bankruptcy lawyers when things get to this point.

My Music Blog

by FuturePants on Dec 8, 2008 4:39 PM CST up reply actions

AP!

I was gonna post a fanshot earlier, but got busy…

NEW YORK (AP) — Media conglomerate Tribune Co. filed for bankruptcy protection Monday, as the owner of the Chicago Tribune, the Los Angeles Times, the Chicago Cubs and other properties tries to deal with $13 billion in debt.

Severe reductions in advertising this year because of the recession have put pressure on the Chicago-based company. Most of its debt comes from the complex transaction in which the company was taken private by real estate mogul Sam Zell last year.

Although the next major principal payment isn’t due until June, analysts say Tribune has been in danger of missing lender-imposed financial targets.

Tribune made the filing Monday in bankruptcy court in Delaware.

"...my balls are really like a veiny flesh color" blueballlefty on Jun 4, 2008 7:44 PM EDT
"you gonna lose your horse. seriously." FX2
Yes we can! November 04, 2008

by Rodney on Dec 8, 2008 2:21 PM CST reply actions

More than any other one thing, this is what I hate most about the "wheel and deal" mentality

Please explain to me how a guy buys a company, and in doing so adds a ton of debt to the company’s books, and that’s considered good business???

If you can explain it, I want to use that scheme to buy my next car and have the debt go on their books.

by bking on Dec 8, 2008 3:02 PM CST up reply actions

I think it was more that...

the debt is from the company buying all the shares back from shareholders. My guess is that it was considered “good business” because the company could act more quickly on decisions without having to please short-sighted shareholders, and the company felt that even with declinign readership, it would still make enough to cover its debt load. The bottom has truly fallen out, though, much worse than even the most pessimistic forecasts.

by Inkara1 on Dec 8, 2008 3:24 PM CST up reply actions

Tom Hicks did the exact same thing with his debt ridden purchase of liverpool

i actually wouldnt be surprised to see hicks go bust and have to sell all his clubs, except maybe just keep the stars.

no inside info, just a hunch.

mormons stole me and held me against my will with Oklahoma beer and 12+ hour work days.

by Jayslick on Dec 8, 2008 3:39 PM CST up reply actions

Finally,

a benefit of the recession, “Hicks sells Ranger’s”.

"You’re the worst poster here I think."--- brettgardner

by red shoe ranger on Dec 8, 2008 4:49 PM CST up reply actions

Guess Jay Mariotti was right

The newspaper business is slowly dying….

In Smoak We Trust

by SCDP on Dec 8, 2008 2:35 PM CST reply actions

or not so slowly

mormons stole me and held me against my will with Oklahoma beer and 12+ hour work days.

by Jayslick on Dec 8, 2008 3:39 PM CST up reply actions

I don't necessarily think it's dying

It’s just evolving…

-- Micah
Baseball Is My Boyfriend
"Football is like having a fling once a week. Baseball is a relationship." - oc

by The Best Micah on Dec 8, 2008 9:28 PM CST up reply actions

evolving

into something dead.

G G G E-flat_______ F F F D__________....

by t ball on Dec 8, 2008 11:54 PM CST up reply actions

Only if newspapers don't adapt/embrace new technologies

I think those who do will survive.

I’m in the newspaper industry, so I refuse to believe it’s dying. Sorry. I just don’t want to see my job as pointless.

-- Micah
Baseball Is My Boyfriend
"Football is like having a fling once a week. Baseball is a relationship." - oc

by The Best Micah on Dec 9, 2008 12:06 AM CST up reply actions

Yeah, if newspapers

rely on taking the news, printing it on paper, delivering the paper all over town once a day, there is no way they are going to keep up with 24/7 news channels and websites. Same for monthly/weekly magazines. Those are such passe concepts.

News is pretty stale by then. Every opinion has been stated by the time they are out. Every analysis given. I just don’t see much value for the physical newspaper other than fishwrap.

Nolan Ryan is the Greatest Pitcher ever, because Google says so.

"BTW I’m officially welching ab03. Yeah I planned too all along, but I figured I’d try to get off the hook with double or nothing first."- Sharky

by DJCahill on Dec 9, 2008 5:08 AM CST up reply actions