Tribune Co. is emerging from a Chapter 11 bankruptcy after being under bankruptcy protection for a few years. The bankruptcy was necessary for a variety of reasons. Tribuneâ€™s advertising revenue was low and the company was in debt. The corporate board now has several executives who will mostly likely focus the company on its television assets. They see this to be more profitable as the metropolitan newspaper industry suffers, according to a NPR article posted on December 31, 2012.
The company was under bankruptcy protection for so long because there were fraud allegations and the company faced multiple lawsuits from the creditors. The company will have to pay $3 billion to creditors and now, certain lenders, like JP Morgan and Oaktree Capital Management, will have ownership of Tribune Co. Also, the company will sell off its newspapers, which include the Chicago Tribune, the Los Angeles Times, The Baltimore Sun and Newsday, as they donâ€™t even represent 15% of the companyâ€™s value. The company owns TV stations and also part of Food Network and Careerbuilder.com. Tribune is now worth about $4.5 billion, mostly thanks to its TV assets.
Companies change as the times change. Sometimes bankruptcy is necessary, but is obvious that Tribune Co. has changed over the years from hand-cranking newspapers in 1847 to radio station ownership to TV station ownership. It seems that this has been a successful Chapter 11 bankruptcy filing and has restructured the company to stay in business for years to come.
If you are considering or are interested in filing bankruptcy, contact the law office of Jayson Lutzky, P.C. Mr. Lutzky offers free in person initial consultations and has over 29 years of experience. He is highly qualified to help you whatever your financial situation may be. Call his office at 1-800-660-5299 or visit www.MyNewYorkCityLawyer.com.