Young Broadcasting could file for Chapter 11 soon.

[WXFORECASTER]

http://www.rbr.com/tv-cable/11340.html


With $825 million of debt outstanding, Young said it is negotiating with its major creditors to try to restructure its debt. In its quarterly SEC filing, the company noted that if it is not able to restructure its debt and violates its loan covenants with its senior lenders, it might have to seek protection under Chapter 11 of the federal bankruptcy law.

[wxgeek]

I, for one, am shocked by this development....I thought they would have gone bankrupt months ago.

[News Is Broken]

http://www.rbr.com/tv-cable/11340.html


With $825 million of debt outstanding, Young said it is negotiating with its major creditors to try to restructure its debt. In its quarterly SEC filing, the company noted that if it is not able to restructure its debt and violates its loan covenants with its senior lenders, it might have to seek protection under Chapter 11 of the federal bankruptcy law.

Maybe they'll ask Congress for some bailout money.

[Audacity]

Buh-bye KELO Land.

[Quagmire]

It's interesting how long this took to develop...the San Fran stuff...then the VJ stuff...For a business where you should make a pretty good profit, you'd really have to screw it up to go bankrupt.

[Produce man]

Paging Mr. Rosenblum...:whistle:

[photogguy]

For a business where you should make a pretty good profit, you'd really have to screw it up to go bankrupt.

Since when?

The days of "license to make money" have been gone for a long time.

[MN News]

One poster said "Buh-bye KELO land"

That was my initial thought...what would this mean for stations like KELO, who have done well for Young?

[Spike]

One poster said "Buh-bye KELO land"

That was my initial thought...what would this mean for stations like KELO, who have done well for Young?

Bankruptcy does not necessarily equal going out of business. There are two types. Chapter 11 is reorganization. That basically means the company restructures its debt obligations (and usually dodges some of it), then comes out the other side of the reorganization with a much healthier balance sheet. It's intended to protect the company from its creditors so that it can continue as a going concern.

This is the type of bankruptcy that's being discussed here. The reorganization plan may include liquidating some assets to satisfy some obligations, but it doesn't necessarily have to. Declaring bankruptcy might not mean any change at all for stations like KELO. You'll just have to wait and see.

The other type of bankruptcy is Chapter 7, or liquidation. That's where the company goes out of business and the creditors divide it up like hyenas on a carcass.

[Audacity]

Buh-bye KELO Land.

I was just being glib. I have no insider information about KELO or any other Young station. I hope all you Young employees keep your jobs well into your old age ... if that's what you want, that is.