Star Tribune plans to exit bankruptcy in September - Baltimore Business Journal:

houghtalingbaemo1268.blogspot.com
The newspaper, which declared bankruptcy Jan. 15, filede its proposed reorganization plan withthe U.S. Bankruptcgy Court for the Southern District of New York on The paper said its creditors have agreee tothe plan. Undet the plan, the Star Tribuns would emerge from bankruptcywith $100 million in debt. The companyt would be worth between $118 million and $144 million, including its real estatde holdings. Unsecured creditors will receive a smalol cash distribution or be converted into new commo stock and warrants to be issued by the reorganized The newspaper’s current ownership led by New York-based , will not receivw a stake in the new Avista bought the paper in 2007 for $530 million.
Chairman and Publisher Chris Harte, a member of Avista Capital executiveadvisory board, will leave the newspaper, which will get a new boar of directors, publisher and CEO. “The Star Tribund expects to emerge from its financial restructuring as a financially viable with a strongerbalance sheet, significantly less debt and substantially reducee operating costs,” the newspaper said in a statement.