Tribune Company's Reorganization Efforts Fall Apart

Earlier this week it was reported that a proposed reorganization plan for the Tribune Company has fallen apart.  The plan was supposed to lead the company out of bankruptcy.

It is reported that negotiations failed between the Tribune Company and its creditors on a consensual reorganization plan.  Tribune Company owns broadcasting group WGN as well as several newspapers, including the Chicago Tribune.

Attorneys for the company are telling a judge in the Delaware bankruptcy court that the company has been unable to bring parties together through negotiations.  Recently, JP Morgan Chase debt specialist, Angelo, Gordon and Company have chosen to drop out of the original settlement agreement that would have made them the new owners of the Tribune Company. 

Soon, the attorney for the Tribune Company says that the organization will file amendments to its plan in a final attempt to gain support from its creditors. If the amendments do not work, Tribune Company could file a lawsuit over fraudulent transfer claims related to its 2007 leveraged buyout.

If you are filing for bankruptcy in San Antonio, contact the Malaise Law Firm and speak with a San Antonio bankruptcy lawyer.