The owner of the Philadelphia Inquirer and Philadelphia Daily News filed for Chapter 11 bankruptcy protection Sunday in order to restructure its debt so the newspapers can continue publishing.
Chapter 11 is designed to allow the newspaper to reoganize and refinance its debt rather than go out of business.
The bankruptcy should not interrupt day-to-day operations, according to an article at philly.com:
“This restructuring is focused solely on our debt, not our operations,” chief executive officer Brian P. Tierney, who led the group that provided about $150 million of the purchase price three years ago, said in a news release.
“Our operations are sound and profitable,” said Tierney, referring to operating profits before interest and certain other costs.
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