Results tagged “bankruptcy”

Crain's Chicago reported today that two more names have emerged as investors in the yet-to-be-finalized purchase of the Sun-Times. Businessmen Kevin Flynn (casino owner and CEO of Emerald Ventures, Inc.) and William Parrillo, Sr. (chairman of Safeway Insurance Co.) are reported to be among the group that has served up as much as $5 million in an attempt to revive the struggling newspaper.

• In light of yesterday's Chapter 11 bankruptcy filing, a bankruptcy court judge has once more given the okay for the Cubs to be sold to the Ricketts family.
• If, in a few months, you feel like your copy of the Chicago Tribune is shrinking, you're not imagining it.
• An Indiana National Guard soldier committed suicide in a Muncie, Indiana movie theater last night.

In a move that was expected, the Chicago Cubs have filed for Chapter 11 bankruptcy protection. The filing means the tam's new owners - the Ricketts family - will be protected from the Tribune Company's creditors stemming from the company's own bankruptcy filing in December 2008 (the Cubs were not included in that filing). Last week, Major League Baseball owners approved the sale of the team to the Ricketts.

Last month, the members of the Chicago Newspaper Guild voted down a proposal by James Tyree, a deal with the devil which would have gutted the union in exchange for his buying the bankrupt media group. Late yesterday afternoon it was announced that the guild had reached an agreement with Tyree, in spite of his claims that he would withdraw his bid and that the "concessions are an absolute prerequisite from all 18 collective bargaining units for a proposed sale." While the agreement, which the membership voted on yesterday afternoon and evening, means significant pay cuts, Jim Newton, chair of the Waukegan Unit of the Guild said that the agreement "demonstrate[s] our commitment to [the paper] and our craft.... We look forward to helping this new venture not only maintain but improve our presence in the local and regional media market."

One of the city's last two Crunch Gym locations - at 38 E. Grand Ave. - is shutting its doors, possibly as early as September 8. The exact date of the closing depends on a ruling from a New York bankruptcy court. The gym's owners - AGT Crunch - has closed three other locations since filing for Chapter 11 bankruptcy protection in May. One location - 939 W. North Ave. - remains open. For now. [Crain's]

It looks like Sam Zell's fun-filled reign over the Tribune Company might soon be at an end according to a report from Tribune rival the Sun-Times. According to their story:

While league officials have not publicly made the announcement, sources are reporting that the Arena Football League - including the Chicago Rush - is folding up shop after 22 years. The league suspended operations for the 2009 season in order to save money and attempt a comeback in 2010, but it looks like that comeback will never happen. Brett Bouchy, majority owner of the Arizona Rattlers, told the Orlando Sentinel about the news, adding, "I am as shocked as anyone. If you had asked me 90 days ago, I would have told you there was a 98 percent chance that the league would be back and playing in 2010. I am so upset. I have dedicated 12 years of my life to arena football and it's a shame to see it slip away." The league's website hasn't been updated since a late-April story claiming the 2010 season would be a-go. Sources said the league is expected to make the announcement sometime this week. [Tribune]

The Tribune Company may file for Chapter 11 bankruptcy in regards to the Chicago Cubs. But it's not as bad as it seems; rather, it's a move that may help the pending sale of the team go a little smoother. According to Bloomberg:

• As the Tribune Company works at reorganizing in the wake of their bankruptcy filing, Sam Zell could find himself now longer in control.
• An interesting Chicago-centric take on Obama's speech in Cairo.
• Beware the Blue Line: delays and boarding changes have now made the move to mid-week.

Times are tough all over and the economy knows no barrier. One person feeling the pinch pretty hard is former Chicago Bull Randy Brown, a Chicago native and part of the second three-peat Chicago Bulls teams of '96, '97, and '98. Brown was most recently a coach with the Sacramento Kings but was fired and has since filed for bankruptcy. And now the bankruptcy judge in the case has ruled that Brown must auction the rings. The bidding begins May 19 and the price starts at $19,000. You can check out the rings for yourself here. [WBBM, Sun-Times]

CSB School of Broadcasting will make its way to the auction block on May 8 after the school went bankrupt in early March, according to a Chi-Town Daily News report.

We've just heard that StreetWise, the venerated Chicago publication that provides jobs for many of the city's homeless people, may be going under. The publication, which has been around in Chicago for the past 17 years, depends on an unusual mixture of advertising, grants and vendor fees to support itself. We talked to the magazine's executive director Bruce Crane who said his magazine has been hit in every single revenue stream. "We're receiving lovely letters from organizations that usually fund us," he said. "All of them say 'due to the changes in the financial market...'"

After yesterday's filing for Chapter 11 bankruptcy protection, the Sun-Times Media Group tried to put a positive spin on the proceedings. Jeremy L. Halbreich, the STMG Chairman of the Board and Interim CEO, said he hopes the proceedings are all done by the end of the year and the situation will not interrupt the publication of the group's many newspapers and their corresponding websites.

Just as the nation prepares to swear in a new president, the Chicago Cubs could learn the identity of their new owner by the time Obama sets up his personal radio in the Oval Office. Or, the Tribune Company might just pull the team off the market altogether. Such is the process of selling a major sports franchise. A "source" tells the Trib that the winning bidder could be announced within the next seven to ten days. However, the Cubs may not be sold at all. Another "source" "cautioned that the process of narrowing the auction to one bidder still could be derailed, and Tribune Co. could pull the team and its landmark stadium off the market."

Once the winning bid is chosen, the deal is far from completion. Tribune Co. plans to enter into negotiations with the prospective buyer to work out a sale. Tight credit markets make it more difficult to obtain loans to finance a transaction that could approach $1 billion.

Photo by Detroit Chris