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L.A. Times Owner Files For Bankruptcy

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By VINNEE TONG and ANICK JESDANUN

The Associated Press

Published: December 9, 2008

NEW YORK - The company that owns the Los Angeles Times and the Chicago Tribune filed for bankruptcy protection Monday, seeking relief from $13 billion in debt that largely stems from last year's leveraged buyout of the media company.

In doing so, Tribune Co. became the first major newspaper publisher to seek bankruptcy protection since the Internet began siphoning readers from traditional outlets.

Most of the company's debt comes from the transaction in which the company was taken private by real estate mogul Sam Zell last year. Although Tribune's next major debt payment isn't due until June, the company has been in danger of missing financial targets set by its lenders.

The Tribune owns the Chicago Cubs baseball franchise, as well as the Los Angeles Times, Chicago Tribune, The Sun of Baltimore, The Hartford (Conn.) Courant, six other daily newspapers and 23 television stations.

Zell said in his memo that the Cubs franchise is not part of the filing.

Zell said in his memo that the Cubs franchise is not part of the bankruptcy filing.

WHAT'S IN A NAME?

The Tampa Tribune is owned by Richmond, Va.-based Media General Inc., which operates WFLA, News Channel 8, and TBO.com locally as well as two dozen daily newspapers and 19 TV stations across the South. Chicago-based Tribune Co. operates the Orlando Sentinel and the South Florida Sun-Sentinel, as well as major papers in Baltimore, Chicago and Los Angeles.

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