Citadel Broadcasting (ABC Radio) plans to file for bankruptcy: report

[Newsjock]

Source: Reuters

Citadel Broadcasting Corp (CTDB.OB) is planning to file a "prearranged" Chapter 11 bankruptcy plan by the end of the year, the Wall Street Journal reported on Thursday, citing people familiar with the matter.

The bankruptcy plan would cut Citadel's debt load to $760 million, but would wipe out the radio broadcaster's current shareholders, the Journal reported. A Citadel spokeswoman could not be reached for comment.

The plan is being considered by Citadel's lenders, who would swap more than $2 billion in debt for about 99.5 percent equity in the reorganized company, the Journal said.

... Citadel's network consists of 165 FM stations and 58 AM stations, and the company owns and operates the ABC Radio Networks, which it took on debt to buy from the Walt Disney Co (DIS.N) in 2006.

Read more: http://www.reuters.com/article/idUSTRE5B95AY20091210?type=globalMarketsNews

[Sebastian Doyle]

1. Sure would be nice if some non-reich wing billionaire stepped up and bought them out

And converted every goddamn last one of them to liberal/progressive talk radio stations.

Then we'll see how long Mush and those tools last on an equal playing field.

[shadowknows69]

2. I can kick in about 20 bucks. Let's get it done SD.

[tishaLA]

3. Too bad this doesn't mean Hannity's ABC-based show will be gone

[Pab Sungenis]

4. We in the industry used to call Citadel "the Death Star"

for their habit of swooping in, buying stations, and firing nearly everyone.

Looks like someone finally used the Force.

[shadowknows69]

8. Clear Channel had similar nicknames when I was in broadcasting.

[CrunchMaster]

5. Citadel's(ABC Radio) biggest shareholders are GE(War) and Morgan Chase(Banker Crooks) LOL!!!

That explains why they fill the air waves with all of these liars like Sean Hannity and Rush Limbaugh. They are owned by the same people ripping us off the past 8 years and have their paid shills on air to keep the protection racket going as Mike Malloy likes to say.

"The reorganized company would be held by about 90 Citadel lenders, the Journal said. JP Morgan Chase & Co and General Electric Co's (GE.N) GE Capital, which hold about 40 percent of the debt, have agreed to the plan, the Journal said."

http://www.reuters.com/article/idUSTRE5B95AY20091210?type=globalMarketsNews

[formercia]

6. ABC Radio, Citadel Broadcasting to create Citadel Communications

http://washington.bizjournals.com/washington/stories/2006/02/06/daily7.html

Monday, February 6, 2006

Washington Business Journal - by Jennifer Nycz-Conner Staff Writer

The Walt Disney Co. plans to merge its ABC radio holdings, including three stations in the Washington area, with Citadel Broadcasting in a deal valued at $2.7 billion in cash and stock.

ABC Radio, which operates 22 radio stations and the ABC Radio Networks, will be merged into a company called Citadel Communications. The combined assets will make the ownership group the third largest in the United States, reaching more than 50 markets.

The new company will be led by CEO Farid Suleman, Citadel's current CEO and the former CEO of Infinity Broadcasting.

ABC Radio's three Washington-area stations are WMAL-AM 630, WRQX-FM Mix 107.3 and WJZW-FM Smooth Jazz 105.9.

After the merger, expected to close by year-end pending regulatory approval, Disney shareholders will own about 52 percent of the newly formed Citadel Communications, and Disney (NYSE: DIS) will retain $1.4 billion to $1.65 billion in cash, depending on Citadel Broadcasting's price (NYSE: CDL) at time of closing. Citadel shareholders will hold the remaining 48 percent of the combined company.

In addition to the stations, the deal includes the ABC Radio Networks, which produces and distributes popular programs such as "The Tom Joyner Morning Show," "The Sean Hannity Show" and "Paul Harvey News and Comment."

Through an exclusive 10-year licensing agreement, Citadel will distribute ABC News Radio to terrestrial stations, but Disney will retain the rights to other formats, such as broadband, wireless and satellite.

--snip--

[johnfunk]

7. Paging Mr Turner. Paging Mr Soros. Messrs Turner and Soros, please pick up the white courtesy phone

Pennies on the dollar, baby!