Citadel Broadcasting files Chapter 11 bankruptcy

[cal04]

http://www.washingtonpost.com/wp-dyn/content/article/2009/12/20/AR2009122001187.html?hpid=moreheadlines

Citadel Broadcasting Corp., the nation's third-largest radio broadcasting company, filed for Chapter 11 bankruptcy protection on Sunday in an effort to restructure its hefty debt load as it continues to face declining advertising revenue.

Citadel owns and operates 224 radio stations in all major markets and produces news and talk radio programing for 4,000 station affiliates and 8,500 program affiliates. Citadel's WABC is home to several syndicated hosts, including Don Imus, Rush Limbaugh, Joe Scarborough and Mark Levin.

In documents filed in U.S. Bankruptcy Court for the Southern District of New York, Las Vegas-based Citadel listed total assets at Oct. 30 of $1.4 billion and total debt of $2.46 billion. The company said in a statement it has reached an agreement with more than 60 percent of its lenders on a deal that would erase about $1.4 billion of debt in exchange for control of the company.

(snip)
Much of the Citadel's debt burden stems from its $2.7 billion purchase of ABC Radio from Walt Disney Co. in 2007. Citadel also has been hurt over the past couple of years by declines in advertising revenue in nearly all major markets as many listeners abandoned the format for prerecorded music and the commercial-free satellite radio offerings of Sirius XM. The economic slump further cut ad spending across all media, including newspapers and television, and has also affected rivals including No. 1 U.S. radio broadcaster Clear Channel.

[napi21]

1. Gee, ya mean the old Rushbow isn't getting them enough listeners???

TS!