WGME parent raises spectre of bankruptcy
Sinclair Broadcast Group, the parent company of television station WGME 13 in Portland, revealed Friday in a financial filing that it could be forced to file for Chapter 11 bankruptcy if it is unable to restructure its debt.
As of March 31, Sinclair had a total outstanding debt of $1.3 billion, according to its filing with the Securities and Exchange Commission. In the filing, Sinclair says its debt holders could force the company to repurchase $488.5 million of that debt in the form of notes over the next 18 months. The company said it does not have the cash to repurchase that debt and is negotiating with its debt holders to restructure those notes. "The inability to refinance or retire such notes on their respective put dates could have a significant negative impact on our operating results, the value of our securities and our financial condition, and could cause us to consider other restructuring and deleveraging alternatives, including a voluntary bankruptcy filing under Chapter 11 of the U.S. Bankruptcy Code," the filing says. Sinclair said the relative lack of political advertising this year and the slumping automobile industry have hurt its advertising revenue.
Portland-based WGME 13, a CBS affiliate, is currently without a station manager, according to the Portland Press Herald.
Most Recent
Most Recent
Comments