CovOps
Location : Ether-Sphere Job/hobbies : Irrationality Exterminator Humor : Über Serious
| Subject: Reader’s Digest to File Chapter 11 Tue Aug 18, 2009 4:03 am | |
| Reader’s Digest Association Inc., the publisher of the pocket-sized magazine, will likely file a Chapter 11 bankruptcy under an agreement with a majority of its secured lenders to reduce debt by 75 percent.
Senior secured lenders will exchange a “substantial portion” of $1.6 billion in debt for equity, the publisher said today in a statement. Some of them will provide a $150 million bankruptcy loan, debtor-in-possession financing, to ensure the company has enough liquidity during its reorganization.
http://www.bloomberg.com/apps/news?pid=20601103&sid=asX0oQc5YBZc |
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