Tribune Co. Gets New Deadline for Exiting Chapter 11

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By: E&P Staff

Tribune Company now has a new deadline for exiting bankruptcy, following a ruling Monday in a Delaware court.

U.S. Bankruptcy Court Judge Kevin Carey set an Oct. 15 deadline — the third deadline extension granted to the arbitration proceedings in the bankruptcy case — for the Chicago Tribune’s parent to file proposals for dividing up its ownership so it can pay its creditors and emerge from Chapter 11 protection. Tribune filed for bankruptcy in December 2008.
 
Some of Tribune Co.’s smaller creditors claim the company’s 2007 buyout was a fraudulent, doomed-to-fail transfer that benefited only the banks and Tribune's shareholders.

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