GateHouse Media files for Chapter 11 in Delaware

September 27, 2013 by Randall Chase

GateHouse Media Inc., which owns more than 400 community newspapers around the country, has filed for Chapter 11 bankruptcy protection in Delaware.

Friday's filing comes after the Fairport, N.Y.-based company announced earlier this month that it would file a prepackaged bankruptcy plan in order to restructure $1.2 billion in debt.

Under the plan, Newcastle Investment Corp., which owns 52 percent of GateHouse's outstanding secured debt, will combine GateHouse's media holdings with a batch of Dow Jones Local Media publications it recently bought from News Corp.

Newcastle will then issue stock in a new publicly traded holding company called New Media Investment Group. Holders of GateHouse secured debt could take stock in the new company or cash at 40 cents on the dollar.

Explore further: Tribune Co. in deal with creditors to emerge from bankruptcy

Related Stories

Tribune leaves bankruptcy after 4 years

December 31, 2012

(AP)—Tribune Company says it has emerged from a Chapter 11 restructuring more than four years after the media company sought bankruptcy protection.

Reader's Digest parent seeks bankruptcy protection

February 18, 2013

(AP)—The parent company of Reader's Digest has filed for Chapter 11 bankruptcy protection for the second time in less than four years, saying it needs to cut its debt so it can keep restructuring.

Southeastern takes 12 pct stake in News Corp.

September 11, 2013

Southeastern Asset Management Inc., the investment firm that along with activist investor Carl Icahn opposed the proposed buyout of Dell Inc., disclosed that it has taken a nearly 12 percent stake in News Corp.

Recommended for you

Facebook ready to test giant drone for Internet service

July 30, 2015

Facebook says it will begin test flights later this year for a solar-powered drone with a wingspan as big as a Boeing 737, in the next stage of its campaign to deliver Internet connectivity to remote parts of the world.

Power grid forecasting tool reduces costly errors

July 30, 2015

Accurately forecasting future electricity needs is tricky, with sudden weather changes and other variables impacting projections minute by minute. Errors can have grave repercussions, from blackouts to high market costs. ...

0 comments

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.