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Monday, October 25, 2010

Tribune Company has spent $135 million in bankruptcy-related expenses

The plan submitted to a Delaware Bankruptcy Court late Friday has the support of senior lenders and creditors, and is the second one to be filed. But the Chicago Tribune paper’s coverage quotes an outside re-structuring expert saying “The fighting is not going to stop.” Bill Brandt says “What can be done now is to decide where the forum of the fighting is going to be.” And that fighting continues to be expensive, costing Tribune alone $135 million fees and expenses. An important side show will some creditors' pursuit of Sam Zell and perhaps some original Tribune executives, for allegedly providing misleading information when Zell led the going-private maneuver in December 2007.

Tags: Tribune, Sam Zell

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