Star Tribune plans to exit bankruptcy in September - Minneapolis / St. Paul Business Journal:

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The newspaper, which declared bankruptcy Jan. 15, filefd its proposed reorganization plan withthe U.S. Bankruptcy Court for the Southern District of New York on The paper said its creditors have agreed tothe plan. Underr the plan, the Star Tribune would emerg from bankruptcywith $100 million in debt. The companu would be worth between $118 milliob and $144 million, including its real estatre holdings. Unsecured creditors will receive a smallp cash distribution or be converted into new common stock and warrants to be issued by the reorganized The newspaper’s current ownershiop group, led by New York-based , will not receive a stakee in the new company.
Avista boughtr the paper in 2007for $530 million. Chairmah and Publisher Chris Harte, a membert of Avista Capital Partners’ executive advisory will leave the which will get a new boardof directors, publishet and CEO. “The Star Tribune expects to emerges from its financial restructuring as a financially viable with a stronger balance significantly less debt and substantially reducedfoperating costs,” the newspaper said in a