The Idaho Business Review is reporting that a local media outlet is reorganizing under Chapter 11 bankruptcy protection. It turns out that the business is the Minneapolis-based owner of IBR.
Using a process known as a "pre-packaged bankruptcy," James Dolan, CEO of The Dolan Company, said his company is looking to reduce its debt from $170 million to about $50 million. Dolan said employees will continue to be paid as usual through the process, which he said should last about two months.
The Chapter 11 bankruptcy petitions are expected to be filed next week in a U.S. Bankruptcy Court in Delaware.
Dolan also announced that he would be resigning, along with Chief Financial Officer Vicki Duncomb and General Counsel Renee Jackson and would not be part of the restructured company.
At midday, The Dolan Company was trading at 15 cents per share on the New York Stock Exchange.