San Antonio-based iHeartMedia Inc—which operates six stations in Baton Rouge and is the company behind the largest U.S. radio broadcaster—filed for bankruptcy late Wednesday, a decade after a private-equity-led buyout left the company laden with billions in debt, The Wall Street Journal reports.
In a statement, iHeartMedia says it has reached an agreement in principle over balance-sheet restructuring with investors who hold more than $10 billion of its outstanding debt and its financial sponsors.
iHeartMedia is the largest uses radio station operator in the U.S, with 856 terrestrial stations, and it also controls Clear Channel Outdoor Holdings Inc., one of the biggest billboard companies in the world.
The company has six stations in Baton Rouge—102.5 WFMF, 101.5 WYNK, 96.1 The River, 1210 The Score, Downtown Radio, and WJBO Newsradio.
When reached by Daily Report, an iHeartMedia spokeswoman says the company will continue to operate business as usual, “including all of our stations.” Clear Channel Outdoor and its subsidiaries didn’t commence Chapter 11 proceedings, the company says.
iHeartMedia says in its statement that it believes its cash on hand, together with cash generated from continuing operations, will be sufficient to fund and support the business during the bankruptcy proceedings.
