As reported by AllAccess.com this afternoon:
CITADEL BROADCASTING, the nation’s third biggest radio broadcaster has indeed filed for bankruptcy in NEW YORK on SUNDAY (12/20), by filing a voluntary petition with the bankruptcy court.
The bankruptcy filing, as ALL ACCESS first reported earlier this month (NET NEWS 12/10), is a pre-arranged deal with lenders to swap debt for equity and will reduce CITADEL’s debt load to about $762.5 million.
The filing lists assets of $1.4 billion weighed down under $2.5 billion in debt. A huge, unserviceable debt and interest payment was due on JANUARY 15, 2010, which forced the Chapter 11 filing.
Citadel owns WXKC (Classy 100), WXTA (Country 98), WQHZ (Z-102), and WRIE (ESPN Radio) in Erie.

December 20th, 2009
joel
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Deep Background for November 15-21, 2009
Whispers became a shout this week as executives at Citadel Broadcasting are indicating that they may have to go Chapter 11 ahead of a scheduled January debt payment that the owners of WXKC, WXTA, WQHZ, and WRIE don’t have. To hear Jerry Del Colliano of Inside Music Media talk, there could be consequences for the last remaining local morning show in the group: The Breakfast Club.
For me, I think it would be crazy for Citadel to gore their only real cash cow, Classy 100. But a note of appreciation for Chuck and Brenda to the station would be timely.
I just sounded off, how about you? What’s your take on this challenging media environment? Did you spend any funny money on last week’s ETN millionaire auction? What’s the latest scoop at your media outlet? For all this and more, this open forum is our sounding board.
You can leave a comment, e-mail me at joel@nataliemedia.com or tweet@pressandtower.
Embrace the chaos!