WCOL, WNCI owner iHeart files for bankruptcy
The owner of several of the most popular radio stations in central Ohio filed for Chapter 11 bankruptcy on Thursday as part of a deal with creditors to restructure its debt.
The filing by San Antoniobased iHeartMedia, which owns WCOL (92.3 FM), WNCI (97.9 FM), WTVN (610 AM) and four other stations in the market, was expected.
The largest owner of U.S. radio stations, iHeart has struggled to pay its $20 billion debt and skipped a $106 million interest payment on Feb. 1, triggering a 30-day grace period during which iHeart tried to hammer out a deal with its bondholders.
The company formerly known as Clear Channel Communications said that it will operate its businesses as usual while it restructures its finances under Chapter 11 protection to reduce debt by more than $10 billion.
The company, which filed for bankruptcy along with some of its units, said it reached a deal with holders of more than $10 billion of its debt for a balance-sheet restructuring. The company, which owns more than 850 radio stations around the nation, said cash on hand and cash generated from ongoing operations will be sufficient to fund the business during the bankruptcy process.
The filing comes after John Malone's Liberty Media last month offered to buy a 40 percent stake in a restructured iHeart for $1.16 billion, uniting the company with Liberty's Sirius XM satellite radio service.
In addition to WCOL, WNCI and WTVN, iHeart's Columbus radio holdings include WODC (93.3 FM), WYTS (105.3 FM), WXZX (105.7 FM) and WZCB (106.7 FM).
iHeart also owns a music streaming service, a concert business, and a 90 percent stake in Clear Channel Outdoor, one of the world's largest billboard companies. Clear Channel Outdoor did not file for bankruptcy.