Tribune amends reorganization plan

Tribune Co. filed an amended reorganization plan and disclosure statement this morning in anticipation of tomorrow's hearing for approval of the disclosure statement.

The contending factions gave their conflicting views to the bankruptcy judge about the merits of the proposed settlement and how the opinions of the parties and the examiner should be presented to creditors when they vote.

Tribune received no objection, allowing the bankruptcy judge to extend the exclusive right to propose a reorganization plan until Aug. 8.

The examiner for the newspaper publisher is analyzing the strength of creditors' claims that the $13.8 billion leveraged buyout led by Sam Zell in December 2007 included fraudulent transfers. The report is due July 12.

Tribune filed a proposed Chapter 11 plan in April to implement a settlement negotiated with some creditors. Even before the plan was filed, holders of $3.6 billion in pre-bankruptcy secured debt came out opposing the plan and the settlement.

Tribune is the second-largest newspaper publisher in the U.S. It listed $13 billion in debt for borrowed money and assets of $7.6 billion in the Chapter 11 reorganization begun in December 2008. It owns the Chicago Tribune, Los Angeles Times, six other newspapers and 23 television stations.

The case is In re Tribune Co., 08-13141, U.S. Bankruptcy Court, District Delaware (Wilmington).