Bidder: Sun-Times may turn profit in first half

James Tyree, whose $5 million cash bid for Chicago's Sun-Times Media Group Inc. won court approval yesterday, said the bankrupt newspaper publisher may be profitable by the end of next year's first half.

"If revenue performs well, we'll be profitable in the first two quarters," Tyree said in a telephone interview today. "I am really not talking about advertising going up. I am talking about it going down less."

Tyree, chief executive officer of Mesirow Financial Inc., may complete a purchase of Sun-Times this month, giving him control of the 15th-largest U.S. newspaper and about 50 dailies. Sun-Times filed for bankruptcy in March under the weight of $801 million in debt.

Before Tyree and his investor group close on the purchase, two more union locals will have to agree to extend a 15 percent pay cut for at least three years, Tyree said. He said he plans to close by Oct. 26. The group is assuming more than $20 million in liabilities as part of the deal.

The case is In re Sun-Times Media Group Inc., 09-11092, U.S. Bankruptcy Court, District of Delaware (Wilmington).