The mainstream media meltdown continued apace yesterday as the Chicago Sun-Times – famously lambasted by Smashing Pumpkins singer Billy Corgan – announced that it was filing for bankruptcy.
In doing so, it joins the Chicago Tribune, which filed for bankruptcy back in December on the day it broke perhaps its biggest story ever – the Rod Blagojevich scandal.
From USA Today:
Sun-Times Media Group, parent of the Chicago Sun-Times newspaper, filed for bankruptcy protection Tuesday, earning Chicago the distinction of being the first U.S. city served by two insolvent newspapers …
It plans to operate its newspapers and websites while improving its cost structure and stabilizing operations. It said it has financial resources to continue daily operations.
“Unfortunately, this deteriorating economic climate, coupled with a significant, pending IRS tax liability dating back to previous management, has led us to today’s difficult action,” said Sun-Times Interim Chief Executive and longtime newspaper veteran Jeremy Halbreich.
The publisher joins its much larger, Chicago-based rival, Tribune Co., in a growing list of newspaper companies choosing bankruptcy as the best way to restructure as advertising revenue plummets.
In addition to the Sun-Times, the company owns several smaller papers in Illinois as well.