The company has asked for permission to pay as much as $1.7 million in bonuses to 30 top officers and key employees, should the Journal Register meet certain reorganization goals, including closing more papers and firing more employees. Those officers have already been paid $450,000 for a previous round of cuts, according to court papers.
Journal Register, Publisher, Files for Bankruptcy
By Steven Church and Dawn McCarty
Feb. 21 (Bloomberg) -- The Journal Register Co., owner of 20 daily newspapers, filed today for bankruptcy protection from its creditors, the third publisher to do so since December. The company blamed a slump in advertising.
The publisher of the New Haven Register would cancel its stock and become a closely held company, owned by its lenders under a proposed reorganization plan filed in U.S. Bankruptcy Court in New York. It listed debt of as much as $1 billion and assets of between $100 million and $500 million in Chapter 11 documents.