Affiliated Media, the new holding company for MediaNews Group, has emerged from Chapter 11 bankruptcy projection after reducing its debt from $930 million to $165 million.

Secured creditors, led by the Bank of America, agreed to trade their debt for a 89% stake in the chain of 54 papers which includes the Mercury News, Contra Costa Times, Oakland Tribune, San Mateo County Times and Palo Alto Daily News, among others locally.

Under the deal, Dean Singleton remained in charge of the company and it appears his heir apparent will be Jody Lodovic. Here’s the company’s news release:

Affiliated Media, Inc. Emerges from Chapter 11 

DENVER, March 19 /PRNewswire/ — Affiliated Media, Inc. today announced that it has successfully emerged from chapter 11 protection. 

Affiliated Media, Inc. is the holding company for the MediaNews Group family of newspapers, the nation’s second-largest newspaper publisher by circulation and owner of 54 daily newspapers, over 100 non-daily newspapers, as well as websites, television and radio broadcasters that serve markets in 12 states. 

As previously reported, the Hon. Kevin J. Carey of U.S. Bankruptcy Court for the District of Delaware confirmed the company’s plan for reorganization on March 4, 2010, less than six weeks after the company filed for protection, on Jan. 22, 2010. 

Prior to filing, the company had already reached agreement with its lenders on terms of the plan, which reduces the company’s debt from approximately $930 million to approximately $165 million and involves no management change or change of control of the company.