Young Vince Young, the broadcasting executive who paid a record $832 million for KRON only to see the station’s value drop like a rock after it lost its NBC affiliation, has resigned from the company that bears his family’s name, according to TVNewsCheck.com. His exit isn’t a surprise after a group of creditors removed him as CEO last August and made him “non-executive chairman.” A lawsuit he filed for $2 million in compensation has been settled, board member Tony Cassara
Vincent Young, who decided to pay a record $823 million for KRON only to see its value drop like a lead balloon when NBC pulled its affiliation, is no longer chief executive officer of the broadcasting company that bears his name, according to Broadcasting & Cable. In a struggle between two groups of creditors, Young was apparently removed from the CEO position and given the new title of non-executive chairman of the board, according to a company memo from Chief Restructuring
Young Broadcasting, which paid a record $823 million for KRON only to see the station’s value drop like a rock after it lost its NBC affiliation, announced Friday that it has wiped $800 million in debt off its books in bankruptcy proceedings. “Having shed nearly $800 million in debt and millions of dollars of burdensome contracts through the bankruptcy process, New Young Broadcasting is emerging from bankruptcy as the most financially sound company in television broadcasting,” Young said in a
U.S. Bankruptcy Court Judge Arthur Gonzalez, who presided over the Chrysler bankruptcy, yesterday approved the sale of bankrupt Young Broadcasting to its secured lenders. Three of Young’s 10 stations, including KRON 4, will stay under control of a new company with a board of directors that includes Vince Young but also more representatives of the creditors. The other stations will be opearted by Grey Television, which owns 31 stations in small, medium and large (Atlanta, No. 9, is their largest)
Michael Malone of Broadcasting & Cable reports that Young Broadcasting has called off the auction of its assets — including KRON 4 — without comment. Malone said that insiders believe the development means the bids did not meet the minimum. Chairman Vincent Young had anticipated strong interest in the stations that also include 10 network affiliates in the Midwest.
Broadcasting & Cable’s Michael Malone says he was told by a source that H.I.G. Capital (link for more information abougt them) is looking like the favorite to scoop up the bankrupt Young Broadcasting stations including KRON 4. Malone also notes that when you Google “KRON,” the first link says its an NBC affiliate. Of course NBC dropped KRON at the end of 2001.
Michael Malone of Broadcasting & Cable reports that Friday was the deadline to submit bids for Young Broadcasting and its 10 stations, including KRON 4. The winning bidder is scheduled to be selected on Monday, with the announcement presumably coming some days later. Rumored suitors include billionaire Robert Bass’s venture capital company Oak Hill Partners, whose Local TV unit is comprised of 16 stations including WJW Cleveland, KTVI St. Louis, WBRC Birmingham, WHO Des Moines and KDVR Denver. Another suitor
With KRON 4 owner Young Broadcasting entering Chapter 11, the spotlight has shifted to the company’s creditors, the people who are really in charge. RBR.comTVBR.com posits an interesting theory. A group called Silver Point Capital apparently owns a substantial piece of Young’s debt. Silver Point Capital also acquired Granite Broadcasting, owner of KOFY 20, through the bankruptcy process. “If we were running Silver Point, which we’re not, we would certainly have some interest in exchanging our big chunk of Young’s
Young Broadcasting, whose financial condition has gone downhill since it paid a record $823 million for KRON Channel 4 in 1999, has voluntarily filed for Chapter 11 bankruptcy court protection while it reorganizes its finances. The operator of 10 stations says it plans to keep all of them on the air during bankruptcy proceedings. The move comes a month after Young was kicked off the Nasdaq stock exchange after its share price had fallen into penny-stock range. The company had
Nasdaq yesterday dropped Young Broadcasting, the parent of KRON-TV, from the stock exchange after it became a penny stock. Young said it is working to get its stock listed on the over-the-counter exchange. Young, which skipped a $6.1 million interest payment Jan. 15 on notes due in 2014, is struggling to reorganize and has been warning of a bankruptcy filing since November. Young owns nine other stations, all network affiliates in small- and medium-sized markets.