Tribune Gets $300 Million Loan To Pay Down Existing Debt
This story was written by Joseph Weisenthal.
Getting some much-needed cash, Sam Zell's Tribune has arranged a $300 million bank loan from Barclays, with the proceeds going towards debt payments. It's basically a quick, temporary measure as the company deals with its large debt burden. The loan, made public over the holiday, is backed by Tribune's existing accounts receivablemoney it's currently owed. In December, the company needs to make a $650 million payment on a $1.4 billion loan, according to Variety. With over $13 billion in debt, Tribune has taken to selling assets, most recently Newsday, and cost cuts, though ultimately, for Zell's bet to work, the core business needs to change coursehe can't make it work on asset sales or financial tricks alone. Release.
By Joseph Weisenthal