Staff Blog
More financial troubles for Inky/ Daily News/ Philly.com publisher
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No more pigs on the side of this building |
The financial troubles for Tierney & Co. over on Callowhill Street are picking up.
As first reported by Steve Volk over at Philly Mag:
According to a report released today by Standard & Poor’s, the owner of the Philadelphia Inquirer and Daily News has received a forbearance agreement from its creditors that will run through September 10th. Philadelphia Media Holdings, the investor group put together by publisher Brian P. Tierney to acquire the papers and philly.com in 2006, will face a serious financial penalty — interest on its debt will climb a full percentage point — in exchange for being allowed to skip payments during that period. PMH has also offered to surrender $15 million from its revolving line of credit, reducing it to $35 million.
Read the rest of Volk's report here.
Earlier: With a hiring freeze already in place, Tierney asked the union to freeze Sept. 1 raises; also, here's the initial Bloomberg report on PMH's technical loan default.
