San Antonio, Texas-based iHeartMedia Inc., which owns several Milwaukee radio stations, has filed for Chapter 11 bankruptcy.
In the Milwaukee market, the company owns oldies station 95.7 Big FM, country station FM106.1, top 40 and pop station 97.3 NOW, hip hop and R&B station V100.7 JAMS, news and talk station 1130 WISN and sports station The Big 920. The company owns a total of about 850 stations nationwide.
iHeart said in a release it has reached an agreement in principle with its debtholders to restructure its balance sheet and reduce $10 billion of outstanding debt. The company expects to continue to operate as usual during the restructuring, and believes it has enough cash on hand and operational cash flow to support itself during the bankruptcy process.
“iHeartMedia has created a highly successful operating business, generating year-over-year revenue growth in each of the last 18 consecutive quarters,” said Bob Pittman, chairman and chief executive officer, in a statement. “The agreement we announced today is a significant accomplishment, as it allows us to definitively address the more than $20 billion in debt that has burdened our capital structure. Achieving a capital structure that finally matches our impressive operating business will further enhance iHeartMedia’s position as America’s No. 1 audio company.”