The publisher of the St. Louis Post-Dispatch and more than 40 other newspapers is close to completing a complex debt refinancing plan that includes a prepackaged Chapter 11 bankruptcy filing.
Lee Enterprises Inc. disclosed details of the plan on Friday. The prepackaged Chapter 11 filing, which Lee expects to initiate in about 10 days, is designed to force uncooperative lenders to go along with a refinancing arrangement that Lee reached with a majority of its lenders in September.
CEO Mary Junck described the refinancing plan as welcome news because it will give the company more time to repay its debt while protecting the interests of shareholders. Junck is on The Associated Press' board of directors.
Lee's stock rose 10 cents to 63 cents after the company disclosed its plan.