Tribune Company Appears in Bankruptcy Court

As many current and former Tribune Employees brace for the unknown regarding their families well being, the Tribune Company paid a visit to the bankruptcy court in Delaware today. Presiding bankruptcy Judge Kevin Carey authorized the company to make payments to employees and vendors as it works through the Chapter 11 bankruptcy reorganization.

The attorney representing the Tribune Company, James Conlan, said the company had to seek protection though bankruptcy due too the erosion of the advertising revenue at most Tribune properties.

Today’s ruling allows the company to pay out $74 million that was owed to employees before Monday’s bankruptcy filing, the company owns The Los Angeles Times, The Chicago Tribune, The Baltimore Sun, and several other newspapers. A cap of $10,950 per person was authorized as well, but excludes health care payments, long-term disability, workers compensation, reimbursable expenses and retiree medical care.

Judge Carey also authorized payments for vital operating expenses such as $20 million to critical vendors, $18 million in tax, licensing and similar debts, and $5.5 million to shippers.

Additional information available on the Tribune Intranet for employees within the company.