Tribune plan approved by lenders, unsecured creditors; noteholders favor Aurelius plan

By Caroline Salls

Pittsburgh, Feb. 11 - Tribune Co.'s plan of reorganization has been overwhelmingly approved by the holders of its senior loan claims and bridge loan claims, as well as most classes of trade and other general unsecured claimants, but not approved by holders of senior noteholder and PHONES notes claims, according to a company news release.

Tribune said the noteholders' rejection of the plan was expected.

Meanwhile, the competing plan sponsored by Aurelius Capital Management, a large holder of senior noteholder claims and the indenture trustee for the senior notes and PHONES notes, was rejected by virtually all classes of voting creditors other than the senior noteholder and PHONES notes claims classes.

As previously reported, Tribune's plan is also supported by its co-proponents, the official committee of unsecured creditors, JPMorgan Chase Bank, NA, Angelo Gordon & Co., LP and Oaktree Capital Management, LP.

"These results are as we expected, and we are pleased that they confirm broad support for the restructuring plan supported by the company and its co-proponents," Tribune chief restructuring officer Don Liebentritt said in the release.

"We continue to prepare for the confirmation hearing set to begin on March 7th and remain confident that the court will confirm our plan over the Aurelius/noteholder plan."

Tribune, a Chicago-based media company, filed for bankruptcy on Dec. 8, 2008 in the U.S. Bankruptcy Court for the District of Delaware. Its Chapter 11 case number is 08-13141.

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