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KHON-TV parent files for bankruptcy


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POSTED: Tuesday, July 14, 2009

NV Broadcasting LLC, the parent company of KHON-TV and CW (cable) Channel 93 in Honolulu, and 12 other network-affiliated television stations in Oregon, Alabama, Kansas, Georgia, Ohio and Iowa, filed for Chapter 11 bankruptcy protection yesterday.

“;Viewers won't see any changes in programming, there won't be any changes in staffing and it really will be pretty much business as usual,”; said Joe McNamara, president and general manager of KHON.

The station and its cable-only sister channel are profitable, McNamara said. “;The market's down, there's no question about it ... so there's less on the bottom line,”; but “;where the pressure was really coming from”; was the debt load at the corporate level.

NV Broadcasting listed assets of $10 million to $50 million and liabilities of $100 million to $500 million in a filing in U.S. Bankruptcy Court in Wilmington, Del. Affiliates of the Atlanta-based company, including NV Media LLC and NV Television LLC, also filed bankruptcy petitions.

The company, which goes by the name New Vision Television, said in a statement it has an agreement that will eliminate more than $400 million in debt and provide it with capital to continue its operations. The company secured $30 million in new financing, according to the statement.

“;Our daily business operations will not miss a beat,”; said Jason Elkin, chief executive officer, in the statement.

Jobs and employee benefits will be “;intact,”; operations will continue as usual “;and as soon as the pre-arranged court process has ended, New Vision will emerge as a nimble, well-financed company,”; he said.

The company posted a statement from Elkin and answers to many questions on its Web site and linked to them in its first two posts on social networking site Twitter.com as @NewVisionTV.

 


Star-Bulletin staff writer Erika Engle contributed to this story.