Old News: Journal Register Co. Re-Enters Bankruptcy

 (Photo credit: wallyg)

Despite a promising shift to digital news, nagging debt and a near 20 percent decline in print advertising over the past two years has again pushed the Journal Register Co. this week to file for Chapter 11 bankruptcy protection, according to stories in The New Haven Register and NiemanLab.org.

The Yardley, Pennsylvania-based Journal Register Co., owner of the New Haven Journal Register and the Media News chain, emerged from Chapter 11 bankruptcy in 2009 six months after declaring insolvency. For now, the company maintains its latest filing to seek reorganization and protection from creditors will not result in any staff reductions.

The Journal Register Co. is managed by Digital First Media, whose CEO John Paton has succeeded in a relatively short time period in boosting significantly the Journal Register's online readership and digital revenues. According to news accounts, the company expects to exit bankruptcy in 90 days and publication will continue uninterrupted.

The Alden Global Capital hedge fund, which owns the Journal Register Co., is likely to remain in charge of the company once the dust has settled, and may even acquire Digital First Media in the bargain, according to reports.