AMI To Get Out Of The Red In The New Year

Just 32 days removed from declaring Chapter 11 bankruptcy, American Media, Inc. is hopeful that they will have their debt formally wiped away by 2011.  Publisher of major tabloids The National Enquirer and Star as well as fitness mags Shape and Flex, AMI filed for bankruptcy protection in November due to a decline in ad sales and circulation numbers.  According to Mediaweek, the U.S. Bankruptcy Court for the Southern District of New York gave the green light to AMI’s prepackaged financing plan — one which will lower the company’s $855 million debt by $355 million and increase profitability.

AMI