Attorneys representing Tribune Co. in its bankruptcy case have reached an agreement with bondholders over access to records of the 2007 buyout that took the company private.
According to a proposed court order submitted Thursday, Tribune and banks that financed the buyout have agreed to provide the bondholders with documents provided to a committee of creditors, subject to a confidentiality agreement finalized Wednesday. Attorneys for the bondholders also can take part in any depositions taken by the creditors committee.
The bondholders, who had purchased their debt before real estate mogul Sam Zell led Tribune’s $8.2 billion buyout, claim the deal was fraudulent and pushed the company into insolvency because the debt mainly went to cash out Tribune stockholders. More…