Bankruptcy judge approves sale of Reading Eagle to chain
A federal bankruptcy judge on Wednesday approved the sale of the 150-year-old Reading Eagle to a large chain known for buying struggling newspapers and then slashing their newsrooms.
MediaNews Group, better known as Digital First Media, offered $5 million for the assets of the family-owned Reading Eagle Co., which filed for bankruptcy protection in March. Chief Judge Richard E. Fehling signed off on the deal after a hearing Wednesday.
Digital First owns about 200 papers and other publications, including The Denver Post and the Boston Herald. Its biggest shareholder is Alden Global Capital, a New York hedge fund that invests in distressed companies.
The company has a reputation for deep cost cutting, leading to fears the Eagle paper will be gutted. The Pennsylvania paper began publishing in 1868.
Read more: https://www.mcall.com/business/sns-bc-us--reading-eagle-bankruptcy-20190522-story.html