The U.S. Bankruptcy Court for the Southern District of New York has approved Journal Register Company’s sale to 21st CMH Acquisition Co., JRC said this morning in a press release. The sale is scheduled to occur April 2.
21st CMH Acquisition Co. is a unit of Alden Global Capital, which already owns Journal Register. When Journal Register announced its bankruptcy, Digital First Media CEO John Paton told employees the company could “no longer afford the legacy obligations incurred in the past.” Selling the company, even to a unit of its current owners, could allow it to shed some of those obligations.
21st CMH is negotiating with the Guild at JRC’s Michigan papers. Guild members say 21st CMH asked for a 15 percent across-the-board pay cut and wants the ability to outsource jobs. (Efforts to locate a 21st CMH spokesperson have so far proven fruitless.) A Guild bulletin Poynter obtained (embedded below) says the next bargaining sessions are scheduled for March 30 and 31 and April 1.
Newspaper Guild of Detroit bulletin about negotiations
Previously: Mich. unions say JRC has ‘declared war,’ threaten strike | Journal Register Company, hedge fund sign purchase agreement | Journal Register Company files for bankruptcy
