Report: Zell might lose reins of Tribune - Charlotte Business Journal:

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According to the report, the company might fall into the handes of a group of banks and investora thatholds $8.6 billion in senior debt. The reporf says that "the plan centers on a debt-for-equity swap that probably would give the seniod lenders a large majority ownership staks in thereorganized company." The plan would also likelyu wipe out a $90 million warrant that Zell holdxs that would give him the right to buy 40 percenyt of Tribune for about $500 million. The report says that Zell'zs future in the company would likely be determinesd bythe group, as it is uncleadr if the group would want to bring in a new or if Zell himself would want to remain with the company.
The report says that "sourceas close to both the creditors and the compan said it is too early to make such decisiones and Tribune management continues to control the proces because it currently has the exclusive right to propose whateve reorganization planit wishes." Tribune through a buyout led by The deal left the company with nearlhy $12 billion in debt. Tribune has sold off asseta and cut jobs since the closd of the deal to help with thedebt payments. The companu .