Inner City Restructures, Hires Robert J. Maccini As Chief Restructuring Officer
October 18, 2011 at 6:24 AM (PT)
INNER CITY MEDIA CORP. has applied to bankruptcy court for permission to hire MEDIA CONSULTING SERVICES, LLC and appoint veteran broadcast broker and executive ROBERT J. MACCINI as Chief Restructuring Officer of the company.
MACCINI will report to the INNER CITY Board of Directors and will be empowered to cut sales, marketing and other expenses, including firing anyone other than PIERRE M. SUTTON, KEISHA SUTTON-JAMES, HAL JACKSON, and LOIS WRIGHT, and MCS will advise the debtors' senior management team in the restructuring.
MCS will be paid $25,000 per month plus expenses. The next hearing, which will deal with MACCINI and MCS' hiring, is on OCTOBER 25th.
Inner City Broadcasting Restructures
INNER CITY BROADCASTING CORP. (ICBC) appears to have reached an agreement with its lenders on a financial restructuring plan. Their attorneys indicated to bankruptcy judge SHELLEY CHAPMAN they plan to file a Chapter 11 this week. The judge in turn has agreed to move up hearings which will hasten the process.
Informed sources say ICBC has not ruled out selling the stations as an option, although some sales if they occur, would not take place for at least a year. These same sources say the SUTTON family is likely to receive about one-million dollars more under a new financial arrangement with primary lenders YUCAIPA, FORTRESS CAPITAL and DRAWBRIDGE CAPITAL.
There is still no clear indication as to how current shareholders would fare. Under the previous offering, which ICBC Pres PIERRE SUTTON offered and then retracted, the SUTTON family’s stake would have been trimmed to just two per-cent with PIERRE as chairman emeritus and a five-year, $600,000 per-year contract.