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Air America Files for Bankruptcy Protection
Air America Radio, the liberal talk and news radio network that features the comedian Al Franken, has filed for Chapter 11 bankruptcy protection, a network official told The Associated Press.

The network had denied rumors just a month ago that it would file for bankruptcy protection. On Friday, Air America spokeswoman Jaime Horn told the AP that the filing became necessary only recently after negotiations with a creditor from the privately held company's early days broke down. Ms. Horn declined to name the creditor with which talks had reached a logjam. The company will operate in the interim with funding from its current investor group, Ms. Horn said.

“According to documents filed with U.S. Bankruptcy Court for the Southern District of New York, Air America owes Franken $360,750 and $9.8 million to RealNetworks Inc. CEO Robert Glaser, who owns 36.7 percent of the company and had previously served as its chairman.”
In addition to Mr. Franken, the network also features shows from liberal talk show host Randi Rhodes and syndicates shows from Jerry Springer and Portland, Ore.-based talk show host Thom Hartmann.

According to documents filed with U.S. Bankruptcy Court for the Southern District of New York, Air America owes Franken $360,750 and $9.8 million to RealNetworks Inc. CEO Robert Glaser, who owns 36.7 percent of the company and had previously served as its chairman.

Tracy Klestadt of Klestadt & Winters LLP, an attorney for Air America's parent company, Piquant LLC, said Rob Glaser had resigned as a director as of Friday morning. GMr. laser, along with two others, is providing new financing through Piquant investor group Democracy Allies LLC.
Posted by: Fred 2006-10-14
http://www.rantburg.com/poparticle.php?ID=168592