iHeartMedia Defaults on 20.6 Billion Loan, Self-Imposed Bankruptcy
It’s 1,700 pages of litigation between iHeartMedia Inc. and a group of its investors, that want their money back. iHeart has technically defaulted on its debt, while continuing to do business as normal.
According to the San Antonio Express, the San Antonio operated iHeartMedia “could ultimately force iHeart to file for bankruptcy,” the company said in its lawsuit filed in state district court.
The struggling radio company owns failing properties in Tuscaloosa, Birmingham, Montgomery, Gadsden, Mobile, and Huntsville in Alabama. IHeartMedia has an astounding $20.6 billion in long-term debt — debt that it has been continually restructured over the years. It’s kind of a self-imposed bankruptcy type of process designed to kick the can down the road.