A publisher of legal journals, business journals and other information services products has filed for Chapter 11 bankruptcy protection in Wilmington.
Minneapolis-based Dolan Co. filed a “pre-packaged” bankruptcy aimed at reducing debt from a former foreclosure processing business. Bloomberg also reported that the founder of the company James Dolan resigned.
The pre-packaged bankruptcies are filed with agreements with most major creditors already in place and is aimed at making agreements with remaining creditors less difficult.
The chapter 11 plan process will allow the filing subsidiaries of the company to bolster their capital structures by reducing its projected secured debt obligations from approximately $170 million to approximately $50 million.
Dolan, which had been traded on the New York Stock Exchange, will become a private company.
Dolan operates the Daily Record, a daily legal and business publication in Baltimore, as well as business journals and other legal publications.
The legal community and U.S. Bankruptcy Court in Wilmington have extensive experience in bankruptcies involving media companies, two examples being Midwest-based publisher Lee Enterprises and the lengthy case of the Tribune Co.
