I guess karma came back to bite Sam Zell in the backside. Perhaps the problem is that Zell never should have been in publishing. From Reuters:
The Wall Street Journal said Tribune has been on wobbly footing since last December, when real-estate mogul Sam Zell led a debt-backed deal to take the company private.
It said that the company's cash flow may not be enough to cover nearly $1 billion in interest payments due this year, and Tribune owes a $512 million debt payment in June.
One of Tribune's most pressing concerns is that the company is likely to be in violation of debt terms that limit borrowings at the end of the year to nine times its adjusted profits, the paper said.
