MGTF Radio Company, LLC and WPNT, Inc. d/b/a Steel City Media, has announced today that the Company filed voluntary petitions for reorganization under Chapter 11 of the U.S. Bankruptcy Code.
The Company will continue to operate its business while it seeks to reorganize under Chapter 11.
Steel City Media operates four well-known stations in the Kansas City market:
- Country 94.1 (KFKF-FM)
- KC 102.1 (KCKC-FM)
- Mix 93.3 (KMXV-FM)
- Q 104 (KBEQ-FM)
The family-owned company purchased the local radio stations in 2014 from Wilks Broadcasting Group. In its filing, Steel City Media lists $50 million to $100 million in assets and $50 million to $100 million in liabilities.
The petitions were filed in U.S. Bankruptcy Court for the Eastern District of Missouri in St. Louis, Missouri on March 20, 2018.
“The Company remains very profitable and expects to be able to generate sufficient cash from operations to meet the expenses of running our business during the Chapter 11 proceedings,” said Michael Frischling, the Company’s Vice President.
“Despite having paid down our senior lender by more than $20 million, or more than 35%, since 2014, softness in our markets has resulted in non-compliance with certain technical covenants. We believe that Chapter 11 is the appropriate venue to seek to resolve these issues. We look forward to emerging from Chapter 11 as an independently owned strong player in our markets and with a reset capital structure in place for the long term.”
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