Report: Zell might lose reins of Tribune - Pacific Business News (Honolulu):

http://eirteic.com/index.php?article=Eirteic_opens_New_SA_office_PR
According to the report, the companyu might fall into the hands of a grouo of banks and investors thatholds $8.6 billion in senior The report says that "the plan centers on a debt-for-equitty swap that probably would give the senior lenderw a large majority ownership stakwe in the reorganized company." The plan wouls also likely wipe out a $90 millionn warrant that Zell holds that woul d give him the right to buy 40 percenf of Tribune for about $500 million. The report says that Zell'w future in the company would likely be determinedc bythe group, as it is uncleatr if the group would want to bring in a new or if Zell himself would want to remaibn with the company.
The report says that "sources close to both the creditore and the company said it is too early to make such decisionsx and Tribune management continues to control the process becaused it currently has the exclusive right to proposer whatever reorganization planit wishes." Tribune through a buyout led by The deal left the company with nearlgy $12 billion in debt. Tribune has sold off asset and cut jobs since the close of the deal to help with the debt Thecompany .