Cumulus Media Emerges From Chapter 11

Paul, Weiss advised Cumulus Media Inc., which operates nearly 400 U.S. radio stations, on its successful chapter 11 prepackaged restructuring plan. Upon emergence from chapter 11, Cumulus eliminated approximately $600 million of existing debt, while creditors received 100% of the company’s reorganized equity and $50 million of new convertible notes. Cumulus also amended and restated its asset-based revolving credit facility to provide continued liquidity going forward.

Cumulus filed its chapter 11 case in the U.S. Bankruptcy Court for the Southern District of Texas in March after reaching a comprehensive restructuring support agreement with a group of its lenders, and obtained court approval for its plan in April, less than 45 days after filing.

The Paul, Weiss team included restructuring partners Paul Basta, Jacob Adlerstein, Kyle Kimpler, Sung Pak and counsel Sarah Harnett; corporate partners Samuel Welt, Timothy Cruickshank and counsel Lyudmila Bondarenko; litigation partner William Clareman; executive compensation partner Jean McLoughlin; tax partner Matthew Jordan; and intellectual property partner Claudine Meredith-Goujon.