Peninsula Daily News news sources
The holder of cable television franchises in Port Townsend, East Jefferson County and the Forks area, Broadstripe LLC, has filed for bankruptcy protection.
In its bankruptcy papers, filed in Delaware on Friday, the Missouri-based company listed assets and debts each between $100 million and $500 million.
The largest unsecured creditor was listed as Highland Capital Management LP, with a claim of $331.1 million. The next two largest unsecured creditors were Credit Suisse International, $28.8 million, and JPMorgan Chase, $13.6 million, the St. Louis Post-Dispatch reported.
Broadstripe, which changed its name from Millennium Digital Media in 2007, is based in a St. Louis suburb.
In addition to Port Townsend, East Jefferson County and the Forks area, it holds franchises elsewhere in Washington state as well as in Oregon, Maryland and Michigan.
On its Web site counts itself among the 25 largest cable operators in the United States.
In a news release, the company said it has secured $15 million in debtor-in-possession financing from existing lenders.
Broadstripe also hired Stephen Dube of FTI Consulting as its chief restructuring officer to lead the turnaround.
CEO joined last summer
The filing lists Broadstripe Capital LLC as the owner of 100 percent of the equity in Broadstripe LLC.
The company is led by Gustavo Prilick, who joined as chief executive last summer.
Reports at that time said the company had around 110,000 subscribers in the four states. The number of North Olympic Peninsula subscribers wasn’t available Saturday.
Company officials could not be reached because of the New Year’s holiday weekend.
But in a letter posted on the company’s Web site, Prilick said Broadstripe is negotiating with secured creditors.
“Broadstripe filed Chapter 11 to strengthen its balance sheet and to accomplish a financial restructuring of its financial obligations,” Prilick’s letter said.
“We expect that the restructuring will be completed in 2009.”
Two Broadstripe channels in East Jefferson, channels 97 and 98, are devoted to Port Townsend TV, or PTTV, local-access programming.
PTTV is funded from local sources, including the city of Port Townsend and Port Townsend School District, and is not affected by Broadstripe’s bankruptcy protection filing.
Our goal is for Broadstripe to complete its restructuring without disruption to our customers and to emerge financially stable, highly competitive and with a promising future,” Prilick said in the company’s news release.
He said the company intends to continue to upgrade its networks and to introduce new and enhanced products for its customers.
In addition to cable TV, Broadstripe provides broadband and home phone services.
Further information can be found at www.broadstripe.com.
