By Sarah Portlock
WASHINGTON--Federal regulators Friday cleared the last major
hurdle for Tribune Co. to emerge from bankruptcy protection, a move
that could happen within the next several weeks.
The media company currently holds broadcast licenses and waivers
to own both a television station and newspaper in each of five
major markets, including Chicago and Los Angeles. But Tribune needs
those licenses to be transferred to its new owners, J.P. Morgan
Chase & Co. (JPM), Oaktree Capital (OAK) and Angelo Gordon,
Co., which are taking Tribune out of bankruptcy.
For three decades, the FCC has technically banned any company
from cross-ownership of a local newspaper and television station in
the country's top 20 markets. But companies including Tribune have
done so, operating under waivers of that rule.
Friday, the FCC in an order posted online approved the license
transfers.
"We are extremely pleased with today's action by the FCC," said
Eddy Hartenstein, Tribune's chief executive officer. "This decision
will enable the company to continue moving forward toward emergence
from Chapter 11, a process we expect to complete over the course of
the next several weeks."
Tribune's new owners will have a permanent waiver of the
cross-ownership ban in Chicago and temporary waivers in New York,
Los Angeles, southern Florida and Hartford, Conn. Tribune can then
reapply for permanent waivers within one year, according to the FCC
order.
Write to Sarah Portlock at sarah.portlock@dowjones.com.
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