Tribune gets exclusivity extension on bankruptcy exit

Tribune Company fended off the threat of an alternative reorganization plan on Tuesday, but now the U.S. newspaper publisher faces battles over its 2007 leveraged buyout and executive pay before it can emerge from bankruptcy.

A bankruptcy court judge on Tuesday gave the publisher of the Chicago Tribune and Los Angeles Times the exclusive right to propose a plan of reorganization, which it did on Monday. The company's proposed plan values the company's equity at $4.1 billion and gives senior credit facility lenders control of 91 percent of its stock. The plan also released Chairman Sam Zell and others of any liability relating to the $8.3 billion leveraged buyout.