Air America Worth $0?

[Annie]

http://radioequalizer.blogspot.com/2007/02/air-america-bankruptcy-sale-stephen-l.html

WORTH NOTHING?

Media May Have Misinterpreted Air America Bailout Deal

*** Exclusive To The Radio Equalizer ***

*** I'll be discussing the story this weekend on NPR's "On The Media" Check local stations for airtimes ***

By Brian Maloney


Since Air America Radio's bankruptcy bailout by wealthy Manhattan real estate mogul Stephen L Green was announced on February 7 (and finalized yesterday), the public has been led to believe the network's assets had fetched $4.25 million.

But the news media, led by the Associated Press, may have blown the story: in fact, Air America's true valuation may actually be zero!

Did anyone examine the filings?

That's the stunning conclusion reached by bankruptcy expert Donald J Quigley, a Denver- based attorney who has been assisting your Radio Equalizer on this matter for several weeks.

Quigley is associated with Denver's Block Markus Williams LLC and as a matter of disclosure, one of the company's creditors is a distant relative.

Could this be but the latest chapter in Air America Radio's ongoing shell game, where insiders always manage to stay one step ahead of investors and creditors?


Out of the reported $4.25 million purchase price, according to our legal expert, "$3.25 million is illusory: that's money that Rob Glaser (RealNetorks CEO and longtime
Air America investor, seen in right image) had already loaned to the company. Air America already blew through this by continuing to operate during bankruptcy at a loss rate of $1m per month.

"Glaser has simply written off that loan as uncollectable and decided to accept a minority stake in the new company, rather than seeing how much (if any) cash he could salvage through a sale to a third party," Quigley continued.

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[Avatar4321]

Im trying to think of what assets in might have. Honestly I cant think of anything... I mean the most valuable asset for radio are the hosts, and a number of them have completely jumped ship. Not that they were very valuable to begin with.