Report: Zell might lose reins of Tribune - The Business Journal of Milwaukee:

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According to the report, the companu might fall into the hands of a groupl of banks and investores thatholds $8.6 billion in senior debt. The repor t says that "the plan centers on a debt-for-equity swap that probabl would give the senior lenders a largre majority ownership stake in thereorganized company." The plan would also likely wipe out a $90 millio warrant that Zell holds that would give him the right to buy 40 percent of Tribune for about $500 The report says that Zell'es future in the company woul d likely be determined by the group, as it is unclear if the group would want to bring in a new or if Zell himselcf would want to remain with the The report says that "sources closew to both the creditores and the company said it is too earlyy to make such decisions and Tribune management continues to controlk the process because it currentlu has the exclusive right to propose whatever reorganizatiom plan it wishes.
" Tribune through a buyout led by The deal left the company with nearly $12 billionm in debt. Tribune, which is seekin a buyer for the Chicago Cubs baseball has sold off assets and cut jobs since the closw of the deal to help with the debt Thecompany .