American Media Inc, publisher of the National Enquirer, Shape and Men's Fitness, filed on Wednesday for Chapter 11 bankruptcy protection. The "prepackaged" bankruptcy is designed to allow American Media to restructure quickly and emerge from bankruptcy protection within 60 days.
American Media said it won support for its restructuring plan from holders of more than 75% of its bond debt and more than 70% of its bank debt. It said some creditors would be paid in full, some would receive a mixture of cash and new debt and some would receive stock in a reorganized company. American Media Operations Inc has more than $1 billion of liabilities, court records show.