• by Erik Sass , Staff Writer, November 4, 2015

There have been so many bankruptcies in the newspaper industry over the last decade that one might be forgiven if they run together. In fact, the bar has been raised: Now a publisher has to go through multiple bankruptcies to really get noticed.

Orange Country Register publisher Freedom Communications has joined that tony club with its second declaration of bankruptcy, part of the long aftermath of an ill-fated takeover by investors Aaron Kushner and Eric Spitz.

Freedom first declared bankruptcy under its previous owners in 2009-2010, and emerged from bankruptcy under new ownership by private-equity investors, including distressed company specialists Angelo, Gordon & Co.

After selling a number of smaller newspapers around the country, in 2012 Freedom was acquired by the 2100 Trust, founded by Kushner and Spitz, whose bold vision basically doubled down on local journalism and print publishing.

Kushner, formerly an executive at Marian Heath Greeting Cards, led Freedom on an extremely ambitious course of expansion, marked by frequent acquisitions and launches of new publications.

In 2013-2014, Freedom launched two short-lived new metropolitan daily newspaper, the Los Angeles Register, published seven days a week and distributed throughout Los Angeles County, and the Long Beach Register. It acquired The Press-Enterprise of Riverside from A.H. Belo; launched a number of weekly community newspapers; and began publishing newspaper-distributed magazines.

However, the bets did not pay off, and things quickly turned sour with a string of closings and layoffs. The Los Angeles Register and Long Beach Register were both shuttered in the fall of 2014, while the OC Register became embroiled in a legal fracas with the Los Angeles Times over unpaid delivery fees. Worse still, the failed projects left the newspaper publisher saddled with significant debts.

Kushner and Spitz resigned their executive positions in March of this year but retained their stakes in the company; Kushner will finally give up his stake as part of the latest bankruptcy proceedings, and Spitz will remain a part owner.

The latest bankruptcy reorganization will give control of the company to the newspaper’s management, led by CEO and publisher Rich Mirman, with support from local investors. The OC Register quoted Mirman: “We’re turning the page and starting a new chapter. We’ve gone through a few rocky years and we need to redefine ourselves.”