Sinclair Broadcast Group, the owner of WEAR TV 3, in its n 8-K filed with the Securities and Exchange Commission on July 10 said that it may have to file Chapter 11 bankruptcy due to declines in advertising. Moody’s Investors Service and Standard & Poor’s Ratings Services downgraded their credit ratings on on Sinclair Broadcast Group by top notches in June when the company posted a net loss of $85.7 million in the first quarter. Current Moody rating is Caa2 or highly speculative, S&P is B- or one step above highly speculative.
The Wall Street Journal reports that Sinclatr shares fell 21% to $1.46 in after-hours trading yesterday.
The Sinclair Broadcast Group the operator of the largest number of local television stations in the United States with a total of 57 stations across the country in 35 primarily small and medium markets, many of which are located in the South and the Midwest. The company is based in Hunt Valley, Maryland.
