More cutbacks coming at the Tampa Bay Times?

According to Saint Petersblog, which has had an ongoing adversarial relationship with the Tampa Bay Times, the newspaper recently went back to its corporate payday lender to take out another $2 million loan.

"But surprisingly, on June 23, the Times amended the loan with Crystal once again, borrowing an additional $2 million, and raising the amount that it owes the financial institution to $24.19 million. Six days later, the Pension Benefit Guaranty Corp. put a lien on its corporate headquarters."

Tampa Bay Times publishing company not out of the woods regarding finances - SaintPetersBlog

 

Dang. That sounds ominous.

In December of 2013, the Times entered an agreement with Crystal Financial for a $28 million loan. On September 14, 2014, the Times modified its agreement with Crystal, borrowing an additional $2.5 million, increasing the amount borrowed to $30.5 million.

Since that time, the paper has sold off some properties, including the Tramor Cafeteria building on 123 Fourth Street South for $2.7 million last October. Those sales allowed the paper to begin making payments to Crystal, and by last month the loan had been reduced to $22.19 million.

But surprisingly, on June 23, the Times amended the loan with Crystal once again, borrowing an additional $2 million, and raising the amount that it owes the financial institution to $24.19 million. Six days later, the Pension Benefit Guaranty Corp. put a lien on its corporate headquarters.

...

The paper’s loan with Crystal Financial is due at the end of 2016.

 

Yep. Things are not good, my friend ... at either of the big daily papers. There's been a lot of babbling for years about how this might become a one-paper metropolitan area, but it doesn't take much squinting to see it becoming a no-paper town by the end of the decade.

 

The Times loan with Crystal Finance ends at the end of 2016. And the Tribune building is under contract to a condo developer and there seeems to be no urgency to find a new facility. So it might be a no-paper town by New Year's 2017.

 

Just an incremental process story: The Times has sold its St. Petersburg headquarters building for $19M, with plans to remain as a tenant for 15 years. The purchase price chips away considerably at the corporate payday loan that's due by the end of the year. What also appears to mean, at least to me, is that it won't be relocating its headquarters to Tampa, as some folks suspected.

Tampa Bay Times sells St. Petersburg headquarters, will remain as tenant

 

The Pension Benefit Guaranty Corp. had placed liens on the building last year for 30 million dollars. I think the Feds will get this money and the clock will continue to tick on the payday loan.

Pension agency places liens on Times Publishing properties