Only a matter of time…

CHICAGO, Illinois (CNN) — The company that owns the Chicago Sun-Times and 58 other newspapers and online sites said Tuesday it had filed for Chapter 11 bankruptcy.

The Sun-Times Media Group, Inc. said it would continue to operate its newspapers and Web sites as usual while it improves its cost structure and stabilizes operations.

Tuesday’s announcement comes amid a raft of newspaper closings and cuts that has seen the end of The Rocky Mountain News in Denver, Colorado; The Seattle Post-Intelligencer, and The Christian Science Monitor.

The chain that owns the Los Angeles Times and the Chicago Tribune is in bankruptcy and other papers are on the brink. And two industry giants, The Washington Post and The New York Times, announced last week they are cutting costs and staff amid tumbling revenue and continued economic decline.

The Sun-Times said similar cost-cutting measures failed to turn around the company’s fortunes.

“The significant downturn in the print advertising environment that has affected newspapers across the country has continued to severely impact us,” said Jeremy Halbreich, chairman and interim chief executive of the Sun-Times Media Group. “Unfortunately, this deteriorating economic climate, coupled with a significant, pending IRS tax liability dating back to previous management, has led us to today’s difficult action.”

Read the full story here: http://cnnwire.blogs.cnn.com/2009/03/31/chicago-sun-times-files-for-bankruptcy/