Is AMI going to go bankrupt? Nooooooooo! Do you know what that would mean: trouble for the new zombie version of Radar.com! Keith Kelly reports this morning that AMI, which publishes Star and the National Enquirer in addition to zombie Radar, missed a deadline on an interest payment and is "feverishly negotiating" with its lenders. How can you publish the National Enquirer in its finest year ever and still be coming up short of cash? We blame Bonnie Fuller, a little bit.
AMI CEO David Pecker will, it sounds like, reach some sort of agreement with his lenders. But the debt is obviously a serious long-term problem:
American Media has always been cash-flow positive, but has had trouble servicing the debt it took on as CEO David Pecker cobbled together the company.