Current Newspapers filed for Chapter 11 bankruptcy the first week of January, according to court records, Washingtonian magazine reports. The company publishes five weekly community papers around Washington D.C. Davis Kennedy has owned the Current since 1994.
Current owes more than $1.25 million to creditors, including lenders, printers, software vendors, and others. The Wall Street Journal first reported the filing.
In addition to delays in paying vendors, recently there’ve been reports of withheld paychecks, a health-insurance policy lapse and major staff turnover at the troubled publisher. Chris Kain, managing editor for 26 years, resigned in December. Former Prince George’s Sentinel managing editor Shawn McFarland will now head the news staff, the magazine reports.
Two printers, Gannett and Bartash Print Media, are suing Current, and the paper reportedly owes $60,000 to another printer, Maryland-based APG of Chesapeake.