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$1.3B DEBT RATTLE CASH-STARVED TIMES EFFECTIVELY HAS $34M LEFT IN BANK

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By HOLLY SANDERS WARE, The New York Post

 

New York TimesAs The New York Times Co. tries to bask in the glory of having bagged five Pulitzers, the company is facing a cash crunch that could put it on the path toward insolvency.

According to its first-quarter earnings report, the Times said it had cash and cash equivalents totaling $294 million.

However, $260 million of that is earmarked to pay off debt that matures in March 2010, effectively leaving the company with $34 million.

That’s a particularly precarious position to be in, given the Gray Lady posted a wider-than-expected, first-quarter loss of $74.5 million amid worsening advertising declines, and is scrambling to raise cash as it labors under a $1.3 billion debt load.

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