LodgeNet Interactive Corporation Files Prepackaged Chapter 11

• Debtor Name:  LodgeNet Interactive Corporation
• Year Filed:  2013
• Jurisdiction:  United States Bankruptcy Court / Southern District of New York
• Asset Size:  100,000,001 to 500,000,000
• Case Number:  13-10238
• Industry:  Entertainment/Recreation, Lodging, Computers & Electronics

The Sioux Falls, South Dakota-based media services provider and ten affiliates are represented by Weil, Gotshal & Manges LLP.

The Debtors employ approximately 770 employees.  The Debtors attribute the filing to a declining room base and revenues, particularly caused by the mobile devices.

The Petition lists approximately $292 million in assets and $449 million in debts.  DIRECTV is listed as the largest unsecured creditor with an approximate $24.5 million trade claim.  According to Debtors' Affidavit, a group of investors let by Col-L Acquisition, LLC (subsidiary of Colony Capital, LLC) will invest a minimum of $60 million in exchange for all the common stock of the reorganized LodgeNet Interactive.  

According to the Plan of Reorganization, unsecured claims will be paid in full and existing common stock will be cancelled.