Judge approves Freedom reorganization plan

WILMINGTON, Del. (AP) — A federal bankruptcy judge in Delaware has approved the Chapter 11 reorganization plan of Freedom Communications.

Freedom Communications is the corporate owner of Freedom New Mexico, including the Clovis News Journal, Portales News-Tribune and Quay County Sun.

Under the plan approved Tuesday, Freedom’s secured lenders including JPMorgan Chase and Bank of New York Mellon would assume ownership of the company in return for cutting the debt owed to them by nearly 60 percent, to $325 million.

Unsecured creditors who challenged an initial proposal giving them only about $5 million stand to recover far more than that under the revised plan.

Pension holders would get about 70 percent of their original pensions.