Breaking: Air America to declare bankruptcy? Update: Up for sale? Update: AAR denies (Bumped)

posted at 6:06 pm on September 13, 2006 by Allahpundit

They weren’t good enough, they weren’t smart enough, and gosh darn it, nobody liked them.

Pathetic attempt at spin by Think Progress, too. As befits the occasion.

Update: Radio Equalizer is on it. Peace sells, but who’s buying?

Update: The start of a trend? The world’s greatest watchblog wonders.

Update: A spokesman for AAR says Think Progress got it wrong. Franken has, however, copped to “cash-flow problems”

Breaking on Hot Air

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Both kinds, moral and financial.

Bub bye!

Kini on September 13, 2006 at 1:10 PM

Couldn’t of happened to a nicer group of nuts. Too bad Olby is on MSNBC…

E L Frederick on September 13, 2006 at 1:15 PM

Intellectually bankurupt as well.

Good riddance to bad rubbish.

xardoz on September 13, 2006 at 1:16 PM

I was hoping that they would stay on the air long enough to bankrupt George Soros….

d1carter on September 13, 2006 at 1:17 PM

must …. fight …. manaical …. laughter ….

thirteen28 on September 13, 2006 at 1:23 PM

I smell the glove of Rove in this.

Gottafang on September 13, 2006 at 1:23 PM

So funny. They of course look at creating progressive radio as a MORAL victory, even though it is down the tubes. They are going bankrupt and the next round of investors will think twice before financing a failing enterprise such as this.

BelchSpeak on September 13, 2006 at 1:25 PM

Air America to declare bankruptcy?

CBS’ Couric slides to No. 3 ‘NBC Nightly News’

New York Times Company Spirals Further Downward

To the stuck on stupid Liberal Media;

How do you like them apples?

there it is on September 13, 2006 at 1:29 PM

one liberal group down & many more to go. it’s going to be a long battle with these people along with their friends the terrorists

Starblazer on September 13, 2006 at 1:30 PM

Couldn’t happen to a nicer group. Now for NPR and the rest of the MSM.

sharinlite on September 13, 2006 at 1:33 PM

“Progressive” radio, eh?

According to Think Progress, five(5) emplyees have already been laid off without severance. They have been told they won’t be getting severance unless there is a captital injection (i.e. unless some idiot wants to make a donation…I mean investment).

So, the current enemy of the left is Walmart…and for what? Supposedly mistreating their workers? I am pretty sure you get severance at Walmart if you are let go (and even if not, then that makes you jst the same as the “Progressives”)

Just more hypocrisy on display.

Blaise on September 13, 2006 at 1:46 PM

Well does this mean the McCain/Feingold election rules kick in now? Does this mean Rush has to go on hiatus?
Maybe Randi Rhodes will replace Alan Colmes on Fox.

LakeRuins on September 13, 2006 at 1:47 PM

Even Whole Foods and Birkenstock wouldn’t buy air on their America

EricPWJohnson on September 13, 2006 at 1:49 PM

Oh. Please. No. Say it ain’t so.

Cary on September 13, 2006 at 2:02 PM

Couldn’t of happened to a nicer group of nuts.

My thoughts exactly.

High Desert Wanderer on September 13, 2006 at 2:03 PM

Great pic of Stuart Smalley. Couldn’t the Saudis come in and bail them out as part of the left wing/terror alliance?

Valiant on September 13, 2006 at 2:06 PM

Too Bad. hehehe

I do question the timing tho.

shooter on September 13, 2006 at 2:07 PM

They’ve gotta declare bankruptcy now that the Boys and Girls Club are wise to them. You know it’s time to quit when the 24 hr elevator music format had more listeners. What an absolute embarrassment.

jdpaz on September 13, 2006 at 2:13 PM

The Varmint had this in March:
It’s even more apt now.

xardoz on September 13, 2006 at 2:22 PM

Now that AA went belly up; what’s the over/under on liberals attempting to accomplish through the reinstatement of the Fairness Doctrine what they could not in the marketplace of ideas?

Kid from Brooklyn on September 13, 2006 at 2:25 PM

They have been morally bankrupt for years. Glad to see the finance side of things worked out that way too.

GenFX on September 13, 2006 at 2:32 PM

Think Progress seems to be down.

I question the timing.

John on September 13, 2006 at 2:50 PM

Please secure your table trays and return your seatback to the full upright position in preparation for our landing at the Chapter 11 International Airport.

We apologize for not being able to take you to your final destination.

Let me thank you for all of your donations to traveling with Air America and have a nice day.

fogw on September 13, 2006 at 2:57 PM

from the link in the original post

Radio giant Clear Channel is so committed to progressive talk radio that, this week, it will announce a partnership with the Center for American Progress and MSS Inc. to conduct a nationwide search for the next Progressive Talk Radio Star.

There’s another example of a capitalist built business supporting communist ideology. The irony runs thick.

One Angry Christian on September 13, 2006 at 3:04 PM

WOOOHOOO
TRUE CAPITALISM PREVAILS!

Defector01 on September 13, 2006 at 3:04 PM

The Think Progress story frankly just doesn’t seem plausible (background: I used to be a financial advisor for corporate bankruptcies).

Air America could remain on the air under the deal,

The only way that a cash-burning company like AA can emerge from bankruptcy and stay on the air is if they use the bankruptcy process to shed some costs. Usually, that means hosing your creditors, but AA almost certainly wouldn’t really have any (because lenders hate companies like this). That leaves two places to look: the affiliates and the employees. I don’t see any way they can operate without both of those two groups still pretty much intact, and the stench they would pick up from screwing them over would be pretty huge.

Of course, they could possibly back out of their obligation to Gloria Wise (again), but that wouldn’t work out so well because, as I understand it, they already have fraudulent conveyance issues there, and furthermore, it could mean that GW would end up owning a sizable portion of AA.

So when Think Progress says AA will stay on the air, you can probably it awaya as another empty promise, like “sure honey, I’ll call you,” or “I’m going to find the real killers” or other classics.

All that other nonsense about “progressive radio will live on” is just the usual whistling past the grave yard. This thing is toast.

(I mean, really, the nutroots running a successful business enterprise? Be serious)

Squid Vicious on September 13, 2006 at 3:09 PM

Maybe it’s because they were afraid to compete with Rosie O’Donnell and Gloria Steinem.

Tony737 on September 13, 2006 at 3:12 PM

I just went to Radio Equalizer to see what the trolls have to say. They seem to be sleeping.

Jim Treacher on September 13, 2006 at 3:16 PM

Just more proof that capitalism and the free-flow of money is real democracy in action.

I’m surprised that Air America hasn’t tried to get some sort of Federal funding. Or at least a half-hour “Air America” slot at NPR.

Kevin R on September 13, 2006 at 3:40 PM

Been reading the posts on the “Thinkprogress.org” Air America story. You gotta go there and see for yourself.

BTW, so much for liberal freedom of speech. I tried to post a message there and got this message….

Sorry, the comment form is closed at this time.

Guess they couldn’t take us piling on when their worthless network is gasping its last breath.

BacaDog on September 13, 2006 at 3:46 PM

Here’s a delusional post from a Franken-lover at Think Progress:

Hopefully Air America will find a way. This country needs to have a place for people too smart to listen to the right wing noise machine. those who will dance in the streets and cheer the demise (premature) of Air America only show that they are not in favor of a free country where everyone has a right to speak and also to hear their kind of politics. Why are Conservatives so damn afraid of Air America?

….. so friggin clueless, can’t imagine how AA went under.

fogw on September 13, 2006 at 4:05 PM

fogw, you have to keep in mind… these are people who think that Al Franken had a point, and the rest of the hate-mongers on AA were “smart” or “funny”.

Like Forrest said… “Stupid is as stupid does”. As a buddy of mine said… “light to a blind man can at best be heat.”

E L Frederick on September 13, 2006 at 4:17 PM

These people have a strange notion of “winning”. If a bankrupt AA “establishes” liberal radio, I say we start a real civil war in this country, this time not “North vs South” but “Liberal Commie Coward Scum Vs Real Americans”. How on earth can we lose?!!! These people have downwardly defined “WINNING”!
Let’s ROLL~!

In the chest of a liberal, beats the heart of a coward.

Soothsayer on September 13, 2006 at 4:38 PM

Well, it was funny while it lasted.

Pablo on September 13, 2006 at 4:51 PM

“Air America To Declare Bankruptcy, But Progressive Radio Remains Strong”

Progressing towards what? Socialism and bankruptcy? I really hate people who hide their political beliefs behind spin words.

“I’m pro-life!” no, you’re anti-abortion
“I’m pro-choice!” no, you’re pro-abortion
“I’m progressive!” no, you’re a socialist

Mark Jaquith on September 13, 2006 at 5:00 PM

Hmmmmm….If Liberals can’t manage a tiny radio network, what makes them think they can manage the US economy?

.

GT on September 13, 2006 at 5:49 PM

they should have been called “Air Al-Qaeda”

Starblazer on September 13, 2006 at 6:22 PM

Liberals running a business is like a eunuch going to a whore house.
It also supports my economic theory of liberals:

The reason they fall for all the big business conspiracies is that their puerile minds can’t comprehend the complex mechanizations of free market capitalism.

Wil on September 13, 2006 at 6:49 PM

What makes Fonda and her crew think that they’ll have any more success?

RightWinged on September 13, 2006 at 6:57 PM

…those who will dance in the streets and cheer the demise (premature) of Air America only show that they are not in favor of a free country where everyone has a right to speak and also to hear their kind of politics. Why are Conservatives so damn afraid of Air America?
….. so friggin clueless, can’t imagine how AA went under.

fogw on September 13, 2006 at 4:05 PM, from a delusional post from a Franken-lover at Think Progress.

Where was this person during the Clinton & Co. threats to ABC, over the ‘Path to 9/11′? A true morsel!

Entelechy on September 13, 2006 at 7:00 PM

ErrAmerica.

It couldn’t have happened to anyone too much more insane.

doingwhatican on September 13, 2006 at 7:02 PM

Limbaugh or Hannity should by the rights to the name Air America. Just think how nuts the leftards will go.

Iblis on September 13, 2006 at 7:07 PM

What up? Soros isn’t kicking in any more dough?

Wait, what’s that I hear? It’s Nelson, from the Simpsons running by screaming “HAAAA HAAAAAA!”

NTWR on September 13, 2006 at 7:32 PM

A few thoughts:

1- Sheldon Drobny, AA’s cheerleader-in-chief, and a frequent Huffpo blabbermouth, has been oddly silent about this news. (If you’ve never seen his posts on Huffpo, you should, he’s a real car-crash)

2- Franken says he doesn’t know what’s going on. Of course, he hasn’t been paid and is now a big creditor as well as their most expensive talent. Perhaps he doesn’t know what’s going on because AA doesn’t want to tell him he will be a claimant and will have to go to court to get paid (and probably be substantially impaired, too).

3- The denial of the filing by AA’s spokeshole is pro forma for this kind of situation. If they admit there is going to be a filing, nobody would do business with them on anything other than a cash basis, because to do otherwise would be to knowingly accept a pre-petition, impaired claim in the bankruptcy. Most companies facing chapter will hold off official board approval of the filing until right before it happens so that they can continue to deny it.

4- If they owe a big debt to Multicultural Broadcasting, and they file, it’s quite possible that MB would end up holding equity. Anybody want to lay odds on whether MB would want to keep this thing going?

5-(here’s a conspiracy theory even Jason Leopold could be proud of) Number of independent sources claimed by Think Progress: three. Number of creditors required to file an involuntary bankruptcy: three. You do the math.

A friend of mine who was an agent at CAA used to refer to illogical, Hollywood vanity projects as “OPM” projects, as in “that’s a great idea, as long as it’s done with Other People’s Money.” I think there was never a truer example of this principle than AA. Perhaps the backers of AA will think twice in the future before putting their cash into these ideology-driven, stupid ideas.

Squid Vicious on September 13, 2006 at 7:46 PM

Man, I screwed up the bolding on that one. Sorry.

Squid Vicious on September 13, 2006 at 7:48 PM

Last week the Dimocrats wanted to take ABC off the air. Now this.

Irony.

Niko on September 13, 2006 at 8:10 PM

Back to Comedy Central and Girls Gone Wild sect.
They were just to brainy for us ‘Mericans.

“You can’t make this stuff up”

Hening on September 13, 2006 at 8:27 PM

The sad part is that the Boys and Girls Club and the Alzheimers patients will never see the money that Air America stole from them returned.

The bastards got away with grand theft….

georgej on September 14, 2006 at 7:24 AM

AAR and Franken are now saying that AAR “may or may not” go into bankruptcy tomorrow. Franken says they’ll still be around, even if they go into bankrupty.

dalewalt on September 14, 2006 at 12:11 PM

Does anyone really listen to “air-head America”? Non-
listeners want to know. Not!

gary on September 14, 2006 at 6:46 PM