CK Media, the publisher of several craft magazines, including Mark Lipinski's Quilter's Home, McCall's Quilting, Sew Simple, Sew News, and Creating Keepsakes, acknowledged this week that they are working with bankruptcy consultants CRG Partners.
According to Scrapbook Update, "CRG told an unnamed Scrapbook Update source who is owed money from CK Media that the company has $70 million in debt and only $20 million in assets. The creditor was offered 25 cents on the dollar to settle their debt, and was told that 80% of the company's major creditors would have to agree to similar settlements within 30 days to satisfy CK Media's lenders."
CK Media also acknowledges that their lenders brought in CRG Partners in an attempt to resolve the debt. If that doesn't work, it appears that the lenders might force CK Media into bankruptcy.
Thanks to commenter, Melody of Quilty Mama, for the scoop!