WKBN-TV, WYFX owner files for bankruptcy

The television company, which also operates WYTV, has a deal in place with its lenders.

By Don Shilling

A California company that controls three area television stations says operations won’t change even though it has filed for bankruptcy.

New Vision Television of Los Angeles said it reached a restructuring agreement with its major lenders before it filed for bankruptcy protection in a Delaware court Monday.

Locally, New Vision owns WKBN-TV and WYFX, both of Boardman, and operates WYTV of Youngstown under an agreement with another Los Angeles-based company.

New Vision’s agreements with its lenders are designed to eliminate $400 million in debt and provide $30 million in new financing so it can continue operating the 14 stations that it owns or operates, the company said.

“Our daily business operations will not miss a beat. Jobs and benefits for our employees will be intact,” said Jason Elkin, New Vision chief executive.

David Coy, general manager of WKBN, said all comments about the bankruptcy are being handled by corporate officials.

Elkin said he expects the company to emerge from bankruptcy as a well-financed operation in about two months.

Elkin said the bankruptcy occurred because New Vision borrowed heavily to finance its expansion and was unable to make its payments because of difficulties caused by the recession.

Elkin and other managers have led two previous television companies.

Since 1993, 30 stations have been part of these companies.

Their latest corporate entity was created in 2006.

It owns 12 stations and operates two under shared-service agreements.

Locally, New Vision acquired WKBN-TV and WYFX from Piedmont Broadcasting of Charlotte, N.C., in 2007.

Later that year, it reached a shared-service agreement with Parkin Broadcasting, which had bought WYTV.

The deal allowed New Vision to produce WYTV newscasts with workers from its other local stations.

Some workers at WKBN-TV and WYTV lost their jobs as the news operations were merged.