RH Donnelley declares bankrupty
Yesterday, RH Donnelley’s bankruptcy filing comes as no surprise to folks who have followed their steady decline. Idearc filed for Chapter 11 back in March and both of these guys were delisted from the NYSE months ago for not meeting capitalization requirements. RHDC is the parent company for DEX as well as business.com. RHDC began trading over-the-counter on December 31st, following their inability to meet debt covenants. This recent restructuring may allow them to shed some debt, but doesn’t get at the heart of the issue– they need to convert their print customer to online.
Sucks to be caught in a downward death spiral, since they have to spend time not only trying to remedy the core problem of being a yellow page publisher, but fending off the vultures, telling them “We’re not dead yet!”
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