The following report appeared in The Chicago Tribune:
Bally files plan to exit bankruptcy
Tribune staff reporter
Chicago-based health-club operator Bally Total Fitness Holding Corp. has reached an agreement on a restructuring plan to help it exit from bankruptcy, according to reports.
The Wall Street Journal reported Monday that senior lenders, including J.P. Morgan Chase & Co., have agreed to back a restructuring plan for the company that will provide new financing and cut its debt by at least $660 million in exchange for most of the equity in the company.
It’s good that J.P. Morgan Chase & Co. rescued Bally. There’s no way the health club could have cut its debt by $660 million. It would have minimally required hiking prices for Bally Soy Protein Bars, executing security guard layoffs, completely eliminating free paper towels and rationing toilet paper to five sheets per squat.
Enjoy your workout.