BTC USA Holdings, a media company led by Canadians, filed for Chapter 15 bankruptcy protection in the United States. Chapter 15 is a US designation that applies to cross-border companies. In February, BTC USA Holdings entered receivership proceedings in Canada, which has entirely different bankruptcy laws.
The company, formerly operating under the name Local First Media Group, had acquired radio stations in Texarkana, Arkansas/Texas and in Juneau, Ketchikan, and Sitka, from Frontier Media LLC in 2022 for $1.3 million.
Soon thereafter, BTC USA announced it was purchasing five stations in northern Michigan from J&J Broadcasting for the same amount. That deal never went through.
BTC USA’s financial troubles were revealed after the company defaulted on a loan from Canadian lender ATB Financial, totaling over $8.1 million. Subsequently, the company was placed into receivership in Canada, in a process equivalent to Chapter 7 liquidation under US bankruptcy law.
Since the receivership, BTC USA’s former US operations have been restructured under previous branding.
Stations in Alaska have reverted to the Frontier Media name, and those in Texarkana are now operating once again as Texarkana Media Center.
KINY issued a formal response to a Canadian receivership order that names the company and several affiliates in connection with an alleged loan default.
“The company asserts that the order, tied to a loan from a company in Canada, is inaccurate and misleading. According to Frontier Media, it was neither a borrower nor a signatory to the loan agreement, and none of its FCC-licensed assets were pledged as collateral,” the station wrote. “President and majority shareholder Cliff Dumas emphasized that federal law protects U.S. broadcast licenses from foreign influence and legal actions and confirmed that attorneys in both the United States and Canada are actively opposing the Chapter 15 filing.”
Despite the bankruptcy filing, “Frontier Media maintains that its Alaska radio operations remain financially sound, with steady advertising revenue, strong cash flow, and no limits on its licenses,” the station wrote. “The company continues to invest in infrastructure upgrades and local programming to serve communities in Juneau, Ketchikan, and Sitka.”
KINY has broadcast continuously since May 31, 1935.
Stations in Southeast Alaska that were part of the BTC empire include:
JUNEAU
- KINY (94.7 FM/800 AM) – Classic Hits
- KJNO (99.3 FM/630 AM) – News/Talk
- KTKU (Taku 105, 105.1 FM) – Country
- KSUP (Mix 106, 106.3 FM) – Adult Contemporary
- KXXJ (93.3 FM/1330 AM) – Classic Hits
- KXLL (Hawk 107.9, 107.9 FM) – Sports
KETCHIKAN
- KTKN (93.5 FM/930 AM) – Adult Contemporary
- KGTW (106.7 FM) – Country
SITKA
- KSBZ (103.1 FM) – Rock
- KIFW (96.5 FM/1230 AM) – Adult Contemporary
So far, the station operations across Southeast Alaska are continuing uninterrupted.
Juno? Sitka?
If we shut down NPR things should pick up for the market stations down there.