The Tribune Co. is mulling over whether or not to file Chapter 11 Bankruptcy for the Chicago Cubs Organization. The bankruptcy would be a short-term filing that would potentially facilitate a faster consummation to the sale of the Cubs to the Ricketts family by giving the new owner as “clean” a title to the Cubs assets as possible. The bankruptcy filing would protect the Ricketts family from potential lawsuits brought by Tribune Co. creditors.
Although the Cubs and the Ricketts family have agreed to a sale of the club and other assets for approximately $900 million, no formal agreement has been signed.
Cubs Chairman Crane Kenney has not commented on the sale of the team or on the potential bankruptcy filing in recent days.
Rumors of other bidders getting back involved in the sale of the club are unsubstantiated.
With the sale of the team dragging on and on, it is unlikely that the Cubs will be big buyers before the July trading deadline. That’s probably a good thing – this team has shown little resolve in 2009, and giving away young talent to acquire medicore talent that might help a mediocre Cubs team reach the playoffs would probably not be worth it. At this point, GM Jim Hendry and the Cubs should just sit pat unless they receive an offer to get a high-end difference maker that would likely stay with the club after the season ends. Other than that, I would rather the Cubs keep their young prospects in-house to use in a potential deal for someone in the off-season or before the 2010 trading deadline.