[R-G] Canwest Global facing bankruptcy

[Sid Shniad]

http://www.reuters.com/article/reutersEdge/idUSTRE51B65A20090212 

Reuters 12Feb2009 

Canwest creaks under debtload, may seek protection 

By Wojtek Dabrowski - Analysis 

TORONTO (Reuters) - Debt-laden Canwest Global Communications Corp (CGS.TO), Canada's biggest media company, may face bankruptcy as the weak economy wreaks havoc on its stable of television stations and newspapers, and buyers for its assets fail to materialize. 

Canwest, publisher of the National Post daily newspaper, has said it will try to exit non-core businesses and is considering the sale of five conventional TV stations. But analysts say there may not be any prospective purchasers waiting in the wings. 

Even if the properties are sold, the proceeds would barely make a dent in Canwest's debtload of about C$3.7 billion ($2.96 billion). 

"They're on the verge of bankruptcy," CIBC World Markets analyst Bob Bek said of the company. "The equity has been reflecting that for some time."