Plum TV Files Chapter 11 Case; Agrees to Sell Assets in 363 Asset Sale

NEW YORK, Jan. 3, 2012 /PRNewswire/ -- Plum TV, Inc., owner of the Plum Network of local cable TV channels serving upscale and resort markets around the country, and its subsidiaries (collectively, "the Company"), announced today that they have filed chapter 11 cases in the United States Bankruptcy Court for the Southern District of New York.

In conjunction with the chapter 11 filing, the Company entered into an asset purchase agreement with an investor group led by Terry Mackin, president of Greenwich, CT-based ForesightLab, and Bill Apfelbaum, chairman of New York City-based Media Ventures Group.  The Company intends to move forward with submitting the agreement to the Court to serve as the "stalking horse" bid for a Court-supervised auction of the Company's assets under Section 363 of the U.S. Bankruptcy Code.

Under the terms of the asset purchase agreement the investor group would purchase substantially all of the Company's assets, subject to certain conditions, the completion of the auction process and the Bankruptcy Court's approval. In addition, the investor group has agreed to lend the Company $1 million in debtor-in-possession financing.

"We want to reassure our audiences and advertisers that Plum TV remains in business and will continue to provide our daily programming throughout this process," said Tom Scott, Plum TV founder and Chairman.  "Plum and its respective channels continue to enjoy strong brand identification in desirable markets.  With berths on cable systems serving these markets, coupled with the rapid growth of over-the-top video viewing and viewing of local content on mobile devices, the Plum Network of channels has strong distribution and viewer loyalty. 

"While a filing is a difficult choice, after a tough time for the company, it is the right choice," Scott continued.  "As longtime, visionary senior media executives, Terry and Bill have excellent track records and we believe the Plum TV brand will be well positioned when it emerges from the proposed asset sale."  

Chapter 11 permits a company to continue normal operations while it develops a plan to reorganize or sell its assets. The Company's Board of Directors has determined that filing the chapter 11 cases and the proposed asset sale are in the best interests of the Company, its creditors and other stakeholders. The debtor-in-possession loan will provide the Company with sufficient capital to fund operations through the sale process.

Scott Williams, founder and CEO of brand development agency Scott Williams & Co., has been appointed Chief Restructuring Officer.  Before founding his firm, Williams was executive vice president and chief marketing officer of the luxury-hotel chain Morgans Hotel Group.  Before that, he was senior vice president and chief creative officer for Starwood Hotels & Resorts Worldwide.  Prior to the hospitality industry, Williams held executive positions within the media industry, including HBO, ESPN and, most recently, CBS Cable, where he served as vice president, program production and creative director. 

The Plum TV, Inc. bankruptcy counsel is SilvermanAcampora located in Jericho, N.Y.

About ForesightLab

ForesightLab is a Greenwich, CT-based media consultancy.  Under its aegis, founder/president Terry Mackin has served as Chief Restructuring Officer for Gallery Media, Russia's second-largest outdoor media company, representing a bondholder group composed of Alliance- Bernstein, Beach Point Capital Management and Och-Ziff Capital Management Group. 

Before launching ForesightLab, Mackin was President of Univision, the largest Spanish-language television network in the United States; Executive Vice President at Hearst Television, one of the largest U.S. television station groups, reaching approximately 18% of the country; and President & Chief Operating Officer of StoryFirst Communications, based in London, where he was responsible for the design and management of several successful Russian media properties, including the terrestrial broadcast television network CTC, a television station group and a program production company.

While at Hearst Television, Mackin was named to the NBC Affiliate Board, and later was named the board's President-Chairman. He also served as Chairman of the NBC Affiliates' "Futures" committee, serving as an architect of new-media initiatives and joint ventures between the network and its affiliates -- including NBC WeatherPlus, which provided local weather channels over digital broadcast spectrum, and the NBCOlympics.com websites launched in connection with NBC's carriage of the Athens and Torino Olympics.  In 2007 Mackin was named one of Mediaweek magazine's "50 Most Indispensable Executives in Media." 

The ForesightLab web address is http://www.foresightlab.com. 

About Media Ventures Group

Media Ventures Group is a marketing company with expertise in driving revenue and business growth for clients in the sports, media, entertainment and non-profit industries.  Bill Apfelbaum joined as Chairman in October 2011 from Titan Worldwide, where he served as Chairman after cofounding the company in 2001. During his tenure, Apfelbaum saw the business become the fastest growing out-of-home advertising company in history. Prior to Titan Worldwide, Apfelbaum served as Chairman and CEO of TDI, the country's largest diversified outdoor media company, which was ultimately acquired by Westinghouse/CBS.   

Active in the philanthropic community, Apfelbaum founded the Apfelbaum Family Foundation, through which he donates time and funds to various charitable organizations. He is also a frequent guest lecturer at the Harvard Business School, New York University, Columbia University, and the London Business School.

The Media Ventures Group web address is http://www.mediaventuresgroup.com/ 

SOURCE Plum TV, Inc.