The judge presiding over Cumulus Media Inc.’s restructuring confirmed a bankruptcy-exit plan that junior creditors said undervalued the radio station operator and its ability to squeeze revenue from a shrinking broadcast market, WSJ Pro Bankruptcy reported. Judge Shelley C. Chapman of the U.S. Bankruptcy Court in Manhattan, N.Y. pegged the company’s worth at $1.675 billion in an oral ruling yesterday, adopting the valuation suggested by Cumulus adviser PJT Partners Inc. Judge Chapman's ruling approved a balance-sheet restructuring strategy that pays off only top-ranking lenders in full while leaving unsecured creditors, including bondholders owed more than $600 million, less than 14 cents on the dollar.
