It’s not cheap to go through bankruptcy. Alvarez & Marsal has submitted its first monthly fee statement in Cumulus’ bankruptcy case. The company is providing professional services to Cumulus according to a 103-page court document filed Wednesday. Here’s exactly how much A&M is seeking after only 30 days.
A&M is seeking payment of $525,942.62 which is equal to 80 percent of the total amount of compensation sought for actual and necessary professional services rendered during the First Monthly Period ($643,795.00), and reimbursement of $10,906.62 which is 100% of expenses incurred during that month. Cumulus is hoping to come out of bankruptcy in May of this year with a much cleaner balance sheet. It went into bankruptcy with about $2 billion in debt.
Here’s a breakdown of what Cumulus is paying for
Seriously $614 per hour to TRAVEL??? $540 -$700 per hour fees? Ridiculous! $566.3 per hour average?
Actually if any of their advertisers file for bankruptcy, they can do the same thing, and cancel their debt. All it takes is the willingness to file.
$600,000 in fees, to allow Cumulus to stiff creditors for hundreds of millions pf dollars in obligations that Cumulus is not honoring. Not a bad deal for 600K. Yet, Cumulus expects their advertisers to pay them. Talk about hypocrisy!