Tribune names Randy Michaels its new chief executive

Randy Michaels was named chief executive of Tribune Co., succeeding Sam Zell, who remains chairman of the Chicago media concern that has been operating under Chapter 11 bankruptcy protection for nearly a year.

Michaels, 57, joined Tribune’s executive ranks when Zell took the company private in a debt-heavy December 2007 transaction, and became its chief operating officer half a year later. With his elevation to chief executive, Michaels also will join the Tribune board of directors.

Tribune is the parent company of the Los Angeles Times, Chicago Tribune, KTLA-TV Channel 5, WGN-TV and radio stations and other media holdings nationwide.

The announcement came Wednesday, a day after a U.S. Bankruptcy Court judge in Delaware extended until Feb. 28 Tribune’s exclusive right to file a reorganization plan in its Chapter 11 case. That was a month earlier than the company had requested, but it thwarted, at least temporarily, a group of senior creditors determined to assume control of the case by requesting the right to file their own plan.

A spokesman for Tribune said the promotion of Michaels did not require Bankruptcy Court approval. Ultimately, Tribune’s creditors will decide whether Michaels and the rest of Zell’s team remain at the company.

While the ownership structure of the post-Chapter 11 company is being negotiated, a plan to swap Tribune’s $13-billion debt burden for equity will give some combination of creditors ownership of the media conglomerate, erasing Zell’s ownership position. The creditors then will pick their own board of directors, which will choose its own management team.

Zell, 68, said Wednesday’s appointment was a reflection of Michaels’ increasing responsibilities.

“At this point in Tribune’s evolution, no one is better suited to lead the company forward,” Zell said. “Randy has a unique combination of real-time creativity, expertise and passion.”

Michaels said: “There is a lot of work yet to do, but we have tremendously talented people and world-class brands in print, on air and online. Our businesses are profitable, and we’re gaining market share and momentum in a tough environment.”

pdrosenthal@tribune.com

Chicago Tribune reporter Michael Oneal contributed to this report.