Facing the harsh realities of the media world today, progressive radio network and growing multimedia company Air America Media stopped producing live programming this afternoon and is taking the drastic step of filing for Chapter 7 bankruptcy on the way to liquidating the company.
“With radio industry ad revenues down for 10 consecutive quarters, and reportedly off 21 percent in 2009, signs of improvement have consisted of hoping things will be less bad,” AAM chairman Charlie Kireker said in a memo to staffers today, which is also posted on the company’s Web site. “And though Internet/new media revenues are projected to grow, our expanding online efforts face the same monetization and profitability challenges in the short term confronting the Web operations of most media companies.”
Although live programming will no longer be produced by the network, Kireker said the company would be working with its affiliates to provide “encore programming” until January 25. All employees, including those recently hired to work on the revamped Web site, are being paid through today, and being offered severance packages.
“We are proud that Air America’s mission lives on through the words and actions of so many former radio hosts who are active today in progressive causes and media nationwide,” Kireker said. “In the years ahead, as we look back, we should all be proud of our passionate determination to assure that our nation’s progressive voice would be heard loud and clear. Through the hard work and dedication of current staff, and those who preceded you, a lasting legacy was forged which will now continue through other voices and venues.”
Kireker’s full memo after the jump
Previously: Air America Launches New Web Site