A spokesperson for the company says that the magazine is “not in bankruptcy at this time,” however, some sad news is coming out of that magazine with or without the official designation of bankruptcy.
An editor told a freelance tipster of ours that Budget Travel, which has been struggling financially for many years, “is going through a reorganization.” Until then, the magazine is unable to process past payments — including to freelancers like our tipster who is owed a few hundred dollars for a story nearly a year ago.
The editor went on to say that BT’s staff has been reduced to a “handful” and that the magazine may not go back to printing a paper copy until it has exited the reorganization.
Budget Travel was purchased by hedge fund manager Alphonse “Buddy” Fletcher Jr. in 2010 from Newsweek, which was at the time owned by the Washington Post Co. The New York Post estimated last fall that the magazine’s liabilities exceeded $1 million, and reported that the magazine’s paper supplier is owed money along with the company that handles its subscriptions.
An earlier version of this story incorrectly stated that BT’s liabilities exceeded $1 billion. The error has been corrected.