Cumulus Media Inc., the audio-first media company operating 394 radio stations across 84 markets, announced on March 5, 2026, that it has filed for Chapter 11 bankruptcy protection as part of a prepackaged restructuring plan to eliminate approximately $600 million in debt. The Atlanta-based company entered into a restructuring support agreement with a group of its lenders to substantially deleverage its balance sheet while continuing normal operations.
The prepackaged Chapter 11 proceedings were filed in the United States Bankruptcy Court for the Southern District of Texas. According to the company, employees, partners, and listeners will experience no disruption during the restructuring process, as Cumulus will continue operating in the ordinary course throughout.
Cumulus Media Bankruptcy Aims to Strengthen Financial Position
Mary G. Berner, President and Chief Executive Officer of Cumulus Media, attributed the Cumulus Media bankruptcy filing to persistent macroeconomic and industry-wide pressures. However, she emphasized that the company has outperformed the market on key metrics, including share gains in both local and digital revenue. The remaining debt burden, she noted, limited the company’s ability to fully realize its potential.
Berner explained that the prepackaged process is designed to address the company’s debt efficiently without disrupting operations, staff, or strategic initiatives. Additionally, she stated that upon emergence from bankruptcy, a stronger financial foundation will better position Cumulus to invest in premium content, enhanced audience experiences, advertiser performance improvements, and digital marketing offerings.
Restructuring Terms and Timeline
The restructuring support agreement calls for the cancellation of 100% of Cumulus’s existing funded indebtedness. In exchange, creditors will receive 100% of the reorganized company’s equity and $50 million in new convertible notes. Meanwhile, the company’s asset-based revolving credit facility will be amended and restated to provide continued liquidity.
The requisite majority of debtholders have committed to vote in favor of the Plan of Reorganization, according to the company’s announcement. The plan has been filed with the court and incorporates the terms of the restructuring support agreement. Cumulus expects the court to hold a hearing to consider approval of the plan within 60 days of the March 5 filing date.
Impact on Operations and Market Position
Throughout the Chapter 11 restructuring process, Cumulus Media will maintain its extensive operations. The company delivers premium content to approximately 250 million people monthly through its owned-and-operated radio stations and its Westwood One national audio network. In contrast to operational bankruptcy filings, this prepackaged approach allows for a more streamlined process with minimal business disruption.
The company’s digital marketing services, podcast network, and live event experiences will continue uninterrupted during the debt restructuring. However, the broader radio and audio industry has faced significant headwinds from changing consumer habits and digital competition, factors that contributed to Cumulus’s financial challenges despite its market share gains.
Regulatory Approvals Required for Emergence
Following court approval of the restructuring plan, Cumulus Media will need to obtain regulatory approvals from the Federal Communications Commission before emerging from bankruptcy. The FCC typically reviews ownership changes and transfers of broadcast licenses to ensure compliance with telecommunications regulations. Additional information regarding the restructuring is available on the company’s dedicated website at www.cumulus.com/restructuring.
The company expects to emerge from bankruptcy protection after receiving the required FCC approvals, though specific timing remains subject to the regulatory review process and court proceedings. Authorities have not confirmed an exact emergence date beyond the anticipated 60-day timeline for initial court approval.