You can now read 5 articles in a month for free on Read as much as you want anywhere and anytime for just 99¢.

Houghton Mifflin emerges from bankruptcy

Boston-based publisher Houghton Mifflin Harcourt emerged from bankruptcy protection Friday, as a judge in New York approved a deal with the company’s creditors to eliminate $3.1 billion in debt.

Under the terms of the Chapter 11 restructuring, Houghton’s creditors have exchanged their debt holdings for ownership stakes in the company.

Continue reading below

The company filed for Chapter 11 bankruptcy protection on May 21, with the support of more than 70 percent of its creditors, who agreed to exchange their debt for equity. At the time, the company said it expected that it would emerge from the process by the end of June.

The company was created by the combination of Harcourt Education and Houghton Mifflin, which several years ago were each bought separately by Barry O’Callaghan, a former Irish investment banker, for a total of $7.4 billion. O’Callaghan borrowed heavily to finance the purchases, which left the company with substantial debt.

O’Callaghan is no longer affiliated with the company.

D.C. Denison

D.C. Denison can be reached at
Loading comments...
Want each day's news headlines delivered fresh to your
inbox every morning? Just connect with us
in one of the following ways:
Please enter a valid email will never post anything without asking.
Privacy Policy
Subscriber Log In

You have reached the limit of 5 free articles in a month

Stay informed with unlimited access to Boston’s trusted news source.

  • High-quality journalism from the region’s largest newsroom
  • Convenient access across all of your devices
  • Today’s Headlines daily newsletter
  • Subscriber-only access to exclusive offers, events, contests, eBooks, and more
  • Less than 25¢ a week
Marketing image of
Marketing image of