In the Chapter 11 filing in U.S. Bankruptcy Court in Manhattan, Journal Register proposed a restructuring plan in which it would cancel its stock and become a closely held company controlled by its lenders.

The Yardley, Pa.-based newspaper publisher reported $596 million in assets as of Nov. 30 and $692 million in debt, including unpaid interest. Revenue has fallen more than 20 percent since 2006, the company said in the court filing.

In the documents, company Chairman and Chief Executive James W. Hall said the recession had placed an even greater burden on an already distressed industry.

On Thursday, JP Morgan Chase & Co. and 26 of the company's 37 lenders agreed to the reorganization, according to a statement posted Saturday on the Journal Register's corporate Web site.

A phone message left for company spokesman Edward Yoakam at Journal Register's corporate offices was not immediately returned.