Country Radio Giant iHeartMedia Files for Bankruptcy

iHeartMedia Inc., the media giant that owns a large portion of radio stations across the United States, has filed for Chapter 11 bankruptcy.

In the filing submitted on Wednesday, the company reported $12.3 billion in total assets and $20.3 billion in debt. iHeartMedia has struggled to compete with companies like Spotify and Pandora, as more listeners are listening to music on streaming platforms instead of radio. Although the company launched their own subscription service last year, it has not yet found the same success as its competitors.

"The agreement we announced today is a significant accomplishment, as it allows us to definitively address the more than $20 billion in debt that has burdened our capital structure," Bob Pittman, iHeartMedia's Chairman and CEO, said in a statement. "Achieving a capital structure that finally matches our impressive operating business will further enhance iHeartMedia's position as America's #1 audio company."

READ MORE: Why Country Radio As We Know It Deserves to Die

iHeartMedia owns more than 850 radio stations across the United States, including over 120 country music-focused stations. According to the company, the bankruptcy efforts will not affect day-to-day operations in the foreseeable future. However, the longterm effects of the bankruptcy on the company's stations and other assets are still unknown.

Now Watch: 10 Things You Didn't Know About George Strait