The company that publishes Reader's Digest, one of America's most iconic magazines, has filed for bankruptcy.
Citing the need to cut $465 million in debt, executives with RDA Holding Co., which puts out the monthly Reader's Digest, said the losses stem from readers' preference for electronic over print media, Bloomberg reports. The magazine will still be published; the company said it will turn focus to North America operations in order to trim costs, Bloomberg said.
Reader's Digest is just the latest in string of American iconic companies to hit hard times. Hostess Brands Inc., maker of Twinkies and Wonder Bread, as well as Eastman Kodak Co. — inventor of the Instamatic camera — sought bankruptcy protection in the past year, Bloomberg reported.
Reader's Digest, now read by more than 25 million people, was founded by couple DeWitt and Lila Wallace nearly a century ago. The company publishes 75 other magazines, Bloomberg reports.
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