Pappas cited "the extremely difficult business climate for television stations across the country" in papers filed with the U.S. Bankruptcy Court in Wilmington, Delaware.

Problems that led to the bankruptcy included poor performance of The CW network, its now-former involvement with Azteca America, and preparations for the 2009 analog shutdown.

Stations involved in the bankruptcy were KMPH-TV, KFRE-TV, KPTM, KXVO, WCWG, KPTH, KMEG, KTNC-TV, KAZH, KDBC-TV, KREN-TV, KAZR-CA and KCWK.

[2] [citation needed] On May 14 of the same year, company founder Harry J. Pappas filed for Chapter 7 bankruptcy at the Delaware court, where a judge could order his personal assets sold to pay off creditors.

[4] On September 17, bankruptcy trustee E. Roger Williams put KREN and its repeaters under contract to Entravision Communications for $4 million, which would double as a minimum bid for the station as it goes up for auction in late October.