During bankruptcy proceedings, the company says its 30 newsrooms will be “operating as usual.”

"McClatchy's Plan provides a resolution to legacy debt and pension obligations while maximizing outcomes for customers and other stakeholders," wrote Craig Forman, McClatchy’s president and Chief Executive Officer, in a statement.

Forman added that, when local media suffers due to industry changes, “communities suffer,” as well.

“[P]olarization grows, civic connections fray and borrowing costs rise for local governments. We are moving with speed and focus to benefit all our stakeholders and our communities,” he wrote.

McClatchy has been hampered with financial challenges since its 2006 multibillion dollar purchase of the Knight Ridder newspaper chain. The company is saddled with more than $700 million in debt, and recently announced that the Bee and other papers would stop publishing Saturday editions.

The filing for bankruptcy will end family control of the company, handing it over to new owners led by hedge fund Chatham Asset Management LLC, who will operate McClatchy as a privately held company going forward, The Sacramento Bee reported.

Chatham Asset previously owned a majority stake in the parent company that operated the National Enquirer.

This story will be updated.