Riddled with under-performing businesses that it purchased as part of a $320 million spending spree, KIT Digital has now filed for Chapter 11 bankruptcy protection.  The proposed restructuring plan would allow current shareholders to buy shares of the reorganized company for the same price as the shareholders who are behind the reorganization plan.  The plan still requires Bankruptcy Court approval.  In addition, the company plans to get rid of the underperforming companies that it purchased in 2008 as part of its restructure.

For more details about this corporate bankruptcy read, “KIT Digital Files for Chapter 11 Bankruptcy Protection.”