Archive for Tuesday, October 19, 2010

Crystal Cathedral, birthplace of TV show “Hour of Power,” files for bankruptcy

October 19, 2010


— Crystal Cathedral, the megachurch birthplace of the televangelist show “Hour of Power,” filed for bankruptcy Monday in Southern California after struggling to emerge from debt that exceeds $43 million.

In addition to a $36 million mortgage, the Orange County-based church owes $7.5 million to several hundred vendors for services ranging from advertising to the use of live animals in Easter and Christmas services.

The church had been negotiating a repayment plan with vendors, but several filed lawsuits seeking quicker payment, which prompted a coalition formed by creditors to fall apart, church officials said.

The church, founded in the mid-1950s by the Rev. Robert H. Schuller Sr., has already ordered major layoffs, cut the number of stations airing the “Hour of Power” and sold property to stay afloat. In addition, the 10,000-member church canceled this year’s “Glory of Easter” pageant, which attracts thousands of visitors and is a regional holiday staple.

Vendors owed money by the church formed a committee in April and agreed to a moratorium to negotiate a repayment plan with the Crystal Cathedral.

The “Hour of Power” telecast at one point attracted 1.3 million viewers in 156 countries.


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