The commercials have been around seemingly forever.
A Pubishers Clearing House “Prize Patrol” team shows up at someone’s front door with a big check and makes a homeowner a rich person.
Look for a change in how PCH does it moving forward.
Publishers Clearing House announced this week it has filed for Chapter 11 bankruptcy protection. PCH said it was using the bankruptcy process to “finalize a shift away” from its legacy business of direct-mail, retail merchandise and magazine subscriptions, according to a report from The Associated Press, which reported the company is hoping to instead transition to a “pure digital advertising” model, where it will continue to offer free-to-play entertainment and prizes.
The Chapter 11 proceedings, filed in New York on Wednesday, arrive amid growing financial strain for PCH — which has struggled with rising operational costs and changing consumer habits in recent years, the AP report said.
Pivoting from its old way of doing business will help the company break free from past constraints and “establish a strong foundation for our future,” CEO Andy Goldberg said in a statement.
PCH says it plans to operate in a “business-as-usual manner” throughout the bankruptcy process — noting that the “Prize Patrol” team will continuing to deliver awards across the U.S. The company says it’s lined up debtor-in-possession financing from Prestige Capital to fund operations through its restructuring, according to the AP.
In Wednesday court documents, the company said it has awarded over half a billion dollars in prizes and continues to attract millions of contestants today, according to the AP.
