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About
The book is an update to the first edition that was published over 10 years ago and covers topics such as liquidity management, executive compensation and incentive considerations, formation of the special committee, liability management, acceleration of the Chapter 11 process, distressed M&A transactions, strategic communications, options for multinationals and other relevant issues.
Featured Contributors
FEATURED CHAPTER
Liquidity: Key to Restructuring
“Cash is King” — there is no situation where this statement is truer than in a restructuring context. A business restructuring can be precipitated by many factors but ultimately liquidity is a key factor in the restructuring process and outcome. As such, every restructuring scenario starts out with assessing liquidity, both short-term (the ubiquitous 13-week cash flow) and long-term. All constituents involved, especially lenders and other creditors, will have keen interest in the company’s liquidity, as it can significantly impact the timeline and dynamics of the restructuring process.
FEATURED CHAPTER
Executive Compensation and Incentive Plans During Restructuring
Companies undergoing financial restructuring face several critical human capital-related issues — which include addressing increased turnover, improving depressed staff motivation, and the need to revise and realign company performance goals and objectives. These issues are often exacerbated by the harsh reality that many existing elements of current total compensation programs, such as annual incentive plans and long-term equity plans, are usually no longer relevant in a distressed financial situation.
FEATURED CHAPTER
The Need for Speed: Accelerating the Chapter 11 Process
In general, Chapter 11 filings can be categorized as “pre-packaged,” “pre-negotiated” or “free-fall” cases. Each option can bring significantly divergent durations in bankruptcy, while at the same time carrying its own unique set of other benefits and drawbacks. This chapter briefly explores the principal considerations that any corporate decision-maker should consider in evaluating these available alternatives, with a particular focus on in-court options that provide for maximal speed and efficiency.
In The News
The Role and Duty of the Board of Directors & Special Committee
If you are on the board of directors of a company facing restructuring, determining next steps in the process can be daunting. Who should be involved? What should the process look like? What is the ideal timing to bring on a special committee? In this webinar, our team of experts examine the correct process behind successful in-court and out-of-court restructurings.
Typical Restructuring Players & State of the Market
Do you have experience in restructuring transactions? It is no secret that restructuring transactions are complex, requiring a deep understanding of competing interests across many parties. Directors and officers new to tackling distress situations face a steep learning curve. In this webinar, we take a look at the key players and their various roles and responsibilities in a restructuring to flatten the learning curve faced by directors and officers.