Author: Rita Garwood

Despite Lender Hopes and Enhanced Liquidity, ABL New Money Remains Limited in 2010

The article title says it all … lenders were poised to do more business in the second quarter of 2010, yet there was limited dealflow to support a robust or even steady pipeline caused at least in part by the high-yield bond market, which pulled back mid-quarter. In short, lenders were left to their own devices to find enough deals to keep them active.

Fast-Track Business Bankruptcy Cases … Expedited or Steamrolled?

The post-BAPCPA bankruptcy world places a premium on speed. And since time is money — particularly in the bankruptcy process — this dynamic is of little surprise. But fast-track bankruptcy cases aren’t without institutional or individualized costs. In the following feature, two restructuring professionals look at four recent fast-track cases to determine “just how fast is too fast?”

Elegant & Effective … Letters of Credit in Commercial Loans and Bankruptcy (Part 2 of 3)

For many years, letters of credit have been used to facilitate sales of goods and to provide credit enhancement for all kinds of contractual obligations. Despite the widespread use of letters of credit over the years, many view letters of credit as complicated and esoteric instruments. Part II of this series addresses security interests in letters of credit and the role of letters of credit in syndicated transactions. Part III of this article, which will appear in the October edition of ABF Journal, explores the treatment of letters of credit in bankruptcy.

Chief Restructuring Officers and Receivers — Lenders’ Solutions to Difficult Situations

Under any scenario, the loss of trust in a customer’s ability or desire to operate its own business effectively can be one of the most difficult challenges facing a lender and can feel like the weight of cement shoes to both the lender and customer alike. But bringing in a trusted, experienced, independent third party as either a CRO or receiver can immediately lift that weight and allow the company to walk straight to whatever the appropriate goal line may be.

CFA Annual Convention: Exceptional Networking & Educational Opportunities

The Commercial Finance Association’s (CFA) Annual Convention is the largest gathering of asset-based lending and factoring professionals and that offers networking and educational opportunities. The 66th Annual Convention will be held October 20-22, 2010 at the Sheraton Chicago, and is certain to attract professionals from many countries and disciplines to collaborate on issues in commercial lending.

What’s in a Name? When Verifying Debtor Names, It Can Mean the Difference Between Collecting a Debt or Going Home Empty-Handed

The current economic situation, and the resulting increase in charge-offs and delinquency rates, now has many lenders scrambling to re-examine their policies and practices regarding protection of the collateral securing such loans. Ensuring the correct debtor name is sourced and filed on a UCC Financing Statement is the beginning part of that process.

To Save the Company… Change Leaders to get Results

Here’s the predicament: Who can handle the crisis management role? This is a predicament. Clear thinking must prevail and a special set of skills must be applied. If there is a qualified leader within the company, then delegate the job of turnaround to that person — and provide proper support. If there is not a qualified leader in the company — and there usually isn’t — go outside to locate this type of professional.