The effect of COVID-19 on the asset-based lending market became apparent in the second quarter as the industry’s most recent data reflect a 24.1% decline in total bank loans and 29.4% drop quarter over quarter in non-bank lending, according to the Secured Finance Network.
The Moody’s Analytics baseline economic forecast reports that real global GDP will fall by 4.5% this year as a result of COVID-19 and the economy will not return to full-employment until mid-decade.
The COVID-19 pandemic has brought the economy to a grinding halt, but the LIBOR transition timeline has not been affected. Colleen Hsia and Zaman Toleafoa of FTI Consulting explain how companies must use effective communication and other strategies to make sure they are still preparing adequately.
Scott Bernstein of SB360 Capital Partners reflects on the post-COVID-19 pandemic new normal for store closing and strategic sale events.
The Federal Reserve Board will report information on a monthly basis for the liquidity and lending facilities using Coronavirus Aid, Relief and Economic Security (CARES) Act funding.
Ben Nortman and Ian Fredericks of ReStore Capital examine the financial burden that consumer-mandated transformation and the current crisis are imposing on both retailers and their suppliers. They further explain how innovative financial solutions can be leveraged to help ensure successful outcomes in stressed and distressed environments.
Wells Fargo reported Q1/20 net income of $653 million, down 88.9% from net income of $2.9 billion in Q1/19. Revenue of $17.7 billion was down 18% from $21.6 billion year over year.
According to a survey from the Association for Corporate Growth, 62% of small and medium-sized businesses majority-owned by venture capital, private equity or other private capital providers are excluded from the Paycheck Protection Program.
The newly passed stimulus package includes plenty of provisions which will be important to lenders, especially those who have borrowers in sectors under distress during the COVID-19 pandemic. Paul H. Shur of Becker & Poliakoff walks us through the most important provisions and what they mean for lenders.
The disruptions caused by the coronavirus (COVID-19) have been far-reaching and will continue to affect all industries in the months to come. These effects are only exacerbating what were already weekening corporate foundations. Michael Fielding examines what lenders should anticipate and how they can deal with distressed debt situations during and after the pandemic.