The Detroit 3 in Crisis Briefing: Automotive Bailout Update and Supplier Survival Strategies

Unprecedented distress in the financial and consumer markets threatens the viability of the Detroit 3. As Congress and the White House shape a financial relief package for the industry, Foley provides strategies and insights that suppliers can use immediately to help mitigate risk and protect their interests. Whether or not Congress provides the requested funding, automotive suppliers face a changed industry that requires new ways of doing business.

In response to increased client demand after our November 21, 2008 Breakfast Briefing, Foley’s Automotive Industry Team presented a follow-up Web conference on December 12, 2008 to discuss these and other topics:

• Up-to-the-minute legislative update on current status of the bailout
• Automotive supplier contract assessment, both prior to and following a customer bankruptcy
• Overview of your state law rights and remedies:
  • Strategies under the Uniform Commercial Code (UCC)
  • Demands for adequate assurance
  • Impact of customer’s insolvency on obligation to ship and payment terms
  • Other common law considerations and strategies
• Post-petition strategies for payment of pre-petition receivables
  • Achieving critical supplier status
  • Assumption or rejection of contracts
• Exposure mitigation and use of contract leverage in bankruptcy
• Jurisdiction, choice of law and other international supplier issues

For more information, please contact Jennifer Bartz at jbartz@foley.com.