Automotive suppliers face unprecedented liquidity pressures and survival challenges, due to the low industry volumes and recent OEM shutdowns. In this difficult market, the threat of automotive bankruptcies is very real, which would have widespread impact throughout the industry and beyond.
In our continuing analysis and coverage of the automotive industry crisis, Foley hosted the next installment of our briefing series, Automotive Supplier Liquidity: Challenges and Strategies. In this session, Foley’s Automotive Industry Crisis Response Team, FTI Consulting, Inc. and GE Commercial Finance discussed the following:
- Current status of the Troubled Asset Relief Program, the Department of Energy’s Advanced Technology Vehicles Manufacturing Loan Program, and other government funding sources for suppliers
- Current credit market issues, including:
- Current lending environment and terms
- Covenant negotiations/default avoidance strategies
- Defaults and forbearance
- Liquidity and exit strategies, including:
- Distressed sales, inside and outside of bankruptcy
- Chapter 11 debtor-in-possession (DIP) financing and other financing opportunities
Presenters:
Foley Automotive Industry Team Members:
- Daljit S. Doogal, Partner
- Steven H. Hilfinger, Partner
- Judy A. O’Neill, Partner
FTI Consulting:
- David Woodward, Senior Managing Director and Head, Detroit Office
GE Commercial Finance:
- Christopher Fowler, Senior Vice President, Corporate Lending
For more information, please contact Jennifer Bartz at [email protected].
