1 / 13

Randy Lemer, for Bill Abington Financial Advisory Services November 29, 2001

Randy Lemer, for Bill Abington Financial Advisory Services November 29, 2001. Energy and Utilities Learning and Education Session. issue. DA&I. Protect Value in Contract Disputes Examples Breach of a power purchase agreement Disagreement over the value of a generation facility

jasmine-buckner
Download Presentation

Randy Lemer, for Bill Abington Financial Advisory Services November 29, 2001

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Randy Lemer, for Bill Abington Financial Advisory Services November 29, 2001 Energy and Utilities Learning and Education Session

  2. issue DA&I • Protect Value in Contract Disputes • Examples • Breach of a power purchase agreement • Disagreement over the value of a generation facility • Amount of oil and gas royalty payments • Environmental contamination – cleanup costs and property value

  3. action DA&I • CPA’s, Economists, Engineers, Finance professionals • Liability and economic impact • Financial analysis to support liability position • Quantify economic impact

  4. impact DA&I • Identify potential claim • Credible analysis in litigation • Quality workproduct and results • Avoid being defendant in litigation

  5. E&U wins DA&I • Shell Oil • Chevron • Texaco • BP Amoco • Weatherford • Fina Oil • Burlington Resources • Orion Refining • Louisville Gas & Electric • Reliant Energy • TXU • Central Power & Light • El Paso Energy • MCN • Koch Industries • ExxonMobil

  6. typical engagement DA&I • Conflict • High Stakes

  7. who to call DA&I • Bill Abington 713-356-4040 bill.abington@us.pwcglobal.com

  8. issue BRS • Operating a business in a cyclical industry

  9. action BRS • Review of the Company’s business plan to assess liquidity requirements through the cycle • Evaluate strategic options with respect to liquidity requirements: • Increase revenues • Reduce costs • Sale of assets • Restructure debt (in- or out-of court) • Implement strategy with respect to surviving the cycle

  10. impact BRS • Our involvement provides an unbiased assessment of the Company’s current liquidity situation, ability to survive the cycle and options available to ensure survival

  11. E&U wins BRS • Orion Refining (debtor) • Westlake Chemical (debtor) • Golden Bear Oil Specialties (debtor) • Ameripol Synpol / Engineered Carbons / Mallard Creek Polymers (debtor) • Nationally Recognized Petrochemical Refiner (engagment ongoing) (bank group) • Perry Gas (unsecured creditors) • Coho Energy (bank group) • Tri-Union Development (bank group) • Mobil Energy Services (debtor)

  12. typical engagement BRS • Ideally contacted one to two months prior to “running-out” of money, typically contacted one day prior • One to nine months engagements • In-court or out-of-court restructuring, each has pros and cons • Goal is to maximize value to equity and all creditor classes • $100,000 to $1 million

  13. who to call BRS • Oil & Gas • Loretta Cross 713-356-8585 • Gary Barton 713-356-8485 • Utilities • Tom Lumsden 415-498-6542

More Related