Restructuring
hideRestructuring is the corporate management term for the act of reorganizing the legal, ownership, operational, or other structures of a company for the purpose of making it more profitable, or better organized for its present needs. Alternate reasons for restructuring include a change of ownership or ownership structure, demerger, or a response to a crisis or major change in the business such as bankruptcy, repositioning, or buyout. Restructuring may also be described as corporate restructuring, debt restructuring and financial restructuring.
In education, Restructuring (education) refers a requirement in the No Child Left Behind act of 2001, which requires schools identified as chronically failing for 5 years or more to undertake rapid changes that affect how the school is led and instruction delivered.
Executives involved in restructuring often hire financial and legal advisors to assist in the transaction details and negotiation. It may also be done by a new CEO hired specifically to make the difficult and controversial decisions required to save or reposition the company. It generally involves financing debt, selling portions of the company to investors, and reorganizing or reducing operations.
The basic nature of restructuring is a zero sum game. Strategic restructuring reduces financial losses, simultaneously reducing tensions between debt and equity holders to facilitate a prompt resolution of a distressed situation.
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News tagged with restructuring
AOL offers buyouts to over a third of work force
Nov 19, 2009 |
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(AP) -- The struggling Internet company AOL plans to shed up to 2,500 jobs - more than a third of its work force - as it prepares to separate from Time Warner and finally sever their ill-fated marriage.
AOL to log additional $200M in restructuring costs
Nov 12, 2009 |
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(AP) -- New regulatory filings suggest many more layoffs could be coming at AOL LLC as it separates from Time Warner Inc. by the end of the year.
FairPoint phone company files for bankruptcy
Oct 26, 2009 |
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(AP) -- Telecommunications services provider FairPoint Communications filed for Chapter 11 bankruptcy protection Monday after agreeing on a deal with key lenders that will help lower its debt by about 62 percent.
Researchers develop an integrated treatment for veterans with chronic pain and posttraumatic stress
Medicine & Health / Psychology & Psychiatry
Sep 30, 2009 |
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The wars in Iraq and Afghanistan have resulted in a growing number of soldiers evacuated to the United States for comprehensive care for physical and psychological trauma. Given the number of physical injuries often experienced ...
Think electric car set to roll out of Norway: report
Aug 26, 2009 |
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Think, an electric vehicle manufacturer based in Norway, may move production to Finland as part of a restructuring plan, the Norwegian tabloid Verdens Gang reported on Wednesday.
CEO of Nortel steps down as company liquidates
Aug 10, 2009 |
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(AP) -- Nortel Networks CEO Mike Zafirovski is stepping down from the troubled telecommunications company, saying "a natural transition point" has been reached as the company continues to liquidate.
EA 1Q loss widens but results surpass expectations
Aug 04, 2009 |
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(AP) -- Lower revenue from packaged video games amid a seasonal slump for the industry gave Electronic Arts Inc. a larger net loss in its fiscal first quarter. But investors cheered as its adjusted results ...
MySpace to cut 300 intl positions, close offices
Jun 23, 2009 |
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(AP) -- Social-networking site MySpace said Tuesday it plans to cut 300 jobs, or two-thirds of its overseas work force, in an effort to rein in costs and focus on countries where it has many users and better ...
HP profit drops 17 pct; PC, ink sales stumble
May 19, 2009 |
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(AP) -- Hewlett-Packard Co.'s quarterly profit dropped 17 percent on lighter sales of personal computers and printer ink, two of its biggest sellers and a sign that the woes in consumer technology spending dragged on beyond ...
Japan's NEC reports 3.05 bln dollar annual loss
May 12, 2009 |
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Japanese electronics giant NEC Corp. announced Tuesday a net loss of 296.6 billion yen (3.05 billion dollars) for the year to March due to the global economic downturn.
Japan's Sharp sees deeper net loss
Apr 08, 2009 |
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Japanese electronics giant Sharp Corp. said that it had fallen deeper in the red than expected in the past year, suffering its first-ever loss due to the economic downturn.
Big-3 bankruptcy: Job loss less than half oft-cited figure, says study
Dec 16, 2008 |
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The impact of a Big-3 bankruptcy and restructuring would be severe, but frequently-quoted job loss figures are misleading and overstated, according to a new projection by the University of Maryland's Inforum economic research ...
