Distressed Investing & Distressed Financial Modeling (Ended)
Date, Time, and Location:
Tuesday, November 30, 2010
9:00 a.m. - 5:00 p.m.
The Standard Club, 320 S. Plymouth Ct., Chicago
- Understand distressed investing, different investment strategies & valuation and bankruptcy process
- Comprehend capital structure pre- and post-petition, significant of identifying fulcrum security
- Comprehend the complexities and nuances involved with distressed analysis
- Model out sample distressed company on a standalone basis, with and without restructuring
- Incorporate detailed valuation sensitivity to identify key value drivers in a distressed situation
- Analyze the fulcrum security based on various valuation and leverage scenarios
Members - $495
Non-Members - $595
Student-Members - $125 (Limited seats available)
(payable by cash, check, or credit card - NO FUNCTION TICKETS)*
CFA Institute Qualified Activity:
Eligible for 7 credit hours
Lunch will be provided.
Register online below, or by phone: 312-251-1301
8:30 a.m. - 9:00 a.m. - Registration & Networking
9:00 a.m. - 12:30 p.m. - Morning Session: Distressed Investing
12:30 p.m. - 1:30 p.m. - Lunch break
1:30 p.m. - 5:00 p.m. - Afternoon Session: Distressed Financial Modeling
Bring your PC laptop with Microsoft Excel installed and a working USB port. (Macs with Office 2008 will not be as effective). NOTE: Laptops will not be provided.
Morning Program Description - Distressed Investing:
Learn how to analyze and value distressed companies and securities undergoing restructuring or bankruptcy process. First, appreciate and understand the historical perspective and context of the distressed market. Then, explore various opportunities in distressed investing from securities types to investment strategies. Properly identify and isolate the true sources and drivers of returns from supply & demand to operational changes to market rebound to recapitalizations. Quantify and comprehend the dramatic changes to a distressed firm's capital structure and the implications on the valuation process and realignment of economics. Understand the reorganization and bankruptcy process, including DIP (debtor-in-possession) financing, Section 363 sales (stalking horse), Chapter 11 reorganization, and Chapter 7 liquidation. Fully comprehend the key critical covenants required involved in distressed securities as well as the entire turnaround & restructuring process by identifying key parameters for successful business plan implementation.
- Accounting & Financial Statements Integration
- Corporate Valuation Methodologies
- Basic Financial Modeling
Afternoon Program Description - Distressed Financial Modeling:
Learn how to model and value distressed companies and securities undergoing restructuring or bankruptcy process. Build upon our Distressed Investing Overview course by quantifying the dramatic changes to a distressed firm's capital structure and the implications on the valuation process and realignment of economics. Build robust distressed sensitivity financial model.
Distressed Financial Modeling
- Summarize pre-petition capital structure of distressed situation & determine normalized valuation
- Construct standalone Income Statement project of distressed company
- Layer on various restructuring and turnaround scenarios
- Evaluate & analyze decision to restructure and understand financial implications on valuation
- Construct super-dynamic and flexible model to automate new vs. old cash flow capital structure
Distressed Financial Modeling & Sensitivity Analysis
- Construct robust sensitivity analysis to determine ultimate recovery to capital structure classes
- Sensitize distressed model based on leverage, valuation, new pro forma capital structure
- Analyze what constitutes a "bad" deal and its implications for the distressed investor
- Understand and appreciate various financial stakeholders and inherent conflicts of interest
- Quantify and evaluate the importance of determining the right fulcrum security
- Distressed Investing Overview
*Special Notes Regarding Fees:
Student rate only available to students approved as a Student-Member of CFA Chicago for 2010-2011. Credit card is required to guarantee ALL reservations. No day-of-event pre-registrations accepted (on-site only, if applicable and space available). There is a $5 surcharge for walk-ins. Visa, MasterCard, American Express, Discover and Diners Club are accepted. Cancellations accepted until 5:00 pm, November 24.
This is a "Passport Program." Members of any local CFA society may attend at the CFA Chicago member rate. If you are only a member of CFA Institute, you do not qualify for the society member rate.
This program qualifies for credit under the guidelines for the CFA Institute Continuing Education Program. Please click here if you would like more information.
Content shared during CFA Society Chicago programs is not, and nothing in it should be construed as, an offer, invitation or recommendation of any specific financial services company or professional, or an offer, invitation or recommendation to sell, or a solicitation of an offer to buy, any securities in any jurisdiction. By registering for and attending this event, you acknowledge that any photographs that may be taken are the property of CFA Society Chicago and give your consent to their use in CFA Society Chicago's online and print business communications and marketing.