Valuation

Valuation panels have generally focused on how to value debtors and their stock. But what about valuing debt, the other form of consideration that is generally issued under a bankruptcy plan? The session will discuss coverage ratios and other credit metrics, comparability, the impact of covenants and other terms, credit reporting and rating, and more.

A discussion of the ethics landscape from the retention application and disclosure requirements, to the decision-making process in undertaking work, recording the time, and contesting/defending the fee application.

The valuation of bankrupt and financially distressed firms is impacted by many factors including court decisions, changing business models, and macro-economic factors. This panel examines recent developments in these three areas and discusses how they will impact valuation engagements, particularly those performed in the context of litigation or contested matters in the future.

A discussion of current issues of interest to bankruptcy judges and insolvency professionals.

How does valuation factor into successful distressed investment strategies? Are valuations for distressed assets and companies increasingly dependent on an assessment of the underlying hard assets of target companies? How does commodity pricing risk factor in? What happens when valuations in general become too rich for firms to generate returns typically sought by distressed investors? Are distressed investors becoming more opportunistic by looking beyond valuation metrics to enhance returns through advocating legal interpretations in underlying credit documents to support enhanced recoveries? Our roundtable will examine these questions and discuss their views on the outlook for distressed investing in 2016 and beyond.

A discussion of core valuation methodologies and principles, and how those are applied (or should not be applied) to specific business sectors, with specific focus on the shipping industry, the oil and gas industry, and the healthcare industry.

The stakeholders in the Puerto Rico debt crisis – the bondholders, the pension creditors, the residents and the politicians - can learn much from the Detroit bankruptcy case. Based on his judicial experience with the Detroit bankruptcy case and his recent work with Puerto Rico, Judge Rhodes will address those lessons and the shared sacrifices that will be required from everyone to give the island a fresh start.

The Tenth Amendment has been construed to require that a municipality in bankruptcy must maintain control over its assets and revenues, but the Bankruptcy Code requires that the municipality establish that its plan of adjustment is in the best interests of creditors and is feasible. This program will address that conflict and a range of other issues relating to valuation that arise in municipal restructuring cases, including valuing assets such as tax revenues streams, as well as such obligations as bond, pension and health care.

New and emerging issues in intellectual property monetization and valuation in and out of bankruptcy court, including recent case updates from Radio Shack, and Facebook; emerging issues on ownership and valuation of social media accounts, and other recent intellectual property valuation issue beyond the basics.