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owned and in many cases have
already undergone several rounds
of refinancing. In such situations
Spanish banks, to date, have avoided
debt-for-equity swaps. Increasingly,
banks are driving their debtors to
initiate operational restructuring
programs to boost EBITDA and
thereby avoid a covenant breach.
divest non-core subsidiaries. Many
such subsidiaries require operational
restructuring to become sellable.
One of the main problems in Spain
is that both banks and companies
recognize the need for operational
restructuring too late. In many cases,
bankruptcy and liquidation become
practically inevitable. On the other
hand, companies that detect the need
for operational improvements in time
often lack the appropriate management
skills to restructure and are unwilling
to engage with service providers
experienced in distressed situations.
Culturally speaking, seeking help in
such crises is less accepted in Spain
than in Northern Europe or the U.S.
Prominent turnaround management experts from across Europe will gather for the 2012 TMA Europe
Conference in Madrid, Spain, June
7-8, at the Hesperia Madrid Hotel.
The conference, “Surfing the Wave:
Turnaround Challenges in an Uncertain
Climate,” takes place as the daily
drama of Europe’s sovereign debt
crisis unfolds, raising the stakes for
healthy and distressed businesses.
2012 TMA Europe
Debt Crisis in Focus
of Reversing the Slide: A Strategic
Guide to Turnarounds and Corporate
Renewal, published in 2011.
Education panels cover labor and
human resources issues in European
restructurings, distressed investing
strategies, and the mechanics behind
one of Spain’s largest IPOs, Bankia.
Given the distress percolating across
the euro zone, another panel asks
whether countries can be restructured.
Speakers represent leading industry
firms, including AlixPartners,
Freshfields Bruckhaus Deringer
LLP, Garrigues, and BNP Paribas.
José Luis Escrivá, director
of global business
wholesale banking and
asset management for
the Spanish financial
institution BBVA, gives the keynote
address on June 8. Escrivá built BBVA’s
research arm as director for eight years.
Now, he works with experts in public
policy and investment banking to build
strategic relationships with governments
and multinational institutions.
Conference attendees also may attend
one of two concurrent master classes,
one focusing on social media tools used
by turnaround industry professionals
and the other on methods used to
forum shop restructuring cases.
Additionally, the requirements of Spain’s
new bankruptcy law have enhanced
the level of bankruptcy filings. Many
Spanish companies in such critical
situations have a higher likelihood of
avoiding such crises by engaging in
dialogues with operational restructuring
experts as early as possible. T
Gerald J. Corbae is a
Alvarez & Marsal,
S.L.U., in Madrid
and a TMA Spain
In addition to panel sessions, the
conference features two keynote
presentations from experts in
turnaround management and
At an evening banquet
on June 7, James B.
Shein, PhD, professor
of management and
strategy at Northwestern
School of Management,
provides perspective as a former CEO
who turned around underperforming
companies. Shein also specialized in
corporate governance, restructurings,
business startups, and acquisitions
as a lawyer with McDermott, Will &
Emery in Chicago. He is the author
The elegant Hesperia Hotel is near
cultural attractions and shopping
centers, and this year’s conference
introduces thematic tours for spouses
on June 8. The eight-hour Artistic Tour
includes stops at two famous museums,
the Museo Nacional del Prado and the
Thyssen-Bornemisza, while participants
travel in an air-conditioned coach.
The 10-hour Toledo Tour covers the
medieval city south of Madrid that once
was Spain’s capital city; stops include
the Cathedral of Toledo and the Church
of Santo Tomé. English-speaking
guides are present on both tours.
Read more about the 2012 TMA Europe
Annual Conference at tma-europe.org. T
“European Debt Crisis,” José Luis Escrivá
Head of Global Public Finance, BBVA
Troubled Financial Environment”
2012 TMA EUROPE CONFERENCE HIGHLIGHTS
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