Menu
Our client needed to undertake significant refinancing of its term and revolving credit facilities to provide liquidity relief and prepare for an expected and significant change in its organizational structure. The refinancing of debt instruments, particularly when they aren’t being fully extinguished, can be complex and requires a detailed review of the facts and circumstances to appropriately record the transaction.
We brought our expertise in financing transactions to assist the client with the application of the appropriate accounting, with an eye toward the anticipated future restructuring. We provided a detailed calculation of the relevant figures that needed recording, as well as a technical memo in support of the accounting for the client’s reference and use in supporting the audit.
The refinancing was appropriately recorded by the client and resulted in no audit issues of any kind. The client was pleased with the expertise we supplied and later retained us again to help with the company’s reorganization.