Financial Advisor to Management Retirees
- Business Valuation
- Creditor Advisory
KEYSTONE CONSOLIDATED INDUSTRIES
- Restored benefits cut by company after its bankruptcy filing
- Structured settlement to allow permanent access to healthcare
DSI was engaged by the Management Retirees of FV Steel, a subsidiary of Keystone Consolidated Industries, after the company gave them an offer to terminate substantially all of their benefits. Working with the Management Retirees’ counsel, DSI analyzed the company’s business plan and identified weaknesses in the financial projections and underlying assumptions. DSI worked with counsel, against the resistance of management and other bankruptcy stakeholders, and successfully structured a settlement to provide for monthly payments to retirees and have those payments increased based on company performance. The settlement also included stock in the newly restructured entity. The settlement thus balanced the need for retirees to receive the benefits they had earned and deserved while providing the company with flexibility to compete effectively in its markets in the future. Additionally, the stock component of the settlement provided value in excess of where the Management Retirees started due to the company’s post-bankruptcy success.