The objective is to identify and assess refinancing or debt restructuring opportunities. Most turnarounds must ultimately be restructured financially. Consider the following refinancing/debt restructuring options:

• Payment in kind of interest where new notes are given in lieu of cash

• Debt-to-equity swaps

• Forgiveness of debt or debt moratorium

• Loans or advances from major customers or suppliers

• Longer-term vendor payment plans

• Government guarantees or grants

• Replacing existing lenders with new ones

• Consolidating existing indebtedness

• Arranging sale and leaseback of properties and equipment

• Raising additional capital through strategic equity investors

• Converting short-term obligations into long-term debt paid out over a period of years