New Developments in Bankruptcy and Restructuring | 9/22/2021 |

Fall is here, and with it comes a slew of new developments in bankruptcy and restructuring.

Recently in oil & gas, oilfield services company Key Energy announced the sale of substantially all of its fluid management and saltwater disposal well assets in Texas and New Mexico, effectively completing the company’s exit from that line of business in those states. In addition, lenders to Yak Access, a supplier of access mats to oil & gas companies in North America, have reportedly organized amid concerns over the company’s liquidity position, earnings trajectory and possible expansion into the power markets.

Later this month, experts from our Americas team will discuss PBF Energy, including regulatory challenges such as the ongoing effect of increased renewable fuel standard compliance costs.

In consumer discretionary, although supply chain issues and labor and commodity inflation continue to challenge the restaurant industry, public restaurant companies generally reported improved financial performance in 2021 and multiple chains, including Dutch Bros, Portillo’s and Sweetgreen, have announced or consummated plans to go public.

In addition, although BJ’s Restaurants, Cheesecake Factory and Red Robin continue to operate under covenant relief waivers obtained near the onset of Covid-19 pandemic, each has significantly improved its financial ratios over the first and second quarters and appears positioned to meet its upcoming financial covenant tests when they are reinstated by the end of the year.