FTI Consulting offers a comprehensive range of corporate finance and strategic communications services to vehicle manufacturers, suppliers, retailers, vehicle financiers and other automotive sub-sectors, as well as their creditors, lenders and other stakeholders. Our market-leading automotive team has senior, experienced financial and operational advisors who focus on key issues, value and solutions for our clients with offices in the heart of the US automotive industry — Detroit, Michigan — as well as other key offices in North America, Latin America, Europe and Asia. In addition, we provide a full range of strategic communications services to help clients use their communications assets to protect and enhance their enterprise value.
FTI Consulting has a market-leading automotive team with a proven track record of advising management and its creditors, lenders and other stakeholders in the automotive industry. We have a combination of Big 4 capability, together with industry management mindset and approach, as well as the ability to leverage our extensive network of relationships cultivated from our roles in numerous complex situations in the automotive industry.
Turnaround & Restructuring
FTI Consulting is a market leader in automotive restructuring assignments as we have been involved in numerous recent, relevant successes in high-profile, complex automotive situations. We represent companies, private equity and secured and unsecured creditors, as well as other stakeholders in both in-court and out-of-court restructurings and turnarounds.
We provide a full range of turnaround and restructuring services. They include:
Cash Management & Projections
- Design and implement comprehensive and consolidated spending controls
- Analyse cash flows, collection and liquidity
- Project short-term cash flows and identify liquidity needs
- Assist management in collecting receivables and prioritising expenses to pay
- Report on compliance with cash flow and operational budgets
Retention, Compensation & Severance Programmes
- Advise on appropriate programmes as they relate to business strategy
- Evaluate automotive industry conditions and assess use of options in historical compensation programmes and possible adjustments
Capital Structure & Liquidity
- Raise additional financing/waive covenants
- Assist in negotiations with existing lenders and trade community
- Work with management in determining appropriate capital structure
- Identify capital restructuring tax issues, opportunities and exposures
- Manage claims process, including reclamations
- Prepare statements and schedules
- Analyse possible preferences
- Develop public relations/employee communications strategies
- Set up accounting/cash management procedures
FTI Consulting has a dedicated team of professionals with substantial experience in advising automotive and transportation companies looking to critically, and quickly, analyse issues and implement strategies to drive performance improvement. We seek to identify and implement profit improvement measures for underperforming companies, as well as assess and develop strategies to reduce overhead expenses and increase profit improvement.
FTI Consulting offers a full range of services in the realm of performance improvement. Some of our services include:
Analysis of Product Portfolio/OEM Relationships
- Part margin and value-added margin analysis
- Material margin analysis/raw material recoveries
Vendor, Customer & Other Constituent Relationship Management
- Assist in negotiating with vendors to establish optimal terms and pricing
- Develop database for tracking communications and highlighting vendor issues
- Assist in customer/original equipment manufacturers' (OEM) negotiations
- Conduct site-level analysis of contract profitability
- Facilitate information flow and assist in negotiations with board, management, labour, lenders and other stakeholders
- Analyse overall cost structure relative to competitors and industry
- Identify and eliminate redundant overhead
- Establish new budgets by department and create attainment controls
- Review and recommend asset sales, closures or alternative uses
- Prepare analyses for plant rationalisation
- Assist management in marketing of assets and sale negotiations
- Review contracts with OEMs and Tier I customers and assess contract termination and facility shutdown
Strategic Assessment & Business Planning
- Evaluate business plan and operating plan process
- Identify and assess strategic and operational alternatives
- Prepare detailed integrated financial models with scenario analyses
- Assess industry trends and re-evaluate position in marketplace and viability of operations
- Assist in design of transformation plan, manage implementation and track performance
FTI Consulting acts as a catalyst to spearhead immediate change in difficult situations. Our experienced professionals restore credibility to an organisation while preserving, protecting and enhancing the enterprise value for the stakeholders.
We are experienced interim managers focused on the execution of working capital enhancement initiatives and profit improvement strategies. We consistently deliver immediate and meaningful results to companies and their stakeholders.
We fulfil CEO, CFO, COO, CIO and CRO positions on an interim basis to help companies secure their viability by driving long-term positive change.
Transaction Advisory Services
The FTI Consulting transaction advisory services (TAS) group helps clients - buyers, sellers and lenders - maximise value and minimise risk during the acquisition process. We offer comprehensive due diligence advice and support in evaluating the risk/return considerations of the deal. Combining financial accounting, investment banking, tax, valuation and US Securities and Exchange Commission regulatory expertise with deep industry experience, our TAS advisors provide and manage a complete range of merger integration and acquisition services.
Among the members of the global automotive team within Strategic Communications, there are sector experts who have represented a broad range of organisations and companies, from start-ups to multinationals. Given this specialisation, our automotive clients have access to professionals who are focused exclusively on their specific industry, who have a broad network of relationships with key influencers and who provide communications counsel based on in-depth industry knowledge and expertise.
Further, we are leading M&A advisors, having been involved in a large number of major cross-border transactions. Our comprehensive suite of integrated communications services includes:
- Corporate communications
- Financial communications
- Public affairs
- Creative engagement
- Strategy Consulting & Research