Suzzanne Uhland leverages extensive experience in Chapter 11 reorganizations and bankruptcy to serve as a partner at the San Francisco offices of O’Melveny & Myers, LLP. As the chair of the firm’s U.S. restructuring practice, Suzzanne Uhland closely follows market trends that impact the financial stability of companies and industries.
In 2015, the trend of declining oil prices has
started to significantly influence the financial stability of
exploration and production (E&P) companies. The U.S. Energy
Information Administration forecasts that oil prices will continue to
decline throughout the year and the recent value of options contracts
and futures indicates a high level of market uncertainty for crude oil.
For E&P companies, the reduced oil prices have severely impacted
cash flows and caused many enterprises to become over leveraged.
Energy, an E&P company based in Texas, was the of its kind to file for chapter 11 in early 2015, and industry experts predict that a number
of E&P companies and associated service providers will follow suit
during the year. The current market conditions for E&P companies
mean than some enterprises many need to contemplate restructuring
alternatives and investors may act to protect or establish their
interests in the industry.