SRZ represented a lending group on behalf of a large financial client in a transaction with a publicly traded company manufacturing and selling high performance chemical-based materials. This large chemical company has significant current and legacy environmental issues, requiring focused due diligence on both the impaired collateral and non-collateral environmental liabilities.

In addition to retaining our own consultants to investigate and estimate the potential liabilities, we worked closely with the company's management to ensure the maximum financial flexibility to address future environmental expenditures, estimated to over $120 million. The transaction also required fashioning creative solutions to difficult environmental issues, including assessing the likelihood of discharging certain legacy issues through a possible bankruptcy.