SHRINK TO FIT

摘要

In these days of duress and distress,a CEO or CFO asking the bank(s) for more money resembles an antsy teenager asking for some cash and the car keys.Father replies,"Not until you clean up your room and bring your grades up."As one source said,"Even banks with good clients are not advancing higher borrowing bases.They're saying in effect,'Do not ask us for more money.'"This year Job 1 for E&Ps has been to clean up their balance sheets,renegotiate their public debt obligations and navigate the loan redetermination season with their commercial bankers.It hasn't been easy for many.For the 36 public E&P companies that it tracks,Reuters found the average cut to their borrowing base this spring was 10% to 20%,or an aggregate $7.5 billion.