Advice and response in a downturn

Issued by ACT Member Services on 24 October 2008, most recent updates 7th January 2009

Representing the views of the corporate treasurer
As the effects of the credit crisis continue to be felt, the ACT has sought to ensure that the core issues of concern to our members are not overlooked in fears about the wider system.

The ACT is committed in its role as a professional body to supporting the needs and views of its members. Given the uncertainty and change in the financial markets we are concentrating on providing timely and helpful advice, all of which can be found at www.treasurers.org and on influencing public policy in the interests of non-financial companies.

Much of the ACT's work of representing the views of the corporate customer in the financial markets takes place behind the scenes. It is usually on a bilateral basis with specific authorities, often on fairly narrow technical matters.

More recently, the general workings of the markets have assumed a higher profile than normal in the media and the ACT's views have often been sought.

Set out below are cross references to relevant guidance and briefings published by the ACT together with other material expressing observations and opinions on current market conditions.

To help us continue to represent the profession, please feed back your views, comments and market intelligence to Martin O'Donovan at modonovan@treasurers.org.

ACT guidance notes, best practice advice and response

You may find the following of immediate use:

Contingency planning for a downturn
This briefing note has been the most downloaded document on our website since publication in the Spring. It provides a treasurer's checklist to aid your planning in how to cope with a downturn in the economy or sustained lack of liquidity in financial markets. Watch out for the update, due in November.

Bank lending markets: observations on 2008 and the on the outlook for 2009
January 2009

Market Disruption clauses
Advice to corporate borrowers on implementation of Market Disruption Loan Agreement Clauses.

Borrower’s Guide to the LMA (Loan Market Association) Facilities Agreement for Leveraged Transactions
An overview of the Leveraged Facilities Agreement flagging the pitfalls for corporate borrowers to avoid. Produced in conjunction with Slaughter and May.

Fund early; fund long - John Grout’s blog
Published 29 September 2008

Press release - Treasurers Welcome Chancellor's Statement
Issued 8 October 2008

Letter to the Financial Times - an eighties revival could be the future of liquidity
Published 9 October 2008

Letter to the Financial Times - if Bank would only return to old-fashioned lending route
Published 17 October 2008

For further guidance and technical help, please visit the Technical Guidance and Comments section of our website at www.treasurers.org/technical

ACT in the news

Our views and comment are being sought on a regular basis. Recent media coverage includes:

Martin O’Donovan, from our Policy and Technical team was also interviewed on Radio 4’s the Today programme on 21 October, the ITN evening news on Wednesday 1 October and on Bloomberg TV on Friday 3 October.

ACT blogs

Additional up to date commentary on current markets is available from time to time via the ACT blogs at www.treasurers.org/blogs.

Qualifications and training - upskilling in a downturn

In times of market distress, businesses will look increasingly to those individuals with the skills and expertise that can help them meet the challenges placed upon them by volatile markets. Whether you are a member, student or employer, we can support you through professional qualifications and training. For further information visit www.treasurers.org/qualificationsandtraining.

Conferences and events

We run a range of practical programmes that focus on key issues and areas fundamental to corporate treasury, such as our popular Working Capital Conference, being held next in Reading, UK on 27 November 2008. For a full listing of upcoming events visit www.treasurers.org/events

The Treasurer magazine

For more in-depth perspectives and comment you can refer to The Treasurer magazine - also available as a fully searchable archive at www.treasurers.org/thetreasurer

Careers support service

At www.treasurers.org/careers you will find practical career guidance and advice - from articles on career development and best practice information to industry survey reports and the latest jobs.

Keeping up-to-date

To help us keep you up-to-date on ACT advice and support, make sure you are registered for our email alert service. By logging on to ‘My Account’ on treasurers.org and completing your profile, you can identify your areas of interest and expertise and benefit from regular updates on your specified topics.