Abstract
Looking back on the last four plus years, our industry has had the unique opportunity to navigate uncharted waters in our attempts to cope with the slide in oil/gas prices. Most of our forecasts, planning sessions, meetings, and seminars during this time have continually underestimated the extent, duration and depth of the problems we face today. Throughout these years, countless individuals have sold their plans or forecasts by predicting – "When things turnaround …." For those of us believing in a turnaround I suggest that this is like waiting for the flight which has been cancelled.
Some firms have done reasonably well during this time – namely the major international energy companies, a few domestic producers, and a very small percentage of the oilfield service, supply and manufacturing industry. The vast bulk of our industry, however, is still "twisting in the wind" as they attempt to cope with restructuring. Continual application of short-term remedies where more extensive measures are required still is the norm. Many are destined to commit slow suicide, a few will survive.
Although the term "restructuring" may be relatively new, our industry has been going through it for many years, even prior to 1982. Restructuring may be defined as:
