AI for restructuring and turnaround
It builds and rolls the 13-week cash flow, tracks DIP budget variance, models the recovery waterfall and drafts the lender deck from the agings, bank statements, credit agreements and court papers in your engagement folder.
Lender-presentation-Jan8.pptxExampleAsk it for
“Roll the 13-week forward a week: drop the week ended November 7, add February 6, load this week’s actuals and flag lines more than $150k off forecast.”
13-week-forecast-Feb6.xlsx“Update the borrowing base off the December 31 AR aging: 90-day exclusion, 25% cross-age, 10% debtor cap, then 85% advance on eligible AR and 60% on inventory.”
Borrowing-base-Dec31.xlsx“Rebuild the recovery waterfall at $220m and $300m of enterprise value for the ABL, 1L, 2L and unsecured notes, and mark the fulcrum at each value.”
Recovery-waterfall-v4.xlsx“Test this week’s actuals against the DIP budget for cumulative and rolling four-week disbursement variance, the 15% band, and headroom above the $25m floor.”
DIP-variance-week14.xlsx“Draft the lender presentation for the January 8 call: turnaround plan, covenant and borrowing base projections through Q2, and the path to the March maturity.”
Lender-presentation-Jan8.pptx“Read the credit agreement and the uptier term sheet and list the consent threshold, the priming liens on the new money, and what the exit consents strip.”
Uptier-consent-memo.docx
How it works
- 1
Load the engagement folder
The folder gets the AR and AP agings, 90 days of bank statements, payroll runs, credit agreements, indentures, borrowing base certificates, MORs, DIP motion, first-day papers, claims register export and last week’s lender deck.
- 2
Ask for the work in your own words
Brief it the way you would brief an associate. The work comes back in Excel with live formulas, and anything it could not reconcile shows up as a stated gap.
- 3
Tie it out and make the call
Each figure it uses carries the source file it came from, so review means ticking and tying rather than rebuilding. You decide what reaches the DIP lender, the committee and the court, and you send it yourself.
Inside the Restructuring & Turnaround mode
Executive storyline and decks
Builds the lender deck or banker book around a governing storyline, writes action titles that say the finding, and ties each exhibit back to the model.
Tie-out and page-turn review
Page-turns the disclosure statement, expert report or book before it is issued, and flags the figures it cannot trace to support in the folder.
Three statement and operating models
Rebuilds the debtor’s projections as a driver-based three-statement model with a debt schedule, so the plan can be stress-tested rather than taken as given.
Valuation
Frames the enterprise value range from comps and a DCF, sets it against liquidation value for the best-interests test, and lays out the football field.
Restructuring and liquidity
Rolls the 13-week forward when the actuals come in, keeps the DIP budget and variance report current, and models recoveries by class and the fulcrum.
Credit underwriting and covenants
Pulls the covenant definitions out of the credit agreement and projects headroom through the forecast, including the borrowing base and minimum liquidity tests.
Amendments waivers and workouts
Prices the waiver, forbearance and consent fees against what the borrower asks for, and models what the workout recovers if no waiver is agreed.
Investment research and IC memos
Writes the IC memo for a distressed position, with the thesis stated so it can be wrong, a variant view, catalysts and a sized downside.
Sell-side M&A process
Assembles the 363 file, from qualified-bid criteria to a like-for-like comparison of the bids on price, peg, cure amounts, credit bid and closing certainty.
Debt capital markets and leveraged finance
Benchmarks the exit loan or bond against current comparables on yield to worst, spread and OID, and compares commitment papers on fees and flex.
Value creation and transformation
Drafts the 100-day plan and the cost ladder behind it, then tracks each lever’s cash effect into the forecast the lender reads every week.
Project budget and cost forecast
Tracks professional fee burn against budget across the case, so the interim fee applications are supported before they are filed.
- Office skills
- Excel, Word, PowerPoint, PDF
- Tools
- Read, edit and write files, Search files, Run code, Search and read the web, View images
- Connectors
- SharePoint, Google Drive, Gmail, and additional custom connectors
- House style
- Your fonts, layouts and rules, on every file
Who it’s for
Restructuring bankers, financial advisors to debtors or creditors, turnaround consultants, and interim CROs and CFOs of distressed companies, from analyst to managing director.
Questions
Will it invent a number when the data is missing?
It is told to cite the source file for every figure and to state what it could not find or reconcile instead of guessing. When the AR aging and the AP aging disagree with the trial balance, as they often do on a distressed file, the gap comes back flagged for you to run down. You still review every file it touched before anything goes to the DIP lender or the court.
Do courts require us to disclose that AI helped?
Some bankruptcy courts do, so check your district’s standing orders first. The Southern District of California’s General Order 210, effective January 1, 2026, requires a signed attestation naming the AI program and certifying accuracy checks for papers prepared with generative AI. The Northern District of Texas bankruptcy court requires verification of AI-generated language under Rule 9011. The certification is yours to make, because the accuracy checks are yours to do.
Does it work for creditors as well as debtors?
Yes, the same mode covers both sides of the case. For an ad hoc group or a committee financial advisor, it stress-tests the debtor’s forecast, builds an independent waterfall and tests the plan’s proposed treatment class by class. The inputs are the debtor’s own court filings and data room exports, which is what you see from that seat anyway.
Where does our data go?
Ultramarine Work changes files only in the project’s folder. When a request needs it, it can read files elsewhere on your computer, never passwords, keys or app data, and you can turn that off in settings. The model runs on Paper Instruments’ servers, so the content it works on is sent there to be processed. Paper Instruments is SOC 2 Type II, and our security and compliance details are on our compliance page.
Does using AI waive privilege on the papers it reads?
That decision belongs to your firm, your counsel and the client, not to the software. Mechanically, the app changes files only in the project’s folder, and the content it works on is processed on Paper Instruments’ servers, with the security and compliance details on our compliance page. AIRA panelists advise verifying a tool’s safeguards before sharing client material, so treat it like any other vendor that would see privileged documents.