Communicating a Financial Restructuring

Situation:

Duratek, Inc., the nation's leading expert in radioactive waste disposition, was recapitalizing the company in order to improve its attractiveness as an investment. Duratek wanted to ensure this event was seen as a positive milestone by the financial markets, its customers and its employees.

Solution:

McGrath Matter developed a detailed communication plan to manage the announcement and coordinate communications with Duratek's investors, business partners, clients and staff. The announcement was carefully timed so that key audiences were notified simultaneously with the issue of the news release announcing the transaction. In addition, we managed media contacts to insure the news of the complex transaction was correctly transmitted via newswires and the financial press.

Results:

Duratek's recapitalization received positive headlines and strong support from the financial community. Employees and customers saw the announcement as a positive step forward for the company. In the wake of the announcement, the company's stock price increased over 50% as investors saw the benefits of the transaction.