PRG-Schultz runs out cash for a few months, when the new CEO to reduce costs and restructure the company's debt. PRG was the dominant leader in the recovery audit. Industry consists of companies engaged accounting professionals to audit the purchasing transactions to detect and raise funds to their clients. PRG has historically been profitable, and the customers were satisfied with their service. In recent years, however, the industry in general and sales in PRG, was in decline. This left the PRG with a cost that is no longer sustainable. CEO must decide where to cut costs and how to convince the creditors to give the company time, he must turn. Bankruptcy reorganization is one of the options open to the company. Describes the audit recovery industry, company history, general manager, the financial problems facing the company, and the first steps taken by the Director General, to save the company. "Hide
by Paul W. Marshall, James Weber Source: Harvard Business School 21 pages. Publication Date: March 14, 2007. Prod. #: 807126-PDF-ENG
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