Alta Finds Positive Signs in Global Equipment Finance Market
Media Contact:VIENNA, AUSTRIA, June 16, 2009-The Alta Group met here last week to focus on key factors affecting their clients in global equipment leasing and finance. Their discussions centered on the "new world" of equipment financing that is unfolding before them, following the global financial crisis and economic downturn which began more than a year ago.
While companies in this sector first appeared to react with denial and paralysis to the quickly evolving situation, Alta consultants report clients are now considering new business scenarios and even new ways of operating to adapt to permanent shifts.
Lowered demand for equipment and funding shortages have been major negative drivers in the business over the past several months, John Deane, managing principal of The Alta Group said. However, he reported that collectively they are seeing some stabilization in the industry. This positive news was tempered, however, by the consensus that Alta does not expect significant improvement in funding or equipment demand for up to 24 months.
Alta principals reported that much of their business at the end of 2008 and beginning of this year stemmed from their clients' primary need for new sources of funding and for support in mergers and acquisition activity. Since February, however, they have received a growing number of inquiries about market entry, program development, productivity, strategic partnerships and organizational change management support.
"This shift is a positive sign," said Deane. "It suggests some of our clients will come out of these hard times as winners by being proactive now."
Alta principals remain critical of various reports, including those from rating agencies, which provide negative comment on the equipment leasing and finance business, Deane said.
"No doubt the challenges are tough right now," Deane said. "But these people should look at what companies with a focus on change are doing to ensure their survival in this market. Their actions are strategic and make sense."
Those companies that are still in denial and paralysis will fail, the Alta principals agreed, stressing carefully considered change is required for success
The Alta Group unveiled its new global web site in Vienna, http://www.thealtagroup.com. Information on the consultancy's North American division was completely refreshed, while new regional sections of the site are expected to be live soon. The new Alta website reflects the organization's growing global presence, including significant expansion in recent years in Europe, China, and Latin America.
About Alta
The Alta Group is a global consultancy serving equipment leasing and finance companies, investment professionals, manufacturers, banks, and government organizations. Founded in 1992, The Alta Group supports clients in North America; Latin America; Western, Central and Eastern Europe; Australia; and China.
For more information, please visit http://www.thealtagroup.com.
