{ "docId": "019dd923-5e88-73ef-bd59-e554727c032d", "docSlug": "4c5f1d6f702f7476", "documentTitle": "one goldman sachs", "authorId": "GoldmanSachs", "authorName": "Goldman Sachs", "documentKindSlug": "consulting-deck", "documentKindLabel": "Consulting deck", "sourceTypeSlug": "equity_research", "sourceTypeLabel": "Equity research", "presentationDate": null, "orientation": "portrait", "aspectRatio": 0.773, "pageNumber": 17, "pageCount": 124, "prevPage": 16, "nextPage": 18, "slideType": "appendix_disclosure", "function": "summarize", "density": "dense", "nDataPoints": 0, "notes": "The slide is a text-heavy disclosure page detailing the mechanics of the CLSA and capital management.", "elementsJson": [ "headline_text", "paragraph", "bullet_list", "footnote" ], "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019dd923-5e88-73ef-bd59-e554727c032d/17", "deckHref": "/decks/019dd923-5e88-73ef-bd59-e554727c032d", "deckJsonHref": "/decks/019dd923-5e88-73ef-bd59-e554727c032d.json", "deckAnchorHref": "/decks/019dd923-5e88-73ef-bd59-e554727c032d#slide-17", "components": [ { "bbox": { "h": 0.22, "w": 0.78, "x": 0.11, "y": 0.48 }, "kind": "list", "text": "during the runway, the CLSA requires Funding IHC to provide liquidity and recapitalize participating material entities as and when needed, including by forgiving or converting intercompany debt or injecting capital, so that they meet their applicable regulatory capital requirements plus an operating buffer;\nif the resolution trigger under the CLSA is breached, it requires Group Inc. to make a final contribution to Funding IHC of almost all remaining Global Core Liquid Assets (\"GCLA\") held by Group Inc.5, as well as intercompany receivables held by Group Inc.;\nfollowing Group Inc.'s bankruptcy filing, the CLSA requires Funding IHC to continue providing liquidity and recapitalizing participating material entities as before.", "attrs": null, "subkind": "bullet", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "46312bf7-fb86-40b3-9ff1-fd85c9c07e50", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.12, "w": 0.78, "x": 0.11, "y": 0.71 }, "kind": "paragraph", "text": "B. Capital\nCapital Management\nCapital adequacy is of critical importance to us. We have in place a comprehensive capital management policy that provides a framework, defines objectives and establishes guidelines to assist us in maintaining the appropriate level and composition of capital in both business-as-usual and stressed conditions.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "0e61e90f-f888-425b-8fc8-c82698086120", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.25, "w": 0.78, "x": 0.11, "y": 0.11 }, "kind": "paragraph", "text": "Capital and Liquidity Support Agreement\nThe CLSA is a contractually binding mechanism to which Group Inc., Funding IHC, our participating material operating entities and our material service entities are parties. If certain pre-determined capital or liquidity triggers are breached, the CLSA requires Group Inc. to transfer additional resources to Funding IHC, and also requires Funding IHC to provide financial support, as needed, to participating material entities. This support would begin during the \"runway\" (i.e., the period during which Group Inc. prepares for a possible bankruptcy filing), and would continue for an indefinite time after Group Inc.'s bankruptcy filing, until the resolution liquidity and capital needs of the participating material entities are satisfied. Group Inc. and Funding IHC have granted a security interest in substantially all of their assets (other than Group Inc.'s equity interests in subsidiaries) to secure their obligations under the CLSA.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "8974ec1b-5ee2-4ab5-aceb-d0690415bd10", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.12, "w": 0.78, "x": 0.11, "y": 0.35 }, "kind": "paragraph", "text": "The CLSA and Funding IHC bring two main benefits to our resolution strategy. First, they provide greater assurance that capital and liquidity will be dispensed as needed to the participating material entities. Second, they introduce a higher degree of flexibility because Funding IHC does not enter resolution proceedings in our preferred resolution strategy, and the exact amount and location of capital and liquidity therefore does not need to be pre-determined.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "b9392ed8-e9a6-41f1-ad53-83e5a1b65e63", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.05, "w": 0.78, "x": 0.11, "y": 0.88 }, "kind": "source-note", "text": "5 Under the terms of the CLSA, the final contribution of remaining GCLA excludes an amount held back to fund the projected administrative expenses of Group Inc.'s bankruptcy proceeding and the projected amount of Group Inc.'s cash disbursements through the next business day.", "attrs": { "numbered": true }, "subkind": null, "toolName": null, "toolSlug": null, "confidence": null, "componentId": "e81bcb7a-3985-4301-9445-6287d99bc95f", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.03, "w": 0.4, "x": 0.05, "y": 0.04 }, "kind": "title", "text": "2023 Resolution Plan", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "02559a27-2332-4998-8fac-2f8630239354", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [ { "name": "List presentation", "slug": "list-presentation", "agent": null, "layer": "slide", "matchId": "8639528b-eaab-4c6b-9218-fd778dfd8dc1", "evidence": "during the runway, the CLSA requires Funding IHC to provide liquidity and recapitalize participating material entities as and when needed, including by forgiving or converting intercompany debt or injecting", "confidence": 0.7 } ], "frameworks": [], "arcBeats": [ { "to": 124, "from": 8, "beatId": "d68786b1-3dab-4ad0-b5b0-04ed44c1c6d3", "arcName": "The Consultant's Gambit", "arcSlug": "consultants-gambit", "beatName": "Evidence & Proof", "beatSlug": "consultants-gambit-evidence-proof", "evidence": "The document contains extensive data tables, appendix data, and methodology explanations.", "position": 1, "confidence": 0.8, "parentBeatName": "Evidence", "parentBeatSlug": "evidence" } ], "loops": [ { "to": 124, "from": 6, "name": "Logic Chain", "slug": "01-logic-chain", "bestFor": "Skeptical audiences, controversial recommendations, rigorous analysis", "matchId": "d24b5f0d-d542-4d18-a73f-65d59f4261ed", "evidence": "The document provides a detailed explanation of the plan and supporting data.", "position": 0, "objective": "To demonstrate the effectiveness of Goldman Sachs' resolution plan.", "structure": "Premise 1 (Accepted truth) -> Premise 2 (Observed fact) -> Therefore... 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