IFID Mid-Term Test SEMESTER IV

39th Banking Graduating class G3

Duration : 45 mn
Name : CHETOUI Mohamed Fatheddine

I-Reading comprehension: ( 8 marks)

1- Read the whole article and match these headings with the correct paragraph
( 2 marks)
Paragraph titles Answers

a) Comparing approaches to business recovery Paragraph 1 + Title D

b) Same company, two different expert opinions Paragraph 2 + Title A
c) An expert's warning about the US approach Paragraph 3 + Title G
d) British bankers introduced to a new system Paragraph 4 + Title F
e) Advantages of the US system for big lenders Paragraph 5 + Title E
f) How the US system helps companies in debt Paragraph 6 + Title C
g) US distress funds investing in Europe Paragraph 7 + Title B
h) Changing times brings a need for financial restructuring Paragraph 8 + Title A

2- Read paragraph 4. Which of these points does Lisa Donahue NOT make? ( 1
mark)
New money from US distress funds makes it easier for companies in financial difficulty to ...
a) pay employees and suppliers and make interest payments to banks.
b) negotiate with a small number of traditional banks.
c) find new sources of finance.
3- Read paragraph 5. Choose the correct meaning for the expressions in italics in
the context of the article.( 1.5 marks)

a) More liquid debt markets are also creating more flexibility for the banks.
1- free-flowing
2- easily converted into cash
3- smooth movement
b) Senior lenders are now able to exit at a relatively early stage.
1- leave the negotiations
2- sell their stake in a company
3-close down a firm
c) ... once a company's credit-worthiness begins to slide.
1-It becomes difficult for a firm to pay loans on time.
2- A company starts to ask for bigger loans to pay debts.
3- A firm's share price begins to decrease over a long period.
 4- Read paragraphs 6, 7 and 8. Who makes the following points about the new
style of corporate recovery? Complete the following table by matching the
points to the people who made them. (3.5 marks)

Points / statements Answers

a) The US style of restructuring makes it more difficult to David James + Point B & A
close a company.
b) A distressed-debt investor may not be interested in
helping the company recover in the long term. Ian Powell+ point C & B
c) It's good that there is more capital available to help
companies.
d) It's not easy to predict if this finance will be available in Paul Kirk+ point F & G & C
the future.
e) Planning a strategy for a company will be harder because
the stakeholders' aims are not always the same.
f) The US system tries to help a company survive.
g) The European system is becoming influenced by the US
system.

Part Π- LANGUAGE: (7.5 marks)

1- Read the advice below about the use of technology in presentations.
Choose the best word to fill each gap from A, B, C or D below.( 2.5 marks)

Most presentations today depend on the use of some sort of technology, such as a laptop
computer linked to a projector. While this technology can help to make presentations better, it
also has a habit of getting in the way. As a general method it is better to focus on the content
of a presentation as a means of gaining your audience’s attention, rather than relying on
sophisticated equipment.
Bear in mind that when an organisation invites bids for a contract, they may programme four
or five presentations from different companies on the same day. Each of these companies will
probably be using the same computer graphics packages and the same equipment. The
chances are the presentations will be similar too. That’s why the content and structure of what
you say
are important. Think about what you want to say and how to say it as clearly as possible. As a
first step, you need to identify the main points you want to get across. Audiences are easily
bored and confuse to remember only the most entertaining, exciting or unusual ideas.

Next create your materials, choosing the images for your presentation carefully. Remember
you do not want to stop your audience from listening to you, nor do you want to mistake
them.Finally, make all the necessary arrangements for the equipment you need. If technology
is to be an importantelement of your presentation, make sure you know how to use it properly
and test it out beforehand.

1. A calculate B depend C determine D lean

2. A produce B make C construct D build
3. A method B law C rule D course
4. A focus B define C target D direct
 5. A gaining B acquiring C collecting D taking
6. A appoint B programme C schedule D catalogue
7. A parcels B packets C bundles D packages
8. A catalogue B label C mark D identify
9. A point B tend C lead D move
10. A disorder B mistake C confuse D complicate

2- Match a word from A with another from B to get partnerships then write them in
front of the corresponding definitions ( 1.5 marks)

A B Partnerships
Communication Rank 1- Communication Breakdowns

Hidden Think 2- Hidden agendas

Over Scoring 3- Over Runs

Pulling Breakdowns 4- Pulling Rank

Point Runs 5- Point Scoring

Group agendas 6- Group Think

a- Communication Breakdowns : lack of understanding between colleagues leading to

problems.

b- Point Scoring When the allocated time of the meeting ends without succeeding to finish

the planned actions

c- Pulling Rank When someone takes advantage of their position to obtain whatever they

want.

d- Over Runs Whatever objectives an intentions that are not openly expressed.

e- Group Think: When colleagues try to show they are the best.

f- Hidden agendas : When there is a necessity for a common decision whatever the cost is.

3- Complete with the suitable preposition ( s) ( 1.5 marks)

* I have divided my talk into three main parts .

 * Let’s move to the third point .
* I will come to this in a moment .
* As you can see on this slide , inflation is clearly apparent .
*Just to digress for a moment.
* Can we find the reasons behind the slump in sales and what can we do about it. ?

4- Match these nouns to the verbs below to get collocations ( some nouns are used
more than once) : (2.5 marks)

Agenda; meeting ; minute-taker ; minutes ; consensus

a-Circulate the Agenda f-Appoint the minute

b-Schedule a meeting g-Take the minute

c-Reach a consensus h-chair a meeting

d-Attend a consensus i-draw up the meeting

e- call off the minute j- go through the minute

III-COURSE –RELATED QUESTION: ( 4 marks)

Choose ONE of the following topics :
Topic 1: What are the functions of the chairperson in a meeting?
Topic 2 : How should a perfect meeting go ? how about the behaviour of the chair and the
participants ?
The Chairman of a meeting performs the following important functions or duties during
meetings:

 He/she ensures that the meeting is properly held

 The chairman takes all major decisions at a meeting and he normally takes these
decisions after consulting with the secretary
 The chairman of a meeting is responsible for putting matters to vote if consensus is not
reached
 After a vote has been held, it is the chairman’s responsibility or rather duty to declare the
voting results

 The chairman makes sure that order prevails at the meeting all the time
 The chairman sees to it that the meeting is not overshadowed by irrelevant discussions
 The chairman ensures that previous minutes are read before the commencement of the
meeting
 He/she also makes sure that the minutes read are correct
 The chairperson makes sure that the meeting is held in correspondence with the
agenda and its standing order
 The chairperson will clarify any misunderstanding that erupts during the course of a
meeting
 The chairman lets members of the meeting know whether progress is being made or
not

At the end of the meeting, the chairman lets members know what they have achieved

TEXT : 6- But the new faces around the table have also attracted a
Floodgates open to a new style growing amount of skepticism from seasoned corporate
1 Some years ago at the PlazaHotel in New York, a group of recovery professionals in Europe. David James, a crisis
British clearing banks and officials from the Bank of England Manager ‘'H has made exit strategies a lot more
were introduced to a new breed of investors who were to complicated,' he warns, pointing out that the aggressive
revolutionise what happens to companies in trouble around new investors are often focused on very short-term
the world. The symposium, organised by Price waterhouse objectives rather than worrying necessarily about the
Coopers (PwC), aimed to acquaint the British bankers with long-term health of the company. Even within the same
an emerging US style of corporate recovery, led by distressed firm, differences of opinion are apparent over this thorny
debt investors and more actively engaged bondholder question. Mr Powell at PwC in London is relatively
committees. upbeat about the benefits of increased liquidity and
tradable debt instruments. 'H is positive in the short term,
2-In the heady days of the late 1990s, bankruptcy was far as there is so much cash entering the market,' he says.
from the minds of most businessmen, not least among the 'How long that window is going to stay open is more
more traditional lenders in Europe. Of course, soon after, the difficult to assess.' But across the Atlantic, Paul Kirk, who
explosive bursting of the technology bubble was to provide heads PwC's business-recovery practice globally, stresses
plenty of candidates for this new approach -with entire the other side of the coin. 'Yes,they have added liquidity
industries, in need of financial restructuring. But it was the to the market, but the trading in and out of debt means the
more recent arrival of hedge funds and cash-rich private goals of the stakeholders are not aligned, and so doing, a
equity firms into the European market that would really open successful work-out is much more difficult,' he says.
the floodgates to this new style of restructuring.
'The US system focuses on keeping the company alive, the
3-Having seen dramatic and extremely profitable turnarounds rest of the world focuses on keeping the business alive and
in US industries such as steel, coal and utilities, distressed recognises when a company has no future,' says Mr Kirk.
investors are deluging European markets with a flood of Slowly though, the influx of US investors and turnaround
money looking for suitably high returns. specialists is changing the character of European business
recovery. 'The US approach looks at valuations, in Europe
4- The results can be seen all over Europe and much of Asia. and the UK the emphasis has been on cashflow and the
Lisa Donahue, a New York managing director at Alix ability to service debt, but that is changing.' says Mr
Partners, the corporate recovery firm, says the new money Powell
can bring much-needed liquidity to companies looking to
restructure their debt. While in the past, European companies FINANCIAL TIMES
might have been entirely reliant on a handful of conservative
local banks for help, they can now raise fresh capital in a
variety of different ways.

5- More liquid debt markets are also creating more flexibility

for the banks. Senior lenders are now able to exit at a
relatively early stage in a company's financial difficulties,
meaning the set of faces around the negotiating table can
change very rapidly once a company's creditworthiness
begins to slide.