Case Study #7 Machining company A metal parts company runs into difficult times. A mid level, privately held company located in the Midwest specializing in the machining of metal parts was sold in the United States and Europe. The company ran into difficult times due to the rising cost of steel along with a rising dollar in comparison to the Euro. The company’s main competitor was located in Europe, thus the price of their product was considerably lower than our Lessee’s. As a result, the Lessee either lost business or was forced to drop their prices at below cost in order to maintain relationships. During this time, the customer had large end of term payments coming due through leases placed with our company and other leasing companies. We extended terms on existing leases with our company and refinanced the buy out options they had in place with other leasing companies.