PROJECTFINANCE

MODELLINGLearn how to build Excel models

to help identify and overcome project finance risks

London Dates: 1-3 March 2017 & 13-15 September 2017

COURSE LEADER: Richard Capps

Attend this three-day intensive training course, packed withworkshops and learn how to:

� Design models to maximise flexibility and reliability� Quantify cashflow volatility of identified project risk� Overcome the most complex aspects of building a reliable model,

including currency � Model mismatches, debt amortisation, depreciation, control account

waterfall, cost structures and learn how to shift time scales easily� Facilitate the control of the model for scenarios, sensitivities and break-

even analysis� Use practical tips on layout and style in building a user-friendly model

www.iff-training.comTel: +44 (0)20 7017 7190 / Email: cs@iff-training.com

We can deliver this course in-house:Your company, your location, your needs

Contact Jeff Hearn: +44 (0)207 017 7190jhearn@iirltd.co.uk

PROJECT FINANCE MODELLINGThe complexity of today’s project finance transactions requires a high level of expertise in building financial models which are reliableand flexible to accommodate the changing requirements occurring during the life of a project. This course will identify and offersolutions to specific problems associated with the building of project finance models. It will teach you all the available techniques andhow to apply them practically through the use of Excel. You will be working on PCs and extensive practical exercises will be used toillustrate all the principles covered.

Course LevelDelegates must be familiar with the basic principles of project finance and, as the course material will include extensive use of Excel, itis essential that delegates are at ease with spreadsheet modelling. If you require any further information about the course programmeand/or the suitability of this course for you, please contact us.

This course is specifically designed to assist those who use or develop models in the context of SPV financed limited recourse projects.Those who are involved in a broader context should consider IFF’s course Financial Modelling in Excel.

Course Leader: Richard Capps Richard Capps brings to the task of modelling a rich blend of business experience. Shortly after qualifying as abarrister in London, he switched to banking and for 5 years worked in corporate lending in New York and London.He then moved into merchant banking in Hong Kong and in Australia and for 6 years was engaged in mergers andacquisitions and corporate restructurings.

Following this period on the banking side, he served for another 6 years as the CFO for a large corporate groupwith a dual head office in the USA and Australia.

Having honed his modelling expertise over the past 20 years, as an independent consultant he is nowcommissioned to build financial models for a range of clients. Recent commissions have been for a petrochemicalscomplex, a fleet of LNG vessels, a power generation restructuring, a resorts project, a casino, a coal mine, aretailing organisation and food processing company. He also has extensive experience of delivering training

courses in project finance, corporate finance, loan documentation as well as financial modelling.

www.iff-training.comTel: +44 (0)20 7017 7190 / Email: cs@iff-training.com

WHY CHOOSE IFF AS YOUR TRAINING PROVIDER?

• Track Record – we have over 20 years’ experience of providing training to the banking, finance and energy sectors• Relevance – training courses are designed for small delegate groups which ensures you maximise the time and contact with your course

director• Innovation – our courses are continually reviewed so you can be sure they are focusing on the most current issues• Knowledge – all of our trainers are highly experienced and are world leading subject matter experts in the field they teach so you can be

confident you are learning from the very best• Small class sizes – to aid knowledge acquisition and increase your personal interaction with the trainer• Value – our philosophy has always been to provide a practical training experience with skills that can be used to gain a tangible return on

your investment• Accreditation – we are accredited by the British Accreditation Council (BAC)

Many organisations have realised that IFF in-company courses offerso much more than conventional courses. Here’s why:• We focus on providing our clients with training solutions that arespecifically designed for them in order to help them address their keybusiness challenges

• IFF programmes are designed by practitioners for practitioners. Weequip our clients with the practical skills and knowledge they need tosucceed

• Our international faculty of trainers are some of the world’s leadingexperts in their chosen field. We only use the best minds in the business

• We’ve been supporting our clients for over 20 years; you can be surethat, as such, our track record makes us the lowest risk training partneryou could find

• By focusing on the business issues behind the training need, we canensure that the content and focus are targeted 100% on the needs ofthe business

• Quality is critical to our success. Our reputation has been built over 20years by delivering programmes of the highest standard. We will nevercompromise on our desire to ensure that our courses surpass theexpectations of our clients, not meet them.

IFF is the chosen in-company training provider for some of theworld’s leading financial institutions, so rest assured you’ll be ingood company. We’ll also meet with you anywhere around the globe. Only by understanding our clients’ business issues can we hope to addsubstantial value. That’s why we work with our clients face to face all overthe world. If you would like one of our consultants to meet with you to talkabout your needs in more detail or if you would simply like moreinformation as to how you’ll benefit from our in-company programmes,please contact Jeff Hearn (Managing Director) on +44 (0)20 7017 7190or email: jhearn@iirltd.co.uk

IN-COMPANY TRAINING SOLUTIONSSAVE MONEY – IMPROVE PEFORMANCE – REDUCE RISK

If you have four or more people to train, our in-company courses can be delivered for you anywhere in the world and are the perfect solution for you.

Your comprehensive course agenda

The Role of the Model Within Project Finance• Limitation of recourse• Risk and the allocations of risk• Free Cash Flow• Project dynamics• The 3 stage analytical process– risk identification– quantification of risk - volatility– structuring risk protection

Model Design• The layout of the model• Designing the analysis worksheet• Planning the functionality of the model• Organisation of model inputs• The logic flow throughout the model• The status worksheet, debugging the model• The log, maintaining model discipline

Pre-Completion• Review of the construction stage of the project– liquidated damages– performance bonds– completion guarantees– interest during construction– multiple tranche drawdowns

• Practical - building the whole construction phase worksheet

The Different Types of Financial Modelling• Valuation models• Transaction structuring models• Statistical probability modelling• Data manipulation

Best Practice• Model efficiency• The importance of consistent timelines• Consistent formulae across columns• Hard coding in formulae• Which circular references are permissible, which not• Best practice for macros

The following items will be the subject of hands-onimplementation exercises. They have been selectedbased on the difficulties often encountered in theirimplementation, and/or for the specific relevance toproject finance transactions.

• Operations– the construction worksheet– the modelling of currency exposures– the modelling of depreciation and of tax

• Financing– modelling annuity-bassed amortisation– modelling straightline amortisation with dynamic capability– sculpting loan amortisations to project cashflows or covenants– modelling cash sweeps– implementation of a cashflow waterfall– the modelling of Loan Life Cover and ADCR

• Analysis– implementation of scenario analysis– implementation of sensitivity analysis– implementation of breakeven analysis– IRR calculations

IRR and NPV• The defects of the IRR and NPV functions in excel• Comparing and contrasting IRR, MIRR, XIRR andXMIRR

• Which method of calculation should be used in projectfinance models

• The importance of semi-annual timelines forstructured financings

Walk-Through of a Project Finance ModelThe focus of this section is to look at a complete projectfinance model, to identify the interconnections of theworksheets, the logic flow, and the variations applicablefor models in different project finance sectors.• The Revenue Worksheet– modelling offtake agreements – volumes and prices– modelling concession terms– elasticity of demand calculations

• The Operating Costs Worksheet– explanation of the origins of cashflow volatility– determining the cost drivers– modelling the cost profiles– estimating the changes in structure when thescenarios are altered

– differential escalation of costs• The Tax Worksheet– the generic issues pertaining to tax [tax isjurisdictionally specific]

– assessable income vs accounting income• Accounting Reconciliations Worksheet– terms of trade– accounting depreciation using VDB function

• Financing Worksheet– different types of amortisation• Financial Statements Worksheet• Cashflow Waterfall Worksheet– explanation of the objective– dealing with the ‘what ifs’– the lockup ratios– default ratios – LLCR and ADSCR

• Analysis Worksheet– scenario analysis– break-even analysis– sensitivity analysis

Reviewing Models• Procedures upon receiving a model supplied byothers– identifying the model's architecture– tracing the logic flow– the use of audit software

TakeawaysEach participant will be supplied with a USB memorystick containing:• Template files with instructions for implementingworksheets;

• Completed versions of the template files;• Sample models• Several thousand pages of reading on modelling andvisual basic.

Project Finance Modelling

www.iff-training.comTel: +44 (0)20 7017 7190 / Email: cs@iff-training.com

In-Company Training

The International Faculty of Finance hasbeen the world leader in specialist in-company training for over 20 years. Weexcel at designing and providingcustomised training solutions which meetyour organisational goals, objectives andbusiness challenges, whilst delivering anoutstanding return on investment.

Our international faculty of expert trainerswill create the perfect programme for yourneeds. Our in-company courses can alsosave you up to 40% compared to traditionalpublic courses, making big savings ontravel costs and reduced time away fromthe desk.

IFF delivers in-company training to clientsall over the world, at all levels within anorganisation across every sector of bankingand finance. This is what makes us sosuccessful in meeting the diverse needs ofour clients.

Not only does our reputation for quality makeus different from other training organisations,but we have a passion to ensure that ourcourses surpass the expectations of ourclients, not just meet them.

Rest assured - that when choosing IFF notonly are you making a safe decisionfinancially and professionally – we guaranteethe results you need to achieve from training.When it comes to improving the skills,knowledge and performance of your team,department or organisation – IFF in-companytraining is the ultimate solution.

Contact us to discuss further: +44 (0)20 7017 7193 | jhearn@iirltd.co.uk

www.iff-training.com • Tel: +44 (0)20 7017 7190 • Email: cs@iff-training.com4

Why choose IFF In-company Training?

� Cost Efficient � Customised Content � Convenient � Specially Selected Trainer � Free Pre-course Assessment � Consistent Quality � Post Course Evaluation � Dedicated Account Manager � Dedicated Logistics Manager � Tailored Course Materials � Interactive & Practical � Case Studies – Tailored to Specific

Regions & Sectors

Watch the video here: www.iff-training.com/INCVID

PROJECT FINANCEMODELLING

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What happens if I have to cancel?The following charges will apply for written notice received: 30 +days before the course: 10%, 15–30 days before the course: 50%,1–15 days before the course: 100%In the unfortunate event that a course is cancelled, IFF Ltd are notliable for any costs incurred by participants in connection with thecourse.

TransfersThe following charges will apply for written notice received: 30 +days before the course: free of charge; 15–30 days before thecourse: 10%, 1–15 days before the course: 100%

Data Protection The personal information shown on this form, and/or provided by you,will be held on a database and may be shared with other companiesin the Informa Group in the UK and internationally. If you do not wishyour details to be available to other companies in the Informa Groupplease contact the Database Manager at the above address, Tel +44 (0)20 7017 7077, Fax +44 (0)20 7017 7828 or email: integrity@iirltd.co.uk.

Occasionally your details may be obtained from, or made available to,external companies who wish to communicate with you offers relatedto your business activities. If you do not wish to receive these offers,please tick the box. □

Incorrect Mailing If you are receiving multiple mailings or you would like us to changeany details or remove your name from our database, please contactthe Database Manager at the above address,Tel +44 (0)20 7017 7077, Fax +44 (0)20 7017 7828 or email:integrity@iirltd.co.uk – quoting the reference number printed on themailing label.

International Faculty of Finance, KNect House30-32 Mortimer HouseLondon W1W 7RE

www.iff-training.comTel: +44 (0)20 7017 7190 / Email: cs@iff-training.com

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5ways to register...1 Tel: +44 (0)20 7017 71902 Fax: +44 (0)20 7017 78023 Email: cs@iff-training.com4 Web: www.iff-training.com5 Mail: Customer Service Manager

International Faculty of Finance KNect House30-32 Mortimer HouseLondon W1W 7RE

Save money with in-house training

SAVE up to 40% and improve performance with our cost-effective tailored in-house courses

Contact Jeff Hearn for more details: +44 (0)20 7017 7190jhearn@iirltd.co.uk

IFF Training is accredited by the British AccreditationCouncil (BAC). The British Accreditation Council isrecognised internationally and provides the clearest markof educational quality and excellence. Accreditation byBAC is recognised by the UK Border Agency so the factthat IFF is BAC-accredited should help with your visaapplication.

If you would like us to contact you with a registration form via email,please tick which date you wish to register for, providing your contactdetails below in BLOCK CAPITALS. You can send this to us, using thecontact details above.

Course: 3 day IFF Project Finance Modelling CourseVenue: Central London

□ 1-3 March 2017 (FLF3938)

Full Name:

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Administration Details:Cost: Including documentation, lunch & refreshments yourinvestment in this course is £2399 + VAT= £2878.80The VAT is subject to change and may differ from the advertised rate. The amountyou are charged will be determined when your invoice is raised. (Our VAT numberis: 365 4626 36)

Register by Register after26 February 2016 26 February 2016

Course fee £2199.00 + VAT @ 20% £2399.00 + VAT @ 20%= £2638.80 = £2878.80SAVE £200

PLACES CANNOT BE GUARANTEED UNTIL FULL PAYMENT HASBEEN RECEIVED.Methods of Payment (Our VAT no is 365462636):By Bank Transfer, Cheque or Credit Card*if you would like to pay by credit card, please register via our secure paymentswebsite at www.iff-training.com, otherwise details of alternative ways to pay will beon the invoice you receive after registration. To ensure we provide the highest levelof security for your credit card details we are unable to accept such payments viaemail or fax which ensures that these details are never stored on our network.

□ 13-15 September 2017 (FLF4248)