reorganization

noun
re·​or·​ga·​ni·​za·​tion | \ (ˌ)rē-ˌȯr-gə-nə-ˈzā-shən How to pronounce reorganization (audio) , -ˌȯrg-nə-\

Definition of reorganization

: the act or process of reorganizing : the state of being reorganized especially : the financial reconstruction of a business concern

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Other Words from reorganization

reorganizational \ (ˌ)rē-​ˌȯr-​gə-​nə-​ˈzā-​shnəl How to pronounce reorganizational (audio) , -​shə-​nᵊl \ adjective

Examples of reorganization in a Sentence

Recent Examples on the Web The other 11 were among the scores of quasi-governmental agencies that continue to plead for relief from pension costs that continue to soar far higher since Seven Counties filed for reorganization under bankruptcy laws. Tom Loftus, The Courier-Journal, "Kentucky high court rules mental health center can't escape pension costs with bankruptcy," 29 Aug. 2019 The chain filed for Chapter 11 reorganization in September 2017 after buckling under competition from Amazon and several billions of dollars of debt from a 2005 leveraged buyout. Los Angeles Times, "Private equity has killed 600,000 retail jobs, study says," 24 July 2019 Hamilton Sundstrand became a part of UTC Aerospace in a reorganization after UTC bought Goodrich Corp., an aerospace manufacturer, in 2012. Stephen Singer, courant.com, "Pratt & Whitney president to retire next year as UTC and Raytheon combine in aerospace and defense merger," 25 June 2019 Matt Tedone, pictured with his daughter Jacqueline and son David in Sunnyvale, Calif., was unemployed for 10 months after his employer filed for bankruptcy reorganization. Ruth Simon, WSJ, "‘Just Unbearable.’ Booming Job Market Can’t Fill the Retirement Shortfall," 20 Dec. 2018 SmartDrive did not respond to inquiries on how many new jobs would be added, nor whether this round was part of a reorganization of SmartDrive’s equity structure. San Diego Union-Tribune, "San Diego’s hub of truck tech startups gets fresh cash — $90M for SmartDrive," 12 Sep. 2019 The reorganization plan is an attempt to address the bank’s high operating costs in relation to revenue. Jack Ewing, New York Times, "Deutsche Bank Scales Back Ambitions, Announcing Job Cuts and Reorganization," 7 July 2019 The litigation trust will distribute the $200 million to unsecured creditors based on a formula approved in the Tribune Co. reorganization plan. Robert Channick, chicagotribune.com, "Ten years after Tribune Co. 'deal from hell,' Zell and other former execs agree to pay $200 million to settle leveraged buyout lawsuit," 14 June 2019 The installation management command, which is responsible for Army housing among other things, came under Perna’s control in March as part of an Army reorganization. Lee Roop | Lroop@al.com, al, "Alabama’s top general fires 3-star underling for 'loss of confidence’," 19 Aug. 2019

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'reorganization.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

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First Known Use of reorganization

1751, in the meaning defined above

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Statistics for reorganization

Last Updated

1 Nov 2019

Time Traveler for reorganization

The first known use of reorganization was in 1751

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More Definitions for reorganization

reorganization

noun

Financial Definition of reorganization

What It Is

Reorganization may refer to the rehabilitation of a company's finances pursuant to a bankruptcy. It can also refer to any process that affects the tax structure of a corporation. In addition, reorganization may refer to a merger or acquisition or sale of a company that changes the ownership, stock, or legal and management structure.

How It Works

Reorganization is a formal court-supervised process of restructuring a company's finances after a bankruptcy. In accordance with bankruptcy laws, specifically Chapter 11, a company is given protection from creditors during the time period when the company proposes and a bankruptcy court reviews and approves a specific reorganization plan. The reorganization is intended to repay creditors to the maximum extent possible and to restructure the company's finances, management, and operations to prevent the same problem from arising again.

A company may reorganize itself, including its legal or corporate structure to take advantage of existing or new tax regulations.

A merger or acquisition of a company may result in a reorganization of the company ownership, equity structure, management, and operations to take advantage of the efficiencies of new management, new technologies, and new capital assets.

Why It Matters

Reorganization is an important step for a business since it has the potential to open up new opportunities, increase efficiencies and profits, and give legal and financial protection during difficult times.

Source: Investing Answers

reorganization

noun
re·​or·​ga·​ni·​za·​tion | \ ˌrē-ˌȯr-gə-nə-ˈzā-shən How to pronounce reorganization (audio) \

Legal Definition of reorganization

1 : the act of reorganizing : the state of being reorganized
2a : the rehabilitation of the finances of a business in accordance with a plan approved by a bankruptcy court under the provisions of chapter 11 of the Bankruptcy Code
b : any of various procedures (as recapitalization or merger) that affect the tax structure of a corporation under the Internal Revenue Code and often produce favorable tax treatment
A reorganization \ ˈā-​ \
: a reorganization that consists of a merger or consolidation which complies with the requirements of applicable state statute
B reorganization \ ˈbē-​ \
: a reorganization involving the acquisition by one corporation of the stock of another corporation in exchange solely for all or some of the voting stock of the acquiring corporation or its parent either of which has control of the acquired corporation immediately after the acquisition
C reorganization \ ˈsē-​ \
: a reorganization involving the acquisition by one corporation of substantially all of the property of another corporation in exchange solely for all or part of the voting stock of the acquiring corporation or its parent regardless of any liability assumed by the acquiring corporation as a result of the acquisition
D reorganization \ ˈdē-​ \
: a reorganization involving a transfer by a corporation of all or part of its assets to another corporation that results in control of the other corporation being immediately placed in the transferor or one or more of its shareholders or both but under which the stock or securities of the other corporation must be distributed in a qualified transaction — see also spin-off, split-off, split-up
E reorganization \ ˈē-​ \
: a reorganization that consists of a recapitalization
F reorganization \ ˈef-​ \
: a reorganization consisting merely of a change in the identity, form, or place of organization of a corporation
G reorganization \ ˈjē-​ \
: a reorganization involving a transfer by a corporation of all or part of its assets to another corporation under a bankruptcy or similar proceeding provided that the stock or securities of the other corporation are distributed in a qualified transaction
3 : alteration of the existing structure of governmental units (as bureaus or legislative committees) and the lines of control and authority between them usually to promote greater efficiency and responsibility

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