05 JA (Fully Signed)Redacted__Redacted.pdf

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CFRD analysts have been utilizing various industry subscriptions that provide information on bankruptcies, company distresses, and credit ratings to make determinations for their caseloads. They must have access to multiple subscriptions because many of the available subscriptions are utilized by banks, and the unique/subjective focus of the information each source gathers and analyzes often have altering or contradictory analysis of real-time business intelligence. Relying wholly on one subscription’s services would not give CFRD a broad enough picture of the possible risks of a plan sponsor.

Pitchbook provides a uniqueness in this web-based public records database service that is not offered under the other software subscriptions explained above. These uniqueness’s include access to proprietary quantitative models, and data that researches and analyzes deals, investors, and other pertinent credit information, and weekly report packages that provide data, feature stories, and a distressed watch list which tracks companies in distress and/or nearing bankruptcy.

The need to have comparable information for CFRD has led to ongoing research into the various subscriptions available on the market, as well as product testing and eventually subscription contracts for most of the platforms. As a result of these continuing efforts, CFRD has extensive familiarity with available industry offerings. The following subscriptions outline past and current contracts:

Thompson Reuters - Previous contract number: 16PBGC19C0038 Debtwire - Current contract: 16PBGC19C0009 Pitchbook - Previous contract: 16PBGC18P0025 / Current contract: 16PBGC22C0030 CreditSights - Previous contract: PBGC01CT150036 / Current contract: 16PBGC20C0025 ReOrg Research – Current contract: 16PBGC24P0011

A review of the current contracts resulted in a determination that they could not be further leveraged to meet CFRD’s needs.

As stated in the previous section, CFRD currently has a contract in place with PitchBook as well as with Creditsights, Debtwire, ReOrg and had a past contract with Thompson Reuters that was allowed to expire without exercising options. Analysis and familiarity with these services allowed CFRD to determine that none of the current contracts provide the same breaking news and internal analysis that Pitchbook does. Therefore, current contracts cannot be further leveraged because they do not provide the same analysis that Pitchbook does.

An assessment was conducted to determine if any new businesses were available within the marketplace that still meets CFRD’s needs. It was determined that no other viable subscriptions currently exist within industry not already awarded under a PBGC contract that can provide the unique services offered by the Pitchbook subscription. Though there are some minor overlaps with the other subscriptions on contract, the only current direct competitors to Pitchbook is Mergermarket’s Debtwire, which PBGC already has an awarded contract with.

Since these subscriptions are already on contract and is being utilized to its maximum capacity, CFRD needs to maintain its use of Pitchbook because it fulfills aspects of CFRD’s needs that the other subscriptions do not. Market research was also conducted to determine if PBGC’s requirement could be satisfied through the use of Government Sources (GSA Schedules and GWAC sources). An RFI was released on SAM.gov by PBGC on June 6, 2024 for the purpose of identifying all sources with the capability to provide customer support for the requirement needs of PBGC.

The results of the RFI came back non-responsive as PBGC received zero responses to the released RFI.

Given the results of the RFI release, PBGC has determined that moving forward with this need on a Sole Source basis under FAR Part 13 to re-acquire Pitchbook is in the best interest of the Government.

5. DEMONSTRATION THAT THE CONTRACTOR’S UNIQUE QUALIFICATIONS OR THE NATURE OF THE

ACQUISITION REQUIRES THE USE OF THE AUTHORITY CITED

6. DESCRIPTION OF EFFORTS MADE TO ENSURE THAT QUOTATIONS/OFFERS ARE SOLICITED FROM

AS MANY POTENTIAL SOURCES AS PRACTICABLE

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Determination: A determination that the cost/price is fair and reasonable will be made by the Contracting Officer before the contract action is issued.

The following subscriptions outline past and current contracts, alongside which is a brief description of why they were/are not offering sufficient information for CFRD analysts:

Thompson Reuter Previous contract number: 16PBGC19C0038

This subscription provides a database of comprehensive aftermarket research, third party equity research contributors, and access to original document history. They also have an extensive corporate transaction database with history dating back to 40+ years. This subscription was previously under contract, but the platform was not user friendly and did not provide specific information on unsecured creditors required by CFRD financial analysts, so the contract was allowed to expire in February of 2023. The Debtwire subscription outlined below offers services that replaced the Thomas Reuter contract.

Debtwire Current contract: 16PBGC19C0009

This subscription is currently under contract as offered by Ion Analytics/Mergermarket. They have provided satisfactory service and currently offer many of the same services as outlined in section 2, but do not provide extensive proprietary business information. While utilizing the subscription, CFRD discovered that more than 80% of Debtwire's content is aggregated from third-party sources without the incorporation of any proprietary analysis or additional value to clients. Further analysis on the press release comes much later if at all. Debtwire does not provide proprietary real-time flash alerts, nor the specific and fundamental data required to uncover mispriced and misunderstood credits and stay ahead of the market.

Though access to Debtwire’s information is still needed by CFRD, the COR has determined that analysts cannot rely solely on Debtwire’s services and cannot further leverage the access that it already has to Debtwire tools.

Standard & Poor / Pitchbook Previous contract: 16PBGC18P0025 Current contract: 16PBGC22C0030

CFRD had utilized Standard & Poor’s/Capital IQ Leveraged Commentary and Data (LCD) product for several years.

LCD was acquired by Morningstar and provided a subscription called Pitchbook, which offered similar services. Two contracts (initial and follow-on) have been awarded to Morningstar for Pitchbook.

Pitchbook provides information pertaining to leveraged finance news, analysis, and data of the US/European leveraged loan and high-yield bond markets, from deal inception through the secondary markets in real time. While there is some overlap with Bloomberg, the uniqueness of Pitchbook’s web-based public records database service is offer of access to proprietary quantitative models, and data that researches and analyzes deals, investors, and other pertinent credit information. The service also offers weekly report packages that provide data, feature stories, and a distressed watch list which tracks companies in distress and/or nearing bankruptcy. As PBGC’s risk managers, CFRD needs as much insight and perspective as is attainable to monitor and evaluate the health of these companies.

CreditSights Previous contract: PBGC01CT150036 Current contract: 16PBGC20C0025

CreditSights is a risk analysis product subscription that enables CFRD to utilize a proprietary quantitative model to analyze up to 200 companies to determine the short-medium term probably of default of participant pay on a quarterly basis. CreditSights also provides access to a Fundamental research Risk Module, and the RP bond score within this service subscription. These services fulfil a portion of CFRD’s needs, but do not address the critical needs outlined in section 2 and cannot be further leveraged.

7. DETERMINATION BY THE CONTRACTING OFFICER THAT THE ANTICIPATED COST TO THE

GOVERNMENT WILL BE FAIR AND REASONABLE

8. DESCRIPTION OF THE MARKET RESEARCH CONDUCTED AND THE RESULTS, OR A STATEMENT

OF THE REASON MARKET RESEARCH WAS NOT CONDUCTED

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