Non-industry-specific term that refers to the reorganization of a company or other entity in response to a change in market conditions. It usually refers to the realignment of certain divisions within a company or to fundamental changes in the way that products and services are produced or provided.

In the energy industry, vertically-integrated utilities must often restructure themselves to meet legislative requirements in a newly-deregulated marketplace. Historically, utility companies were expected to provide all required services from electrical generation through to billing, but they may not be permitted to maintain control over more than one aspect of their former business once competition is established in their marketplace.

Restructuring differs from deregulation in that restructuring is what businesses do in response to actions by regulators. Deregulation is what regulators do.

See also: