A team is finishing the third release for a stakeholder demo. The subcontractor for developers reports cash-flow problems and cannot provide the same resources for future iterations. What should the project manager do next?

The project manager's immediate next step should be to analyze the impact of the subcontractor's issue on the release plan. This allows for an understanding of the potential consequences (e.g., delays, scope reduction, quality issues) before deciding on a course of action. Without this analysis, any subsequent decisions would be uninformed. Creating a risk register is a good practice, but the immediate need is impact analysis. Escalating to the sponsor or working with the product owner are potential later steps, but only after understanding the problem's magnitude.