Bank Loan Report articles from February 2004

Bank Loan Report archives from February 2004

Goodyear Blow Out May Mask Borrower's Future Hurdles.
February 2, 2004... The Goodyear Tire & Rubber Company's new $300 million term loan came and went in a syndication flash last week, when the add-on tranche blew out in a matter of hours and ended up three times oversubscribed. The deal's success, however, may...

UBS Captures Lead In LBO Rush.
February 2, 2004... As the long-awaited leveraged buyout rush finally kicks in, a surprise name is leading the charge: UBS. It started the year in 11th place in Thomson Financial's US leveraged syndicated loan league table, and is now lead-manager on four of...

AEG: Prepping For The Cycle's Turn.
February 2, 2004... There may be fewer high profile restructuring cases these days, but AEG Partners LLC, a strategic advisory firm offering comprehensive restructuring, turnaround and crisis management services for troubled companies, is not concerned about any...

Solo Cup's Jumbo Acquisition Deal Launches This Week.(SF Holdings)(Hoffmaster Tissue)(The Fonda Brands)(Brief Article)
February 2, 2004... Citigroup and Bank of America went out to managing agents last week with an $800 million credit facility for Solo Cup Company, and retail syndication for the deal is expected to launch today. The bank credit backs the single-use cup, plate...

Buffets To Dish Out Second Dividend With Recap.(Buffets Holdings )
February 2, 2004... Tacking on an additional $90 million in net debt to its capital structure, Buffets Holdings revisited the debt markets last week to launch syndication of a recapitalization package. The deal will dish out a $114 million dividend to the...

CDO Consolidation Worries Reversed Under Revised FIN 46.(BlackRock)(Lincoln National )
February 2, 2004... What a year it was for BlackRock, which consolidated six collateralized debt obligations (CDOs) onto its balance sheet in September - with assets and liabilities increasing more than $2.5 billion - only to lift it all back off in January...

Links Wraps Up First 2004 CDO While Banc One Ramps Up Deal.(Links Securities)(LightPoint Capital)(collateralized debt obligation)
February 2, 2004... A high yield collateralized loan obligation (CLO) takes the prize for being the first visible US CDO issuance to price in 2004. Sources report Light Point I, a $409 million arbitrage cash flow vehicle, priced in line with spread talk last week....

Bank v. Bank: Enron Litigation Shifts To Next Stage.
February 2, 2004... The suits filed by senior lenders against arranger banks that worked closely with Enron shifted gear moving into 2004, adopting a consolidated approach which may benefit plaintiffs, even as the list of potential defendants has grown. ...

Fitch Risk And LMA Initiatives Support Euro Loan Market.(European Loan Loss Database)
February 2, 2004... Fitch Risk, an affiliate of Fitch Ratings launched its European Loan Loss Database (ELLD) last week through its CreditVantage service. CreditVantage uses quantitative techniques to deliver credit risk assessments, while ELLD offers advisory...

Aladdin Capital Taps Market For First Loan Fund.(Aladdin Capital Management )
February 9, 2004... After wrapping up its Landmark III CDO (collateralized debt obligation) less than two months ago, Aladdin Capital Management is busy again putting together its very first loan fund, which is expected to total more than $500 million. "After...

Suit Against Citi Adds To CLN Ruckus.(credit-linked notes )
February 9, 2004... The specter of Enron is haunting the latest securities market to experience controversy - credit-linked notes (CLNs - and at least one institutional investor is seeking redress from Citigroup for structuring Enron-related CLNs. Most...

Wellman's 2nd Lien Sold On Three Desks.
February 9, 2004... For polyester products maker Wellman Inc., 2004 did not look promising. The company started the year with $324 million in long-term debt coming due ($30 million of it imminently), and a $140 million impairment charge weighing heavily on its...

Deutsche Bank To Shop Jumbo CalGen Refi.(Calpine Generating Company )
February 9, 2004... Deutsche Bank is set to lead a $2.3 billion debt package containing term loans and secured notes for Calpine Generating Company (CalGen), a subsidiary of Calpine Corp., and formerly known as Calpine Construction Finance Company II (CCFC II)....

Blackstone Launches Largest CLO Since 1998.
February 9, 2004... The Blackstone Group wowed the structured finance world last week when it launched the largest collateralized loan obligation (CLO) since 1998. At $1.022 billion, Monument Park CDO Ltd. is twice the size of most of the CLOs launched in the...

Calpine Generating Splits Bankers And Bondholders.(Calpine Generating Company )
February 16, 2004... Calpine Generating Company (CalGen) hit the market last week with a $2.3 billion refinancing package that found mixed investor reaction, although senior lenders appeared more favorable toward the $1.3 billion term loan. Deutsche Bank,...

TECO Buys 2nd Contingency Commitment.
February 16, 2004... Thank goodness for banking friends, although in TECO Energy's case it may become a testy friendship. TECO experienced credit pains last week when Moody's Investors Service downgraded $4.4 billion of its debt securities a notch to Ba2 on...

ABN Amro: The Balance Sheet Matters.
February 16, 2004... With increasing consolidation of banks in the US loan market, an issuer's ability to obtain an unfunded revolver is not as easy as it used to be, since there are fewer banks today that maintain enough balance sheet capacity to support the debt...

Pantry Revisits Market With Redux For Lower Rates.(Brief Article)
February 16, 2004... Credit Suisse First Boston and Wachovia Securities are planning to launch syndication of a refinanced $440 million credit facility for The Pantry. The deal is intended to provide increased financial flexibility and lower interest rates for the...

GE Capital Shops Sotheby's, Sonitrol, Playtex.
February 16, 2004... GE Capital has been busy this month, brewing up bank credits for Sotheby's, Sonitrol and Playtex Products. Sotheby's, an auction house, art-related financing and real estate brokerage conglomerate, is refinancing its existing senior...

Builders FirstSource Taps Market For Recap.(Brief Article)
February 16, 2004... UBS and Bear Stearns launched syndication last Wednesday of a $405 million dividend recapitalization deal for Builders FirstSource. The bank credit includes a five-year, $90 million revolver, a six-year, $150 million first lien term loan and a...

Private Equity Firms Confront SEC Regulation Scare.(Securities and Exchange Commission)
February 16, 2004... M&A activity has been on the rise, and private equity and leveraged buyout firms have been behind many of the credit market's recent leveraged transactions. But a new regulation that the Securities and Exchange Commission (SEC) is expected to...

S&P: Utilities' Credit Status Remains Challenged.
February 16, 2004... After a year crammed with financings helping utilities avoid bankruptcy, lenders might be tempted to view the sector through a glass half full. From a credit perspective, however, that could be a mistake. Standard & Poor's noted last week...

Allegheny Could Bode Well For Energy Companies.
February 23, 2004... Allegheny Energy's $1.6 billion credit last week signaled to borrowers in the troubled sector that credit prospects could be looking up. Commitments were due Feb. 20, and a banker said the second lien portion had filled up by Thursday,...

GE CFS: Seeks New Investment Prospects.(GE Corporate Financial Services )
February 23, 2004... Patience has become a virtue for GE Corporate Financial Services' Bank Loan Group (BLG) as it seeks to maintain an aggressive portfolio management strategy, even in the face of the US loan market's dire lack of supply. However, the group still...

Infrastructure Needs Refire Project Fin.(project finance sector )
February 23, 2004... After two years in the doghouse, the project finance sector is finally ready for a return to favor. Loan volumes have been rising steadily, and the bullish bond markets are becoming a popular financing arena. Given this rosy outlook, it's...

Calpine Generating Loan Relying On $600 Million Rating.
February 23, 2004... Investor commitments to Calpine Generating Co.'s (CalGen) $1.3 billion term loan remained sluggish last week, with subscription levels increasing just north of the $700 million mark by last Thursday's press time. Commitments reached $500...

Patriot Media Amends And Adds Debt.
February 23, 2004... Bank of New York is in the market with an amended and increased credit facility for Patriot Media & Communications. The $185 million deal is comprised of a seven-year, $120 million B term loan, a six-year, $40 million revolver and a six-year,...

BofA Shops Global Cash Buyout and EnerSys Recap.(Bank of America)
February 23, 2004... Bank of America hit the market last week with two new deals for Global Cash Access and EnerSys. With one facility supporting a buyout and the other a dividend recapitalization, market players were positive about the quality of the credits,...

Owens-Illinois To Raise Debt For BSN Glasspeck Purchase.
February 23, 2004... Owens-Illinois (O-I) is planning on raising about 1.3 billion in term debt to, in part, back its mammoth, 1.16 billion ($1.5 billion) acquisition of France-based glass container manufacturer BSN Glasspack. Investors appeared positive about the...

Structured Finance CDOs Brave Historic Tights.(collateralized debt obligations)
February 23, 2004... With collateral spreads historically rich, some collateralized debt obligations (CDOs) might never make it through the starting gate, especially if nearing the end of their investment periods, industry sources said. At the very least, the...

GE Commercial Finance Moves Closer To Detroit Auto Industry.
February 23, 2004... GE Commercial Finance Corporate Lending announced last week that it opened a new Detroit-area branch that will extend its services to Michigan and the automotive industry. The move puts the financial provider in close proximity to the companies...