High Yield Report articles from August 2004

High Yield Report archives from August 2004

Strategy.(Mutual funds)
August 2, 2004... The high yield market has seen heavy outflows from mutual funds this year - over $12 billion year-to-date, according to Deutsche Bank - helped in part by the greatest monthly outflows in history in May, at $5.4 billion. At just under $1...

US Company News.
August 2, 2004... Auto suppliers focused purely on the US market are forecasting a rather stormy outlook for the second half of the year, whereas those that have a greater presence overseas will do much better, sources told HYR last week. That's good news...

Restructuring.(Telecommunications regulations)
August 2, 2004... Just as market players thought the worst of the telecommunications downturn had passed, another major bump in the road has emerged for companies in the sector. Last month's decision by the Federal Communications Commission (FCC) to adopt an...

The Word Is.(Market research)
August 2, 2004... August is here, and while the European market has packed its bags for the summer vacation, the US market continues to pump out deals. Some $6.5 billion is slated for issuance over the next week or so, according to KDP Investment Advisors, and...

Europe.(Market research)
August 2, 2004... The continual search for yield across the credit markets has driven new investor groups into Europe's traditionally clubby and private mezzanine market. Larger deal sizes, increased liquidity and an ever-more active secondary market have all...

Regulation.
August 2, 2004... The Securities and Exchange Commission recently published a proposal that would require hedge fund advisors to register with the regulatory body. William Donaldson, SEC chairman, who fought for the hedge fund registration proposal in a 3-to-2...

Profile.(Interview)(Interview)
August 2, 2004... Having built a strong global credit platform, State Street Global Advisors, which manages over $121 billion in global bond assets, is looking to grow its high yield assets, currently at approximately $600 million. HYR's reporter, Joy Ferguson,...

Jefferies Hires New Co-Director Of Research.(Brett Levy)(Brief Article)
August 2, 2004... Jefferies & Company, the principal operating subsidiary of Jefferies Group, announced the addition of Brett Levy as a senior research analyst, managing director, and co-director of high yield research. Levy will cover the metals sector and...

Collateralized Loan Obligation Default And Prepayment Data - The Unified Front.
August 2, 2004... Many collateralized loan obligation (CLO) investors, too distracted with defaults and recovery data, are ignoring the influence of loan prepayment speeds, say some market pundits. "To look at defaults and not prepayments - you don't get a good...

Facelift Set For CDO League Tables.(Collateralized debt obligations)
August 2, 2004... The criteria for collateralized debt obligations (CDO) league tables will change this month as Thomson Financial unveils six new tables in its second quarter wrap-up. Not since their inception have CDO league tables garnered such attention and...

Gainers & Losers: Boise Cascade/Delta.(Boise Cascade Corp.)(Delta Air Lines Inc.)(Brief Article)
August 2, 2004... Boise Cascade dominated the gainers last week, with its 8.28% notes of 2013 trading up 14 points to 116.625. Boise's other notes all traded up between six to 19 points. The huge gain in the bonds came on the back of news that the company would...

AMG Data Services.(Brief Article)
August 2, 2004... AMG Data Services reported outflows from high yield mutual funds of $358 million for the week ending July 28. This marks the first week of outflows following four successive weeks of inflows. Year-to-date outflows are now $4.774 billion. ...

Sector Analysis.(Crompton Corp.)
August 9, 2004... The chemical sector was busy last week, with three new deals on the table. Crompton Corporation, Borden Chemicals and Innophos, a unit of France's Rhodia SA, all announced new deals for the primary market. While investors were attracted to...

Downgrades.
August 9, 2004... AT&T was the big fallen angel story last week, as Standard & Poor's caught up with both Fitch Ratingsand Moody's Investors Service in downgrading the company to speculative-grade from high grade status. While the move into high yield is...

Us company news.(Keybank)
August 9, 2004... Amid the increasing number of tribal gaming debt transactions hitting the market over recent months, KeyBank has decided to capitalize and expand on its own expertise in the entire US tribal space by launching a new financial services strategy...

The Word Is.(Telecommunication Industry Securities)(Brief Article)
August 9, 2004... Despite the seemingly endless supply of new deals in the US primary market - $7 billion in new deals priced in July - at $6 billion, the crop of fallen angel paper entering the US high yield indices certainly rivals last month's new issuance...

LBOs.(Leveraged buyouts)
August 9, 2004... There has been a rise in sponsor-to-sponsor leveraged buyouts in the market lately, and some high yield investors are expressing concern over the deals. While these deals seem to be becoming more popular in the market, some in the business are...

Europe.
August 9, 2004... The European primary market might be taking a break over the dog days of summer, but it has certainly worked hard for its break during the first half of 2004. In what is gearing up to be one of the busiest years in the market's seven-year...

Q&A.(Interview)(Interview)
August 9, 2004... The hottest business on Wall Street today, many say, is the derivatives business, and banks have been adding the greatest number of new staff to their derivatives desks. This market has grown exponentially over the past couple of years,...

Market Buzz.(Banking Industry Acquistions)(Brief Article)
August 9, 2004... HYR's sister publication, Investment Management Weekly (IMW), reported last week that New York-based investment manager MacKay Shields has acquired part of the high yield/global high yield portfolio management team from Pareto Partners. ...

Market Buzz.(Appointments)(Brief Article)
August 9, 2004... Gimme Credit, the leading provider of independent credit research to portfolio managers, has expanded its senior analyst team to accommodate the growing demand for independent research coverage of corporate bonds. The firm brought in four top...

Market Buzz.(Cedarview Capital Management formation)(Brief Article)
August 9, 2004... Burton Weinstein and Jeff Schachter announced the launch of Cedarview Capital Management, sponsored by Capital Z Investments, which will focus on long/short high yield strategies as well as other credit-oriented investment opportunities. The...

Market Buzz.(default rate )(Brief Article)
August 9, 2004... The global speculative-grade default rate dropped to 2.9% in July from a revised rate of 3.4% in June, according to Moody's Investors Service. July's rate is the lowest it has been since January 1999. July's default rate is down from 5.2% at...

Market Buzz.(Steel Industry Trendz)(Brief Article)
August 9, 2004... The market was buzzing with rumors that leading international metal company, Corus, might be returning to market with its postponed high yield bond in the near future. Corus pulled a proposed 250 million deal back in May when the primary market...

Market Buzz.(Satellite communications services industry)(Brief Article)
August 9, 2004... PanAmSat Corp. was the talk of the market last Thursday, following the announcement that due to a propulsion failure it will lose one of its 24 satellites three years from now instead of in 11 years as planned. While this does not present any...

Market Buzz.(Halycon Management Co.)(Brief Article)
August 9, 2004... Todd Solomon recently joined Halycon Management Company in New York as a research analyst and generalist. He started earlier last month and will work with John Bader and Kevah Konner, portfolio managers at the hedge fund. Solomon previously...

Gainers & Losers: Pegasus/Delta.(Brief Article)
August 9, 2004... Among the biggest gainers last week were Pegasus Satellite Communications and Pegasus Communications. Pegasus Communications, the parent company, sold the satellite television's assets to DirecTV for $938 million in exchange for access to one...

Deal Focus.(Rainbow Media Holdings Inc. Evaluation)
August 16, 2004... Investors were less than positive over the new deal from Rainbow National Services (RNS) last week. The satellite-television business, a new spinoff from Cablevision Systems, planned to sell $800 million of debt, including $250 million of...

US Company News.(MGM Mirage issues bonds prior to possible merger)
August 16, 2004... Many investors quickly turned sour on MGM Mirage's drive-by deal which was announced and priced last Wednesday. The $550 million senior note deal, led by Banc of America Securities and Citigroup, priced at 6.75% and matures in 2012. In June,...

Europe.(Crown European Holdings issues bonds)
August 16, 2004... In a move that participants described as either "ballsy" or "madness," Crown European Holdings [formerly known as Crown Cork & Seal (CCK)] priced 350 million of first priority senior secured notes last week, via lead manager, Citigroup. Lehman...

The Word Is.
August 16, 2004... Crown European Holdings' audacious move to price a deal at the height of the European summer not only dredged up an old bone of contention between European and US professionals - the lengthy summer break that most Europeans get while their US...

Restructuring.(Trump Hotels & Casino Resorts )
August 16, 2004... When Trump Hotels & Casino Resorts said last week that it would file for voluntary bankruptcy and named UBS as its restructuring adviser, it was adding yet another link to the chain of Donaldson, Lufkin & Jenrette bankers it had already hired,...

Profile.(BB&T Capital Markets)(Company Profile)
August 16, 2004... BB&T Capital Markets, a division of Scott & Stringfellow, a broker-dealer subsidiary of BB&T Corp., is expanding its high yield business. Discussions are currently underway with Fieldstone Private Capital Group to bring over a portion of its...

Market Buzz.(briefs)
August 16, 2004... RBC Capital Markets recently hired BNP Paribas's former managing director and head of high yield trading, Rob Lambert. Lambert joined RBC late last week as a high yield trader reporting to Angus Rogers, head of high yield trading. Lambert...

AMG Data Services.(finance)(Brief Article)
August 16, 2004... AMG Data Services reported outflows from high yield mutual funds of $91.4 million for the week ending August 11. For the week ending August 4, AMG recorded outflows of $29.3 million. This is the third week that cash has exited the funds after a...

Gainers & Losers: Adelphia/Delta.(securities)(Brief Article)
August 16, 2004... Adelphia Communications was one of the big gainers last week. Its 10.25% notes of 2011 traded up six points to 92.625, on news that the auction for the company's sale was set for early to mid-September. Bondholders reacted positively to the...

Strategy.(investors planning)
August 23, 2004... Investors are taking advantage of these slow, summer days to reevaluate their portfolios and carefully select new credits for inclusion, while weeding out those that no longer offer value relative to the pack. Just as there are many different...

Sector Analysis.(cable companies and telecommunications industry analysis)
August 23, 2004... Cable companies are beating out telco companies in the highly competitive and converging environment, said Moody's Investors Service, in a recent teleconference. The rating agency's cable and telco analysts concluded that cable companies are...

LBO.(Leveraged buyouts)
August 23, 2004... Deutsche Bank, Credit Suisse First Boston and Lehman Brothers have been pinned to lead the mammoth financing package backing the $5 billion buyout of satellite operator Intelsat. Apax Partners, Apollo Management, Madison Dearborn Partners and...

The Word Is.(securities market)
August 23, 2004... Finally, with just over a week until August draws to a close, there was evidence of a slowdown in the US primary market. Last week, only five deals for just under $800 million priced, compared with 12 deals or $4.5 billion of new supply the...

Syndicated Loans.
August 23, 2004... For the first time since January 2003, banks in Europe eased their lending standards to both households and corporate entities during the second quarter of 2004, the European Central Bank (ECB) reported in its latest quarterly euro area bank...

US Company News.(Xerox ratings)
August 23, 2004... It was one of the more high-profile fallen angels in its time, and for a while, Xerox bonds were extremely popular with high yield investors. Now, though, the era of fallen angels is over. Earlier this month, Xerox was upgraded by Moody's...

Feature.(electric utilities ratings)
August 23, 2004... Their balance sheets were in a pretty shabby state, to say the least, but US utilities - electric, gas, pipeline and water companies - are demonstrating clear signs of improvement. So much so that the pace and scale of negative rating actions...

Market Buzz.(banking sectors recruitment)
August 23, 2004... High yield salesmen Peter Parent and Ken Ambrecht and high yield analyst Jim Wolf left RBC Capital Markets last week to join First Albany's high yield team, in a new office in Greenwich, according to market sources. Bob Campbell, head of...

Gainers & Losers: Delta/Burlington.(Delta Air Lines)
August 23, 2004... It was a turnaround for Delta Air Lines last week, as its 10.08% notes of 2016 gained six points to trade at 34.625. The company is working to amend its indentures to buy back bonds, especially the secured notes, which were all up roughly four...

Gone Fishin'.(High Yield Report publishing)(Brief Article)
August 23, 2004... High Yield Report will be taking a break from its publishing schedule over the next two weeks. As a result, there will be no issue on Monday Aug. 30 and Monday Sept. 6. The next issue of HYR will be published on Sept. 13.