Spreads Tighten On AT&T After Bond Buying Rally

  • 26 Nov 2001
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Credit-default protection tightened more than 30 basis points on AT&T following buyside demand for a USD10.9 billion global note offering it issued Nov. 15. New York-based credit derivatives traders reported that the U.S. long-distance telephone and cable giant was among the most heavily traded last week. Spreads on AT&T tightened to about 161bps last Tuesday from 210bps a week earlier as interbank market players looked to sell protection. "Essentially what happened was the bond deal was priced very cheap and it caused a buying rally, which brought spreads in," one trader said. The multi-part global bond offering was the fourth-largest corporate bond issue ever. Some USD7 billion was in dollar-denominated notes and bonds while the remaining portion was split into two euro-denominated tranches. The U.S. offering was sold in three portions, a USD1.5 billion 2.58% five-year tranche, a USD2.75 billion 2.78% 10-year tranche and a USD2.75 billion 2.95% 30-year tranche. Press officers at AT&T did not return calls.

According to Rosemarie Kalinowski, a rating analyst at Standard & Poor's in New York, AT&T's BBB plus rating will remain on credit watch for a possible downgrade, despite the recent bond sale because the company has suffered a steep decline in long-distance voice revenue. The revenue drop is expected to continue through next year because of the growth of the competing wireless industry and ongoing competition from the regional telephone companies.

  • 26 Nov 2001

All International Bonds

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 13 Mar 2017
1 JPMorgan 94,925.33 384 8.39%
2 Citi 87,531.58 331 7.74%
3 Bank of America Merrill Lynch 84,341.49 288 7.46%
4 Barclays 75,288.19 241 6.66%
5 Goldman Sachs 68,504.71 208 6.06%

Bookrunners of All Syndicated Loans EMEA

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 16 May 2017
1 Deutsche Bank 19,381.65 47 8.82%
2 Bank of America Merrill Lynch 18,968.25 36 8.63%
3 HSBC 18,103.95 50 8.24%
4 BNP Paribas 8,911.57 55 4.05%
5 SG Corporate & Investment Banking 8,885.00 54 4.04%

Bookrunners of all EMEA ECM Issuance

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 23 May 2017
1 JPMorgan 8,714.26 35 8.36%
2 UBS 8,283.47 33 7.95%
3 Goldman Sachs 7,736.57 37 7.42%
4 Citi 6,897.11 46 6.62%
5 Bank of America Merrill Lynch 6,215.31 24 5.96%