F+W Publications Sends Up Red Flag To Investors

F+W Publications warned lenders last week that it may breach covenants on its $400 million credit, causing the company's second lien to drop more than 10 points.

  • 28 Oct 2005
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F+W Publications warned lenders last week that it may breach covenants on its $400 million credit, causing the company's second lien to drop more than 10 points. As CIN went to press Friday, lenders were preparing for an 11:30 a.m. conference call to get to the bottom of the company's problems. "Nobody knows what's going on," said one investor before the call. "It looks like quite a mess. If they need an amendment, it will be very expensive."

F+W alerted lenders of its covenant concerns in a memo Wednesday night. Investors speculated the company was having a problem with its inventory accounting because of an IT glitch in an inventory management system. The initial reaction in the secondary market was not good. "It fell off the cliff, I guess they are playing 'Where's Waldo,' as they are looking for the books," an investor said. On Thursday the first lien was listed between 94 1/2 -97 and the second lien was 85-95, but tightened to 85-93 at close, a third investor said. According to Markit, the second lien had been trading at 101-102 at close Wednesday. It is rumored one investor picked up some of the second lien at 85 on the assumption that although there may be a glitch in the system, it is still a real company that sells a lot of product.

The credit comprises a $50 million revolver, a $250 million first lien and a $100 million second lien. ABRY Partners bought F+W from Providence Equity Partners for $500 million in July. JPMorgan and Credit Suisse First Boston did the staple financing, leading the $400 million deal for the transaction. Peggy Koenig, a partner at ABRY, and officials at F+W, did not return calls. A CSFB banker declined comment, as did a JPMorgan spokesman.

  • 28 Oct 2005

All International Bonds

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 18 Jul 2017
1 Citi 244,235.70 910 8.87%
2 JPMorgan 223,767.95 1021 8.13%
3 Bank of America Merrill Lynch 211,276.97 750 7.68%
4 Barclays 166,062.82 634 6.03%
5 Goldman Sachs 162,877.27 537 5.92%

Bookrunners of All Syndicated Loans EMEA

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 21 Jul 2017
1 HSBC 25,385.87 103 7.10%
2 Deutsche Bank 25,125.19 81 7.03%
3 Bank of America Merrill Lynch 22,023.57 59 6.16%
4 BNP Paribas 18,766.65 109 5.25%
5 Credit Agricole CIB 18,157.63 105 5.08%

Bookrunners of all EMEA ECM Issuance

Rank Lead Manager Amount $m No of issues Share %
  • Last updated
  • 18 Jul 2017
1 JPMorgan 12,578.87 55 8.17%
2 Citi 11,338.07 71 7.36%
3 UBS 10,682.06 44 6.93%
4 Goldman Sachs 10,419.53 53 6.76%
5 Morgan Stanley 10,194.88 57 6.62%