NationsRent's debt was quoted in the mid-50s following an announcement early last week that the company had filed for Chapter 11 protection. The company announced last Monday that it had filed in an effort to restructure its debt. The company also obtained $55 million of debtor-in-possession financing led by FleetBoston Financial. Ezra Shashuoua, cfo, did not return calls for comment. Mark Baker, spokesman, confirmed that the company is restructuring its debt. "They have not filed a plan with the court. However, they're working closely with the banks on that and in due course will submit it to the court," he said.
Last Tuesday traders quoted the market at 54-56. In late November, the company's debt dropped to 45 from the mid-60s. Dealers noted that debt tends to get quoted up after a filing as market players anticipate restructuring packages that benefit the holders. Specifics about the restructuring were unavailable as dealers said they were unaware of how the deal would be re-worked.