ITC^DeltaCom's bank debt reportedly tumbled into the low 80s from the mid 90s after a private lender call Wednesday. Douglas Shumate, cfo of the integrated telephone company, declined comment, while officials from Welsh, Carson, Anderson, & Stowe, which owns a significant portion of the company, did not return calls.
The credit comprises a $96.5 million term loan, a $57.9 million term loan and a $30 million term loan, according to Markit. The debt first slipped into the mid-90s last March after the company announced it was pulling a $300 million second-lien senior secured notes offering that was designed to pay down the company's bank debt (LMW, 3/29). The credit is led by Wells Fargo Bank and carries a spread of LIBOR plus 5 1/4%. Other lenders that signed an amendment in the fall include Bank of America, GE Capital, Sankaty Advisors and GoldenTree Asset Management.
