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Five-year credit protection on Philip Morris U.S.A. exploded to trade as wide as 350 basis points last Wednesday, in from 180bps seven days previously. Movement on the name was motivated by credit concerns after its parent, Altria Group, was ordered by an Illinois court to post a bond of USD12 billion in order to appeal against a decision that holds the firm liable for misrepresenting the danger of its 'light' cigarettes.

Wachovia Securities has hired Neil Glassman, a senior equity derivatives salesman at Bear Stearns in New York, to work in a similar position. He was hired as part of Wachovia's on-going effort to build a listed options/exchange-traded fund business in the U.S., said Todd Steinberg, managing director and head of equity-linked products in New York. An official familiar with the hire noted that Glassman is a great catch for Wachovia, having been one of Bear Stearn's best and most senior hedge funds salesmen. Glassman, who will report to Steinberg, will spend most of his time in single stock, index and ETF option sales, however he will also work with over-the-counter options where appropriate, Steinberg said. Glassman could not be reached.

Investors rarely hedge against inflation, thinking the days of hyperinflation are long gone. But inflation can still make serious inroads into an investor's profit. For example, investors buying five-year U.S. government bonds will see real returns fall from barely above 1% to zero should inflation remain at 3%, instead of returning to 1.7%, predicted by the market.

When Fleming Companies filed for bankruptcy last week, company officials probably did not speculate on the erroneous conclusions some would make in regard to its chosen petition date. "I think the filing is an April fool's joke, everything is fine," one market player said of Fleming's decision to pursue a Chapter 11 bankruptcy. He retracted his statement three days later, when the company did not seem to be joking.

This chart, provided by Citibank/Salomon Smith Barney Inc., tracks bid-ask prices for par credit facilities that trade in the secondary market. It also tracks facility amounts, ratings, pricing and maturities.

BondWeek is the leading news publication for fixed-income professionals, covering new deals, structures, asset-backed securities, industry and market activity.

BondWeek is the leading news publication for fixed-income professionals, covering new deals, structures, asset-backed securities, industry and market activity.

BondWeek is the leading news publication for fixed-income professionals, covering new deals, structures, asset-backed securities, industry and market activity.

BondWeek is the leading news publication for fixed-income professionals, covering new deals, structures, asset-backed securities, industry and market activity.

BondWeek is the leading news publication for fixed-income professionals, covering new deals, structures, asset-backed securities, industry and market activity.

BondWeek is the leading news publication for fixed-income professionals, covering new deals, structures, asset-backed securities, industry and market activity.

BondWeek is the leading news publication for fixed-income professionals, covering new deals, structures, asset-backed securities, industry and market activity.