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Now that's relationship lending ..., Mayor Bloomberg's 2002 financial disclosure report reveals that 10 people and institutions owed him money last year with some debts in the neighborhood of $500,000 or more, according to The Daily News.

Loral Space & Communications bank debt traded up almost 20 points in a single day late last week following a bank meeting. The details of the meeting for the satellite communications company could not be determined, and speculation ran from asset sales to the construction of another satellite. But investors agreed that something is up, as the paper is now quoted in the 80-83 range, up from the low 60s at the start of last week. When the bank debt is marked up 20 points from where it was the day before, it is clearly a sign to the public markets that something is going on, one buysider noted. Calls to Richard Townsend, executive v.p. and cfo, were referred to an investor relations spokeswoman, who declined to comment on the information discussed at the bank meeting as well as the movement in the bank debt.

Wireless names in the secondary loan market have nearly come full circle from distressed lows, getting help from hungry investors and, in some cases, a recovery in the credit fundamentals. Nextel Communications ticked up right under par last week. Centennial Communications, Western Wireless Corp. and Rural Cellular Corp. have also been trading in the low 90s, rebounding from lows in the 60s, 50s and high 70s, respectively, according to LoanX. With Nextel and Centennial poised to tap the high-yield markets, some think that is a sign that other wireless names will as well, said one trader.

XO Communications and its Chairman Carl Icahn are proposing a tender offer for any and all of Global Crossing's bank debt for 21 cents on the dollar. Global Crossing has approximately $2.25 billion of senior secured bank debt, which has already been trading in the 21-22 context. One trader believed that lenders would not take Icahn up on his offer, calling it too low. Calls to Icahn were not returned by press time.

At least $1.75 billion in tickets were in late last week for the $850 million "B" tranche for the deal backing the $3 billion merger between Riverwood Holdings and Graphic Packaging International Corp. The tranche had about $1 billion in tickets after the June 5 meeting, in which some investors had bid for pieces of the loan even before syndication launched. A banker familiar with the deal said it was possible that the tranche size could be increased, but that was not definite. J.P. Morgan, Deutsche Bank, Goldman Sachs, Morgan Stanley, Credit Suisse First Boston and Citigroup lead the $1.6 billion acquisition and refinancing credit, which also includes a $400 million revolver and a $350 million "A" loan. Morgan Stanley, Deutsche Bank, CSFB, J.P. Morgan and Goldman officials declined to comment. Citi bankers did not return calls.

Lehman Brothers and Deutsche Bank last week hit the market with a $150 million credit for travel reservation data company Worldspan. The deal backs the acquisition of Worldspan by Travel Transaction Processing Corp., a company formed by Citigroup Venture Capital Equity Partners--a private equity fund managed by Citigroup Venture Capital--and Teachers' Merchant Bank, the private equity arm of Ontario Teachers' Pension Plan. The two entities are buying the Atlanta-based company from affiliates of Delta Air Lines, Northwest Airlines and American Airlines.

Tabletop aspartame sweetener company Merisant will be coming to market tomorrow with a $320 million recapitalization deal led by Credit Suisse First Boston. The credit includes a $240 million, six-and-a-half-year "B" loan, a $40 million, five-and-a-half-year revolver and a E40 million, five-and-a-half-year "A" tranche. A banker familiar with the deal could would not cite price talk for the deal as of late last week, but the company's existing credit put in place in 2000 is priced between LIBOR plus 23/4-31/4%. The existing credit includes a $199.5 million "B" loan, a $70 million add-on term loan, a $150 million "A" piece, a $65 million mezzanine tranche and a $50 million revolver, according to LoanX.

Mirant Corp. bank debt continued to come under pressure as the company's restructuring plan became the subject of creditor wrangling. A $5 million piece of the $1.125 billion revolver maturing in July was believed to have traded in the 62 range and the paper was quoted as low as 57-62 in the street last week. Two weeks ago, it traded in the high 60s to 70 range. One trader believed that debt holders have more to gain by approving Mirant's widespread restructuring plan, which ultimately extends the company's debt obligations in exchange for extra collateral.

A $30 million piece of Adelphia Communications Corp.'s Hilton Head "B" loan was auctioned off in the 82-821/2 range. The buyer and seller of the paper could not be determined. A few dealers believed that the price where the loan traded was a bit aggressive. The paper had been quoted previously in the 80-82 range and it was surprising that a piece of such size could get done on the offered side of that market, noted one dealer.

Cott Corp.'s positive momentum, exemplified by continuing improvements in EBITDA, operating margin, and return on assets, has led Moody's Investors Service to raise the company's rating outlook to positive from stable. Toronto-based Cott has also demonstrated stable free cash flow generation, with free cash flow-to-total debt over the last 12 months clocking in at approximately 24%. Moody's confirmed the Ba3 rating on Cott's $125 million secured bank credit facility.

Cross Country Healthcare completed a $200 million secured credit with a $125 million "B" loan that had its pricing flexed down during syndication. The tranche was two times oversubscribed, said Victor Kalafa, v.p. of corporate development at the healthcare staffing firm, explaining that the heavy buyside interest prompted the initial LIBOR plus 31/2% coupon to decrease to LIBOR plus 31/4%. The six-year "B" loan is accompanied by a $75 million, five-year revolver that priced at LIBOR plus 3%, Kalafa added.

Credit Suisse First Boston is leading the bank deal to back the acquisition of airplane part maker Transdigm Holding Company by private equity firm Warburg Pincus and senior management for $1.1 billion. Warburg is buying the company from Odyssey Investment Partners, another private equity firm that has owned Transdigm since 1998. The size, pricing and terms of the credit are still to be determined, said a banker familiar with the deal. But it is expected to size up around $400 million and close in the third quarter of this year. CSFB also managed the auction for Richmond Heights, Ohio-based Transdigm. The leveraged buyout agreement is also subject to the closing of a tender offer for Transdigm's 103/8% senior subordinated notes due 2008. A CSFB official declined to comment and a Transdigm official could not be reached by press time.