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Charter Communications traded up last week from 95 to the 96-97 range with traders citing $5-10 million trading. A $2.5 million piece changed hands at 97 1/16, said one trader. Dealers began to see prices rising for the name following a U.S. Appeals Court ruling last Tuesday ordering the Federal Communications Commission to reconsider regulations that forbid a corporation from owning both broadcast stations and cable systems in the same market. Charter had been trading off over the past couple of weeks for a combination of reasons, including negative market sentiment and disappointing forth quarter earnings. Charter's debt traded at a high of 99 in mid-January on news that the company would issue bonds to pay down its bank debt (LMW, 1/14). Calls to Kent Kalkwarf, company cfo, were referred to a spokesperson, who did not return calls by press time.

Credit Suisse First Boston has rejiggered the duties of some of its investment-grade fixed-income analysts. Thierry Perrein, director and real estate investment trusts analyst, has taken over insurance industry coverage from Kevin Morley, managing director and manufacturing analyst. Morley will now focus exclusively on manufacturing, as spread widening in the sector means that it requires more attention, according to Tony Smith, managing director and head of U.S. corporate bond research at CSFB. Perrein will continue to cover REITs.

Louise Purtle resigned last Tuesday from her job as a director and U.S. corporate credit strategist at Deutsche Bank, and will join Creditsights, an independent fixed-income research shop, on March 11. She will report to Glenn Reynolds, ceo, and Peter Petas, head of global strategy. "This adds a seasoned credit pro in corporate strategy who has strong relationships [with potential clients] in Europe, Asia, Australia and of course the U.S.," says Petas. Purtle will focus on corporate bond strategy, while Petas concentrates on convertible bonds and emerging markets research.

London-based high-yield bankers are bracing for a slew of layoffs from European investment banks after the recent spurt of debt restructuring is--successfully or unsuccessfully--completed, according to BW sister publication TeleTech Financing Week. Bankers declined to name banks that they thought would spearhead this trend.

The launch of general syndication for the Citibank and Goldman Sachs-led deal for SC Johnson Wax is expected this week with a handful of banks now signed on at the top levels. BANK ONE has taken $240 million of the $1.2 billion line and Royal Bank of Scotland and Bank of Tokyo Mitsubishi have taken smaller pieces, said one banker. The credit struggled at the agent level with one complaint being the lack of fully audited statements and it is still tough to say how the credit might progress, he added. The loan backs the acquisition of DiverseyLever, Unilever's industrial cleaning business. Bankers at Goldman and Citibank did not return calls.

U.S. and European hedge funds are making big forays into the European high-yield and distressed debt markets, according to LMW sister publication, BondWeek. "Hedge funds have been monitoring the market for the past four years and are now beginning to step in," says a salesman at Deutsche Bank. "The equity arb desk here has passed me at least 10 new [accounts]. There is undoubtedly a significant increase in interest in European high-yield," adds a salesman at Credit Suisse First Boston. Some are established hedge funds entering the distressed market for the first time and others are start-ups, he says.

Deutsche Bank launched syndication of a $500 million credit for Magnum Hunter Resources last week after landing the lead role amid stiff competition from other banks. The new credit facility partially funds the merger with Prize Energy and refinances the existing credit lines of both companies, said a source, who declined to name the other banks bidding for the role. Pricing is LIBOR plus 21/ 4% on the three-year line, said a banker. Chris Tong, Magnum's senior v.p. and cfo, did not return calls by press time. Magnum is an independent exploration and development company involved in the crude oil and natural gas markets.

Merrill Lynch's London-based head of high-yield sales, Tim Davenport, has returned to New York to head the firm's corporate derivatives marketing effort. Duncan Riefler, Davenport's second in command, will become the new high-yield sales head, according to a firm official. A junior salesperson will be added to the team, now just four-strong, says the official. In addition, Mark Barry, another high-yield salesman, will begin to cover hedge fund clients as Merrill endeavours to pitch distressed European corporate bonds to U.S.-based hedge funds and European equity funds, adds the official.

Tensions revealed last week between France Telecom and Mobilcom, a German company in which it owns a 28.5% stake, will continue to push FT's spreads wider as the two companies continue to duke out their problems through the media, say London-based telecom analysts. "It smells, and in the coming weeks, it's going to get worse," says Simon Surtees, telecom analyst at Bear Stearns. Surtees reckons spreads on FT bonds could widen to as much as 400 to 500 basis points over swaps before the Mobilcom problem is resolved. At some point FT bonds will be a screaming buy, he adds, but it is anyone's guess as to when that will be. As of last Wednesday, FT's 53/4% of '04 was trading at 234 over swaps, compared to Poland's TPSA, of which FT is a part owner, which has a 6 1/8% of '04 which was trading at 217 over.

Deutsche Bank is shopping a $700 million asset-based refinancing for Maryland-based Williams Scotsman. The company, which operates mobile office and storage unit lease fleets, recently completed a bond deal, said a banker. The credit consists of a $500 million revolver and $200 million term loan, both with five-year maturities. Pricing on the deal is LIBOR plus 3% across the board. Officials at the company could not be reached for comment. BT Commercial Group and NationsBank led the previous credit line arranged in 1997, according to Capital DATA Loanware.

Morgan Stanley has expanded the role of its global credit research group, and named Ryan Marshall, managing director and former global head of securitized products research, as global director of fixed-income credit research. Marshall replaces Stephen Penwell, managing director and the new head of North American credit sales (BW, 1/28). By combining research across all the different credit markets within fixed-income, the firm hopes to offer a wider range of options to issuers and investors, Penwell says. He adds that no one has been released as a result of the changes.

Approximately $70 million of Nextel's bank debt traded last week up from 80 to 82 5/8 as higher reported operational cash flow and revenue for the company's domestic market helped boost the name. The term loans "B" and "C" sold last Thursday in two pieces of $2 million and five pieces of $2.5 million in the morning and a $5 million piece traded midday at 82 1/8. By the end of the day, market players said they believed that $40 million of the name traded in the retail sector at 81 1/2. Buyers and sellers could not be determined. Nextel has gained ground from earlier in the week when $10 million of the paper was auctioned off at 80, according to traders. By midweek the name had been offered in the 79 1/2 to 81 range.