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  • Mezzanine was once considered a stop gap, a temporary solution for completing large transactions when the European high yield market was recuperating on the sidelines. But European junk has failed to recover fully from its injuries and instead mezzanine has cemented its place in the leveraged finance product team. Taron Wade reports.
  • ? Kraft Foods, the largest food producer in the US, has mandated Lehman Brothers to establish its new $2bn EuroCP programme.
  • The National Association of Securities Dealers (NASD), the US private sector financial regulator, is investigating 12 cases of directed brokerage, its vice chairman told a Congressional committee this week.
  • Table commentary
  • Azko Nobel signed banks into its Eu1.5bn five year deal on Wednesday. Although it raised over Eu2bn in syndication, the loan was not increased.
  • Swap spreads in dollars and euros continue to move in an extremely tight range. While this is not unusual for the euro sector, where spreads have been nailed to the floor for some years, it is uncommon for dollar swaps.
  • The US agency bond market absorbed $6bn of issues this week, including a floating rate note for Freddie Mac, a subordinated deal from Fannie Mae and the first use of the Bond Market Association's new option adjusted spread mechanism for Freddie Mac's 10 year non-call three callable.
  • FRANCE
  • How many times have we been told by people who have just been sandbagged by the press that "any publicity is good publicity"? That response always seemed slightly flakey to us, but we wonder how Tim Shacklock, the former head of corporate finance at Dresdner Kleinwort, felt when he saw his name at the top of an 'Earners in Finance' list compiled by one of the better Sunday newspapers.
  • Intels Group has launched a $100m and N5bn three tranche loan.
  • Vedanta Resources will launch a £418m IPO on the London Stock Exchange on November 20 with JP Morgan as sponsor and financial adviser. HSBC and JP Morgan will be joint global coordinators.
  • Pemex finally launched its long awaited dual currency loan this week and judging from initial reactions, it could end up being closer to $1.5bn in size than the initially expected $1bn.