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Nextel Communications' bank debt ran up about two points and then settled back down as "B" and "C" pieces traded between 95-96 after the company earnings report signaled a strong year ahead. "They just reiterated what they've been telling people for the last two months," noted one buysider, adding that there was no bad news. The paper settled in the 94 1/2 95 1/2 context after a number of investors selling on the way up put pressure on the price. The tremendous supply will limit how far this one can trade up, noted one dealer.

Veenman is also a board member of GMAC RFC Nederland, an originator of mortgages in the Dutch market, based in the Hague. In addition to the business in the Netherlands, GMAC RFC is also active in Germany and France.

The technology demand environment is challenging and pricing pressures for printed circuit board fabrication continue to affect Solectron, a Milpitas, Calif., provider of electronics manufacturing services. Nick Nilarp, analyst at Fitch Ratings, explained that Solectron, like other companies in its sector, is suffering because of weakened demand levels. This is reflected in Fitch's BB+ rating of Solectron's $450 million in credit facilities. A negative outlook for Solectron further indicates that the ratings could suffer if adverse market conditions persist, outsourcing contracts do not improve, cash acquisitions occur, or if the company does not execute its restructuring plans successfully.

First Albany Corp. has hired Mickey Spillane, a veteran high-yield trader, and David Maura, an analyst, for its New York office. The moves are part of the firm's effort to increase its high-yield focus, according to a high-yield professional with knowledge of the situation. A call to Robert Campbell, the firm's head of fixed-income, was not returned by press time last Friday.

Imperial Sugar opted for a $175 million asset-based facility when it recently revamped its credit line, choosing Bank of America and GE Capital to lead the effort over the incumbent Harris Bank. Darrell Swank, Imperial Sugar executive v.p. and cfo, said the new leads were chosen because the company was pursuing the asset-based credit to capitalize on its hard assets instead of a traditional cash-flow deal. "There's a different universe of lenders that do asset-based lending," he noted. The new leads also brought competitive pricing, an understanding of the industry and a proficient ability to syndicate to the table, added Swank. Calls to a Harris Bank spokesman were not returned by press time.

Jack in the Box completed a new $350 million credit with a reverse price flex and an increase to its first-ever $150 million "B" loan. Hal Sachs, v.p. and treasurer, said the company originally planned for a $125 million, four-and-a-half-year "B" loan priced at LIBOR plus 31/2%. But the tranche was increased to $150 million with a spread of 31/4% over LIBOR. There is also a $200 million revolver priced at LIBOR plus 21/4%, he added. Sachs said 11 banks including lead Wachovia Securities signed into the three-year pro rata piece. The deal replaces a $175 million credit that was due to expire this year.

Two companies seeking amendments to their credits were slogging through the market last week, as lenders held out for better pricing and a larger piece of the proceeds on asset sales. Early in the week, votes were due on amendments for both Broadwing and Wyndham International, but when LMW went to press the negotiations were still continuing.

The bankruptcy court approved Hayes Lemmerz's amended disclosure statement despite the objections of lenders including General Electric Capital Corp., Foothill Capital Corp, Citadel Limited Partnership and Sankaty Advisors, as LMW went to press last week. Officials from GE Capital, Citadel, and Sankaty did not return calls seeking comment. Officials at Foothill could not be reached by press time. Levels for the bank debt remained unchanged in the 82 1/2 -83 1/2 range and Hayes' senior notes are quoted in the 59-61 context.

Market players expect allocations for Crown Cork & Seal's new credit to come out soon and are anticipating the company's $500 million "B" term loan to trade above par. The paper is priced at LIBOR plus 41/4%. The company is currently pursuing a refinancing plan that also includes a $550 million revolver. One trader explained that the paper was likely to trade up because the company had trimmed down its bank debt, so the supply of paper relative to demand is less.

El Paso Corp. continued to be a focus of secondary market players last week as investors and spectators speculated on how the company would deal with the upcoming maturities on its $3 billion, 364-day revolver coming due in May and its $1 billion credit expiring in August. El Paso spooked investors last week when it drew down fully on the August line (LMW, 2/17). The May line is only half drawn and can be termed out for one year. Some market players think that the company will choose to give the bank holders under the May facility extra security in exchange for the extension of that line. Under this scenario, El Paso is expected to draw down on the May credit to repay the August line.

Moody's Investors Service has placed Interstate Bakeries Corp. on review for a possible downgrade following the company's announcement that earnings for its 2003 fiscal year ending May 31 are likely to be lower than previous guidance. The company's $300 million revolver, $375 million term loan "A" and $125 million tranche "B" are currently rated Ba1. The rating agency does not rate the company's $100 million "C" piece maturing in 2007. Paul Yarick, Interstate Bakeries treasurer, said the company is undertaking efforts to address the issues from both a long-term and short-term standpoint.

Owens-Illinois is bringing a $1.5 billion refinancing deal to the market and senior managing agent-level lenders are looking at the credit. A banker familiar with the situation could not confirm structural details at this point. However, a company conference call stated that the facility would include a revolver and "B" piece in the amount that the market would accept. The call noted that the glass container company would do whatever else it needed to refinance the $2.45 billion debt load, for example an additional high-yield offering in dollars or Euros. The refinancing plans are targeted to be complete by the first half of this year. Owens-Illinois refinanced $1.6 billion of its debt in 2002, primarily through bonds.