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Casella Waste Systems' new $300 million credit facility has been assigned a B1 rating by Moody's Investors Service, taking into account the benefits and limitations of the credit's security package. The security includes first-priority perfected liens on all of the assets of Casella and its subsidiaries, except those on motor vehicle titles are not perfected. The lenders, however, will have the option to take security in the company's real estate and landfills. The new credit does not have subsidiary guarantees because Casella and its subsidiaries are the collective borrower. The company's proposed $175 million in senior subordinated notes have been rated B3, reflecting the contractually subordinated nature of the obligations

Alex Braun, director of funding and asset management on the fixed-income side, and Paul Caldwell, a senior asset-backed and high-yield bond portfolio manager, have left Abbey National's wholesale bank. The departures are the result of a restructuring in the wholesale bank, a spokeswoman says. Braun's responsibilities have been divided, with funding now being part of the Treasury division and asset management coming under a newly established division--asset management and risk transfer. It could not be determined whether Caldwell will be replaced. Braun and Caldwell could not be reached for comment.

WorldCom's bank and bond levels narrowed to the 20-22 level after Qwest Communications International announced that it was the center of a criminal probe. Dealers still maintain that the company's bank debt has not yet changed hands since it plummeted last month, although rumors of trades still continue to circulate around the market. "It's a train wreck if anyone were to trade it down there," one dealer said.

Aurora Foods has obtained an extra $37.6 million loan from its J.P. Morgan-led bank group, made covenant changes to its existing credit agreement and received $25 million from its sponsors as the St. Louis company looks to reduce more than $1.2 billion in debt. "In the short term, debt increases," said William McManaman, cfo. "But to de-lever, we need to gain liquidity to keep suppliers and vendors current and to run the business the way it should be." Merrill Lynch is advising on potential de-leveraging options, which include an asset sale, an equity offering and the conversion of debt to equity.

Bank of America,J.P. Morgan, UBS Warburg and Morgan Stanley will be approaching top-tier institutional lenders of Del Monte this summer ahead of the September retail launch of a new $1.6 billion bank deal. J.P. Morgan and B of A each have taken 30% of the deal, with UBS and Morgan Stanley taking 20% each. Bank officials either declined to comment or did not return calls.

Credit Suisse First Boston, Lehman Brothers and Royal Bank of Scotland are preparing a mammoth leveraged loan and bond deal backing Kohlberg Kravis Roberts and Wendel Investissement's attempted buyout of Legrand from Schneider Electric for E3.7 billion. If the deal goes through, the proposed financing would comprise more than E2.6 billion in bank debt and a substantial bond portion. Bankers were divided on the potential leverage levels, but one banker said it is a pretty aggressive structure. Bankers at CSFB and RBS declined to comment, while bankers at Lehman could not be reached.

Bowater, a Greenville, S.C., newsprint company, has been placed on review by Moody's Investors Service and could be downgraded to junk status. The senior unsecured notes and revolver currently are rated Baa3, but an aggressive acquisition program and difficult operating environment for newsprint and pulp producers have crimped Bowater's financial flexibility, according to Moody's. A spokesman for Bowater did not return calls.

A buy-side and sell-side analyst say Elan's bonds are drastically undervalued, despite a Securities and Exchange Commission query into the Irish drug company's investment banking relationships, and the resignation of two top executives last week. The sell-sider argues that the company's products generate sufficient cash flow to pay off its debt, and that the $4 billion in cash on its balance sheet gives it flexibility for its near-term needs.

Australian mortgage lenders Bank of Western Australia and Interstar Securities (Australia) Pty Ltd launched international securitisations this week, selling over $1.5bn of bonds in total. Both deals were priced at the same level of 18bp over three month Libor; but for one transaction this was an impressive result, while for the other it may have been a slight disappointment.

ING completed an $80m convertible bond issue for Silicon Integrated Systems Corp, Taiwan's second largest designer of computer chipsets, on Wednesday during London trading hours. Silicon Integrated has been waiting all this calendar year to sell an ADR issue through its chosen lead manager, Bear Stearns.

Despite a promising start, Korea Development Bank's (KDB) ¥30bn five year Samurai bond issue fell sharply in the secondary markets this week. Some bankers blamed lead manager Daiwa SMBC for the poor performance. The deal traded from 41bp over yen-Libor at the time of pricing last Wednesday to 55bp over yesterday (Thursday).

BYD, China's biggest maker of rechargeable batteries, plans to raise as much as HK$1.6bn ($205m) in an initial public offering to add up to 25% to its issued share capital. The deal will help finance the company's transition into higher margin products. BYD's 'H' share issue is unusual in that it is not a privatisation deal - the company is privately owned. BNP Paribas Peregrine Securities is managing the share sale. ICEA Holdings, BOC International (Holdings) and CLSA are also arrangers.