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Allied Waste's "B/C" continues to trade in the 99 range on news of a bond deal that will pay down the company's bank debt. The estimated volume last week was $20 million. Late last month, the company announced a $750 million bond deal that would pay down a portion of the company's $7 billion deal. Allied Waste is a trash-hauling company based in Scottsdale, Ariz. Calls to Thomas Ryan, cfo, and Mike Burnett, head of investor relations, were not returned.

Merrill Lynch has laid off two high-yield analysts, and reassigned a third. Mike Plancey, a v.p. who covered the paper and forest products sectors confirms that he has been let go. He says he is looking at opportunities on the buy-side. He was at Merrill for five and a half years. Eric Matejevich, a gaming analyst and v.p., declined comment, but a high-yield official formerly at Merrill confirms he was laid off and says Matejevich is also looking for opportunities on the buy-side. The official says Jonathan Savas, a director and wireline telecom analyst, has moved to an unspecified position within another department at Merrill. Savas did not return calls. Clare Schiedermayer, head of high-yield research, did not return calls.

Following a hefty oversubscription, Credit Suisse First Boston and Bank of Nova Scotia flexed pricing for the six-year $172 million Weight Watchers International "B" term loan. A banker following the deal said, a 1/2% flex was put in last week. The credit was already priced at a trim LIBOR plus 3% pre flex, with bankers citing the improved profile of the once highly-leveraged company following a successful initial public offering in November and repayment of bank debt via a bond issuance. The new "B" will refinance existing debt, priced at LIBOR plus 4% (LMW, 12/10).

As much as $100 million of Enron Corporation's bank debt traded last week in the 22-23 range as vultures continue to pick at the paper. Both Goldman Sachs and Deutsche Bank were rumored to have moved large pieces over the week, although officials at both shops declined to comment. It could not be determined whether the desks were selling off their own exposure or acting as brokers. An estimated $200 million of Enron bank debt has traded over a two week span, according to dealers. Levels have stayed in line with the bonds and have not moved much in that time.

Credit Suisse First Boston is using a synthetic term-loan structure in its deal for Washington Group, further highlighting the continuing shrinkage of banks willing to fund the pro rata part of deals and the increasing importance of institutional money in the market. The deal is similar to the innovative Premcor Refining Group credit launched by Deutsche Bank in the summer, with the synthetic functioning as a fund to back letters of credit. "The structure is designed to expand the universe of institutions able to sign onto the deal," a banker familiar with the loan said.

Moody's Investors Service has assigned a Ba3 rating to J.P. Morgan and Credit Suisse First Boston's credit for CSK Auto--a new asset-backed credit facility, launched into the market at the end of November. Marie Menendez, v.p., senior credit officer, corporate finance group for Moody's, explained the $100 million term loan with three-year bullet maturity and $225 million revolver is totally secured and tied to a borrowing base, while the existing credit facility has a B1 rating. The new credit is larger and expected outstanding borrowings on the new credit are much less. A $225 million senior unsecured notes offering, has been rated B2.

A successful bond offering led by Credit Suisse First Boston, J.P. Morgan andUBS Warburg for CSK Auto has resulted in a reduced and restructured bank deal. The bank debt, led by J.P. Morgan and CSFB now consists of a three-year, $150 million revolver and a $150 million, three-year term loan. Both tranches now have a LIBOR plus 31/ 2% spread, up 1/4%. There is also a 1/2% commitment fee on the revolver. The bank debt previously was $325 million, split between a $225 million revolver and a $100 million term loan. Calls to Don Watson, cfo, were not returned. There is also rumor that CSFB, J.P. Morgan, Deutsche Bank and Merrill Lynch will rework the Collins & Aikman deal, depending on a successful bond offering. Calls to the appropriate bankers were not returned by press time.

Merrill Lynch has laid off two junk salesmen: Jeff Keith, a director, and Gregory Froehlich, a v.p., according to several buy-side and sell-side high-yield executives who spoke with them. Keith declined comment, other than to say he is currently looking for a new job. Froehlich could not be reached.

The relocation of a swaps trader from Nomura Securities International to Greenwich Capital Markets has set off a bit of a sniping match between the trader and his former boss, Nomura's fixed-income chief Alex Noujaim. The trader,Becker Drane, took Noujaim to task in his letter of resignation when he left in October. Noujaim responded by calling Drane's new boss, GCM co-president Jay Levine, and reportedly criticized Drane and the letter he wrote upon his October exit.

American Tower's debt is rebuilding in the market, hitting 96-98 from the 94 range. There was a report of a $2.5 million trade in the 96 3/8 range late Tuesday. One dealer attributed the support in levels to technicals, but said the outlook on telecom credits remains mixed. Tower credits recently stumbled in the aftermath of the telecom problems and lowered projections on the use of tower space. The Boston-based company operates 13,600 broadcast and telecommunications towers. Joseph Winn, cfo, has said demand for the company's towers has been solid. He did not return calls for comment on the latest levels.

UBS Warburg is preparing a January launch for syndication of a credit for Hollywood Entertainment, the second largest video store chain in the U.S. A banker said the loan will refinance the existing $255 million Société Générale-led credit facility that expires next March, and is contingent on a $100 million common stock sale. Diane Shand, analyst at Standard & Poor's, said the company needed to refinance since it was facing a heavy amortization schedule on its existing facility. The video-store company is also planning a $300 million shelf registration to reduce debt, she said.

Moody's Investors Service lowered the rating of Penton Media's $372 million of credit facilities to B2 from B1 due to the company's poor operating performance. The severity of a revision in cash flow guidance and the proximity of the revision to previous modifications led Moody's belief that management's visibility is severely limited at the present time, which remains a large concern for the rating agency.