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Banco Comercial Português (BCP), one of Portugal's first private banks, returned to its Nova securitisation programme this week launching a Eu352m deal backed by unsecured consumer loans originated through its Novarede division. "We have been using securitisation as a means of funding since 1998, and following good performance levels in our first consumer loan deal decided to return to the market," said an official at BCP.

Merrill Lynch Asset Managers (MLAM) this week launched its first collateralised debt obligation, offering a Eu235.9m bond backed by predominantly high yield debt and investment grade bonds. Lead managed by Merrill Lynch, the deal is the latest in a string of CDOs to be launched this year despite the deteriorating credit climate and the downgrades of many CDOs launched several years ago.

Euro Capital Structures, the Dublin based securitisation and leveraged loan boutique owned by Fiat and UniCredito, this week launched the second arbitrage CLO from its Harbourmaster programme - a Eu703.5m securitisation backed entirely by leveraged loans. Lead manged by Credit Suisse First Boston and UniCredit Banca Mobiliare, the deal matched early price talk and was increased in size from Eu603m to meet investor demand.

Baden-Württembergische Bank AG last Friday launched the fifth deal from the Promise securitisation programme set up by government agency Kreditanstalt für Wiederaufbau (KfW), which securitises loans to small and medium sized corporates (Mittelstands) in Germany. Lead managed by Deutsche Bank, this deal is the first time Baden-Württembergische Bank has used the programme since it was set up a year ago.

Diners Club Europe this week launched the first pan-European charge and credit card receivable backed securitisation. Lead managed by Schroder Salomon Smith Barney, the Eu339.4m deal is just the start of a Eu2bn securitisation programme started in January to provide funding for the group's further expansion in Europe.

Fortis Bank Nederland has brought a Eu1.3bn synthetic collateralised loan obligation to the market through Dutch Care 2001-1 BV, the first deal backed by loans to the Dutch public healthcare sector, attracting investors as far away as the Middle East. Lead managed by Bear Stearns and Fortis Bank, the deal is unusual. Backed by loans to just one industry, it is difficult to compare to other synthetic CLOs. Other healthcare deals have used a whole business structure, such as the £975m deal from General Healthcare Group, the UK's leading provider of private hospitals, in July.

Morgan Stanley, RBS Financial Markets and Schroder Salomon Smith Barney have begun marketing an £825m securitisation for British Land backed by the cash- flows and assets of Meadowhall Regional Shopping Centre in Sheffield. The deal follows the template set by the £610m securitisation of the Trafford Centre in Manchester, Europe's first commercial retail securitisation, launched via Deutsche Bank and RBS Financial Markets in 2000.

The $275 million bank deal for CommScope led by CIBC World Markets and Citibank has been nixed after investors refused to bite on the richly priced and discounted "B" term loan and the company reworked its' acquisition plans. Phil Armstrong, director of investor relations for CommScope, would not confirm the bank deal has been cancelled, but said difficulties in the financing market were among a list of reasons why CommScope is scaling back its investment in Lucent Technologies fiber-optic cable business. As part of the new joint venture CommScope is investing $203 million in cash and equity to buy the business and Furukawa Electric will pay over $2 billion in cash. A source familiar with the deal said the banks may come back with a rejiggered credit.

BNP Paribas plans to issue on Monday one of the first synthetic collateralized debt obligations referenced exclusively to Japanese credits. The JPY90 billion (USD740 million) arbitrage CDO consists exclusively of credit-default swaps on Japanese names and will only be sold to Japanese investors, according to Shun Cajot Yoshida in Tokyo. He added that only two synthetic CDOs have been structured on Japanese names, one of which was an arbitrage transaction by Deutsche Bank but was much smaller and one by J.P. Morgan which was the same size but was a balance sheet CDO. Officials at J.P. Morgan and Deutsche Bank declined comment.

Global Crossing's bank debt notched up to the mid-40s from the high 30s early this week on the heels of a conference call. The company has announced various debt reduction measures, including more than 1,000 staff cuts. Nextel Communications' "B/C" paper is trending upward again, last hitting 90 in a total of $20 million in trades. Dealers cite new product technology as helping to push the credit back up. Dealers reported the American Tower's bank debt landed at 91 ½-92 range in a total of $10 million in trades early this week. That's up from 89 last week.

American Tower's levels continue to hover in the low 90s range as $10 million of the bank debt traded this week at 91 1/2. Dealers said they expect the credit will soften further as tower companies begin to feel the effects of a weak telecommunications industry. Joseph Winn, cfo, said, the company has seen good strength in the paper and solid demand on its towers. "The tower companies have been reporting strong organic growth." Winn said. "Concerns around this paper have been due to leverage or debt. We've been supported for a long time in this marketplace, we're going to do just fine."

Credit Suisse First Boston and BNP Paribas are launching the underwriting phase of the $600 million Teco Tricon project loan this Thursday. A banker familiar with the deal said 12 banks have been approached for $75 million commitments. The spread on the deal is LIBOR plus 1 3/4%, but fees were not disclosed. Underwriting on the credit is expected to close by year-end, he added.