Adelphia Lenders Predict Par Paydown

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Adelphia Lenders Predict Par Paydown

Adelphia Communications Corp.'s various bank facilities have all inched up to the high 90s as lenders predict an acquisition of the company would take the debt out at par.

Adelphia Communications Corp.'s various bank facilities have all inched up to the high 90s as lenders predict an acquisition of the company would take the debt out at par. A buysider said the Parnassos, TCI, Century, Hilton Head and other Adelphia credits have been strengthening. A sellside trader said the fluctuations on the name occur as speculation emerges about who a possible buyer could be.

The Century Cable loan, which is one of the facilities that has a co-borrowing relationship with the Rigas family, was quoted at 96 1/2-97 1/4 by Mark-It Partners/LoanX. The other co-borrowing facilities are the Olympus bank claims and UCA bank claims. The March 2002 disclosure stated that Adelphia was jointly and severally liable for more than $2 billion of borrowings under these co-borrowing facilities.

Parnassos bank claims and the Century-TCI bank claims are among facilities without co-borrowing arrangements attached. The company has approximately $6.817 billion in total bank debt claims.

"We've had quite a bit of interest from potential bidders," an Adelphia spokeswoman said, declining to provide further details. Adelphia could be sold as a whole or in seven different parts. Preliminary expressions of interest are due by the end of the month while final bids are due in December, the spokeswoman added.

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