United Rentals' 7 3/4% notes of '13 dropped five points at the beginning of last week and may continue to sink on news that the Securities and Exchange Commission is investigating the industrial equipment company's financials. The SEC said it had requested accounting statements from the Greenwich, Conn.-based company and is conducting a private fact-finding mission. Still, it remains unclear exactly what the SEC is looking to uncover, explained one fixed-income analyst. "Investors are nervous and there's a lot of speculation about what might be the problem. Until the issue is resolved, it is likely the SEC investigation will continue to negatively affect the credit," he added.
SEC Investigation Hits Equipment Renter's Bonds