The bank debt for The Goodyear Tire & Rubber Co. has been stronger following the announcement that investigations into its overseas accounting have been concluded. The company's asset-based loan has been slowly inching its way above par and is now quoted in the 1003/8-1003/4 range. Traders said the name had rallied after the uncertainty surrounding the investigation was removed. The company has identified adjustments to its net income of approximately $65 million from 1997 to 2003.
Goodyear recently added a $650 million term loan to its existing $1.3 billion asset-based facility. J.P. Morgan and Citigroup arranged the add-on, which was upsized from $300 million. A Goodyear spokesman declined comment.