Mirant Corp.'s bank debt moved approximately two to three points lower last week with the overall market. Traders said the energy sector in particular was weaker. The company's '03 bank debt traded as low as the 55-56 range and the '05 loan traded in the 70-71 context.
In addition, Mirant's '04 loan was said to be trading alongside the '03 paper. Previously, the loan had been quoted at a slight premium to the '03 revolver due to potential net-backs from letters of credit. But the letters of credit against that paper are believed to have been drawn.
There was also said to be a large seller of Mirant bank debt two weeks ago, but the details behind that buzz could not be confirmed. A spokesman for the company did not return calls by press time.