Allied Waste Industries' term loan "B" was trading roughly a point higher last week after the company announced that it would issue $250 million in senior notes and use the proceeds from the offering to pay down its term debt. A few small pieces are believed to have traded in the 98 1/2 to 99 range last week. Buyers and sellers could not be determined.
The new issue will be used to pay down the "A," "B," and "C" term loans pro rata, with the new notes set to expire in 2012. The company also recently reaffirmed its EBITDA guidance at approximately $1.75 billion for the year and stated its intentions to pay down $200 million of debt from operating cash flow and balance sheet cash. Thomas Ryan, cfo, did not return calls.