Roughly $15 million of Exide Technologies' bank debt traded up to the 69-70 level from 62-64 on Tuesday following the company's bankruptcy filing. The real driving force behind the trades was the timing of the filing and not the actual filing itself, which had been expected for months. Dealers explained that bank lenders would be entitled to collateral in certain foreign and U.S. subsidiaries if the company filed after April 12. By mid week, the market for the name rose as high as the 70-73 level. Calls to company officials were not returned by press time.
XO Communications' bank debt shot up 10 points to the 68-70 range this week after its bank group agreed not to exercise default remedies agreed upon in a December 2001 forbearance agreement. Dealers said only small pieces of the paper traded up from the 58-60 range where it had been quoted since the end of March. Calls to Wayne Rehberger, senior v.p. and chief financial officer, were not returned by press time.