A $10 million chunk of Allied Waste traded in the 971/ 2 range. Levels have inched up as dealers note an overall firmer market. Allied has been in the 98 range for the past few weeks, and prior to the Sept. 11 attacks, had traded in the 100 range due to the defensive nature of the trash-hauling industry. "Right now it's just heavy like everything else," said a dealer. "It's been a little better. Everything has firmed up; everything's leveling off a bit. Volume is up a bit, but everyone's really cautious." The Scottsdale, Ariz.-based company is one of the leading trash haulers and acquired competitor BFI. Calls to Thomas Ryan, cfo, and the investor relations department were not returned by press time.
The company has a $7 billion credit facility that breaks down into five tranches and expires this year. J.P. Morgan, Credit Suisse First Boston, and Citibank are the lead arrangers. Pricing is tied to leverage ratios and ranges from LIBOR plus 1% to LIBOR plus 21/ 2%.