Hotel Credits Lose Ground, Utility Trades Up

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Hotel Credits Lose Ground, Utility Trades Up

Hotel credits continue to sag in the aftermath of the World Trade Center attacks. Wyndham International's back debt is now offered in the high 80s, a 10 point drop from before Sept. 11. Starwood Hotels & Casinos' bank debt is now in the 97 range, trading down from a 100 level. Charter Communications' bank debt traded down to 96.50, which had softened about a point and a half, on the combination of a weakening broadcasting sector and news the company's ceo is resigning. An estimated $5 million traded.

In distressed news, Xerox Corporation's bank debt traded at 85, up slightly from the low 80s. Dealers say a vendor financing deal with GE Capital has helped the company's outlook. Pacific Gas & Electric's bank debt moved up to the 86-87 context, trading up from the 82.5 range. An estimated $50 million had changed hands over the week.

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