The dog days of August, indeed. One dealer said, "It's definitely August," as few names and significant trades have been talked about in the first part of this week. Notable is a $25 million piece of Federal Mogul's bank debt that was rumored to be sold by Bank of America to HSBC at 67-68 as the debt level ticks up upon uncertainty regarding a possible Chapter 11 filing. Today, traders were keeping their eye on a $20-30 million piece of Owens-Illinois that was rumored to exchange hands as all asbestos credits are reportedly receiving a little relief as litigation concerns have subsided.
Other news includes a dip for American Tower after the "B" paper hit 99 1/4 last week in a $10 million trade. Dealers said the drop might just reflect levels in the wireless sector. Traders said Suiza Foods and United Defense had a few bidders behind them today, bringing debt down to 100 3/8 from 100 1/2.