USG Corporation's levels reportedly started the week in the low 60s, jumped to 68, and dropped bak to 61 as speculation surrounds the company about whether it will stay out of Chapter 11 bankruptcy. Dealers say levels plummeted to the low 60s from the 80s early last week. A reported $20 million total changed hands. "With uncertainty about whether they're going to file or not, people will start punting it," a trader remarked. "Once they know what's happening, it'll trade back up. The weak hands are gone." USG, based in Chicago, Ill., manufactures sheet rock.
Two weeks ago a $25 million chunk reportedly traded around 60 due to nervousness about the company's asbestos litigation (LMW, 6/11). The company had issued a statement recently saying it was considering all its options to deal with fast growing liability. A spokesman explained that as other asbestos-related names file, the company has been left with the remaining liability.