Rite-Aid.Com is making positive moves in a market full of dot-com carnage. The company's bank debt continues to climb, hitting 98 last week, up from a low of 65. Dealers attribute the steady increase to an improved outlook for the company. Roughly $20 million changed hands last week. "They had a bunch of problems that they've worked through," a trader said, referring to sales. "People thought they would have to merge." The company is based in Camp Hill, Pa.
In February Rite-Aid announced that it would offer $321.6 million in bonds for stock, which sparked an upswing in levels to the 80 range (LMW, 2/11). Citigroup, Heller Financial, FleetBoston Financial and Foothill Capital Corp. lead the deal.