Charter Communications Falls Under Pressure Of Add On

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Charter Communications Falls Under Pressure Of Add On

A $5 million piece of Charter Communications' bank debt traded early last week at 99 1/4, which is down from 99 3/8 two weeks ago. Dealers say a $300 million add-on will pay down the revolver, but put new telecom paper in the market. "The more supply out there, the weaker the levels," said a dealer. The cable provider, based in St. Louis, Mo., serves more than six million subscribers throughout the country. Charter "B/C" paper was bid at 100 1/4 just last month (LMW, 2/21). Buyers and sellers could not be determined by press time.

Charter has a $4.1 billion credit facility launched in March 1999. The mandated arrangers are J.P. Morgan Chase, Bank of America, FleetBoston Financial, Toronto-Dominion Bank, and Credit Lyonnais, according to Capital DATA Loanware.

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