Verizon sells notes; JPMorgan preferreds flat; Discover Financial, GMAC among most active

By Christine Van Dusen

Atlanta, Jan. 30 - New York City-based telecommunications company Verizon Communications Inc. printed a new "baby bond" on a Thursday that saw the preferred stock market finish up 5 cents and JPMorgan Chase & Co.'s recent issue remain mostly flat.

Verizon sold an upsized $500 million of 5.9% notes due Feb. 15, 2054 at par, a New York-based market source said. The $25-par notes, which were initially expected to total $250 million, were talked at a yield of 6% to 6.125%.

BofA Merrill Lynch, Morgan Stanley & Co. LLC and Wells Fargo Securities LLC were the bookrunners for the Securities and Exchange Commission-registered deal.

The notes will be listed on the New York Stock Exchange.

JPMorgan's $850 million issue of $25-par fixed-rate perpetual preferred securities that priced with a 6.7% dividend traded Thursday morning at $24.75, flat to Wednesday, a trader said.

On Tuesday, the preferreds traded between $24.65 and $24.75.

"Volume was on the light side," the market source said.

In other trading on Thursday morning, ING Groep NV's 6.375% perpetual hybrid capital securities were quoted at $24.32, up 8 cents.

M&T Capital Trust IV's 8.5% enhanced trust preferred securities traded at $25.39, down 2 cents.

And Goldman Sachs Group's floating-rate non-cumulative preferred stock, series D, moved up a penny to $19.14.

Volumes on 'light side'

In trading on Thursday afternoon, Discover Financial Service's preferred stock, series B, was among the most active of issues, closing at $23.18, down 8 cents on 907,000 shares traded, a market source said.

GMAC Capital Trust's preferred securities, series A, closed on Thursday up 11 cents at $27.44 on 486,000 shares traded.

M&T Capital Trust IV's 8.5% enhanced trust preferred securities traded down a penny at $25.40 on volume totaling 248,697.

RBS Capital Funding Trust V's 5.9% non-cumulative guaranteed trust preferred securities moved up 4 cents to $21.13 on 246,019 in total volume.

And RBS Capital Funding Trust VII's 6.08% noncumulative guaranteed trust preferred securities were flat $21.69 on 187,250 shares traded.

Trading activity was "on the light side," a trader said.

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