DISH mostly up as investors, business affiliates give support; markets slip by close

By Cristal Cody

Tupelo, Miss., Jan. 24 – While EchoStar Corp. is facing heat after its debt exchange offers launched last week for four tranches of notes from new subsidiary DISH Network Corp., the company’s bonds are moving higher as the issuer gains support from investors and business affiliates.

DISH’s bonds, including the tranches in the debt exchange offers, were mostly “up a point” on Wednesday, a trader said.

DISH DBS Corp.’s 7¾% notes due 2026 (Caa2/CC) were more than 1 point higher around the 59½ bid area on more than $10 million of volume.

The issue traded at 53 bid, 54 offered in the same session last week.

Scrutiny that DISH is facing over a collateral transfer, debt exchanges and ratings downgrades is not causing much concern for Mission Broadcasting, Inc. president Dennis Thatcher, who was celebrating the company’s 27 television stations in 25 markets across the country coming back online with DISH systems this week.

“The company and the leadership at DISH have managed to survive many, many storms over the years, and we’re betting on them because they’re survivors,” Thatcher told Prospect News. “They’ve fought and very hard to get this far in this business, and I think they’ll come out of it. It’s a good company.”

Market tone was strong over the first half of the session but ended mixed.

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