Add to balance / Manage account | User: | Log out |
Prospect News home > News index > List of issuers Review > Headlines for 2012 > News item |
Midday Commentary: Entergy Louisiana bringing rumored utility deal; Qwest notes list on NYSE
By Stephanie N. Rotondo
Phoenix, June 26 - Rumors of a new preferred deal from a utility proved to be true Tuesday. Entergy Louisiana LLC announced plans for an offering of $25-par first mortgage bonds.
Price talk on the 40-year notes was revised to around 5.25%, according to a trader. At midday, he said the securities were expected to price at the end of business Tuesday.
"It's going to do very well," he said, seeing paper at $24.97 in the gray market.
He added that there was no selling group.
Meanwhile, as expected, Qwest Corp.'s $400 million issue of 7% notes due 2052 listed on the New York Stock Exchange under the ticker symbol "CTU."
The notes were trading in a $25.30 to $25.35 range at midday.
In the secondary, Bank of America Corp. paper was dominating trading as investors continued to react to news out Friday regarding the redemption of $3.9 billion of trust preferred securities.
The 6.25% capital securities (NYSE: BACPB) were up 2 cents in midday trading at $25.07. Countrywide Financial's 7% capital securities (NYSE: CFCPB) were inching higher, trading at $24.70.
Bank of America is the latest bank to jump on the redemption bandwagon following the release of the Federal Reserve's new proposed rules on capital treatment for financial institutions earlier this month.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.