AZTAR CORP. (AZR) (BB) said Tuesday (Nov. 27) that it has begun soliciting consents from the holders of record (as of Nov. 26) of its 8 7/8% senior subordinated notes due 2007, seeking approval to increase the amount of the so-called "restricted payments basket" from $30 million to $75 million. The Phoenix, Ariz.-based gaming operator said the amendment of the restricted payments basket is the only amendment proposed by the company and would conform the restricted payment amount to the corresponding amount in the indenture governing the company's 9% senior subordinated notes due 2011. The proposed amendment requires the consent of the holders of more than half of the notes. Upon the successful completion of the solicitation, a fee of $2.50 per $1,000 principal amount will be paid to holders who validly delivered a consent prior to the expiration deadline of 5 p.m. ET on Dec. 11. A noteholder may revoke a consent at any time prior to the expiration time by delivering a written notice of revocation. Aztar is not obligated - and does not intend - to accept consents from any holders after the expiration time. The information and tablulation agent will be MacKenzie Partners (call collect at 212 929-5500 or toll-free at 800 322-2885).

LORAL SPACE & COMMUNICATIONS LTD. (LOR) (B3/CCC+) said Nov. 23 that it had begun its previously announced offers to exchange new debt and stock warrants for about $927 million of existing debt. The exchange offers and related consent solicitations will expire at midnight ET on Dec. 20, subject to possible extension. Dresdner Kleinwort Wasserstein will be lead manager and solicitation agent for the transaction, with Banc of America Securities LLC and Lehman Brothers Inc. As co-managers and solicitation agents. Morrow & Co. Inc. Is the information agent; banks and brokerage firms should call 800 654-2468 for information; U.S. noteholders should call 800 607-0088; international noteholders should call 212 754-8000. AS PREVIOUSLY ANNOUNCED, Loral, a New York-based telecommunications satellite equipment maker and operator, said on Oct. 26 that its wholly owned LORAL CYBERSTAR INC. (Ca/CCC) unit (formerly known as LORAL ORION) would offer to exchange the new debt and stock warrants for $443 million of 11¼% senior notes and $484 million (face amount; accreted value as of Oct. 15 $470 million) of zero-coupon/12½% senior discount notes, both due 2007. The company said that in exchange, the bondholders will receive $675 million of new 10% senior notes due 2006, with $332.4 million to go to the holders of the 11¼% notes and $342.6 million to go to the 0%/12½% notes, assuming the existing debt is fully exchanged. The new notes would be fully guaranteed by Loral, while the existing notes are non-recourse to Loral. Besides the new debt, existing noteholders would also receive five-year warrants to buy up to 6.7 million shares of Loral stock, at a purchase price that would be 110% of the shares' price over a 10-day period preceding the close of the exchange offer. Loral said that completion of the exchange would be conditioned upon its acceptance by the holders of at least 85% of the notes, and said holders of more than 50% of the notes had already agreed to the exchange proposal. It further said that assuming the exchange offer is completed, bondholders choosing not to participate will be allowed to keep their old debt, but will lose the benefits of "substantially all" of their covenant protections. Loral did not initially announce a timetable for the planned note exchange.

ISLE OF CAPRI BLACK HAWK LLC (B3/B) said on Nov. 16 that it will redeem all of its $75 million of outstanding 13% mortgage notes due 2004 on Dec. 18. The Black Hawk, Colo.-based casino operator -57% owned by Biloxi, Miss.-based gaming company ISLE OF CAPRI CASINOS INC. (ISLE) (B2/B) and 43% owned by Nevada Gold & Casinos Inc. (UWN) - said it would redeem the notes at a price of $1,065 per $1,000 principal amount, plus accrued and unpaid interest up to the date of the redemption. The company plans to fund the redemption with the proceeds from a new $90 million secured credit facility (consisting of $80 million in term loans and a $10 million credit revolver). The facility will bed provided by a group of lenders, including CIBC World Markets, as Administrative Agent. Isle of Capri Black Hawk anticipates that funding under the credit facility will occur in approximately thirty days from the date of the announcement in connection with the redemption of the notes. Funding under the credit facility is conditioned on Isle of Capri Black Hawk granting a security interest to CIBC, as Administrative Agent, in substantially all of its assets concurrent with the redemption of the notes. Undrawn revolver capacity under the CIBC credit facility will be available for working capital and other general corporate purposes.

ICN PHARMACEUTICALS INC. (ICN) (Ba3/BB) said Nov. 16 that it had raised $525 million through the recent sale of convertible notes, allowing it to repurchase $303 million in debt, "largely alleviating a major economic obstacle to our company restructuring." The Costa Mesa, Calif.-based pharmaceuticals maker disclosed the information in a letter to a major shareholder. It did not give a breakdown which issues of its debt were repurchased.

KAISER ALUMINUM & CHEMICAL CORP. (KLU) (B3/B) said Nov. 16 that it would be able to retire its $177 million of outstanding 9 7/8% senior notes on or before their maturity date this coming Feb. 15. The Houston-based metals producer said that it had extended the expiration date of its credit agreement from Dec. 15 to Aug. 1, 2002, which will give the company continued financial flexibility, including the ability to borrow amounts necessary to supplement its cash resources and make the payment.

PREMCOR INC. (Ba3/BB-) said Nov. 15 that it had repurchased $57.8 million (face value) of its securities in the open market during the third quarter, and said it may buy back more in the future. Premcor, a St. Louis-based refiner and marketer of petroleum products (which has sold high yield debt under the names of its CLARK REFINING GROUP INC. and CLARK USA INC. subsidiaries) said in a Securities and Exchange Commission filing that it had paid a total of $48.5 million total for a certain amount of its PREMCOR REFINING GROUP INC. 9 ½% senior notes due 2004 and PREMCOR USA INC. 10 7/8% senior notes due 2005 and 11% exchangeable preferred stock due 2009. The company gave no breakdown as to the precise amount of each series of security redeemed, or how much of each remains outstanding following the transactions. Premcor said it may purchase more of its debt securities in the future, depending on market conditions and what it is permitted to do under its covenant restrictions.

STERICYCLE INC. (SRCL) said on Nov. 13 that it had completed an underwritten public offering of 2.725 million shares of its common stock at $51.50 per share. The Lake Forest, Ill.-based provider of regulated medical waste management services said that net proceeds from the offering will be used to redeem up to 35% its outstanding 12 3/8% senior subordinated notes due 2009. Stericycle said it sold 1.025 million new shares, and investment funds associated with selling stockholders Bain Capital, LLC and Madison Dearborn Partners, LLC sold a total of 1.7 million existing shares. The lead underwriters were Credit Suisse First Boston, UBS Warburg LLC, Merrill Lynch, Pierce, Fenner & Smith, Bear, Stearns & Co., and William Blair & Company, L.L.C. The selling stockholders have granted the underwriters an option to purchase up to an additional 408,750 shares to cover over-allotments, if any. Stericycle will not receive any proceeds from the sale of shares by the selling stockholders.

CHRISTOPHER & BANKS CORP. (CHBS) said on Nov. 8 that it will redeem all $5.3 million current face value of its outstanding 12% senior notes due 2005. The Minneapolis-based specialty women's apparel retailer - formerly known as BRAUN'S FASHIONS CORP. - set Dec. 10 as the redemption date.

The company said that its "strong cash position" has given it the ability to retire the notes three years in advance of their due date. Following the redemption, Christopher & Banks will have no long-term debt. It anticipates that based on current interest rates, the retirement of debt will be accretive to the company's net earnings by at least one cent per share annually in each of the next three years.

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