New Issue: ResCare $150 million seven-year notes yield 10 5/8%

By Paul A. Harris

St. Louis, Mo., Nov. 9 - ResCare Inc. priced $150 million of senior notes due 2008 (B2/B) at par for a yield of 10 5/8%, at the tight end of price talk of 10 5/8%-10 7/8%, a syndicate source told Prospect News.

UBS Warburg, and Lehman Brothers were joint bookrunners. Co-managers were Banc One Capital Markets, US Bancorp Piper Jaffray, Jefferies & Co., and First Analysis Securities.

Issuer: ResCare Inc

Amount:	$150 million
Maturity:	Nov. 15, 2008
Bookrunners:	UBS Warburg, Lehman Brothers
Coupon:	10 5/8%
Price:	Par
Yield:	10.625%
Spread:	635 basis points over 10-year Treasury
Call:	Beginning Nov. 15, 2005 at 105.313, then at 102.656,
	declining to par on Nov. 15, 2007
Equity claw:	For 35% at 110.625% until Nov. 15, 2004
Ratings:	Moody's B2
	Standard & Poor's B
Settlement:	Nov. 15 flat
Cusip:	760943AE0
End

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