Short Takes On High Yields


Bellwether high yield issuer Qwest Communications said last week it plans to upgrade its nationwide network and offer new services and cut costs. It was unclear at press time just how much the company would be spending for the upgrade, which reportedly will enable it to increase capacity as early as June, increase data transmission speeds, and cut costs by up to 70%. Qwest, the fourth-largest long distance carrier in the U.S., is in the process of merging with local phone company U.S. West...

St. Louis-based President Casinos posted decreases in cash flow and revenues and a net loss of $1.4 million for the three-month period ending Aug. 31. That equaled the loss for the year-ago period. EBITDA for the quarter was $6.4 million, down from $7.4 million last year, while revenues were $52.7 million, compared with the $53.6 million last year. President Casinos also saw its senior debt lowered to CCC+ by Standard & Poor's...

High yield issuer Lyondell Chemical Co. said last week that it plans to pay back some of its bank loans with the proceeds from its sale of some business units to Bayer AG, a German chemical maker. There was little immediate impact on the outstanding bonds, but the loans were traded up to levels above par...

SpectraSite Holdings Inc. posted third quarter increases in revenues and cash flow last week. Revenues increased to $26.1 million from $1.7 million in the year-ago period, while cash flow in the quarter was $11 million, up from $53,000 last year. Year-over-year comparisons are difficult because the company has been on an acquisition binge lately, just recently completing a deal for 2,000 towers from Nextel. SpectraSite also said it plans to buy 94 towers from DigiPGH PCS Inc. for about $36 million in cash. That deal is expected to close before the end of the year.