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Bond Ideas for HY


Myth465

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Just wanted to see what you guys thought were some good bond issues. The one I like the best is ICO's 2014 bonds YTM = 14%.

 

http://www.investinginbonds.com/corporatebonds/(bsca0555h5cg1pz1euwafp45)/cusip.aspx?action=all&cusip=45928HAA4

 

3 months ago was better but, do you guys see anything interesting out there. Compton Petroleum is interesting but, slightly risky.

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Compton has great assets, but the market for those assets might not recover before their secured debt comes due.

 

I would be very careful of any company with a lot of secured debt maturing that can't be paid off. There is currently a dearth of debtor in possesion financing in most bankruptcy cases, which allows the secured creditors to run roughshod over subordinated creditors, charging high rates of interest for DIP financing and forcing 363 sales etc.

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