High Yield Calendar

Total amount of high-yield bond offerings being marketed: $3.385 billion and €215 million

WEEK OF JAN. 31

DI FINANCE/DYNCORP INTERNATIONAL LLC: $320 million senior subordinated notes due 2013 (Caa1/B-); Goldman Sachs & Co., Bear Stearns & Co. (joint); Rule 144A/Regulation S with registration rights; non-callable for four years; also $420 million credit facility; to help fund Veritas Capital's acquisition of DynCorp from Computer Sciences Corp. for $850 million, with $775 million in cash payable at closing plus $75 million of senior preferred stock; DynCorp is a Fort Worth, Texas-based provider of mission critical support to its customers, primarily the U.S. government; price talk 9%-9¼%; pricing Tuesday.

PQ CORP.: $300 million senior subordinated notes due 2013 (B3/B-); Credit Suisse First Boston, JP Morgan, UBS Investment Bank (joint); non-callable for four years; to help fund JPMorgan Partners' leveraged buyout of PQ, a Berwyn, Pa.-based chemicals and engineered glass materials company; roadshow started Jan. 24 week; expected to price Jan 31 week.

AMERICAN REAL ESTATE PARTNERS LP: $300 million senior notes due 2013 (Ba2/BB); Bear Stearns & Co.; Rule 144A; to acquire additional oil and gas, and gaming and entertainment assets in transactions with affiliates of Carl Icahn; Mount Kisco, N.Y., real estate master limited partnership with investments in rental real estate, hotel and resort properties, casino properties, oil and gas properties, land sales, house and condominium development, and investments in securities (Icahn is chairman of the board of the general partner); expected to price early Jan. 31 week.

SELECT MEDICAL CORP.: $660 million of senior subordinated notes due 2015 (B3/B-); Merrill Lynch & Co., JP Morgan, Wachovia Securities, (joint), CIBC World Markets, PNC (co's); Rule 144A with registration rights; non-callable for five years; also $880 million senior secured credit facility; also equity contribution; to help fund approximately $2.3 billion acquisition of Select Medical Corp.; issuer is a new company formed by an investment group led by Welsh, Carson, Anderson & Stowe; acquisition to close first quarter of 2005; roadshow started Jan. 27; pricing expected Feb. 3.

DIGITAL REALTY TRUST INC.: $75 million series A cumulative redeemable preferred stock; Citigroup (physical books), UBS Investment Bank (joint books), Merrill Lynch & Co. (co-lead), Credit Suisse First Boston, McDonald Investments, SunTrust Robinson Humphrey (co's); 3 million shares for $75 per share; non-callable for five years; to repay revolver, acquire other properties and general corporate purposes; Menlo Park, Calif.-based real estate investment trust; expected to price Jan. 31 week.

WS FINANCING CORP./WORLDSPAN LP: $350 million senior secured second-lien floating-rate notes due 2011; JP Morgan, UBS Investment Bank, Lehman Brothers, Deutsche Bank Securities (joint), Goldman Sachs & Co. (co); Rule 144A/Regulation S; non-callable for one year; also new $440 million senior credit facility; to repay bank debt and redeem the 9 5/8% senior notes due 2011, refinance senior secured debt, redeem preferred stock issued by Worldspan's parent, Worldspan Technologies Inc. (WTI), prepay and terminate sponsor advisory fees and dividends on WTI's class B common stock, and general corporate purposes; sponsors are CVC Group and The Ontario Teachers' Pension Plan; Atlanta-based operator of computerized reservation systems; roadshow started Jan. 27; pricing expected Feb. 4.

ATLANTIS PLASTICS INC.: $125 million senior subordinated notes due 2012 (Caa1/CCC+); Bear Stearns & Co. (books), BNP Paribas, Jefferies & Co. (co's); Rule 144A; proceeds together with new amended, restated credit facility, to repay existing senior secured debt and a special dividend to shareholders of up to $118 million; Atlanta-based manufacturer of specialty plastic films and custom molded and extruded plastic products used for storage and transportation, food service, appliance, automotive, commercial and consumer applications; roadshow Jan. 18-25.

WEEK OF FEB. 7

MERCER INTERNATIONAL: $300 million senior notes due 2013 (B); RBC Capital Markets, Credit Suisse First Boston (joint), CIBC World Markets (co's); public offering; non-callable for four years; 35% equity clawback; also concurrent $100 million equity offering; to fund the acquisition of Celgar pulp mill in British Columbia and refinance existing debt; Mercer International is a Seattle-based pulp producers with facilities in Germany and British Columbia; U.S. roadshow started Jan. 24; expected to price in early Feb. 7 week.

BUILDERS FIRSTSOURCE INC.: $250 million second-priority senior secured floating-rate notes due 2012 (expected ratings B3/B-); UBS Investment Bank, Deutsche Bank Securities; Rule 144A; non-callable for two years; also new credit facility; to pay a $237 million dividend to sponsor Joseph Littlejohn & Levy ahead of an IPO and repay existing debt; Dallas-based building materials company; roadshow Jan. 31-Feb. 8; pricing expected Feb. 8.

VALOR TELECOMMUNICATIONS ENTERPRISES LLC/VALOR TELECOMMUNICATIONS ENTERPRISES FINANCE CORP.: $280 million senior notes due 2015 (B1/B); Banc of America Securities, JP Morgan, Merrill Lynch & Co. (joint), CIBC World Markets, Wachovia Securities (co's), Rule 144A; non-callable for five years; also approximately $500 million concurrent offering of common shares (stock will pay a large dividend); to repay $306 million of its newly issued $1.3 billion senior secured term loan, $265 million second-lien loan, and $135 million senior subordinated loan; Irving, Texas-based provider of telecom services in rural communities in the southwestern U.S.; roadshow started Jan. 27; pricing expected early Feb. 7 week.

AMERICAN COMMERCIAL LINES LLC/ACL FINANCE CORP.: $200 million senior notes due 2015 (B3/B-); UBS Investment Bank, Banc of America Securities (joint), Merrill Lynch & Co. (co); Rule 144A/Regulation S; non-callable for five years; also $225 million asset-backed revolver; to repay existing $35 million asset-based revolver, repay its $225 million senior secured term loan, including accrued interest, repay its $140 million junior secured term loan (as of Jan. 26), including accrued interest; Jeffersonville, Ind.-based marine transportation and services company; roadshow Jan. 28-Feb. 8; pricing expected Feb. 8.

IESY REPOSITORY GMBH & CO. KG: €215 million senior notes due 2015 (CCC+); JP Morgan, Citigroup (joint books), Lehman Brothers (joint lead); Rule 144A/Regulation S; non-callable for five years; to help fund the acquisition of Ish or, if acquisition does not occur, to fund a dividend, sponsor Apollo Management; parent of German cable TV operator Isey GmbH; roadshow starts Feb. 1; pricing expected early in Feb. 7 week.

HILITE INTERNATIONAL INC.: $150 million senior subordinated notes due 2012 (confirmed B3/expected B); JP Morgan (books), NatCity Investments (co); Rule 144A/Regulation S; non-callable for three years; to repay bank debt; Cleveland precision valve manufacturer for the automotive industry; will present on Feb. 2 at the JP Morgan High Yield Conference, then Feb. 7 in Boston, Feb. 8 in New York City; pricing late in the Feb. 7 week.

HYDROCHEM INDUSTRIAL SERVICES: $150 million senior subordinated notes due 2013 (Caa1/B-); Morgan Stanley, Credit Suisse First Boston; Rule 144A; non-callable for four years; three-year equity clawback; to refinance existing debt and help fund the acquisition of the company by Oak Tree Capital Management; Deer Park, Texas-based industrial cleaning services provider; roadshow starts Feb. 1; pricing expected Feb. 7 week.

2005 FIRST QUARTER

CINCINNATI BELL INC.: $350 million in two tranches: $250 million senior unsecured notes and $100 million (minimum) senior subordinated unsecured notes (restructured Jan. 26 from a single tranche of senior unsecured notes due 2015); also new credit facility; to redeem its 16% senior subordinated discount notes due 2009, Banc of America Securities and Credit Suisse First Boston solicitation agents, (new expiration date Jan. 28); parent to local exchange and wireless provider to residential and business customers in Ohio, Kentucky and Indiana, based in Cincinnati.

ON THE HORIZON

ADELPHIA COMMUNICATIONS CORP.: $3.3 billion 10-year senior unsecured notes; non-callable for five years; part of $8 billion bond and bank loan exit financing from Chapter 11; Deutsche Bank Securities; Greenwood Village, Colo., cable television company.

DAVITA INC.: $4.3 billion debt financing new high-yield bonds and new credit facility; bank loan to back $3.05 billion acquisition of renal dialysis services company Gambro Healthcare and refinance existing credit facility; JP Morgan has committed financing; DaVita is a Torrance, Calif.-based provider of dialysis services for patients suffering from chronic kidney failure; interest rate on total net debt expected to be in the 6½% to 8% range.

GLOBAL MOTORSPORT GROUP INC.: $85 million senior secured notes due 2008 (B-); Jefferies & Co.; Rule 144A; non-callable for three years; to repay bank debt; Morgan Hill, Calif., aftermarket supplier of motorcycle parts.

HOLLY ENERGY PARTNERS LP: Senior unsecured notes; to help fund acquisition of pipeline and terminal assets of Alon USA for $120 million in cash and 937,500 Holly Energy Partners class B subordinated units; Holly Energy is a Dallas-based provider of refined petroleum product transportation and terminal services to the petroleum industry.

HOLLYWOOD MERGER CORP.: $550 million in bonds; also $275 million credit facility to be led by UBS Securities LLC; part of its amended merger agreement with affiliates of Leonard Green & Partners LP; Wilsonville, Ore., video chain; expected end of the fourth quarter 2004, or early first quarter 2005.

MASONITE INTERNATIONAL CORP.: $825 million (approximate) high-yield bonds, multi-tranche expected; Scotia Capital expected to be involved; also approximately $1.525 billion credit facility, The Bank of Nova Scotia underwriter; to help fund Kohlberg Kravis Roberts & Co.'s acquisition of Masonite in an all cash transaction under which Masonite's shareholders will receive C$40.20 per share (total value of the transaction is about C$3.1 billion); Mississauga, Ont.-based building products company; expected February business.

MOVIE GALLERY INC.: $475 million senior notes; Wachovia Securities; also $720 million credit facility; to fund acquisition of Hollywood Entertainment Corp.; Movie Gallery is a Dothan, Ala.-based video rental chain.

PENN NATIONAL GAMING INC.: $300 million high-yield bonds; Deutsche Bank Securities; to back the $1.4 billion acquisition of Argosy Gaming Corp.; Wyomissing, Pa., gaming firm.

STAR GAS PARTNERS LP: $300 million public or private offering of debt securities; JP Morgan; also $300 million asset-based senior secured revolving credit facility; to support its working capital requirements for the near term; Stamford, Conn.-based distributor of home heating oil and propane.

VERIZON HAWAII: New high-yield bonds; also new credit facility to be led by JPMorgan, Goldman Sachs, Lehman Brothers (same banks to lead bond deal, although not necessarily in that order); to fund Carlyle Group's $1.65 billion acquisition of Verizon Hawaii from Verizon Communications Inc.; pending regulatory approvals.

INCOME SECURITIES OFFERINGS IN THE MARKET

DAVCO ACQUISITION HOLDING INC. 7.99 million Enhanced Income Securities (EIS), price range $14.50 and $15.50 per EIS: comprised of 7.99 class A common stock and $59 million senior subordinated notes due 2016, also separate offering of $7.5 million senior subordinated notes due 2016; RBC Capital Markets (books), KeyBanc Capital Markets, Oppenheimer, SunTrust Robinson Humphrey; both issues of notes guaranteed on an unsecured senior subordinated basis by all domestic subsidiaries (DavCo Operations Inc., FriendCo Restaurants Inc., Heron Realty Corp., and MDF Inc.); about $13.0 million of the proceeds will be used to repurchase class B common stock from Citicorp Venture Capital Ltd. and affiliates; subsidiary of Crofton, Md.-based DavCo Restaurants Inc., the largest franchisee of Wendy's International Inc.

ROADSHOWS

Started late Jan. 17 week: MERCER INTERNATIONAL $300 million; RBC Capital Markets, Credit Suisse First Boston

Started Jan. 24: PQ CORP. $300 million; Credit Suisse First Boston, JP Morgan, UBS Investment Bank

Started Jan. 24 week: AMERICAN REAL ESTATE PARTNERS LP $300 million; Bear Stearns & Co.

Started Jan. 27: SELECT MEDICAL CORP. $660 million; Merrill Lynch & Co.

Started Jan. 27: VALOR TELECOMMUNICATIONS ENTERPRISES LLC/VALOR TELECOMMUNICATIONS ENTERPRISES FINANCE CORP. $280 million; Banc of America Securities, JP Morgan, Merrill Lynch & Co.

Started Jan. 27: WS FINANCING CORP./WORLDSPAN LP $350 million; JP Morgan, UBS Investment Bank, Lehman Brothers, Deutsche Bank Securities

Jan. 28-Feb. 8: AMERICAN COMMERCIAL LINES LLC/ACL FINANCE CORP. $200 million; UBS Investment Bank, Banc of America Securities

Jan. 31-Feb. 8: BUILDERS FIRSTSOURCE INC. $250 million; UBS Investment Bank, Deutsche Bank Securities

Starts Feb. 1: STEWART ENTERPRISES INC. $200 million; Banc of America Securities

Starts Feb. 1: HYDROCHEM INDUSTRIAL SERVICES $150 million; Morgan Stanley, Credit Suisse First Boston

Starts Feb. 1: IESY REPOSITORY GMBH & CO. KG €215 million; JP Morgan, Citigroup

Starts Feb. 2 at the JP Morgan High Yield Conference: HILITE INTERNATIONAL INC. $150 million; JP Morgan

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