RadioShack up on refinancing deal; Sears slightly better; Walter comes in on takeover buzz

By Stephanie N. Rotondo

Honolulu, Oct. 3 – New employment data out Friday indicated a strengthening economy, helping push most markets into higher territory.

The latest Labor Department report showed 248,000 non-farm jobs being added in September, pushing unemployment down to 5.9%, the first time the marker has hit below 6% since 2008.

While most markets were enjoying the positive tone, some names were also boosted by fresh news.

RadioShack Corp. was “up smartly,” in the words of one trader, after it was reported late Thursday that the company had secured new financing from Standard General LP, its largest shareholder.

Another trader said the name “bounced,” though he noted that there was “not a lot of volume.”

Elsewhere in the retail space, Sears Holdings Corp.’s 6 5/8% notes due 2018 were up slightly – albeit amid few trades – as that company also secured new money recently.

On Thursday, it was reported that the Hoffman Estates, Ill.-based company was selling a majority of its 51% stake in Sears Canada for as much as $380 million.

But even with the market’s firmer feel, the coal sector failed to gain any traction.

“Coal is definitely still better for sale,” a trader said, even Walter Energy Inc., which had pushed up on Thursday on rumors it was being targeted by BHP Billiton and Rio Tinto.

A trader said Arch Coal Inc.’s debt “continued to get smacked.”

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