Midday Commentary: Entergy rises, stalls; Forest City prices add-on; Corporate Office listed

By Stephanie N. Rotondo

Phoenix, June 28 - The preferred stock market was starting to die down Thursday, as market players gear up for next week's Fourth of July holiday, a trader said.

"I think it will be quiet going into the Fourth," he said.

There was some action, however, in Entergy Louisiana LLC's new $200 million offering of 5.25% $25-par first mortgage bonds due July 1, 2052, which traded up to $25.25 at midday.

"They seem to have stalled there," a trader said.

The deal priced Tuesday and freed to trade Wednesday.

Meanwhile, Forest City Enterprises Inc. priced a $125 million add-on to its 7.375% $25-par senior notes due Feb. 1, 2034.

The notes were sold at $23.7903, or $24.1078 including accrued interest from May 1.

The issue (NYSE: FCY) closed at $24.55 on Wednesday and was trading down 74 cents, or 3.01%, at midday on Thursday, at $23.81.

Among other recent deals, Corporate Office Properties Trust's $150 million issue of 7.375% series L cumulative perpetual preferreds officially listed on the New York Stock Exchange under the ticker symbol "OFCPL."

The deal priced June 20 and, on Wednesday, the company said its $22.5 million over-allotment option had been exercised in full, bringing the total amount outstanding to $172.5 million.

The preferreds were trading up 5 cents at midday to par.

And, a trader said BGC Partners Inc.'s $100 million issue of 8.125% $25-par senior notes due June 15, 2042 was "doing all right," trading at $24.95 bid, par offered.

The deal priced June 21.

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