Sentences with phrase «as bondholders»

But our legal and financial system doesn't afford any of these groups the same protections as the bondholders who hold billions in Arch debt or the Arch executives who expect significant bonuses for running a company into the ground.

Typically, wide corporate credit spreads indicate a riskier lending environment, as bondholders generally will only take on a greater risk of default in exchange for a greater yield.

«hard times as the bondholders buy fewer goods and services» doesn't apply in two cases - first, for non-local bondholders; second, for ultra-rich bondholders whose consumption isn't directly dependent on their short - term income.

This can cause a shock to the economy that results in hard times as the bondholders buy fewer goods and services as they adjust to their loss of wealth.

You, as a bondholder, are not obligated to liquidity, but are merely counting on its availability.

As a bondholder, you receive regular interest payments from the bond issuer.

When a stock goes to zero, you lose everything, where as a bondholder will get some face value redemption to the notes issue price and still keep all the previous income payments.

The investor as bondholder receives monthly payments (usually on the 15th of each month) that include both mortgage principal and interest.

As a bondholder, the most important concept to be aware of is that the price of a bond has an inverse relationship to changes in the market interest rates.

As a bondholder, it does not pay to stand near cliffs where a downgrade can change the creditworthiness of a company.

Not exact matches

Of the three big rating agencies, Moody's seems the most chilled out: In a widely circulated memo dated Oct. 7, it said the U.S. would keep its AAA rating as long as it pays bondholders.

So there's that, and the worry would be that future issues with any European bank could be resolved in an as - yet - unknown way with respect to which bondholders take losses and which don't.

As of the beginning of 2016, bailouts will first be felt by bank shareholders, bondholders and depositors with more than $ 100,000.

And, he says, Hunter and his army of retail investors did nothing that hasn't been repeatedly done by investment bankers, bondholders and hedge funds during other CCAAs, such as the restructuring of Hamilton steelmaker Stelco, where self - serving parties threatened the future of thousands of workers in order to turn a profit after buying voting power from scared creditors.

As Paulson, Geithner and the Federal Reserve chairman, Ben Bernanke, raced to bail out banks and companies like A.I.G., Bair resisted, fearing that they were being overly generous by putting the interests of bondholders over those of taxpayers.

That will be important to private investors, because if the central bank held itself out as a privileged bondholder, effectively passing more risk on to other bond holders, other buyers might undermine the stimulus program by demanding higher interest rates.

For bondholders, the interest coverage ratio is supposed to act as a safety gauge.

If the FDIC had authority over insolvent non-bank financials and bank holding companies, it could wipe out equity and an appropriate amount of bondholder capital, and sell the fully - functioning residual to an acquirer, as is typically done with failing banks, without any loss to depositors or customers.

If this authority had existed in 2008, Bear's bondholders would not now stand to get 100 % of their money back, with interest, as they presently do, and Lehman's disorganized liquidation would have been completely unnecessary.

The real purpose of this regulatory rewrite is to make sure that the government can bail out the banks» bondholders and even bail out the stockholders as well as the banks themselves.

What is required is that Bear's bondholders take a loss, as they should, rather than the public doing so.

«Whereas companies routinely reward their shareholders with higher dividends, no company in the history of finance, going back as far as the Medicis, has rewarded its bondholders by raising the interest rate on a bond.»

Instead of freeing industrial capitalism from landlords, natural resource owners and monopolists, Western banks and bondholders joined forces with them, seeing them as major customers for as much interest - bearing credit as would absorb the economic rent that governments would refrain from taxing.

Subordinated bondholders and shareholders were essentially wiped out, which is as it should be.

Their success has enabled banks and bondholders to replace landlords as the major rentier class.

Among the airline's largest bondholders is the government employee pension fund, known as Kumpulan Wang Persaraan, which, according to Friday's announcement, agreed to swap 750 million ringgit, or about $ 240 million, for ordinary shares.

Current bondholders with fixed coupons become increasingly harmed by dropping bond prices as their securities approach maturity.

In recent years, however, we have increasingly seen debt used for stock buybacks and dividends, as the chart below shows, in essence rewarding equity - holders at the (possible) expense of bondholders.

If there is no money to pay, foreign bondholders will suffer — as long as Greece puts its own economy first.

And so you have a system where not only are the banks allocating credit in the economy, but it's the corporate sector itself, the industrial sector, is treating companies, industrial companies, as if the purpose was to squeeze out a financial surplus to pay bondholders and stockholders.

So almost by definition, low - tier asset purchases by the ECB and Bank of Japan act as publicly - funded subsidies for bondholders, rather than ordinary citizens.

Dividend — A part of a company's profits paid to their shareholders; not the same as the payout bondholders receive when their bonds mature.

This would be a relatively safe gamble for bondholders, as water is a fundamental necessity for households and so returns can be more or less assured.

I don't think the fiduciary responsibility to Treasury bondholders has ever been proposed as a legal theory though.

Garcia said that additional cuts to those federal reimbursements would throw off a five - year fiscal reform plan expected to be released Wednesday as Puerto Rico prepares to negotiate with bondholders over its debt.

«And as long as we have useful tools who purport to be Republicans, like Dean Skelos, Bob Turner, and a swath of other who are not willing to stand up for principles, but who would rather knuckle under to the most extreme demands of far - left Democrats, Public Service Unions and well - funded special interests in exchange for job security, and who could not lead a one - car funeral on an abandoned stretch of the Thruway, idiots like me — Andrew Cuomo — will continue to roll over the legislature, the taxpayers, the bondholders, and the rest of New York's victims with nary so much as an objection.»

As a result of the earlier rulings for the holdout bondholders, Argentina now faced a situation whereby:

By the same token, you can not default on the bond, as that would not be fair to bondholders, many of whom buy school bonds as a hedge against inflation and for their retirement.

As Puerto Rico has been forced to borrow, bondholders have made millions off of the high interest loans.

Rangel recently served as finance chairman of Emanuel's mayoral campaign, and he and other appointed - not elected - UNO leaders have strung together multiple taxpayer - subsidized and tax - exempt financial transactions to pay off private bank loans and private bondholders.

In the example set forth below, senior debt service (as well as reserve accounts for the benefit of senior bondholders) accumulates revenues ahead of TIFIA debt service and reserve accounts for TIFIA debt service, if applicable.

Essentially the big lesson here is that when a company liquidates, the bondholders are repaid before the shareholders are; because of this, bonds are known as «senior securities» while stocks are considered more of a «junior security» — this seniority I'm talking about refers to how far down the food chain the securityholder is when it comes to repayment.

This type of interest rate is referred to as the coupon rate for fixed - income investments, as it is the interest rate guaranteed by the issuer that was traditionally stamped on the coupons that were redeemed by the bondholders.

EBITDA is all very good if you are a bondholder, but stockholders need free cash flow — AK and Algoma had none of that as steel prices fell.

Mr. Lehman founded the Bond Investors Association (BIA) in 1983 as an information organization for individual bondholders.

The trust indenture appoints a company (usually a bank) to act as trustee on behalf of the bondholders.

If the OID did not increase the holder's tax basis during the period the bond is outstanding, a sale of the bond for an amount in excess of $ 4,628 would produce taxable capital gain to the bondholder, even if the increase in value arose solely as a result of the accretion of OID.

The bondholder must clip the coupons as they come due and present them for payment of interest.

the interest rate a bond's issuer promises to pay to the bondholder until maturity, or other redemption event; generally expressed as an annual percentage of the bond's face value

So, as you can see, bonds have lower risk because income is more certain for bondholders.