Sentences with phrase «bondholders do»

The first being that bondholders do not get any voting rights, but they do have legal recourse to get their money back should the issuer fail to repay the bond.

Bondholders do not get a share of company's profits but rather collect interest at an agreed upon rate.

Stockholders also benefit when the board of directors issues dividend payments, while bondholders do not.

That means that bondholders don't have any incentive to see the company take large risks that could endanger financial stability.

Even though the bondholder does not receive interest income, s / he is still required to report the imputed interest on the bond to the Internal Revenue Service (IRS) each year.

Not exact matches

Some of that cushion is needed to pay interest to bondholders, however, because customers on installment plans don't pay anything extra beyond the price of a phone.

For example, in Hans v. Louisiana (1890), the high court ruled against a Louisiana resident bondholder on 11th Amendment grounds even though it did not specifically preclude suits by a state's citizens.

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.

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.

A new study by researchers at the Federal Reserve Bank of New York suggests that bondholders still don't believe the government would ever let the firms collapse into bankruptcy — after a decade of efforts by regulators to convince them otherwise.

Then, President Obama went to the Group of Twenty meeting, after Tim Geithner, the Treasury Secretary, had been on the phone with Europe, and said that if Greece didn't pay the French and German bondholders, the American banks had made huge bets and would go under — and so would big European banks who were counterparties.

They have a debt to the bondholders and they do pay that.

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.

Also, US President Obama and Treasury Secretary Geithner also told Angela Merkel that US banks had made big bets — derivative gambles — that Greece would pay its bondholders, and threatened to hurt European banks if they did not pressure the IMF to bail out Greece.

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

I could admittedly do better, and would certainly have captured more upside from temporary speculation, had I committed myself to the principle that central banks will act strictly to defend the bondholders of the banks they represent, even if it means trespassing into fiscal policy, subordinating public interest, empowering the worst stewards of capital, violating legal restrictions, and inviting long - term instability.

Does that mean bondholders can expect to be paid back roughly 60 cents on every dollar of Puerto Rico debt owned?

The question now is, what exactly will the island need to do to stay afloat, and what will it mean for creditors, particularly bondholders?

The idea of debt amnesties was to prevent debt from tearing society apart — to prevent the kind of crisis that the United States has been in since 2008, when President Obama didn't cancel the junk - bond debts, or the debts that tore the Greek economy apart — when the IMF and Europe imposed them on Greece instead of letting it default on debts owed to French and German bondholders.

1MDB has a $ 3 billion bond outstanding that does not mature until 2023 but the fund has a strong incentive to pay this back sooner rather than later — even if it means paying bondholders a premium.

Many individual bondholders believe the implications of interest rate fluctuations don't impact them because they'll receive their principal value on an individual bond if held to maturity.

To the bondholders (the creditors), it doesn't matter if the country prints money, collects taxes, or does whatever else.

«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.

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

Brodsky says at least in a bankruptcy proceeding, everyone is treated fairly, including the bondholders, who currently don't suffer when a municipality borrows more money or relies on increased state aid to solve its problems.

For example, a company that issues a bond generally must periodically pay bondholders interest, but doesn't repay the principal until the bond is redeemed.

Emerging markets often do not provide legal remedies for bondholders comparable to those available to bondholders in the United States, and it may not be possible to dispose of bonds of distressed issuers.

Equity holders do not want to give the bondholders a firm that is worth more, or more stable.

They don't care about bondholders, unless they are selling bonds.

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.

Because this calculation is only necessary to determine the bondholder's basis, it need not be done by the bondholder until sale or other disposition of the bond and, if the holder holds the bond until maturity, it need never be done.

What this does for bondholders is protect the price of the bond.

I don't think they will stop paying bondholders, but the second order effects of closing down large portions of the government are uncertain.

That said, if they do end up there, expect that the governments hand losses off to bondholders, pensioners and / or medical care recipients.

Bondholders have first claim to the underlying property in case the company does not make principal and interest payments as scheduled.

Plus, if a company does go down, bondholders are usually compensated before stockholders.

In bond investing, face value, or par value, is the amount paid to a bondholder at the maturity date, given the issuer does not default.

CEOs who are busy increasing dividends, repurchasing shares and making acquisitions may be doing things that stroke their own egos and favor shareholders over bondholders.

No, they didn't promise to shareholders or bondholders that they would do it.

It's their stock they gave me — along with thousands or millions of other bondholders, so why don't they just save us all the hassle and compile that information on their FAQ page?

Management was unhappy about at having to liquidate carefully accumulated assets at fire sale prices, lenders were getting near the end of their tolerance for further cure period extensions, and erstwhile bondholders were wondering what the heck they were doing holding a penny stock.

One thing I am unclear on with respect to the financing on asset disposition: does the TLGP bondholder get his money back then and there when an asset is sold?

Dominion's stock price did fall below the threshold, and a downgrade might come, so Dominion negotiated with bondholders to redeem the debt.

Bondholders are made whole before stockholders but they don't stand to gain as much if the company takes off.

While the U.S. equity market advanced strongly on the day the Treasury plan was announced, most market indices were lower by the end of the week, and credit spreads (indicators of bondholder concerns about default risk) did not budge.

The common shareholder stands last in line to be paid, and because of this additional risk the shareholder demands a higher expected return than does the bondholder.

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

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.