Financial covenants have proven especially effective in protecting bondholders
from the potential pitfalls of merger and acquisition activity.
have a security interest in the trust estate pledged under the indenture which includes payments from the participants to FGU (under the Supply Agreements), amounts receivable under the commodity swap, amounts receivable under the Purchase Agreement and all other income available to the gas project, including reserve fund earnings.
Mr Boyd Barrett added: "It is hardly surprising the representatives of bondholders
advised the Government to prioritise bondholders
with devastating consequences for the country and for Ireland's economic future.
Lastly, the use of derivatives and other hedging strategies by a bondholder
may lead a bondholder
to prefer a default, as the loss on their bonds may be more than offset by the gain on their hedge.
This compares with larger rival NTL, which gave its bondholders
all of the equity in its core business when it refinanced its debt.
But some bondholders
feel they will have to take a massive fall in the value of their investments.
, however, were not keen to learn the IMF's lesson about "burden sharing.
As Keating was prosecuted, bondholders
went to court themselves, ultimately winning only a small percentage of their original investments.
The brief report 'Limited Debt Covenant Protection for Motorola Bondholders
in LBO' provides a detailed LBO scenario as well as additional analysis on Motorola's bond indentures.
Our campaign continues forward to provide a voice for the thousands of Puerto Rican bondholders
, whose livelihood is threatened by the actions of Governor Garcia Padilla.
The two entities will also enter into a funding agreement that further clarifies Merrill Lynch's obligation to make a termination payment sufficient to redeem bondholders
if the prepaid gas agreement is terminated.
To launch the Main Street Bondholder
Coalition,Matthew Kandrach , Vice President of the 60 Plus Association, andDr.