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Cross Default

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Cross Default
A provision in some bonds stating that the issuer shall be considered in default if the issuer defaults on any other of its obligations or liabilities. This provides extra protection for bondholders.


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28, the company's banks could declare it in default on that debt, triggering cross defaults on other General Growth debts and forcing the company to seek bankruptcy protection.
Such acceleration would also result in a cross default under the Company's asset securitization agreement, permitting the lenders to terminate that agreement.
The defaults in the payment of interest due under the Notes constitute a cross default under the Company's senior secured credit agreement, permitting the lenders thereunder to accelerate such indebtedness.
 
 
 
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