first call date

First call date

A date stated in an indenture that is the first date on which the issuer may redeem a bond either partially or completely.

First Call Date

The first date on which a callable bond or other fixed income security may be called. A callable bond allows the issuer to redeem the bond before maturity. When the bond is called, the bondholder receives the par value and does not receive any more coupons. Callable bonds are issued to allow the issuers to hedge against interest rate risk. That is, if interest rates lower significantly, they can call the bond and issue a new bond at a lower interest rate, reducing their liabilities. However, to protect the bondholder, most callable bonds also include a first call date, which guarantees the current interest rate for a certain period of time. The first call date is included in the bond agreement. See also: Doomsday call, Yield to first.

first call date

The earliest date on which a security may be redeemed by the issuer. This date is particularly important to an investor who holds a security that is selling above or near its call price. The first call date is likely to be either five years or ten years after the date of issue; however, the timing varies by bond issue. Information regarding the first call date may be found on the bond certificate or it may be obtained from the brokerage firm holding the security. Bonds selling at a premium are often quoted at the yield to first call. See also yield to call.
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If the group's financial profile has improved by the first call date of the hybrids (seven years from the issue date), management may decide to refinance the hybrid with senior unsecured debt.
The perpetual securities will be callable on May 5, 2022 and any distribution payment date after the first call date.
875 percent annually and are callable on May 5, 2022 and any distribution payment date after the first call date, the filing showed.
The settlement date for both the issues is September 21, 2016, with the first call date on September 21, 2016.
In addition, the bonds will be redeemed as the present value on the relevant record date of the remaining interest payments (excluding accrued but unpaid interest up to the early redemption date) up to and including the first call date 14 November 2016.
The securities are perpetual, with a first call date in 2020.
The notes are perpetual with a first call date which has not been fixed yet.
Long before getting there, cocos, which are required to be perpetuals if they are to qualify as additional Tier 1 capital, themselves may start to be replaced since their first call date is usually ten years after the time of issue.
The profit rate per year is payable semi-annually in arrear until the first call date in 2019, bankers familiar with the details said.
The funds raised via the placement will be funnelled into the full redemption of Generali's existing subordinated bond due in 2022 on the first call date on 20 July 2012, the company added.
The issue of or exchange of the buffer capital notes (BCNs) will occur no earlier than October 2013, which is the first call date of the Tier 1 Capital Notes, and is subject to the implementation of Swiss regulations requiring Credit Suisse Group to maintain buffer capital and receipt of all required consents and approvals from Credit Suisse Group's shareholders, including approval for additional conditional capital or conversion capital.
Permitted remedial actions include redemption of the portion of the outstanding tax-exempt bonds or, if the bonds cannot be redeemed within 90 days of the change of use, immediately defeasing those bonds followed by redemption at the first call date.

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