Junior issue

(redirected from Junior Issues)

Junior issue

A debt or equity issue from one corporation over which the issue of another firm takes precedence with respect to dividends, interest, principal, or security in the event of liquidation.

Junior Issue

A security that has a lower priority compared to another in the event of liquidation. That is, if a company goes bankrupt and is liquidated, holders of secured debt must be paid before the holders of unsecured debt. Holders of unsecured debt must be paid before preferred shareholders, and finally, preferred shareholders must be satisfied before common shareholders. In the forgoing, each security is a junior issue compared to the previous one. See also: Absolute Priority Rule.
Mentioned in ?
References in periodicals archive ?
Citing judicial verdicts, he stressed that promotions were not bound by seniority and junior issues but it was the confidence of the competent authority in a promoted officer.
Book borrowing is up by 23%, with 2,762 issues in February, compared with 2,229 last year, and junior issues have jumped by 68%, with 1,061 in February.