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Eligible for redemption under the terms of an indenture.


1. In bonds, the act of an issuer repurchasing a bond at or before maturity. Redemption is made at the face value of the bond unless it occurs before maturity, in which case the bond is bought back at a premium to compensate for lost interest. The issuer has the right to redeem the bond at any time, although the earlier the redemption take place, the higher the premium usually is. This provides an incentive for companies to do this as rarely as possible.

2. The act of the issuing company repurchasing stocks or mutual funds. In the case of mutual funds, the repurchase is made at net asset value per share. Stocks may be redeemed in cash or by proration. See also: Proratable factor.
References in periodicals archive ?
375 percent Series H Cumulative Redeemable Preferred Stock as of the close of business on June 15, 2015.
Redeemable for one ticket with the purchase of another ticket of equal value for a Classical Recital Series performance through June 30, 2013.
a No 7 has three consultants - Joan Coverley, Marjorie Shaw and Tracey Rotherham, who are giving advice on using their skincare products for a pounds 5 redeemable deposit on booking.
In other words, these companies have mandatorily redeemable stock.
The Financial Accounting Standards Board (FASB), in connection with its financial instruments project, is finally addressing the issue, as raised by the SEC, and is currently proposing new financial statement treatment for redeemable preferred stock.
Redeemable for one free ticket with the purchase of another ticket of equal value.
If mandatorily redeemable preferred stock is treated as an equity instrument, the dividends are not deducted in determining the issuer's net income, although, like all preferred dividends, they are deducted to determine income available for common-stock holders.
8125000 per share; series F and H cumulative redeemable dividend of USD0.
Additionally, the board authorised cumulative redeemable preferred series G dividend of USD0.