Senior refunding

Senior refunding

Replacement by the issuer of securities with 5-to 12-year maturities with securities of 15-year or longer maturities, in order to delay, reduce, or consolidate payment.

Senior Refunding

The act of an issuer redeeming a bond by replacing it with a bond with a longer maturity. For example, a company may conduct a senior refund by redeeming its 10-year bonds and granting bondholders 30-year bonds. This is a useful tactic when a company wishes to delay payment or consolidate its debt.
References in periodicals archive ?
Senior refunding TABs are secured by a first lien on gross tax increment on all taxable property within the former agency's project area and net of senior pass-through payments, if any, and tax administration fees.
CHICAGO -- Fitch Ratings assigns an 'AA-' long-term rating to the Illinois State Toll Highway Authority's (the authority) toll highway senior refunding revenue bonds, 2010 series A-1 and A-2 (together, 2010 series), scheduled for negotiated sale on June 10, 2010.
3 million senior refunding revenue bonds series 2009B (to be sized and sold subject to tender) 'AA';
NEW YORK & CHICAGO -- Fitch Ratings assigns a rating of 'AAA/F1+' to the $766,200,000 The Illinois State Toll Highway Authority, toll highway variable rate senior refunding revenue bonds, 2008 series A consisting of $383,100,000 2008 series A-1 Bonds and $383,100,000 2008 series A-2 Bonds.
6 million in Northwest Parkway Public Highway Authority, CO (Northwest Parkway, or the authority) senior refunding revenue bonds series 2005A and series 2005B and the 'BB' rating on the authority's $218.
6 million senior refunding revenue bonds, series 2005A and series 2005B and other available sources will be used to refund all of the outstanding series 2001A senior bonds ($175.
The st ate has authorized and pledges long term senior refunding bonds to ultimately take out the notes.
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