bailout bond

Bailout bond

A bond issued by the Resolution Funding Corporation (Refcorp) to save the failing savings and loan associations in the late 1980s and early 1990s.

Bailout Bond

A bond issued by the Resolution Funding Corporation in order to raise funds for the Resolution Trust Corporation. That is, bailout bonds were issued in order to pay for the closure, reorganization, and the financing of savings and loans that went bankrupt during the S&L crisis. The principal on bailout bonds were guaranteed by zero-coupon Treasury bonds, meaning that they were backed by the full faith and credit of the United States government. See also: Financial Institutions Reform, Recovery and Enforcement Act of 1989.

bailout bond

U.S. government-guaranteed debt issued by the Resolution Funding Corporation to pay for the rescue of bankrupt savings and loan associations.
References in periodicals archive ?
8 billion bailout bond issued in favour of now-defunct Laiki Bank, which was transferred to BoC after the failed lender was wound down.
Last month, Noor Islamic Bank's chief executive Hussain Al Qemzi reportedly told Zawya Dow Jones that the bank had received a portion of Dubai's USD10bn economic bailout bond in the form of deposits.
Repayment of the Laiki bailout bond had already been announced by Governor of the Central Bank of Cyprus (CBC) Chrystalla Georghadji on Wednesday.
Without an extension, Athens would also lose access to almost 11 billion euros in euro zone bailout bonds now available to safeguard Greek bank capital needs in the Hellenic Financial Stability Fund.
5bn of capital and reduce manager salaries and operating costs, in order to receive bailout bonds and avoid nationalisation.
Yields on Europe's own 10-year EFSF bailout bonds have also declined since mid-September.
TOKYO - The euro strengthened against both the dollar and the yen Thursday morning in Tokyo on a report that China plans to buy Portuguese bailout bonds, at a time when European sovereign debt woes weigh on the single currency.
The Financial Times quoted the head of the European Financial Stability Facility as saying China and other Asian investors were expected to buy a "strong proportion" of Portuguese bailout bonds when the euro zone's rescue fund starts auctioning them next month.
A Financial Times report also cited by traders as supporting the euro said that China and other Asian investors would buy a "strong proportion" of bailout bonds for Portugal to be issued next month by the European Financial Stability Facility.
Wall Street has rebounded recently, raking in bumper profits that have helped banks repay bailout bonds and freed them to pay out massive staff bonuses once more.