Also found in: Dictionary, Thesaurus, Legal, Acronyms, Encyclopedia, Wikipedia.


The per-share or per-bond compensation of a selling group for participating in a corporate underwriting.

Balance of Concessions

An agreement in which one country reduces tariffs on its imports from another country in exchange for an equivalent, or at least similar, reduction from the second country. The balance of concessions is intended to stimulate international commerce between the two countries. It is also called reciprocity or simply a concession.

Underwriting Fee

The compensation that an underwriter receives for placing a new issue with investors. It is calculated as a discount from the price of the new issue. For example, an issuer may sell the underwriter a bond at $990 per bond. The underwriter will then place the issue at $1,000, allowing it to make a $10 profit. This profit is the underwriting fee. It is also called a concession.


The dollar discount from a security's retail selling price received by members of an underwriting syndicate. For example, a syndicate member paying $995 for a bond to be sold at par (that is, at $1,000) is receiving a $5 concession. Also called selling concession.


(1) A discount, rebate, or abatement. Lease concessions may consist of free rent, below-market rent, a larger than normal build-out allowance, reserved parking, 5-year anniversary renovation allowance,or any number of other economic incentives to induce one to lease in a particular building. When investigating the purchase of an income-producing property, one should examine each and every lease in its entirety to determine the existence of any lease concessions that would adversely affect an economic analysis of the property,and one should also obtain estoppel certificates from tenants so that there are no agreements outside the terms of the written leases.(2) A business that operates within the confines of another business or on another property,but usually without a lease. Examples include a shoe-shine concession at the airport, the hot-dog concession at the ball park,or the designer fragrance concession in a department store.

References in periodicals archive ?
SLE enters into definitive agreements to dispose of certain concessions in Poland.
All that the concession forms ask for are the salary and how much concession a parent is looking for.
Law on Concessions sets up that concession deed entitles to economic exploitation of natural resources and other goods, and gives right to conduct business of general concern for the Republic of Croatia.
The government put the concession out for tender again; this time the winner was Crystallex, even though Crystallex already claimed the mine.
For Downtown, concessions packages over the past three months ranged from 1 month of rent abatement with no tenant improvement allowance for as-is space to 16 months of rent abatement and $45 per sq.
The annual park service's concessions evaluations for 12 popular parks for the years 1985 to 1989 do show strong performance scores across the board.
Other concessions offered that were cited by respondents were a one-time discount on the first month's rent (4%); two months' free rent (3.
Concessions decreased in all of the markets surveyed, with the exception of Philadelphia, where the value of the concession package remained unchanged from 1993 to 1994.