A bond covenant that prohibits the issuer from entering sale-and-leaseback transactions. A sale-and-leaseback transaction is where the firm sells a fixed asset and the purchaser rents it back to the selling company. This stipulation is provided for in the bond since a sale-and-leaseback transaction increases the bond's risk.
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A bond covenant that restricts in some way a firm's ability to enter into sale-and- leaseback transactions, financing techniques that could affect creditor thinness.
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Limitation on sale-and-leaseback. A bond covenant that restricts in some way a firm's ability to enter into sale-and-leaseback transactions, financing techniques ...
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Definition of limitation on sale-and-leaseback: A bond covenant that prohibits the issuer from entering sale-and-leaseback transactions. A sale-and-leaseback ...
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Limitation on dividends and payments affecting subsidiaries. • Limitation on liens. • Limitation on sale and leaseback transactions. • Limitation on asset sales ...
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Limitation on sale-and-leaseback. A bond covenant that restricts in some way a firm's ability to enter into sale and lease-back transactions. Limitation on merger ...
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Limitation on sale-and-leaseback: A bond covenant that restricts in some way a firm's ability to enter into sale-and-leaseback transactions, financing techniques ...