Bond Terminology
w Restrictive covenants - Limitations set by bondholders
on the actions of the Corporation.
w Negative Pledge Clause - the processing of giving
unsecured debentures equal protection and when assets
are mortgaged.
w Poison Put - a clause that obliges the borrower to repay
the bond if a large quantity of stock is bought by single
investor, which causes the firms bonds to beat down
rated.