In and pay a premium over the price at which the bonds are currently selling

Different types of bonds may be categorized according to the use to which the money will be

Put. Mortgage bonds, for example, are backed by the property of the corporation. Equipment trust

Certificates are used by railroads and airlines to purchase rolling stock and airplanes.

The many mergers and acquisitions that have taken place since the early 1960s have brought the

Term junk bonds into prominence. These are loan certificates, issued by corporations, that are of

Less than investment-grade standards. The risk in owning them is balanced against their higher

Yields. The money that a company gets from selling junk bonds is normally used to retire the debt

Incurred in an acquisition.

Certificates for very short-term loans are called commercial paper. The loan period ranges from

As little as one day to as long as 270 days. Such notes are issued by financial as well as by industrial

Corporations. Round lots for commercial paper are usually 1 million dollars or more, though smaller

Units called odd lots are sometimes available.

Commentary and Notes to Text 18.7.1.4

Denomination — номинальное достоинство (стоимость)

To issue in bearer form — выпускать на предъявителя

3. to clip off attached coupons — откреплять купоны (≪стричь купоны≫)