Convertible hybrid securities

Data processing: financial – business practice – management – or co – Automated electrical financial or business practice or... – Finance

Reexamination Certificate

Rate now

  [ 0.00 ] – not rated yet Voters 0   Comments 0

Details

C705S035000, C705S03600T

Reexamination Certificate

active

07848998

ABSTRACT:
The present invention is directed to a method comprising the step of issuing one or more convertible hybrid securities by an issuer to one or more investors. The issued hybrid securities may have (1) a legally enforceable covenant (e.g., an RCC) and (2) a mandatory deferral which may require the issuer to withhold certain payments upon an occurrence of specified events. The hybrid securities may be convertible by the investor or callable by the issuer. Upon conversion by an investor, the issuer may make a payment to the investor in an amount of preferred stock up to the par value of the hybrid securities and an amount of common stock for the amount paid over the par value of the hybrid securities. The preferred stock may comprise a dividend rate. The dividend rate may be (1-statutory tax rate) times a coupon for the hybrid securities. The issuer may settle with the investor, or all of the investors, upon the issuer calling the hybrid securities.

REFERENCES:
patent: 7222094 (2007-05-01), Ross
patent: 2002/0049665 (2002-04-01), Solomon et al.
patent: 2003/0163400 (2003-08-01), Ross et al.
patent: 2003/0163401 (2003-08-01), Dines et al.
patent: 2004/0181475 (2004-09-01), Haroon
patent: 2005/0160025 (2005-07-01), Birle et al.
A Risk-Reducing Signalling Mechanism Author(s): Edward Henry Robbins and John D. Schatzberg Source: The Journal of Finance, vol. 41, No. 4 (Sep. 1986), pp. 935-949.
Brooks, Robert, & Attinger, Bill. (1992). Using Duration and Convexity in the Analysis of Callable Convertible Bonds. Financial Analysts Journal, 48(4), 74. Retrieved Aug. 2, 2010, from ABI/INFORM Global. (Document ID: 456886).

LandOfFree

Say what you really think

Search LandOfFree.com for the USA inventors and patents. Rate them and share your experience with other people.

Rating

Convertible hybrid securities does not yet have a rating. At this time, there are no reviews or comments for this patent.

If you have personal experience with Convertible hybrid securities, we encourage you to share that experience with our LandOfFree.com community. Your opinion is very important and Convertible hybrid securities will most certainly appreciate the feedback.

Rate now

     

Profile ID: LFUS-PAI-O-4199398

  Search
All data on this website is collected from public sources. Our data reflects the most accurate information available at the time of publication.