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To: dennis michael patterson who wrote (20185)7/15/1999 9:15:00 AM
From: pater tenebrarum  Read Replies (1) | Respond to of 99985
 
Which means they have to pay the interest on them

regards,

hb



To: dennis michael patterson who wrote (20185)7/15/1999 9:26:00 AM
From: Benkea  Read Replies (1) | Respond to of 99985
 
dennis:

"They SOLD bonds, did they not?"

Selling bonds is the same thing as a corporate loan. They pay interest on those bonds. Ergo, if rates go down, the interest they locked in when they sold those bonds will be HIGHER than later IF rates decline and they sold them at the lower rate.