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Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Glenn D. Rudolph who wrote (24921)	11/7/1998 2:33:00 PM
From: Bill Harmond	Read Replies (1) \| Respond to of 164684

Amazon can either pay off the bonds when they mature with cash from their treasury if accumulated cash has been sufficient, or they can use credit to retire the bond with another bond offering. It is quite possible that by then the company will have a higher credit rating than it has currently, and, consequently, the replacement bonds will carry more favorable relative rates than the current issue. The bears make a big deal out of these bonds. These bonds are nothing special. They are high-yield high-risk paper, used for decades to finance younger companies.