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What's more, the two main classes of debt carry interest rates of 8.75% and 12.25%.
EMTA also holds that, while bonds should not be exempt, nor should all classes of debt be treated equally.
The credit rating agency Moody's spelled out a few facts last week when downgrading some of Four Seasons' classes of debt deep into junk territory.
As markets have developed, rating agencies have expanded into complex securities, such as collateralised bonds, and are looking at different classes of debt.
The Commissioner's authority includes treating equity interests issued by a non-REMIC as debt if the entity issues equity interests that correspond to maturity classes of debt.
To the extent provided in regulations, equity interest of varying classes which correspond to maturity classes of debt shall be treated as debt for purposes of this subsection.
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The Secretary may exempt classes of debts from this prohibition and has prescribed standards defining when a "delinquency" is "resolved" for purposes of this prohibition.
Its object is to compel the payment of the several classes of debts named, and was so regarded by the supreme court of the state.' Indeed, the limit in amount ($50), found in that statute, made it clear that no police regulation was intended; for, if it were, the more stock found on the track the greater would be the danger and the more imperative the need of regulation and penalty.
A creditor with 7percentt of the next class of debt could buy up to seven reorganization rights, at a price not lower than one-hundredth of all the more senior classes' debts.
An owner of 18percentt of one class of debt, for instance, could buy up to 18 reorganization rights at a unit price not lower than one-hundredth of all the more senior creditors' claims.
Yet another top-rated class of debt is on the hit list now that Standard & Poor's may downgrade covered bonds — a type of mortgage-backed security popular in Europe.
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