11. BT Capital Partners Europe said it will finance the purchase by selling asset-backed bonds, using pub leases as collateral and rents for interest and principal payments. 12. Brisk economic growth can cause supply bottlenecks that lead to faster inflation, which erodes the value of fixed interest and principal payments. 13. Concern that inflation may soon rise led to the biggest rout in bonds, whose fixed interest and principal payments are vulnerable to inflation, since March. 14. Doering wanted a lower-payment loan that would allow her the flexibility to reduce the principal payment as opportunity arose. 15. Falling inflation means interest and principal payments on existing fixed-income securities are more likely to hold their value over time. 16. For one thing, the insurance on the municipal bonds is matched by the federal guarantee of both interest and principal payments on the securities held by Vanguard GNMA. 17. Generally, the restructuring of loans involves deferring principal payments, lowering interest rates and lengthening the term of the loan. 18. Gersh and his attorney said they are trying to figure out how the missed principal payments will be made to investors. 19. He said the company would continue to make interest payments although it may temporarily halt principal payments. 20. If the loans are repaid too slowly, the principal payments that were headed for the support bonds are diverted to bolster the higher-priority CMO classes. |