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Pricing callable corporate bond Example: Pacific Bell As of 1-Aug-2008 If Pacific Bell calls the Bond on Oct 15, 2013 and pays the par value

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Pricing callable corporate bond Example: Pacific Bell As of 1-Aug-2008 If Pacific Bell calls the Bond on Oct 15, 2013 and pays the par value plus one extra interest payment then what will be the price of the bond OVERVIEW Price (% of par): Coupon rate: Maturity date: Yield to call: Current yield: Fitch ratings: Coupon payment 103.96 6.625% 15-0ct-2034 6.277% 6.340% frequency: First coupon date: Type: Callable: Semiannual 15-Apr-1994 Corporate Yes

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