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Refer to the following information: Amount issued $260 million Offered Issued at a price of 98.00% plus accrued interest (proceeds to company 98.717%) through Citi
Refer to the following information:
Amount issued | $260 million |
Offered | Issued at a price of 98.00% plus accrued interest (proceeds to company 98.717%) through Citi and JPMorgan. |
Interest | 8.50% per annum payable June 15 and December 15. |
Maturity | June 15, 2041 |
Denomination, face value, or principal | $1,000 |
a. The ATAM bond was issued on June 1, 2011, at 98.00%. How much would you have to pay to buy one bond delivered on June 15? Dont forget to include accrued interest. Assume a 365-day year.
b-1. When is the first interest payment on the bond?
b-2. What is the total dollar amount of the payment?
c-1. On what date do the bonds finally mature?
c-2. What is the amount to be paid on each bond at maturity?
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