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Standby letter of credit |
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Standby letter of creditAgreement to guarantee invoice payments to a supplier; a standby LOC promises to pay the seller if the buyer fails to pay.Standby letter of credit Similar MatchesStandby agreementStandby agreementIn a rights issue, agreement that the underwriter will purchase any stock not purchased by investors. Standby feeStandby feeAmount paid to an underwriter who agrees to purchase any stock that is not purchased by public investors in a rights offering. Standby commitmentStandby commitmentAn agreement between a corporation and investment firm that the firm will purchase whatever part of a stock issue that is offered in a rights offering that is not subscribed to in the two- to four- week standby period. |
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