Investors would obviously be willing to pay considerably more for his bond than for a new bond issue in order to get the higher interest rate.

FORBES: Might Be A Great Time To Be A Bond Bear

Indeed finance officials plan to issue a new bond (which would reopen the market for emerging economies) to lengthen the maturity of the public debt.

ECONOMIST: New cabinet, old problems

Usually, colleges get a new bond rating when they issue new debt through public markets, and the evaluation affects already-issued debt.

FORBES: More Colleges See Bonds Downgraded

Earlier this year, Communist China decided to offer a sovereign bond it had long planned to issue in New York in Europe's financial markets only.

CENTERFORSECURITYPOLICY: Center For Security Policy

The mechanism would be a special bond issue covering specific reconstruction activities, with new tax revenues specifically earmarked to interest and principal payments on these bonds.

FORBES: Of Sumo and Japanese Government Finances

The state cabinet's new plan is to raise the money for its stake through a 6 billion rupees bond issue.

ECONOMIST: Enron and on and on

Once a municipal bond is refinanced, (prerefunded) the issuer uses the proceeds of the new issue and purchases US Treasury securities (collateral) that are used to pay the interest and principal on the original, more expensive debt until maturity or the call date, whichever the escrow agreement states.

FORBES: Pre-Refunded Munis Are A Bargain