Bonds which are secured by a lien on the equipment. Railroads and airlines are usually the issuers.
Is a security which is collateralized by specific equipment, often capital in nature. The title is held in trust until the obligation is satisfied. However, the borrower is permitted to use the item provided there are no defaults precluding usage. This security operates in a manner similar to a mortgage or hypothecation agreement.
Form of borrowing secured by property, generally issued by railroads, to pay for new equipment. Title to the equipment is held in trust until the notes are paid off. It is usually secured by a first claim on the equipment.
A type of security, generally issued by a railroad, to pay for new equipment. Title to the equipment, such as a locomotive, is held by a trustee until the notes are paid off. An equipment trust certificate is usually secured by a first claim on the equipment.
A bond collateralized by the machinery and/or equipment of the issuing corporation.
A security, more common in the U.S.A. than in Canada, that is generally issued by a railroad or airline to pay for new moveable equipment. It is secured by a first lien on the equipment.
An Equipment Trust Certificate (ETC) is a financial security that represents the debt portion of equipment financing (usually large aircraft used by airlines), usually 80% cost of the acquisition of the aircraft. The company may retain the remaining 20% equity portion or more commonly lease the aircraft from a third party. Note holders are granted a security interest in the aircraft, and in the case of a leveraged lease, the underlying lease with the airline includes the right to receive rental payments.
