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    Thread: What is bail out?

    1. #21
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      Bailout is a term used to describe rescue in business. When a business or country can no longer meets its financial obligations, they apply for a bailout. It is a provision of money and other resources to a failing company, business organisation or a country. Citing the bailout for Greece, Cyprus and other European Union country during the financial crisis.
      A bailout helps to prevents a business from going bankrupt or a national from doing.
      When a business or country is no longer viable or not meeting financial obligations or has defaulted, a bailout becomes necessary. It is only done when bankruptcy of a company could cause severe damages to the economy or financial system.


    2. #22
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      Bail out is a word in businesses used to render help to another co partner in business or in an organization or as an individual . This is where an insurance company have a good role to play,letting such person to know that their primary aim is to bail out that is,to render help. As a country, bail out does not necessary mean getting help when falling in business only but when there is economic meltdown as a result of earthquake or flood.As one of its importance, it creates revival to any fallen firm to Stand up right .
      In FOREX trade ,it also applicable based on the co traders who are ready to bail out when a colleague is fallen



    3. #23
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      What is a bailout?
      A bailout is the act of a business, an individual, or a government profering solution such as money and resources to a dieing company. These actions helps to avoid or prevent the consequences of that business's potential downfall which may include bankruptcy and default on its financial obligations. In most cases, the said business is been partially and in some cases, completely acquired by the entity given offering the bail out. After that they do some restructuring and put the business on line again


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      Bailout is a general term for extending financial support to a company or a country facing a potential bankruptcy threat. It can take the form of loans, cash, bonds, or stock purchases. It can also be described as the act of giving financial capital to a company that is dangerously close to becoming bankrupt. The aim of the bailout is to prevent the company from becoming insolvent. A bailout may or may not require reimbursement and is often accompanied by greater government oversee and regulations.It is always been used to save investors money in such a company and prevent workers from losing their jobs which can be a big problem to the government .Governments bail out companies because they say they are ‘too big to fail.’ Whatever those companies provide are vital for society’s general welfare, politicians say. Therefore we need to save them.The government or the financing body places strict requirements such as restructuring of organisation, no dividend payment to shareholders, change of management and in some cases a cap on salaries of executives till a stipulated time period or the repayment of dues.


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      bailout is a general terms of extended financial support to a company or a country that facing a potential bankruptcy treat, it can take the form of loan, bond , cash ,or stock purchases a bailout may or may not reguire reimbursement and is often accompanies by greater government overseer and regulations.


    6. #26
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      Bail out simply means the general term for financial support to a company or a country facing a potential bankruptcy threat. It may be in form of cash, bonds, loans, or stock purchases. A bailout may or may not require reimbursement and is often accompanied by greater government oversee and regulations. The reason for bailout is to support an industry that may be affecting millions of people internationally and could be on the verge on bankruptcy due to prolonged financial crises. Bailout policies come in various forms, the most common being direct loan or guarantees of third-party private loans to the rescued entity. This direct loans are often on terms favoring being rescued.


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      A bailout is the act of a business, an individual, or a legislature giving cash and assets to a failing company. These actions help to counteract the results of that business' potential downfall which may incorporate bankruptcy and default on its financial obligations. Organizations and governments may get a bailout which may take the type of a loan, the purchasing of bonds, stocks or cash mixtures, and may need the recused party to repay the help, contingent on the terms. Bailouts traditionally happened in ventures or organizations which are never again viable or that have sustained colossal misfortunes. Be that as it may, even apparently stable parts, for example, banks are powerless to failure, as observed during the 2008 financial division bailout.


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