reset rate

reset rate

[′rē‚set ‚rāt]
(engineering)
The number of times per minute that the effect of the proportional-position action upon the final control element is repeated by the proportional-speed floating action.
References in periodicals archive ?
Rohrer Farm was approved for a $400,000, 15-year loan at a 2.5 percent reset rate through the Greater Berks Development Fund.
The notes will accrue interest at a fixed annual rate equal to 6.750 percent until, but excluding, November 4, 2021, and thereafter at an annual rate equal to the benchmark reset rate plus 5.463 percent.
Debashis Dey, Partner and Head of Capital Markets (Middle East) at Clifford Chance, commented: "The issuance marks the first public subordinated debt Tier II transaction for ENBD in several years, and their first use of subordinated Tier II with reset rate mechanics".
Note: they made two payments at the first reset rate that reduced principal with the last of those two payment made on September 15, 2006.
Auction rate securities also require an "auction agent" to receive bids from the broker/dealers, determine the winning bid and reset rate, and act as liaison among the issuer, brokers, trustees, and security depositors.
Maztech Realty, Inc., a real estate development entity, was approved for a $375,000, 15-year loan at a 2.5 percent reset rate through the Adams County Economic Development Corporation for the construction of a 4,725-square-foot addition to an existing single tenant facility located in New Oxford.
However, the reset rate shall not exceed a maximum of 9% annually.
Precision Pallets and Lumber, LLC was approved for a $400,000, 15-year real estate loan at a 2.5 percent seven-year reset rate and a $240,000, seven-year machinery and equipment loan at a 3.5 percent rate through the Southern Alleghenies Planning & Development Commission.
Qualified applicants are eligible to select either a reset rate of 2.25 percent for the first seven years or a fixed rate of 3.00 percent for real estate financing, 3.00 percent fixed rate for equipment loans, 3.00 percent fixed rate loans for a 12-month period for working capital and accounts receivable lines of credit, and 2.00 percent fixed rate for pollution prevention and energy efficient loans.
In its analysis, Fitch applied loan switch and reset rate assumptions as per its criteria and concluded that the credit enhancement is sufficient to meet interest payments on the senior notes in a timely manner.
Qualified applicants are eligible to select either a reset rate of 2.25 percent for the first seven years or a fixed rate of 3.25 percent for real estate financing, 3.25 percent fixed rate for equipment loans, 3.25 percent fixed rate loans for a 12-month period for working capital and accounts receivable lines of credit, and 2.00 percent fixed rate for pollution prevention and energy efficient loans.
While the issuer faces the reset risk on the loans (weighted average time to first reset is approximately 14 years), Fitch has taken the interest rate policy into account when modelling the loans' all-in reset rate. We assume that the implicit margin over the fixed swap rate will be as per Fitch's criteria assumptions for transactions that are exposed to interest rate reset risk.