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Re: thecrusher2011 post# 98103

Saturday, 09/13/2014 4:10:55 PM

Saturday, September 13, 2014 4:10:55 PM

Post# of 102667
Notes are not always in the parent company for the expressed reason of having Subs to protect the parent company if BK is needed. Shares are in the parent but the parent can branch into many different Subs and have many different debts or notes not directly connected to the parent. Example, Insurance company has many different Subs for different States or Product offered, if one is not performing then BK for that Sub. Debts may have only been in the Sub, so therefore minimal damage to Parent. Many companies use this business strategy for their own business safety.

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