Universal Energy Corp (UVSE)

[eddy2]

The bonds are worth plenty more then what they are now that is for sure that the government sold when they under wrote the offering by the use of bonds.


How it works is the company borrows capital on the bases of selling the bonds to investors. The government in turn prints money based on what the bank got for the bonds were the banks lend that money back to companies buying the bonds at a marked up price. The government still owes the principal back to the bond holder but is now making money on having the money lent by the bank to the banks clients.



So how does the government pay back the principal of the bond by giving a interest in the project they are building back to the bond holders.


How is the interest paid to the bank by the with holding of capital that was raised that now collects interest.


This interest does not fully cover the expense but can be paid up front to the bank were it is depreciated of the principal to be paid back on the bond after the project is up and running making billions of dollars for its shareholders.



DD: Due Debt

This post is for entertainment only and you should consult a financial expert on any subject discussed year by me or any one else on the board.