What is a Subordinated Debenture?

A Debenture is our promise to pay you a specified rate of interest for a specific period of time and to repay your principal investment upon maturity. The Debentures are our general unsecured obligations and are subordinated in right of payment to all of our present and future senior debt. Subordinated means that if we are unable to pay our debts as they come due, all of the senior debt would be paid first, before any payment would be made on the Debentures.

As of December 25, 2008, we had the following debt outstanding that ranks equal with or senior to the Debentures. More.

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