A Bond that gives the bondholder the right to sell, or put, the Bond to the Issuer or some other party, often a remarketing agent, under specific conditions. Put Bonds are ordinarily put to the Issuer or remarketing agent at 100% of the Par Value of the Bonds.
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The amount of gross proceeds of a tax-exempt bond issue that may be permanently invested at a materially higher yield than the yield on the tax-exempt bonds equal to the lesser of 5% of the sale proceeds of the bonds or $100,000.