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Swiss Want Guarantee: A Swiss civil court...

Swiss Want Guarantee: A Swiss civil court has ordered RJR Nabisco Inc. to guarantee a $120-million bond issue in Switzerland before it sells any assets so that Swiss bondholders’ rights are protected. The firm was bought last month by Kohlberg Kravis Roberts & Co. for $25 billion. To pay off its debts, KKR plans to sell off billions of dollars in Nabisco assets when the buyout is completed after March 30. In the Swiss suit, bondholders claim the asset sales would damage them. While the stock of RJR Nabisco was bought, there are still bonds outstanding.


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