Without interest; coupon for interest just due and detached.

This term is particularly used in reference to " registered bonds," which, inasmuch as the interest is forwarded to the holder by check, are, to a certain extent, treated more or less from the standpoint of shares of stock. When the checks foi interest are sent out to registered bondholders, they go forward to holders of record as of a certain date. Any sale of such a bond upon or immediately after a certain date, or, in other words, the closing of the books, would be sold "ex-interest; " that is, the interest check would go to the previous holder and the purchaser makes his transaction upon that understanding. There is at times a difference in the quotations between the registered and coupon bonds of the same issue, equal to the amount of the coupon. A registered 6% bond, for example, on which 2% (four months) interest has accumulated, might be quoted at 106, which would be the equivalent of the same bond in coupon form selling at 104 "and interest." Registered bonds selling " ex-interest " are at that time quoted about equally in price, as 104 " ex-interest" and 104 " and interest " are equal one to the other. A better understanding of this may be had from reading "egistered Bond" and "Books Close."