In July 2002 McCombs entered into a variable prepaid forward contract with JP Morgan with 12 different tranches to be settled (with stock or cash) in 2003, 2004 and 2005. (The bank dubbed the structure Principal Installment Stock Monetization or PrISM.) In August 2002 McCombs also agreed to lend 11.3 million shares of Clear Channel to JPMorgan Chase.

FORBES: Billionaires' Taxes

Bondholders will then have a better sense of how much money will be used to pay down their principal with the turbo structure.

FORBES: Bondholders Likely to Suffer From States' Tobacco-Funding Addiction