EU bond
If the EU has granted a subsidy to a company and that subsidy is not used as prescribed, then the company is held responsible for a refund. If the company has become insolvent, the EU bond ensures that the money is repaid to the EU. In certain cases the EU asks the company to sign this bond. The EU bond can also ensure that a company can pay its EU taxes, which can be very helpful in case it is subject to steep selective taxes.
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