Finally, there is a significant difference in issuance costs between debt with
warrants and convertible debt. Bonds with warrants typically require issuance costs
that are about 1.2 percentage points more than the flotation costs for convertibles.
In general, bond-with-warrant financings have underwriting fees that approximate
the weighted average of the fees associated with debt and equity issues, whereas
underwriting costs for convertibles are more like those associated with straight debt.