Dutch auction


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Dutch auction

An auction in which the asking price is set high and then lowered until someone buys the item. What is this, a Dutch auction? Why is the auctioneer starting out at $1,000 for that piece of junk?
See also: auction, Dutch

Dutch auction

an auction or sale that starts off with a high asking price that is then reduced until a buyer is found. (Viewed by some as insulting to the Dutch.) Dutch auctions are rare—most auctioneers start with a lower price than they hope to obtain. My real estate agent advised me to ask a reasonable price for my house rather than get involved with a Dutch auction.
See also: auction, Dutch
References in periodicals archive ?
For Dutch auction tender offers, the average net number of sales transactions over Quarter -4 through Quarter -1 is -0.21.
AOL's modified Dutch auction tender offer expired at 5:00 P.M., New York City time, on August 2, 2012.
The authors gathered data on all fixed-price and Dutch auction self-tender offers between September 1981 (the date of the first announced Dutch auction) and December 1989.
The bills will be sold over the Internet in a Dutch auction. Settlement is May 30.
TELECOMWORLDWIRE-December 21, 2011-Tucows launches Dutch auction tender offer for up to 6.5m common shares(C)1994-2011 M2 COMMUNICATIONS http://www.m2.com
The company said that the Offer is being made by way of a "modified Dutch auction" pursuant to which shareholders may tender all or a portion of their Shares at a price of not less than CAD27.70 and not more than CAD30.00 per Share, in increments of CAD0.10 per Share, or without specifying a purchase price, in which case their Shares will be purchased at the purchase price determined in accordance with the Offer.
Other items affecting earnings per share include Acxiom's expected completion of the Dutch Auction Self Tender (a stock buy-back program), interest on an $800 million credit facility and a higher effective tax rate.
A Dutch auction, raffle, barbecue and balloon race were also held.
The offer is being made by means of a "Dutch Auction" in which WestPoint stockholders have the opportunity to sell a portion or all of their shares at a price of not greater than $22 nor less than $19 per share.
If that happens we risk a return to the disastrous Dutch auction policies of the 1970s.
Alliance Data commenced a "modified Dutch Auction" tender offer to purchase up to $750M in aggregate purchase price of its issued and outstanding shares of common stock, par value 1c per share, or such lesser aggregate purchase price of Shares as are properly tendered and not properly withdrawn, at a price not greater than $162.00 nor less than $144.00 per Share to the seller in cash, less any applicable withholding taxes and without interest.
Deutsche Bank AG, London Branch will act as dealer manager in the tender offer, which will use a modified Dutch auction structure.
TELECOMWORLDWIRE-December 6, 2011-NeuStar reports preliminary results of USD250m Dutch Auction tender offer(C)1994-2011 M2 COMMUNICATIONS http://www.m2.com
The Treasury will sell the warrants in a modified Dutch auction underwritten by Deutsche Bank Securities (NYSE: DB) (DBK.DE).