Derek Moran
American depositary receipt. A negotiable instrument issued by an American bank as a substitute for stock shares in a foreign-based corporation .� ADRs are the most common method by which foreign companies secure American shareholders. Companies that offer ADRs maintain a stock listing in their domestic market in their domestic currency, while the ADRs are held in U.S. dollars and listed on a U.S. stock exchange, usu. the New York Stock Exchange. The holder ofthe receipt is entitled to receive the specified securities upon presentation ofthe ADR to the depositary institution - Abbr. ADR. Also termed American depository receipt. Cf. AMERICAN DEPOSITARY SHARE.
American depositary share. A foreign security that is exempt from reporting requirements and deposited in an American bank to be held for private sale .� American depositary receipts are used to transfer the securities. Abbr. ADS. Cf. AMERICAN DEPOSITARY RECEIPT.
..Black's Law 9th