paydown

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Paydown

1. A payment on the interest and/or principal on a loan; debt service.

2. When a bond is called or matures and a new one is issued, the amount by which the face value of the old issue exceeds the face value of the new one. This represents a reduction in the issuer's debt. If a company pays out $10,000,000 in bond maturities and then issues $7,000,000 in new bonds, this is an example of paydown, because the company now has $3,000,000 less in debt.

paydown

In a corporate or U.S. Treasury refunding, the amount by which the face value of the bonds being refunded exceeds the par value of the new bonds being sold. The paydown represents the amount by which the debt is reduced.
References in classic literature ?
Briggs often goes out shopping for hours, or making calls, and then she pays down fair and honorable like a lady; there's no beating down or making three hours into two hours and a half, as some folks do; and it is easy work for the horses; not like tearing along to catch trains for people that are always a quarter of an hour too late; and if I don't oblige her in this matter it is very likely we shall lose them altogether.
Hoping to take advantage of the boom in property sales as it pays down its $3 billion debt, the Los Angeles Department of Water and Power on Monday will be putting up for sale 17 properties around Southern California.