Business / Accounting / Subordinated Debt: If a company is liquidated (i.e. becomes insolvent ), the secured creditors are paid first. If any money is left, the unsecured creditors are then paid. The amount of money owed to the unsecured creditors is termed the 'subordinated debt' of the company.
Debt Adjective Synonyms: obligation, due, indebtedness, liability, responsibility, accountability, encumbrance
Business / Loan / Subordinated Debt (Junior Debt): Debt over which senior debt takes priority. In the event of bankruptcy, subordinated debt-holders receive payment only after senior debt is paid in full. A subordination of security interest in proper MORE
Business / Finance / Senior Debt: Debt whose terms in the event of bankruptcy, require it to be repaid before subordinated debt receives any payment. MORE
Business / Finance / Junior Debt (Subordinate Debt): Debt whose holders have a claim on the firm's assets only after senior debtholder's claims have been satisfied. Subordinated debt. MORE
Business / Finance / Level Debt Service: A municipal charter provision that debt payments must be relatively equal from year to year so that required revenue projections are easier. MORE
Business / Loan / Long Term Debt: Financing used to purchase or improve assets such as plant, facilities, large equipment and real estate. MORE
Business / Finance / Long-Term Debt As A Percent Of Total Capital: Long-term debt including capitalized leases expressed as a percentage of total capital (common and preferred stock plus long term debt). It reflects the use of leverage by the company. MORE