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Simple English definitions for legal terms

original-issue discount

Read a random definition: corporate stock

A quick definition of original-issue discount:

Original-Issue Discount (OID) refers to the difference between the face value of a bond and the price at which it is first sold. In simpler terms, it means that the bond is sold at a lower price than its actual value.

A more thorough explanation:

Original-issue discount (OID) refers to the difference between the face value of a bond and the price at which it is first sold. This discount is usually expressed as a percentage of the face value and represents the interest that the bondholder will earn over the life of the bond.

Suppose a company issues a bond with a face value of $1,000 and sells it for $900. The original-issue discount in this case would be $100, or 10% of the face value. This means that the bondholder will earn interest on the $1,000 face value, but only paid $900 to acquire it.

Another example would be if a bond with a face value of $10,000 is sold for $9,000. The original-issue discount in this case would be $1,000, or 10% of the face value.

These examples illustrate how the original-issue discount is calculated and how it represents the difference between the face value and the initial selling price of a bond.

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1a2b3c4d26z
16:16
Who wanna play some operation metro later on
1a2b3c4d26z
16:16
Congrats jack!
thank you!!
babycat
16:16
@jackfrost11770: personally I would submit an updated resume reflecting the new position instead of a paragraph but idk what SOP is
getting a bacon egg and cheese in celebration
1a2b3c4d26z
16:18
lfg baby you earned that
babycat
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also congrats!! big win
initiallaw
16:23
congrats!!
:D
the big W is that i get reimbursed for travel now thank GOD
jack moving up in the world :)
i have a brother named jack, so whenever i see your name im marginally happier than normal
babycat
16:37
I'm guessing you don't have a sibling named babycat but I hope I still make you marginally happier than normal despite this
JumpySubsequentDolphin
16:38
maybe he has a babycat
babycat
16:38
I think everyone should have a babycat
JumpySubsequentDolphin
16:39
im allergic to baby cats >:(
JumpySubsequentDolphin
16:40
I used to have a babycat, I only got allergies after he died
JumpySubsequentDolphin
16:40
I think he’s haunting me
babycat
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:(
babycat
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that's too bad
babycat
16:40
you still have me though <3
@babycat: you make my day marginally happier with your scathing wit
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New Father John Misty album out today
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People saying it’s his best yet by far
babycat
16:45
what would I do without you renard99
awww ty wasp :)
i have 4 (baby) cats!
16:46
Damn you know her sarcasm is meant to be scathing when she calls me by my full username and not just Renard
JumpySubsequentDolphin
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@jackfrost11770: FOUR?!??
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I’m only teasing Babycat ily I’ll be seeing you in [REDACTED] very very soon
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