Debt Maturity
Short definition
Debt maturity is when principal is contractually due or must be refinanced. Average maturity can hide a stacked maturity wall in one number.
Detailed explanation
Final maturity, average life (WAL/duration) and the year-by-year schedule are different cuts. The CFO cut is the calendar: how much principal falls in the next 12–24 months.
Prepayment, calls and a covenant breach pull maturity forward. On FX debt, tenor is multiplied by FX risk.
Why it matters for the CFO
Refinancing risk is born in the maturity profile. The same net debt is more fragile if it is front-loaded versus DSCR and headroom.
How to read it
Average life of 4 years with 60% due in 12 months means the average misleads. The wall chart matters more than the total.
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Definitions are educational. They are not investment, credit or tax advice.