Debt is generally issued in the form of long-term bonds. In doing so, the company is agreeing to pay-out a periodic-interest charge to its bondholders. This is called a coupon. The coupon rate is a reflection of current market interest-rates as well as the credit rating of the company. If there is a drop in interest rates, the company will seek to refinance its debt at that new rate as this will allow it to pay a much smaller interest charge. In the case of Walter Energy, Inc (NYSE:WLT), the company has said that it is withdrawing its refinancing plan altogether.