redemption or call means: The right of the issuer for holders to convert their convertibles into cash by requiring them to do so on a specific date. The goal is usually to get holders to convert to common before the redemption deadline. A common rule is that an issue cannot be canceled if the conversion price falls between 15 and 25 percent below its current value. One exception is when the tax rate of an issuer is very high. In such cases, debt securities could be replaced at a lower cost after-tax. (in Stock Market Dictionary)