When a company “issues” a bond, say a floating rate note, is it borrowing? and does that mean it’s paying or receiving the floating rate?

yes it is borrowing - because someone (the public) is buying that note. they are paying a floating rate on the bond. (so Libor / Floating rate * Par value of bond is what is paid as Coupon).

yes, they are issuing an IOU to someone and paying them interest for the term of the note


Issuer of Bond = Borrower Bondholder = Lender In your example, the issuer of the bond is paying a floating rate on the bond. The bondholder is receiving a floating rate.