Abstract. In this paper we study the Lindley-type equation W = max{0, B − A − W }. Its main characteristic is that it is a non-increasing monotone function in its main argument W . Our main goal is to derive a closed-form expression of the steady-state distribution of W . In general this is not possible, so we shall state a sufficient condition that allows us to do so. We also examine stability issues, derive the tail behaviour of W , and briefly discuss how one can iteratively solve this equation by using a contraction mapping.