CG malls europe - Commerz Real

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The table below shows the entire debt loan portfolio of CG malls europe by countries.
Loan Volume by Countries, as at 31 December 2008
Spain 16.4 %
Portugal 83.6 %
The loans are totally secured by real estate mortgages. In order to take long-term advantage
of the tax optimization as well as of the leverage effect throughout the entire
lifetime of the loan, outside financing is almost exclusively structured for repayment at
final maturity.
Structure of the loan interest fixings in % in %
Less than 1 year 38.34%
1-2 years 0.00%
2-5 years 0.00%
5-10 years 61.66%
more than 10 years 0.00%
Weighted average cost of debt 4.87%
The target gearing of the Fund is 60% in relation to the market values of the properties
within a fiscal year. The depreciations of the properties in 2009 have lowered the
appraised market value so far that it has driven up the gearing ratio to currently 66.9%.
As a recovery of the real estate values is not to be expected before the end of the year,
we assume that CG malls europe will have to report a passive breach of the loan-to-value
principles of the PPM for 2009. The management board discussed the ramifications of
the margin violation in its meetings of 17 February 2009 and 08 September 2009, and is
seeking a medium-term reduction of the gearing ratio.
Gearing in %
Total market value investment properties 565,818,000.00
Total long-term debt (redemption values) 378,625,323.50
Gearing in % 66.9%