Daimler Annual Report 2011 - Alle jaarverslagen

Refinancing
To cover its refinancing requirements, Daimler makes use
of a broad spectrum of various financing instruments in the
international money and capital markets. Daimler needs capital
primarily for the financing of vehicles in the leasing and
sales financing business. In addition to issuing short-term commercial
paper in the money market, Daimler issues bonds in
the capital market in various currencies with medium and long
maturities. They include so-called benchmark emissions (large
bonds with large trading volumes) as well as low-volume emissions.
In addition, bank credit lines and securitized receivables
from the financial services business are also used to
cover financing requirements.
3.35
Refinancing instruments
Average interest rates
Dec. 31,
2011
in %
Dec. 31,
2010
Book value
Dec. 31, Dec. 31,
2011 2010
in millions of euros
Notes/bonds and
liabilities from
ABS transactions 3.17 4.58 29,507 27,237
Liabilities to financial
institutions 4.16 4.42 19,175 14,328
Deposits in the
direct banking business
institutions 2.40 2.29 11,035 10,876
In 2011, the Group covered its liquidity requirements mainly
through the issuance of bonds and with bank credit. Another
important source of refinancing was the unchanged high level
of customer deposits at Mercedes-Benz Bank. To a relatively
small extent, funds were also raised by issuing commercial
paper.
Various issue programs are available for raising longer-term
funds in the capital market. They include the Euro Medium
Term Note Program (EMTN) with a total volume of €35 billion,
under which several companies of the Group can issue
bonds in various currencies. In 2011, the program was utilized
to place a large number of small bonds in the market. Other
capital-market programs – smaller than the EMTN program –
exist in South Africa, Mexico and Argentina. Capital-market
programs enable Daimler to formally issue bonds in the respective
capital markets at any time.
We also made private placements in the euro market as well
as in the United States and Canada, and issued bonds in the
local capital markets in South Africa, Mexico and Argentina.
In addition, the Group successfully placed three ABS transactions
in a total amount of US$3.7 billion with investors in
the United States last year; in this context, Daimler made use
of its US platforms: Mercedes-Benz Auto Receivables Trust
and Mercedes-Benz Auto Lease Trust. A smaller ABS transaction
was also privately placed in Canada in 2011.
At the end of 2011, Daimler had short- and long-term credit
lines totaling €29.0 billion (2010: €24.0 billion), of which €9.3
billion was not utilized (2010: €9.4 billion). They included
a syndicated credit line arranged in 2010 with a consortium of
international banks with a volume of €7 billion and a maturity
of five years.
The carrying values of the main refinancing instruments and
the weighted average interest rates are shown in the table
3.35.
The refinancing instruments at December 31, 2011 as shown
in the table 3.35 are mainly denominated in the following
currencies: 43% in euros, 25% in US dollars, 7% in Brazilian real,
5% in Japanese yen and 3% in Canadian dollars.
At December 31, 2011, the total financial liabilities shown in
the consolidated balance sheet amounted to €62,167 million
(2010: €53,682) million.
Detailed information on the amounts and terms of financing
liabilities is provided in Notes 24 and 31 of the Notes to the
Consolidated Financial Statements. Note 31 also provides
information on the maturities of the other financial liabilities.
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