Annual Report 2008 English [PDF, 2.69 MB] - Tessenderlo Group

financial report 2008
• Cash flow sensitivity analysis for variable rate instruments
The average interest rate on the average debt in 2008 amounted to 4.7 % (2007: 4.8 %).
An increase (decrease) of 100 basis points in interest rates at the reporting date would have decreased
(increased) profit and loss by 1.4 million EUR (2007: 1.3 million EUR). This analysis assumes that all
other variables, in particular foreign currency rates, remain constant.
Liquidity risk
The Group will be able to meet its financial obligations as they fall due.
The Group’s approach to manage liquidity is to ensure, as far as possible, that it will always have
sufficient liquidity to meet its liabilities when due, under both normal and stressed conditions, without
incurring unacceptable losses or risking damage to the Group’s reputation.
The Group establishes forecasts on a regular base on short and longer term in order to be able to adapt
financial means to forecasted needs.
In addition, the Group maintains the following credit lines:
156
• A credit line of 420.0 million EUR, which is not confirmed.
• A credit line of 30.0 million USD. This credit line is valid till June 2009, and the interest rate would
be libor + 0.55 %.
In addition, the Group uses a commercial paper program of maximum 200.0 million EUR.
The following are the contractual maturities of financial liabilities, including interest payments and
excluding the impact of netting agreements.
2008
Carrying
amount
Contractual
cashflows
less than
one year
between
1 and 5
years
more
than 5
years
Non-Derivative Financial liabilities
Credit institutions 25.0 27.3 5.8 21.5 -
Credit institutions 50.0 55.1 11.7 43.4 -
Credit institutions 40.0 43.7 11.5 32.2 -
Credit institutions 231.1 233.1 228.1 3.3 1.7
Finance lease liabilities 2.0 2.3 0.2 1.9 0.2
Derivative Financial liabilities
Forward exchange contracts 5.2 - - - -
Inflow - -97.4 -97.4 - -
Outflow - 92.5 92.5 - -
Total 353.3 356.6 252.4 102.3 1.9