Akademiska Hus Annual Report

OPERATIONSComparisons, different calculations of the interest cost, 2003–2007%765432102003 2004 2005 2006 2007Periodic annual effective rate IFRS, annual effective rateProspects for 2008It is the Group’s assessment that the Swedish Riksbank will probablycontinue to make only small changes in the repo rate during 2008.Inflation will initially continue to rise, mainly as a result of rising foodand energy prices. The tight conditions on the credit market willprobably continue. The Federal Reserve will continue to cut interestrates, which will contribute to a weaker dollar and thus indirectly to astronger euro. This, coupled with a slower increase in inflation later inthe year and a decreasing rate of growth, will probably lead to theECB also cutting the interest rate.Portfolio growth for the Group is expected to be moderate during2007. Financing requirements largely comprised loans falling dueamounting to SEK 4,500 million. Net investments of SEK 2,255 millionand the dividend are expected to be financed to a certain extentby the good cash flow from property operations.Interest-bearing liability as of the year-end and the average interest rateBonds,fixed interestOther long-term liabilities,variable interestCommercialpaperTotal withinthe Balance SheetInterest swaps,short-termInterest swaps,variable interestTotalSEK mInterest,% SEK mInterest,% SEK mInterest,% SEK mInterest,% SEK m Interest, % SEK mInterest,% SEK m31-12-2007 2,298 3.43 12,620 4.59 1,996 4.33 16,914 4.41 2,586 5.53 –2,586 –4.67 16,914 4.5431-12-2008 2,298 3.43 10,233 12,531 3,186 4.83 12,53131-12-2009 2,298 3.43 7,976 10,274 1,886 4.73 10,27431-12-2010 799 4.07 6,028 6,827 1,886 4.73 6,82731-12-2011 799 4.07 5,241 6,040 1,886 4.73 6,04031-12-2012 799 4.07 4,440 5,239 1,161 4.70 5,23931-12-2013 799 4.07 4,434 5,233 –100 4.48 5,23331-12-2014 799 4.07 2,897 3,696 –100 4.48 3,69631-12-2015 599 4.01 649 1,248 –100 4.48 1,248Interest,%52 Akademiska Hus Annual Report 2007 | Financing