6 - Vicat

4RISK FACTORS4.4. Market Risks4.4.4. Equity and securities risksThe Group does not have a securities portfolio, otherthan holdings of treasury shares, purchased principallyin June 2007 in the context of the sale byHeidelberg Cement of its shares in the Company.The situation of this portfolio of treasury shares as atDecember 31, 2010 is as follows :• Number of Vicat shares held in the portfolio1,006,864 ;• Percentage of share capital held by the Company2.24 % ;• Carrying cost of the portfolio by the historical costmethod (purchase price) € 81,966 thousand ;• Net carrying cost of the portfolio € 61,036 thousand ;• Market value of the portfolio € 62,929 thousand .Changes in the Vicat share value below the historicalpurchase price may lead to a change in theCompany’s earnings, in respect of which a provisionof € 20,970 thousand was made for share depreciationbefore tax as at December 31, 2010.Under its cash flow management plan, the Groupinvests only in short term cash instruments (havinga maturity of less than three months) exhibiting norisk of variation in the value of the principal invested.These investments were made with a diverse groupof leading banks. These surpluses are denominatedin Swiss Franc, US Dollar, Rupee and Euro.Certain defined benefit pension plans, in the UnitedStates and in Switzerland, are hedged in full or in partby dedicated financial assets consisting, in part, ofequity securities.The sensitivity of the value of these hedging assetsat the end of 2010 corresponding to a change of± 100 basis points in the rate of return excepted fromthe assets is respectively € 3.1 and (2.7) million. Thehedging assets are largely made up of financial assetsother than shares, so the equity and securities risk isconsidered to be insignificant.A negative trend in financial markets could result, incertain cases, in a need to supplement the financingor the provisioning for these plans in order to meetthe obligations of the relevant Group companies.A significant increase in contributions by the Groupor an increase in provision in accordance with IAS 19may have a material adverse effect on the Group’s activity,its financial position, its earnings, its prospectsor its capacity to achieve its objectives.4.4.5. Risks relating to liquidityToday, the Group is exposed to limited liquidity risks, as discussed in section 10.3.1 “Group Financial Policy” of thisRegistration Document and in note 17 “Financial instruments” in the appendix to the consolidated accounts.The maturities of the debt as at December 31, 2010 is shown below.N+1 N+2 N+3 N+4 N+5 and +(In thousands of euros) Nominal Interest Nominal Nominal Nominal NominalUS Private placement 490,612 0 22,533 105,956 384,656Compulsory loans 0 0Bank loans 758,712 64,355 17,790 354,888 26,249 263,392 49,828Financial leasing debts 6,543 3,251 327 1,776 1,003 423 90Miscellaneous debts 18,049 7,019 1,375 7,660 351 483 2,536Creditor banks 15,115 15,115 847 0 0 0 0Derivative instruments (4,744) 773 1,647 (54) 221 (5,684)Total financial liabilities 1,284,287 90,513 44,519 364,324 133,505 264,519 431,426* The interest on the N+1 debt is calculated on the basis of the known due date of the debt as at December 31, 2010 and the interest ratesat that date. The Group does not publish earnings or cash flow forecasts, so no calculation is made on following years.18 VICAT 2010 registration document