C Si Ni Cr V Ti Ta Sc Li Sr Zr Fe Cu Zn Sn B Al Ce U Mn Mo Nb Sb
C Si Ni Cr V Ti Ta Sc Li Sr Zr Fe Cu Zn Sn B Al Ce U Mn Mo Nb Sb
C Si Ni Cr V Ti Ta Sc Li Sr Zr Fe Cu Zn Sn B Al Ce U Mn Mo Nb Sb
You also want an ePaper? Increase the reach of your titles
YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.
Change<br />
in price<br />
Effect on<br />
profit<br />
before tax<br />
Effect on<br />
equity<br />
before tax<br />
2010<br />
<strong>Al</strong>uminum +5% 424 68<br />
<strong>Ni</strong>ckel +5% 12 –<br />
Copper +5% 7 –<br />
<strong>Al</strong>uminum -10% (849) (136)<br />
<strong>Ni</strong>ckel -10% (25) –<br />
Copper -10% (14) –<br />
Change<br />
in price<br />
Effect on<br />
profit<br />
before tax<br />
Effect on<br />
equity<br />
before tax<br />
2009<br />
<strong>Al</strong>uminum +5% 218 60<br />
<strong>Ni</strong>ckel +5% (19) –<br />
Copper +5% (5) 22<br />
<strong>Al</strong>uminum -10% (436) (121)<br />
<strong>Ni</strong>ckel -10% 38 –<br />
Copper -10% 11 (45)<br />
Capital Management<br />
The primary objective of the Company is to maintain<br />
strong capital ratios in order to support its business and<br />
maximize shareholder value.<br />
The Company manages its capital structure and makes<br />
adjustments to it, in light of economic conditions. Its<br />
policy is to ensure that the debt levels are manageable to<br />
the Company and that they are not increasing at a level<br />
that is in excess of the increases that occur within equity.<br />
During the planning process, the expected cash flows<br />
of the Company are evaluated and the debt to equity and<br />
debt to total capital ratios are evaluated in order to ensure<br />
that levels are improving year-over-year. Debt to total<br />
capital is a more appropriate measure for the Company<br />
due to its initial equity values of the subsidiaries from the<br />
combination in 2007. Management deems total capital to<br />
include all debt (including short term and long term) as<br />
well as the total of the equity of the Company, including<br />
non-controlling interests.<br />
The Company’s policy is to try to maintain this ratio below<br />
50%. The ratio is slightly above the policy level for the<br />
year-ended December 31, 2010 however, management is<br />
focused on cash management and intends to bring the<br />
ratio back into policy compliance.<br />
2010 2009<br />
Loans and borrowings 192,067 171,783<br />
Short term bank debt 45,022 32,013<br />
Trade and other payables 102,253 69,791<br />
Less cash and cash equivalents 89,311 117,016<br />
Net debt 250,031 156,571<br />
Net debt 250,031 156,571<br />
Total equity 233,965 228,423<br />
Total capital 483,996 384,994<br />
Debt to total capital ratio 0.52 0.41<br />
Notes to Consolidated Financial Statements 127
Change language