LISI GROUP - 2016 Financial report

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60 LISI 2016 FINANCIAL REPORT
d) Breakdown by interest rate category
The table below summarizes loans from credit institutions to the Group as it studies the principal amounts incurred at fixed and variable rates.
ENTITIES
Nature ofthe loan Fixed rate
Variable rateTotal amount
in €M Capital
remaining due at
12/31/2016 in
millions of euros
Maturity date Existence or
not of interestrate or currency
hedges
Covenant
LISI S.A Conventional
loan
Euribor 3 months
+ margin 30.0 5.0 2019 Partly covered by
a SWAP [1]
Conventional
loan
Euribor 3 months
+ margin 30.0 15.0 2019 Partly covered by
a SWAP [1]
Conventional
loan
Euribor 3 months
+ margin 30.0 15.0 2019 Partly covered by
a SWAP [1]
Conventional
loan
Euribor 3 months
+ margin 30.0 5.0 2019 Partly covered by
a SWAP [1]
Conventional
loan
Euribor 3 months
+ margin 30.0 5.0 2019 Partly covered by
a SWAP [1]
Conventional
loan
Euribor 3 months
+ margin 20.0 2.0 2019 Partly covered by
a SWAP [1]
Conventional
loan
Euribor 3 months
+ margin 30.0 30.0 2021 Partly covered by
a SWAP
Conventional
loan 1.00% 30.0 30.0 2022 [1]
USPP * 3.64% 56.0 56.0 2023 [2]
USPP * 1.82% 20.0 20.0 2025 [2]
USPP * 1.78% 40.0 40.0 2026 [2]
CREUZET AERONAUTIQUE Conventional
loan
Euribor 1 month
+ margin 3.9 1.7 2020 Covered by a SWAP [1]
BLANC AERO INDUSTRIES SAS Conventionalloan
Euribor 3 months
+ margin 11.5 10.9 2031 Covered by a SWAP [1]
LISI AUTOMOTIVE Former Conventional
loan
Euribor 3 months
+ margin 7.0 1.0 2017 Covered by a SWAP
6.0 4.1 2021
3.0 2.4 2024 [1]
3.0 2.5 2024 [1]
LISI AUTOMOTIVE KNIPPING
Espana S.A
Conventional
loan
Euribor 1 month
+ margin 6.5 1.0 2019
LISI AUTOMOTIVE KNIPPING
Verbindungstecknik GmbH
Conventional
loan 1.50% 0.05 2017 Intention letter by
LISI AUTOMOTIVE
LISI MEDICAL Fasteners Conventional
loan
Euribor 3 months
+ margin 4.5 2.9 2024 Covered by a SWAP [1]
TOTAL 391.4 249.5
* USPP: US Private Placement
2.5.6.2 Related covenants
The Group has no bank facilities based on its credit rating. The
contracts entered into include conventional clauses regarding the
financial health of the Group or its subsidiaries. The definition and
levels of ratios, also called “financial covenants”, are set by prospective
mutual agreement with the credit institutions. Compliance with these
ratios is assessed once a year only, at year end. Failure to comply with
these ratios entitles the credit institutions to impose early repayment
(total or partial) of the facilities granted.
For the reader’s information, the “financial covenants” related to each
loan are described hereafter:
[1]
■■Consolidated gearing ratio < 1.2 (Net debt/Shareholders’ equity)
■■Consolidated Leverage ratio < 3.5 (Net debt/EBITDA)
[2]
■■Consolidated gearing ratio < 1.2 (Net debt/Shareholders’ equity)
■■Consolidated Leverage ratio < 3.5 (Net debt/EBITDA)
■■Coverage ratio of consolidated interest expense < 4.5 (Net
interest expense/EBITDA)
As at the year-end, covenants were respected.
CONSOLIDATED FINANCIAL STATEMENTS 3