LISI GROUP - 2018 Financial report

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e) 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 of the loanFixed rate Variable rate Total amount in €MCapital remainingdue at 12/31/2018 inmillions of eurosMaturity dateExistence or not ofinterest rate orcurrency hedgesCovenant
LISI S.A Conventional loan Euribor 3 months
+ margin
30.0 3.0 2019 Partly
covered by
a SWAP
[1]
Conventional loan Euribor 3 months
+ margin
30.0 3.0 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]
Conventional loan 0.65% 15.0 11.1 2024 [1]
Conventional loan 0.65% 15.0 11.2 2024 [1]
Conventional loan 0.65% 15.0 11.3 2024 [1]
Conventional loan 0.73% 15.0 15.0 2023 [1]
Conventional loan 0.80% 15.0 15.0 2023 [1]
USPP * 3.64% 56.0 40.0 2023 [2]
USPP * 1.82% 20.0 20.0 2025 [2]
USPP * 1.78% 40.0 40.0 2026 [2]
CREUZET AERONAUTIQUE Conventional loan Euribor1month+margin 3.9 0.8 2020 Hedged by
a swap
[1]
BLANC AERO INDUSTRIES Conventional loan Euribor3months
+margin
11.5 9.6 2031 Hedged by
a swap
[1]
LISI AUTOMOTIVE Former Conventional loan Euribor3months
+margin
6.0 2.2 2021
3.0 1.8 2024
3.0 2.0 2024 [1]
LISI AUTOMOTIVE KNIPPING
Espana S.A
Conventional loan 1-year Euribor + margin 6.5 0.2 2018
LISI MEDICAL Fasteners Conventional loan Euribor 3 months
+ margin
4.5 2.2 2024 Hedged by
a swap
[1]
Total 349.4 248.4
* USPP: US Private Placement
2.5.6.2 - Related covenants (see paragraph 2.4.2)
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 credit institutions. Compliancewith 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.