Financial management stable
European debt issuance program
Australian debt issuance program
In addition to sustainably increasing the value of the company, the financial management of the DB Group also aims to maintain a capital structure that is appropriate for ensuring a very good credit rating. The key figures used for this purpose, redemption coverage and net debt/EBITDA, are explained in the section key performance indicators.
- A European debt issuance program (EDIP) is available for long-term debt financing. In the first half of 2019, six bonds in euros, British pounds, Norwegian krone, Swiss francs and Swedish kroner were issued by DB Finance under the EDIP for a total of € 1,934 million with terms between seven and 20 years. Three bonds in euros, US dollars and Singapore dollars totaling € 1,259 million were redeemed. As a result, the utilization rate of the EDIP increased slightly to 83% as of June 30, 2019 (as of December 31, 2018: 80%).
- We also have access to an Australian debt issuance program (Kangaroo program). Under this program a bond of AUD 115 million (€ 71 million) was issued (term: ten years).
- In the area of short-term debt financing, a multi-currency commercial paper program is still available, with a volume of € 1,278 million as of June 30, 2019 (as of December 31, 2018: not utilized).
- As of June 30, 2019, we also had guaranteed unused credit facilities with a remaining term of 1 to 2 years and another guaranteed unused credit facility of € 0.1 billion (as of December 31, 2018: € 0.1 billion).
- In addition, we were able to draw on operating credit lines of € 2.5 billion (as of December 31, 2018: € 2.5 billion). These credit lines, which are made available to our subsidiaries around the world, include provision for financing working capital as well as sureties for payment
Seven bonds transactions executed
1) Private placement.
In the first half of 2019, we issued seven new bonds via the Group financing company DB Finance with a value of about € 2.0 billion. The funds were raised to refinance maturing liabilities and ongoing general Group financing. All proceeds of bonds not issued in euros were swapped into euros.