GECINA - REFERENCE DOCUMENT 2017
COMMENTS ON THE FISCAL YEAR
Financial resources
The main objectives of this liquidity are to provide sufficient flexibility to adapt the volume of debt to the pace of acquisitions and disposals, hedge the refinancing of
short-term maturities, allow refinancing under optimal conditions, to meet the criteria of the credit rating agencies
and finance the Group’s investment projects.
DEBT REPAYMENT SCHEDULE 2.2.3 As at December 31, 2017, the average maturity of Gecina’s debt is 6.9 years (1) , 0.2 years longer compared with December 31, 2016. The chart below presents Gecina’s debt maturity breakdown at December 31, 2017 (after allocation of unused credit lines):
02
All of the credit maturities for the next two years were covered by unused credit lines as at December 31, 2017. Furthermore, 97% of the debt has a maturity of more than three years and 64% of debt has a maturity exceeding five years.
0% 0% 3% 18%
15%
64%
0-1 year 1-2 years 2-3 years 3-4 years 4-5 years > 5 years
AVERAGE COST OF DEBT 2.2.4 The average cost of drawn debt significantly decreased in 2017, down from 1.7% in 2016 to 1.3%. This favorable development is mainly due to the rapid integration of the Eurosic debt portfolio and the continuation of the Group’s financial strategy (credit rating, financial structure, hedging policy, active management of the credit schedule, etc.), which was set up in a still-favorable market environment. The average cost of overall debt also improved, falling from 2.2% in 2016 to 1.7% in 2017.
The chart below shows the change of the average cost of Gecina's drawn debt during the last five financial years and shows its constant improvement:
3.5%
3.0%
2.2%
1.7%
1.3%
2013
2014
2015
2016
2017
Capitalized interest on development projects amounted to €16 million in 2017 ( versus €6.5 million in 2016).
After allocation of unused credit lines. (1)
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GECINA - REFERENCE DOCUMENT 2017
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