|GEA cash credit lines (EUR million)||Maturity||12/31/2012 approved||12/31/2012 utilized|
|Borrower‘s note loan (2013)||August 2013||55||55|
|Syndicated credit line („Club Deal“)||June 2015||650||-|
|GEA Bond||April 2016||400||400|
|Kreditanstalt für Wiederaufbau (KfW) (2016/05)||May 2016||80||80|
|Kreditanstalt für Wiederaufbau (KfW) (2016/12)||December 2016||56||56|
|European Investment Bank||July 2017||150||150|
|Borrower‘s note loan (2017)||September 2017||300||300|
|Various (bilateral) credit lines including accrued interests||
Maximum of 1 year or
“until further notice“
The group’s financial management encompasses liquidity management, group financing, and the management of interest rate and exchange rate risks. As the group management company, GEA Group Aktiengesellschaft is responsible for GEA Group’s central financial management, which aims to reduce financing costs as far as possible, to leverage economies of scale, to hedge interest rate and exchange rate risk exposures as effectively as possible, and to ensure that loan covenants are complied with. The goal of GEA Group’s financing strategy is not only to be able to meet its payment obligations whenever they fall due, but also to always have sufficient cash reserves in the form of credit lines, in addition to maintaining a strategic cash position.
Cash flow from operating activities is the most important source of liquidity. Intragroup cash pooling aims to limit external cash investments and borrowings to a level as low as possible. To achieve this, GEA Group has established cash pooling groups in 13 countries that automatically balance the accounts of the participating group companies every day by crediting or debiting a target account at GEA Group Aktiengesellschaft. Any additional liquidity requirements are generally borrowed by group management, which also invests surplus liquidity. In a number of cases, however, liquidity peaks in individual countries cannot be reduced on a cross-border basis due to legal or tax-related reasons.