Klöckner & Co SE has access to approximately €1.9 billion in facilities whose covenants are largely free of references to Group profitability ratios.
Key Group financing aspects:
- ABS programs in Europe (€420 million) and the US (€90 million)
- Syndicated loan (€300 million)
- Bilateral credit lines (approx. €480 million)
- Two convertible bonds (totaling €423 million)
- Promissory notes (€145 million)
The Group currently has access to €1.3 billion of bank and ABS facilities that can be drawn upon, as needed, to finance working capital requirements.
In addition, convertible bonds, promissory notes and proceeds from the rights issue are avalable for the Group's resumption of its acquisition strategy. After the acquisition of Becker Stahl-Service and Bläsi more than €500 million predominatly for growth through acquisitions stand by.
The immediate action programs adopted to address the financial crisis in October 2008 and March 2009 have turned net financial liabilities from €1.072 billion (at the end of the first half of 2008) to a net cash position of €150 million (FY2009). This is equal to a €1,222 million reduction, or 114%. The increase in working capital due to the further rejuvenation of sales volumes over the previous quarter, as well as the completed acquisitions of Becker Stahl-Service Group (BSS) and Bläsi AG made a significant contribution to net financial debt of €150 million at the end of the quarter which compares to the net cash position of €150 million at the end of 2009.
As a result, the gearing ratio (ratio of net financial liabilities to equity) was 13% in the first quarter 2010 (Full year 2009: -14%).
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