Financial Statements continued
Notes to the consolidated financial statements
continued
30. Financial instruments
At balance sheet date it is estimated that a general increase of one per centage point in interest rates
would have decreased Heineken's profit before income tax by approximately €0.5 million (2005:
approximately €3.3 million). The effect of interest rate swaps has been included in this calculation.
It is estimated that a general increase of one per centage point in the value of the Euro against other
currencies would have decreased Heineken's profit before income tax by approximately €4 million
for the year ended 31 December 2006 (2005: approximately €11 million). The effect of the forward
exchange contracts has been included in this calculation.
Effective interest rates and repricing analysis
In respect of income-earning financial assets and interest-bearing financial liabilities, the following
table indicates their average effective interest rates at the balance sheet date and the periods in which
they mature or, if earlier, re-price.
2006
In millions of EUR
Average
effective
interest
rate
Total
1 year
or less
1-2
years
2-5
years
More
than
5 years
Cash and cash equivalents
and current other investments
1,386
1,379
2
1
4
Secured bank loans
(10)
(10)
-
Unsecured bank loans:
Loans from banks in EUR
4.79%
(520)
(4)
(180)
(167)
(169)
Loans from banks in PLN
4.33%
(26)
(13)
(13)
Loans from banks in CLP
3.59%
(87)
(18)
(1)
(68)
Loans from banks in EGP
10.60%
(85)
(25)
(26)
(34)
Bank loans in various currencies
5.16%
(165)
(118)
(22)
(16)
(9)
Unsecured bond issues:
Bond issue in EUR
4.47%
(499)
-
(499)
Bond issue in EUR
5.10%
(597)
-
(597)
Bond issue in EUR
5.50%
(200)
-
-
(200)
Bond issue in CLP
3.90%
(47)
-
(3)
(5)
(39)
Deposits from third parties and other
current interest bearing liabilities
4.74%
(309)
(302)
(2)
(4)
(1)
Finance lease liabilities
(7)
(1)
(2)
(3)
(1)
Bank overdrafts
(747)
(747)
Net interest-bearing debt position
(1,913)
154
(247)
(1,008)
(812)
A AO Heineken N.V.
1UO Annual Report 2006