39
Obligatory debt repayments
in millions of EUR
2,917
2,001
500 1,000 1,500 2,000 2,500 3,000 3,500
Heineken updated and increased its EMTN programme to EUR5 billion in September 2010. This programme has been approved by
the Luxembourg Commission de Surveillance du Secteur Financier which is the Luxembourg competent authority for the purpose
of Directive 2003/71/EC and facilitates flexible access to Debt Capital Markets going forward.
On 4 February 2010, Heineken N.V. repaid a Euro bond with a nominal value of EUR500 million.
On 13 August 2010, Heineken N.V. funded 8-year private loan notes with institutional investors in the USA. The principal amount
of the loan notes is USD725 million and the coupon was fixed at 4.6 per cent. The maturity date is 15 August 2018. Heineken has
swapped the proceeds into EUR559 million with a fixed coupon of 3.9 per cent. Heineken's policy is to keep committed headroom
of EUR1 billion - EUR1.5 billion for the following year. As at 31 December 2010, the available headroom (including cash available
at Group level) is approximately EUR2.1 billion, as the EUR2 billion Revolving Credit Facility 2005 - 2012 is undrawn.
'eineken currently has committed financing in place until mid-2013 to cover all maturing debt obligations from forecast operational
:ash flows and available credit facilities.
nancing ratios
teineken has an incurrence covenant in some of its financing facilities. Our incurrence covenant is calculated by dividing Net Debt
calculated in accordance with the consolidation method of the 2007 Annual Accounts) by EBITDA (beia) (also calculated in accordance
vith the consolidation method of the 2007 Annual Accounts and including the pro-forma full-year EBITDA of any acquisitions made
in 2008). As at 31 December 2010 this ratio was 2.1 (2009: 2.5). If the ratio would be beyond a level of 3.50, the incurrence covenant
ould prevent us from conducting further significant debt-financed acquisitions.
'ofit appropriation
ieineken N.V.'s profit (attributable to shareholders of the Company) in 2010 amounted to EUR1,436 million. In accordance with
Article 12, paragraph 7, of the Articles of Association, the Annual General Meeting of Shareholders will be invited to appropriate an
amount of EUR438 million for distribution as dividend. This proposed appropriation corresponds to a dividend of EUR0.76 per share
of EUR1.60 nominal value, on account of which an interim dividend of EUR0.26 was paid on 3 September 2010. The final dividend
hus amounts to EUR0.50 per share. Netherlands withholding tax will be deducted from the final dividend at 15 per cent.
'ending delivery of the Allotted Shares, any undelivered share underlying the ASDI will receive a coupon out of retained earnings,
n order to replicate dividends payable on Heineken N.V. shares.
Ieineken N.V. Annual Report 2010