Notes to the Consolidated Financial Statements (continued)
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11.4 Capital and reserves
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O Q,
Introduction Report of the Executive Board Report of the Supervisory Board
In millions of
Unsecured
bond
issues
Unsecured
bank
loans
Secured
bank
loans
Other
interest-
bearing
liabilities
Deposits Derivatives
from used for
third financing
parties activities
Assets and
liabilities
used for
financing
activities
Balance as at
1 January 2018
11,948
251
109
1,156
649
(57)
14,056
Consolidation changes
1
2
3
Effect of movements
in exchange rates
172
(18)
39
1
(114)
80
Proceeds
1,242
208
8
25
39
172
1,694
Repayments
(225)
(235)
(12)
(1,046)
(11)
(4)
(1,533)
Other
13
22
(8)
1
1
29
Balance as at
31 December 2018
13,150
228
98
177
678
(2)
14,329
Balance as at
1 January 2017
10,683
243
94
1,259
622
(242)
12,659
Consolidation changes
1
1,076
538
191
1,806
Effect of movements in
exchange rates
(539)
(13)
34
(166)
(3)
181
(506)
Proceeds
2,976
197
43
19
32
3,267
Repayments
(1,182)
(177)
(1,139)
(509)
(191)
(3,198)
Other
10
1
15
(2)
4
28
Balance as at
31 December 2017
11,948
251
109
1,156
649
(57)
14,056
The interest rate on the net debt position as per 31 December 2018 was 3.2% (2017: 3.2%). The average
maturity of the bonds as per 31 December 2018 was 8 years (2017: 8 years).
Financing headroom
The committed financing headroom at Group level was approximately €5.2 billion as at 31 December
2018 and consisted of the undrawn revolving credit facility and centrally available cash. The financing
headroom was higher than last year (2017: €4.0 billion) as HEINEKEN maintains higher cash balances
in anticipation of the settlement of the transactions related to CR Beer in China. All financing facilities
containing an incurrence covenant were settled in August 2018.
Financial Statements
Heineken N.V. Annual Report 201819
Sustainabil ity Review Other Information
Accounting policies
Borrowings are initially measured at fair value less transaction costs. Subsequently the borrowings are
measured at amortised cost using the effective interest rate method. Borrowings included in a fair value
hedge are stated at fair value in respect of the risk being hedged.
Borrowings for which HEINEKEN has an unconditional right to defer settlement of the liability for at least
12 months after the balance sheet date are classified as non-current liabilities. For the accounting policy on
derivatives and cash and cash equivalents refer to notes 11.6. and 11.2 respectively.
Share capital
See the table below for the issued share capital as at 31 December 2018. All issued shares are fully paid.
2018
2017
Ordinary shares
Nominal value in
Ordinary shares
Nominal value in
Share capital
of €1.60
millions of
of €1.60
millions of
1 January
576,002,613
922
576,002,613
922
Changes
31 December
576,002,613
922
576,002,613
922
The Company's authorised capital amounts to €2,500 million, consisting of 1,562,500,000 shares.
The holders of ordinary shares are entitled to receive dividends as declared from time to time and are
entitled to one vote per share at shareholder meetings of the Company. In respect of the treasury shares
that are held by HEINEKEN, rights are suspended.
Share premium
As at 31 December 2018, the share premium amounted to €2,701 million (2017: €2,701 million).
Translation reserve
The translation reserve comprises foreign currency differences arising from the translation of the assets and
liabilities of foreign operations of HEINEKEN (excluding amounts attributable to non-controlling interests)
as well as value changes of the hedging instruments in the net investment hedges. HEINEKEN considers
this a legal reserve.