Debt

Updated

The group (parent company and subsidiaries) funds its investments and operations mainly from the commercial bank loan market.

The group business activities are primarily financed over the balance sheet of the relevant subsidiary. Most loan agreements contain financial covenants in respect of the relevant borrowing company or group of companies. Financial covenants will normally include a mix of equity ratio, liquidity, current ratio and/or NIBD/EBITDA (net interest bearing debt / earning before interest, tax, depreciation and amortization).

Associates and other companies where the group has non-controlling interests will have separate funding and covenant structures.

Further information on interest-bearing debt at year end is available in note 18 of the Wilhelmsen group 2022 annual accounts (Annual report 2022). Information on interest-bearing debt on a quarterly basis is available in the quarterly reports.

Net interest-bearing debt

USD mill 31.12.2022  31.12.2021
Non current interest-bearing debt 473 203
Non current leasing liabilities 65 139
Current interest-bearing debt 93 270
Current lease liabilities 23 30
Total interest-bearing debt 654  642
Cash and cash equivalents  163 231
Current financial investments 104 135
Net interst-bearing debt 386 276

Interest bearing debt

USD mill 31.12.2022 31.12.2021
Bank and mortgage loan  538  473
Leasing debt 116 169
Total interest-bearing debt 654 642

Repayment schedule for interest-bearing debt

USD mill 31.12.2022 31.12.2021
Due in 1 year 88  300
Due in 2 year  17 204
Due in 3 year  22 22
Due in 4 year  24 26
Due in 5 year and later   503 90
Total interst-bearing debt  654 642