Notes to the financial statements
18. Borrowing facilities and borrowings
External bank borrowing facilities principally comprise arrangements with banks for committed revolving loan facilities and overdrafts in a number of currencies for periods of up to three years and an uncommitted overdraft which is repayable on demand. At 31 December 2008 borrowings under these facilities amounted to £434.3m (2007: £370.8m). All borrowings are unsecured.
The maturity of the Group and Company’s external bank facilities and borrowings is as follows:
| Group | Company | ||||
|---|---|---|---|---|---|
| 2008 £m |
2007 £m |
2008 £m |
2007 £m |
||
| Borrowing facilities available | |||||
| Repayable: | |||||
| – on demand | 5.0 | 5.0 | 5.0 | 5.0 | |
| – in less than one year | 33.2 | 29.3 | – | – | |
| – between one and two years | 187.2 | – | 78.2 | – | |
| – between two and five years | 438.4 | 516.9 | 142.9 | 178.7 | |
| Total | 663.8 | 551.2 | 226.1 | 183.7 | |
| Group | Company | ||||
|---|---|---|---|---|---|
| 2008 £m |
2007 £m |
2008 £m |
2007 £m |
||
| Borrowings | |||||
| Repayable: | |||||
| – in less than one year | 1.2 | 8.8 | – | – | |
| – between one and two years | 134.9 | – | 25.9 | – | |
| – between two and five years | 298.2 | 362.0 | 27.7 | 47.1 | |
| Total | 434.3 | 370.8 | 53.6 | 47.1 | |
The average period to maturity of the Group’s committed external bank facilities was 2.3 years (2007: 2.2 years).
The currency exposure on external bank borrowings is as follows:
| Group | Company | ||||
|---|---|---|---|---|---|
| 2008 £m |
2007 £m |
2008 £m |
2007 £m |
||
| Sterling | 29.0 | 15.0 | 29.0 | 15.0 | |
| Euro | – | 2.9 | – | 2.9 | |
| Polish zloty | 213.9 | 167.8 | 20.6 | 18.2 | |
| Czech crown | 55.9 | 54.3 | 3.0 | 2.4 | |
| Slovak crown | 37.0 | 28.2 | – | – | |
| Hungarian forint | 52.6 | 60.1 | – | – | |
| Mexican peso | 39.8 | 33.9 | – | – | |
| Romania leu | 6.1 | 8.6 | 1.0 | 8.6 | |
| Total | 434.3 | 370.8 | 53.6 | 47.1 | |
All of the external bank borrowings held by the Group have floating interest rates, however, as discussed in note 19 the Group’s policy is to fix the interest on a large proportion of borrowings using derivative contracts.
The undrawn external bank borrowing facilities at 31 December were as follows:
| Group | Company | ||||
|---|---|---|---|---|---|
| 2008 £m |
2007 £m |
2008 £m |
2007 £m |
||
| Expiring within one year | 37.0 | 25.5 | 5.0 | 5.0 | |
| Expiring within one to two years | 52.3 | – | 52.3 | – | |
| Expiring in more than two years | 140.2 | 154.9 | 115.2 | 131.6 | |
| Total | 229.5 | 180.4 | 172.5 | 136.6 | |