Net Financial Debt

(from Note 18 "Non - recurrent financial liabilities", Consolidated Financial Statement as at 31 December 2015)

                                                                                      31/12/2015 31/12/2014
Medium/long term mortgages and loans            
  - Current portion of medium/longterm loans
694,573
-
13,583
(13,583)
  694,573 -
Medium/long term project financing 
 - Current portion of project financing
1,284,578
(144,718)
1,297,324
(164,528)
  1,139,860 1,132,796
Other medium/long-term financial payables 153,396 181,108
Total 1,987,829 1,313,904

Medium/long-term mortgages and loans
 

Mortgages and loans as of 31 December 2015 are equal to 694.6 million Euro (13.6 million as of 31 December 2014) related to the corporate acquisition loan of 700 million Euro, entered into with a pool of seven Italian and international financial institutions in connection with the acquisition of the entire hydroelectric business of E.ON Produzione, now ERG Hydro S.r.l.

 

Medium - long term project financing

  Association Financial Debt
Company Wind Farm/Thermoelectric plant

Net accounting value of assets

Accounting value of financial liabilities Type Issue Expiration Cover
ERG Wind Investments ERG Wind Group wind farms 588,960 558,925 Project Financing 2008 2022 IRS: average fixed rate 4.46%
ERG Eolica Adriatica Rotello (CB)/Ascoli Satriano (FG) 146,198 127,407 Project Financing 2009 2022 IRS: average fixed rate 
4.85%
ERG Eolica Fossa del Lupo Fossa del Lupo (CZ) 126,303 94,620 Project Financing 2012 2025 IRS average fixed rate  2.26%
ERG Eolica Campania Bisaccia 2, Foiano, Molinara, Baselice, Lacedonia 2 (AV/BN) 95,235 57,065 Project Financing 2009 2020 IRS: average fixed rate 4.37%
ERG Eolica Ginestra Ginestra (BN) 65,046 33,789 Project Financing 2010 2025 IRS: average fixed rate 3.27%
ERG Eolica Amaroni Amaroni (CZ) 34,961 26,943 Project Financing 2013 2026 IRS: average fixed rate 1.68%
Green Vicari Vicari (PA) 27,133 19,746 Project Financing 2008 2019 IRS: average fixed rate  2.235%
ERG Eolica Faeto Faeto (FG) 20,457 20,386 Project Financing 2007 2021 IRS: starting from 1 Jan. 2016 fixed rate 2.13%
Eoliennes du Vent Solaire Plogastel Saint Germane (FR) 5,378 5,744 Project Financing 2011 2025 Fixed rate financing operations
Parc Eolien Les Mardeaux Les Mardeaux (FR) 3,213 4,153 Project Financing 2005 2019 IRS: average fixed rate 5.77%

Parc Eolien
de Hetomesnil

Hetomesnil (FR) 3,317 3,444 Project Financing 2005 2019 IRS: average fixed rate 5.77%
Parc Eolien de Lihus Lihus (FR) 3,418 3,290 Project Financing 2005 2019 IRS: average fixed rate  5.77%
Parc Eolien de la Bruyere La Bruyere (FR) 3,144 3,060 Project Financing 2005 2019 IRS: average fixed rate 5.77%
Parc Eolien du Carreau Carreau (FR) 2,677 3,019 Project Financing 2005 2019 IRS: average fixed rate 5.39%
ERG Eolica Basilicata Palazzo San Gervasio (PZ) 41,934 39,573 Project Financing 2010 2031 IRS: average fixed rate 2.77%
EW Orneta 2 SP Z.O.O. Radziejòw (PL) 60,606 40,921 Project Financing 2015 2029 IRS: average fixed rate 1.46%
K&S Energy Eood Kavarna/Hrabrovo (BG) 54,731 31,833 Project Financing 2012/13 2018 IRS: fixed rate   1.16% IRS: fixed rate 1.56%
Corni Eolian Galati County (RO) 92,377 61,155 Project Financing 2013 2025 IRS: fixed rate 1.644%
ERG Power CCGT Installations 357,765 149,503 Project Financing 2010 2021 IRS: fixed rate 2.77%
Total 1,284,578  
On November 4, 2015 EW Orneta 2, 100% controlled by ERG Renew S.p.A., entered into a loan agreement under Project Financing for its wind farm located in Poland in the municipality of Radziejow. The plant went into production at the beginning of the third quarter 2015, having an installed capacity of 40 MW.
 
The loan, amounting to a total of 177.5 million Zlotys (approximately 42 million Euro) and a term of 14 years, was was entered into with Mandated Lead Arrangers, ING Bank, ING Bank Slaski and Bank Pekao (part of the UniCredit Group). ING Bank Slaski also acts in its capacity as Agent Bank and Bank Pekao also in its capacity as Account Bank.

As of 31 December 2015 the average weighted interest rate of the mortgages, loans and project financing was 1.52% (1.86% as of 31 December 2014). The indicated rate does not account for coverage transactions on interest rates.

The maturity dates, by year, for the existing medium-long term bank debts are as follows:

                                                               Loans and Financing operations Project Financing
By the end of 31.12.2016 144,718
By the end of 31.12.2017 350,000 122,817
By the end of 31.12.2018 58,625 162,743
By the end of 31.12.2019 117,250 148,396
By the end of 31.12.2020 168,698 153,
Beyond of 31.12.2020 607,429
Total 694,573 1,284,578

 

                                                                 31/12/2015 31/12/2014
Covered by owned tangible assets
with expiration dates up to December 2026
1,284,578 1,297,324
Not covered 
with expiration dates up to August 2020
694,573 13,583
Total 1,979,151 1,310,907

 

Refer to Note 26 for a comment on Covenants and negative pledges related to bank debts.