In € million

 

 

 

2016

 

2015

   

December

 

September(1)

 

June(1)

 

March(1)

 

December(1)

(1)

September 2016 data and before were not restated for the discontinuation of Acetow and Vinythai.

(2)

The underlying EBITDA is based on the last 12 months, i.e. the underlying EBITDA of the last four quarters.

(3)

As net debt at the end of 2016 does not reflect yet the net proceeds to be received on the divestment of the discontinued Acetow and Vinythai businesses, whereas the underlying EBITDA excludes the contribution of these discontinued businesses already, the underlying EBITDA was adjusted for the purpose of calculating the leverage ratio.

Non-current financial debt

 

a

 

(4,087)

 

(4,976)

 

(5,063)

 

(5,540)

 

(5,628)

Current financial debt

 

b

 

(1,338)

 

(505)

 

(953)

 

(732)

 

(892)

Gross debt

 

c = a+b

 

(5,426)

 

(5,481)

 

(6,016)

 

(6,272)

 

(6,520)

Other financial instrument receivables

 

d

 

101

 

119

 

124

 

155

 

111

Cash & cash equivalents

 

e

 

969

 

1,060

 

1,080

 

1,555

 

2,030

Total cash and cash equivalents

 

f = d+e

 

1,070

 

1,179

 

1,204

 

1,711

 

2,141

IFRS net debt

 

g = c+f

 

(4,356)

 

(4,302)

 

(4,812)

 

(4,561)

 

(4,379)

Perpetual hybrid bonds

 

h

 

(2,200)

 

(2,200)

 

(2,200)

 

(2,200)

 

(2,200)

Underlying net debt

 

i = g+h

 

(6,556)

 

(6,502)

 

(7,012)

 

(6,761)

 

(6,579)

Underlying EBITDA (last 12 months)(2)

 

j

 

2,284

 

2,433

 

2,394

 

2,345

 

2,336

Underlying EBITDA of Acetow & Vinythai

 

k

 

235

 

 

 

 

Adjusted underlying EBITDA for leverage calculation

 

l = j+k

 

2,519

 

2,433

 

2,394

 

2,345

 

2,336

Underlying leverage ratio(3)

 

m = -i/l

 

2.6

 

2.7

 

2.9

 

2.9

 

2.8

Underlying net debt evolution

Net debt (bar chart)Net debt (bar chart)

Underlying net debt reached € (6,556) m, stable compared to the end of 2015. The strong free cash flow more than covered € (300) m in financial charges, which include € (84) m coupons on perpetual hybrid bonds, and higher dividend pay-out, of which € (337) m to Solvay shareholders. The net cash inflow from acquisitions and divestments primarily reflects the sale of Solvay’s stake in Inovyn and the net cash outflow linked to the sale of Indupa. Other changes in net debt of € (237) m comprise the non-cash effect of foreign exchange fluctuations on financial debt and related instruments, primarily the conversion impact of the higher US dollar and Brazilian real on gross debt, and of the lower Venezuelan bolivar on cash. Net debt on an IFRS basis was € (4,356) m and excludes 100% of the € (2,200) m hybrid perpetual bonds considered as equity under IFRS.