24 – Liabilities

Financial indebtedness (million €)

 

 

 

 

 

 

Carrying amounts based on effective interest method

 

 

 

Currency

Nominal value (million, currency of issue)

Effective interest rate

December 31,
2017

December 31,
2016

BASF SE

 

 

 

 

 

 

Commercial paper

 

USD

 

 

1,033

variable

Bond 2014/2017

 

EUR

300

variable

300

5.875%

Bond 2009/2017

 

GBP

400

6.04%

467

4.625%

Bond 2009/2017

 

EUR

300

4.69%

300

1.375%

Bond 2014/2017

 

GBP

250

1.46%

292

variable

Bond 2013/2018

 

EUR

300

variable

300

300

1.5%

Bond 2012/2018

 

EUR

1,000

1.51%

999

999

1.375%

Bond 2014/2019

 

EUR

750

1.44%

750

749

variable

Bond 2017/2019

 

EUR

1,250

variable

1,261

variable

Bond 2013/2020

 

EUR

300

variable

300

300

1.875%

Bond 2013/2021

 

EUR

1,000

1.47%

1,007

1,016

2.5%

Bond 2017/2022

 

USD

500

2.65%

414

2%

Bond 2012/2022

 

EUR

1,250

1.93%

1,254

1,255

0.925%

Bond 2017/2023

 

USD

850

0.83%

664

0.875%

Bond 2016/2023

 

GBP

250

1.06%

279

289

2.5%

Bond 2014/2024

 

EUR

500

2.60%

497

497

1.750%

Bond 2017/2025

 

GBP

300

1.87%

335

3.675%

Bond 2013/2025

 

NOK

1,450

3.70%

147

159

0.875%

Bond 2017/2027

 

EUR

1,000

1.04%

984

2.670%

Bond 2017/2029

 

NOK

1,600

2.69%

162

1.5%

Bond 2016/2031

 

EUR

200

1.58%

198

198

0.875%

Bond 2016/2031

 

EUR

500

1.01%

492

491

2.37%

Bond 2016/2031

 

HKD

1,300

2.37%

139

159

1,450%

Bond 2017/2032

 

EUR

300

1.57%

296

3%

Bond 2013/2033

 

EUR

500

3.15%

491

491

2.875%

Bond 2013/2033

 

EUR

200

3.09%

198

198

1.625%

Bond 2017/2037

 

EUR

750

1.73%

736

3.25%

Bond 2013/2043

 

EUR

200

3.27%

199

199

3.89%

U.S. Private Placement Series A 2013/2025

 

USD

250

3.92%

208

237

4.09%

U.S. Private Placement Series B 2013/2028

 

USD

700

4.11%

582

663

4.43%

U.S. Private Placement Series C 2013/2034

 

USD

300

4.45%

250

284

BASF Finance Europe N.V.

 

 

 

 

 

 

0.0%

Bond 2016/2020

 

EUR

1,000

0.14%

996

995

0.75%

Bond 2016/2026

 

EUR

500

0.88%

494

494

Ciba Specialty Chemicals Finance Luxembourg S.A.

 

 

 

 

 

 

4.875%

Bond 2003/2018

 

EUR

477

4.88%

474

461

Other bonds

 

 

 

 

547

631

Bonds and other liabilities to the capital market

 

 

 

 

15,653

13,457

Liabilities to credit institutions

 

 

 

 

2,379

2,855

Financial indebtedness

 

 

 

 

18,032

16,312

Breakdown of financial indebtedness by currency (million €)

 

 

December 31,
2017

December 31,
2016

Euro

 

13,326

10,897

U.S. dollar

 

2,922

3,346

British pound

 

614

1,048

Norwegian krone

 

309

159

Hong Kong dollar

 

139

159

Argentinian peso

 

137

194

Chinese renminbi

 

127

118

South African rand

 

73

28

Turkish lira

 

65

59

Ukrainian hryvnia

 

63

55

Japanese yen

 

58

Brazilian real

 

53

113

Indonesian rupiah

 

43

29

Other currencies

 

103

107

Total

 

18,032

16,312

Maturities of financial indebtedness (million €)

 

 

December 31,
2017

December 31,
2016

Following year 1

 

2,497

3,767

Following year 2

 

2,052

1,887

Following year 3

 

1,845

2,115

Following year 4

 

1,140

1,304

Following year 5

 

1,781

1,049

Following year 6 and maturities beyond this year

 

8,717

6,190

Total

 

18,032

16,312

Other bonds

Other bonds consist primarily of industrial revenue and pollution control bonds of the BASF Corporation group that were used to finance investments in the United States. Both the weighted-average interest rate of these bonds as well as their weighted-average effective interest rate amounted to 3.1% in 2017 and 2.1% in 2016. The average residual term amounted to 183 months as of December 31, 2017 (December 31, 2016: 195 months).

Liabilities to credit institutions

In order to finance the natural gas transportation business, a €1,650 million loan was incurred with a 5-year term at an interest rate of 1.08% in 2014. In 2017, €925 million of this amount was transferred to the newly established company W & G Infrastruktur Finanzierungs-GmbH, Kassel, Germany, accounted for using the equity method, to finance the natural gas transportation companies, GASCADE Gastranport GmbH, Kassel, Germany, and NEL Gastransport GmbH, Kassel, Germany, which are also accounted for using the equity method.

The weighted average interest rate on loans amounted to 4.1% in 2017 compared with 4.5% in 2016.

Unused credit lines

BASF SE had committed and unused credit lines with variable interest rates amounting to €6,000 million both as of December 31, 2017 and as of December 31, 2016.

Other liabilities (million €)

 

 

December 31, 2017

December 31, 2016

 

 

Noncurrent

Current

Noncurrent

Current

Derivatives with negative fair values

 

290

274

78

571

Liabilities from finance leases

 

99

25

84

22

Loan and interest liabilities

 

283

212

280

199

Miscellaneous liabilities

 

94

1,289

97

791

Other liabilities which qualify as financial instruments

 

766

1,800

539

1,583

Advances received on orders

 

564

556

Liabilities related to social security

 

67

77

95

68

Employee liabilities

 

28

253

45

310

Liabilities from precious metal trading positions

 

17

13

Deferred income

 

197

78

171

66

Miscellaneous liabilities

 

37

275

23

254

Other liabilities which do not qualify as financial instruments

 

329

1,264

334

1,267

Other liabilities

 

1,095

3,064

873

2,850

Other liabilities

The increase in current other liabilities was primarily due to cash deposits from group companies accounted for using the equity method, which are reported under miscellaneous liabilities. Current derivatives with negative fair values decreased due to negative fair market values arising from foreign currency hedging. By contrast, the noncurrent negative fair values increased. This related primarily to higher negative fair values from hedging using combined interest and cross-currency swaps involving USD, GBP and HKD bonds.

Secured liabilities (million €)

 

 

Dec. 31, 2017

Dec. 31, 2016

Liabilities to credit institutions

 

22

24

Accounts payable, trade

 

6

6

Other liabilities

 

169

63

Secured liabilities

 

197

93

Liabilities to credit institutions were secured primarily with registered land charges. The increase in secured other liabilities compared with December 31, 2016, is primarily attributable to higher collateral for derivative instruments with negative fair values. As in the previous year, there were no secured contingent liabilities in 2017.