Outstanding loans
Swedish Match's sources of loans and their maturity profiles as of December 31, 2007.
The average maturity of the Group's borrowing at December 31, 2007 was 3.7 years. Swedish Match's sources of loans and their maturity profiles are distributed as follows:
Swedish Match Group's borrowing in MSEK
* Includes accounts payble and negative derivatives.
Under the Swedish bond program, Swedish Match has issued bonds in SEK, and under the global program, in EUR and SEK. Borrowing in EUR is hedged by currency swaps and currency interest rate swaps.
The average interest costs for outstanding borrowings (including derivative instruments) on December 31, 2007 were as follows:
*Relates mainly to loans in the Group´s US subsidiaries.
Liquidity within Swedish Match is handled centrally through local cash pools. Group companies are required to deposit liquid funds in cash pool accounts or, if these are not available, with the Parent Company's treasury department. Exceptions are only allowed when regulations prohibit cash pools or internal deposits.