Reviewed condensed group financial statements and unreviewed production and sales volumes information for the year ended 31 December 2014

NOTES TO THE REVIEWED CONDENSED GROUP FINANCIAL STATEMENTSfor the year ended 31 December

    At 31 December
    2014  
Reviewed  
Rm  
2013  
Audited  
Rm  

17.  

Interest-bearing borrowings  

   
  Summary of loans by financial year of redemption      
  2014     31  
  2015   34   324  
  20161   392   326  
  2017   874   1 927  
  2018   395   329  
  2019   917   331  
  2020 onwards   398   332  
  Total interest-bearing borrowings   3 010   3 600  
  – current interest-bearing borrowings2   34   31  
  – non-current interest-bearing borrowings3   2 976   3 569  
 
1 During 2014, an addendum to the senior loan facility was signed extending the date of the first capital repayment to 30 January 2016.  
2 The R34 million current portion represents interest capitalised of R44 million reduced by amortised transaction costs of R10 million.  
3 The non-current portion includes R34 million in respect of transaction costs that will be amortised using the effective interest rate method, over the term of the facilities.  
   
       
  Overdraft      
  Bank overdraft   67   806  

  There were no defaults or breaches in terms of interest-bearing borrowings during both reporting periods.  
   
  Senior loan facility  
  During April 2012, Exxaro secured a senior loan facility of R8 billion.  
  The senior loan facility comprises a:  
  • term loan facility of R5 billion for a duration of 97 months; and
  • revolving credit facility of R3 billion for a duration of 62 months.  
 

Interest is based on JIBAR plus a margin of 2,75% for the term loan and JIBAR plus a margin of 2,50% for the revolving facility.  

 

The effective interest rate for the transaction costs for the term loan is 0,47%.  

 

Interest is paid on a six monthly basis for the term loan and on a monthly basis for the revolving facility.  

 

The undrawn portion relating to the term loan is R3 billion (2013: R3 billion). The undrawn portion of the revolving facility is R3 billion (2013: R1,4 billion).  

 

During February 2015 (an event after reporting period), R2,3 billion on the revolving facility, as well as R2,0 billion on the term loan was drawn down.  

  Bond issue  
  In terms of Exxaro's R5 billion Domestic Medium-Term Note (DMTN) programme, a senior unsecured floating rate note (bond) of R1 billion was raised during May 2014.  
  The bond consists of a:
  • R480 million senior unsecured floating rate note due 19 May 2017; and  
  • R520 million senior unsecured floating rate note due 19 May 2019.  

 

Interest is based on JIBAR plus a margin of 1,70% for the R480 million bond and JIBAR plus a margin of 1,95% for the R520 million bond.  

 

The effective interest rates for the transaction costs are 0,13% for the R480 million bond and 0,08% for the R520 million bond.  

 

Interest is paid on a three monthly basis for both bonds.  

  Bank overdraft  
 

The bank overdraft is repayable on demand and interest payable is based on current South African money market rates.