At December 31, 2010, net financial debt totaled 3,708 million euros, or 150 million euros less than the 3,858 million euros owed at the end of 2009.
The change reflects the positive effect of the cash flow from operations, which more than offset the period’s outlays for capital expenditures (557 million euros), dividend payments (259 million euros) and income taxes (304 million euros), and net financial expense (144 million euros).
Consistent with the practice followed at the end of 2009, the table below provides a simplified breakdown of the Group’s net financial debt:
|(in millions of euros)||See note||12.31.2010||12.31.2009||Change|
|Bonds - non-current portion||28||1,791||1,199||592|
|Non-current bank loans||29||891||2,138||(1,247)|
|Amounts due to other lenders - non-current portion||29||51||46||5|
|Other non-current financial assets (*)||19||(86)||(79)||(7)|
|Medium/long-term net financial debt||
|Bonds - current portion||31||528||721||(193)|
|Short-term financial debt||31||1,073||611||462|
|Current financial assets||22||(69)||(30)||(39)|
|Cash and cash equivalents||22||(472)||(748)||276|
|Financial debt held for sale||32||1||-||1|
|Short-term net financial debt||
|Net financial debt||
The following changes occurred in the 2010:
- medium/long-term net financial debt decreased mainly as the combined result of the following developments:
- early repayment of a 600-million-euro bank facility provided in 2009 to Edison Spa on a club deal basis;
- reclassifications to short-term financial debt totaling about 1,125 million euros euro: 625 million euros (face value) representing Edison’s pro rata share of a facility provided to Edipower Spa by a pool of banks and Edison Spa bond with a face value of 500 million euros maturing in July 2011;
- the previous effects have been partially offset by the placement of new bond issues: 500 million euros in March 2010 and 600 million euros in November 2010;
- short-term net financial debt increased due to the abovementioned reclassifications, the repayment of Edison Spa bond with a face value of 700 million euros that matured in December 2010 and the utilization of cash and cash equivalents.
Net financial debt includes 195 million euros stemming from transactions with significant parties (149 million euros owed to Mediobanca, 16 million euros owed to Banca Popolare di Milano and 30 million euros owed to SEL Spa).
In addition, “Short-term financial debt” includes 15 million euros owed to unconsolidated Group subsidiaries.