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185
ANNUAL REPORT 2011
The Group considers that the short-term bank loans
are due on the renewal date and that the commercial
paper programmes matured on the dates of
denunciation.
In the current financial markets pressure, to lower
bank loans the company opted to increase financial
debt maturity and to maintain a significant share of
the short term debt. On December 31, 2011, the use
of liquidity support short term lines was 5% of paid
liability. Investments in term deposits of 24 million
amounted to 42% of liabilities paid.
The following table shows the Group financial liabilities
(relevant items), considering non-discounted cash-flows.
TheGroup liquidity riskmanagement is done through
estimated cash-flows. The amounts presented in
the table refer to future years cash-flows:
d) Capital risk
The company aims to maintain an equity level
suitable to the characteristics of its main business
(cash sales and credit from suppliers) and to ensure
continuity and expansion. The capital structure
balance is monitored based on the gearing
ratio (defined as: net remunerated debt / net
remunerated debt + equity) in order to place the
ratio within a 35%-70% interval.
On 31 December 2011 the gearing ratio was of
20% and of 23% on 31 December 2010, as follows:
2012 from 2013
to 2020
Bank loans and
overdrafts
10,557,936 25,053,178
Commercial paper
2,000,000 19,000,000
Financial leasing
755,405
278,444
Suppliers of fixed
assets c/ a
4,684,160
-
Suppliers c/ a
17,082,970
-
Other creditors
8,602,303
320,552
Total
43,682,774 44,652,174
Dec/11
Dec/10
Bank loans
57,644,963 61,571,609
Cash and cash
equivalents
29,316,069 29,361,466
Net indebtedness
28,328,894 32,210,143
Equity
114,845,206 109,332,611
Total capital
143,174,100 141,542,754
Gearing ratio
20%
23%