Chrysler 2014 Annual Report Download - page 232

230 2014 | ANNUAL REPORT
Consolidated
Financial Statements
Notes to the Consolidated
Financial Statements
Bonds
All outstanding bonds issued by Fiat Chrysler Finance Europe S.A. (formerly known as Fiat Finance and Trade Ltd
S.A.) and Fiat Chrysler Finance North America Inc. (formerly known as Fiat Finance North America Inc.) (both wholly-
owned subsidiaries of the Group) are governed by the terms and conditions of the Global Medium Term Note Program
(“GMTN Program”). A maximum of €20 billion may be used under this program, of which notes of approximately
€12.1 billion have been issued and are outstanding at December 31, 2014 (€11.6 billion at December 31, 2013). The
GMTN Program is guaranteed by the Group. The companies in the Group may from time to time buy back bonds in
the market that have been issued by FCA. Such buybacks, if made, depend upon market conditions, the financial
situation of FCA and other factors which could affect such decisions.
The bonds issued by Fiat Chrysler Finance Europe S.A. and by Fiat Chrysler Finance North America Inc. impose
covenants on the issuer and, in certain cases, on FCA as guarantor, which include: (i) negative pledge clauses which
require that, in case any security interest upon assets of the issuer and/or FCA is granted in connection with other
bonds or debt securities having the same ranking, such security should be equally and ratably extended to the
outstanding bonds; (ii) pari passu clauses, under which the bonds rank and will rank pari passu with all other present
and future unsubordinated and unsecured obligations of the issuer and/or FCA; (iii) periodic disclosure obligations;
(iv) cross-default clauses which require immediate repayment of the bonds under certain events of default on other
financial instruments issued by FCA’s main entities; and (v) other clauses that are generally applicable to securities of
a similar type. A breach of these covenants may require the early repayment of the bonds. In addition, the agreements
for the bonds guaranteed by FCA contain clauses which could require early repayment if there is a change of the
controlling shareholder of FCA leading to a ratings downgrade by ratings agencies.
The bond issues outstanding at December 31, 2014 were as follows:
Face value of
outstanding
bonds (€ million)
Coupon
%
At December 31,
(€ million)
Currency Maturity 2014 2013
Global Medium Term Note Program:
Fiat Chrysler Finance Europe S.A.(1) EUR 900 6.125 July 8, 2014 —900
Fiat Chrysler Finance Europe S.A.(1) EUR 1,250 7.625 September 15, 2014 —1,250
Fiat Chrysler Finance Europe S.A.(1) EUR 1,500 6.875 February 13, 2015 1,500 1,500
Fiat Chrysler Finance Europe S.A.(2) CHF 425 5.000 September 7, 2015 353 346
Fiat Chrysler Finance Europe S.A.(1) EUR 1,000 6.375 April 1, 2016 1,000 1,000
Fiat Chrysler Finance Europe S.A.(1) EUR 1,000 7.750 October 17, 2016 1,000 1,000
Fiat Chrysler Finance Europe S.A.(2) CHF 400 5.250 November 23, 2016 333 326
Fiat Chrysler Finance Europe S.A.(1) EUR 850 7.000 March 23, 2017 850 850
Fiat Chrysler Finance North America Inc.(1) EUR 1,000 5.625 June 12, 2017 1,000 1,000
Fiat Chrysler Finance Europe S.A.(2) CHF 450 4.000 November 22, 2017 374 367
Fiat Chrysler Finance Europe S.A.(1) EUR 1,250 6.625 March 15, 2018 1,250 1,250
Fiat Chrysler Finance Europe S.A.(1) EUR 600 7.375 July 9, 2018 600 600
Fiat Chrysler Finance Europe S.A.(2) CHF 250 3.125 September 30, 2019 208 —
Fiat Chrysler Finance Europe S.A.(1) EUR 1,250 6.750 October 14, 2019 1,250 1,250
Fiat Chrysler Finance Europe S.A.(1) EUR 1,000 4.750 March 22, 2021 1,000 —
Fiat Chrysler Finance Europe S.A.(1) EUR 1,350 4.750 July 15, 2022 1,350 —
Others EUR 7 77
Total Global Medium Term Notes 12,075 11,646
Other bonds:
FCA US (Secured Senior Notes)(3) U.S.$ 2,875 8.000 June 15, 2019 2,368 1,088
FCA US (Secured Senior Notes)(3) U.S.$ 3,080 8.250 June 15, 2021 2,537 1,232
Total Other bonds 4,905 2,320
Hedging effect, accrued interest and amortized
cost valuation 668 500
Total Bonds 17,648 14,466
(1) Bond for which a listing on the Irish Stock Exchange was obtained.
(2) Bond for which a listing on the SIX Swiss Exchange was obtained.
(3) Includes 2019 Notes and 2021 Notes (defined below).