DHL 2012 Annual Report Download - page 46

In view of our solid liquidity, the ve-year syndicated credit facility with a total
volume of  billion was not drawn down during the year under review. is facility
guarantees us favourable market conditions and acts as a secure, long-term liquidity
reserve. It does not contain any covenants concerning the Group’s nancial indicators.
As part of our banking policy, we spread our business volume widely and main-
tain long-term relationships with the nancial institutions we entrust with our busi-
ness. In addition to credit lines, we meet our borrowing requirements through other
independent sources of nancing, such as bonds and operating leases. Most debt is
taken out centrally in order to leverage economies of scale and specialisation benets
and hence to minimise the cost of capital.
In view of our long-term capital requirements, in  we established a Debt
Issuance Programme with a volume of up to  billion. is oers us the possibility of
issuing bonds in customised tranches up to a stipulated total amount and enables us
to react exibly to changing market conditions. In June, we issued two bonds with a
total volume of . billion under the programme for renancing purposes. is was
followed in December by two more conventional bonds totalling  billion as part of
increasing the plan assets of German pension plans. e  billion convertible bond
also used for this purpose was not issued under the Debt Issuance Programme. Further
information on the various bonds is contained in the Notes.
Group issues sureties, letters of comfort and guarantees
Deutsche Post  provides security for the loan agreements, leases and supplier
contracts entered into by Group companies, associates or joint ventures by issuing letters
of comfort, sureties or guarantees as needed. is practice allows better conditions to
be negotiated locally. e sureties are provided and monitored centrally.
Creditworthiness of the Group remains adequate
Credit ratings represent an independent and current assessment of a company’s
credit standing. e ratings are based on a quantitative analysis and measurement of
the annual report and appropriate planning data. Qualitative factors, such as industry-
specic features and the company’s market position and range of products and services,
are also taken into account.
e Group has a Moody’s Investors Service credit rating of “Baa ”. At the end of
September, the rating agency raised its outlook from “stable” to “positive” as a result of the
continued successful business performance and the improvement in key credit metrics.
At the end of November, we cancelled our longstanding rating agreement with
Standard & Poor’s for commercial reasons eective immediately, upon which the agency
conrmed our “ +” rating with a stable outlook and then withdrew it.
Since November, we have relied on Fitch Ratings alongside Moody’s to assess the
creditworthiness of our Group. Fitch assigned a “ +” rating with a stable outlook
based on our nancial stability and outstanding market position in global logistics and
in the German mail and parcel market.
Note .
Deutsche Post DHL Annual Report 
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