LensCrafters 2013 Annual Report Download - page 130

CURRENT LIABILITIES
15. SHORT-TERM BORROWINGS
Short-term borrowings at December 31, 2013 and 2012 reflect current account overdrafts with various banks
as well as uncommitted short-term lines of credits with different financial institutions. The interest rates on these credit
lines are floating. The credit lines may be used, if necessary, to obtain letters of credit.
As of December 31, 2013 and 2012, the Company had unused short-term lines of credit of approximately
Euro 742.6 million and Euro 700.4 million, respectively.
The Company and its wholly-owned Italian subsidiary Luxottica S.r.l. maintain unsecured lines of credit with
primary banks for an aggregate maximum credit of Euro 259.0 million. These lines of credit are renewable annually,
can be cancelled at short notice and have no commitment fees. At December 31, 2013, Euro 0.9 million was outstanding
under these credit lines.
Luxottica U.S. Holdings Corp. (“U.S. Holdings”) maintains unsecured lines of credit with three separate banks
for an aggregate maximum credit of Euro 99.8 million (USD 138 million). These lines of credit are renewable annually,
can be cancelled at short notice and have no commitment fees. At December 31, 2013, there were no amounts borrowed
against these lines. However, there was Euro 36.9 million in aggregate face amount of standby letters of credit
outstanding related to guarantees on these lines of credit.
The blended average interest rate on these lines of credit is approximately LIBOR plus spread that my range
from 0% to 0.20%, depending on the different lines of credit.
The book value of short-term borrowings is approximately equal to their fair value.
16. CURRENT PORTION OF LONG-TERM DEBT
This item consists of the current portion of loans granted to the Company, as further described below in
note 21 “Long-term debt.”
17. ACCOUNTS PAYABLE
Accounts payable were Euro 681.2 million as of December 31, 2013 (Euro 682.6 million as of December 31,
2012) and consisted of invoices received and not yet paid at the reporting date.
The carrying value of accounts payable is approximately equal to their fair value.
18. INCOME TAXES PAYABLE
The balance of income taxes payable is detailed below:
As of December 31
(Amounts in thousands of Euro)
2013 2012
Current year income taxes payable 44,072 107,377
Income taxes advance payment (34,595)
(41,027)
Total 9,477
66,350