LensCrafters 2015 Annual Report Download - page 134

Notes to the consolidated financial statement as of December 31, 2015 Page 40 di 68
CURRENT LIABILITIES
15. SHORT-TERM BORROWINGS
Short-term borrowings at December 31, 2015 and 2014, reflect current account overdrafts with various banks as well as
uncommitted short-term lines of credit 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, 2015 and 2014, the Company had unused short-term lines of credit of approximately Euro 632.0 million
and Euro 598.1 million, respectively.
The Company and its wholly-owned Italian subsidiaries Luxottica S.r.l. and Luxottica Italia S.r.l. maintain unsecured lines of
credit with primary banks for an aggregate maximum credit of Euro 194.8 million. These lines of credit are renewable annually,
can be cancelled at short notice and have no commitment fees. At December 31, 2015, these credit lines were not utilized.
Luxottica U.S. Holdings Corp. (“U.S. Holdings”) maintains unsecured lines of credit with three separate banks for an aggregate
maximum credit of Euro 119.4 million (USD 130 million). These lines of credit are renewable annually, can be cancelled at
short notice and have no commitment fees. At December 31, 2015, these credit lines were not utilized. There was
Euro 45.2 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 a spread that may range from 0.4% to
0.6%, depending on the line of credit.
The book value of short-term borrowings is approximately equal to their fair value. For further detail please refer to Note 21
“Long-Term Debt”.
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 927.2 million as of December 31, 2015 (Euro 744.3 million as of December 31, 2014). The
increase in 2015 as compared to 2014 is mainly due to the growth of the business and to the strengthening of the foreign
currencies in which the Group operates compared to the Euro.
The carrying value of accounts payable is approximately equal to their fair value.