Nokia 2011 Annual Report Download - page 140

maturities. In 2011, we did not raise material new long-term debt. In February 2009, we issued
EUR 1 750 million of Eurobonds (EUR 1 250 million bonds due 2014 with a coupon of 5.50% and issue
price of 99.855%; and EUR 500 million bonds due 2019 with a coupon of 6.75% and issue price of
99.702%) under our Euro Medium-Term Note program to repay part of our short-term borrowings. In
February 2009, we also signed and fully drew a EUR 500 million loan from the European Investment
Bank. The proceeds of the loan are being used to finance part of our smartphone research and
development expenses. In May 2009, we issued USD 1 500 million of US bonds (USD 1 000 million due
in 2019 with a coupon of 5.375% and issue price of 99.075%; and USD 500 million due in 2039 with a
coupon of 6.625% and issue price of 99.494%) under our shelf registration statement on file with the US
Securities and Exchange Commission for general corporate purposes.
At December 31, 2011, we had a USD 4 000 million US Commercial Paper program, USD 4 000
million Euro Commercial Paper program, domestic Finnish commercial paper program totaling
EUR 750 million, EUR 5 000 million Euro Medium-Term Note program, and a Shelf registration
statement for an indeterminate amount of debt securities on file with the US Securities and Exchange
Commission. At December 31, 2011, we also had committed credit facilities of EUR 1 500 million
maturing in 2016, and a number of short-term uncommitted facilities.
At December 31, 2011, Nokia Siemens Networks had a domestic Finnish commercial paper program
totaling EUR 500 million. Nokia Siemens Networks also had a committed revolving credit facility of
EUR 2 000 million maturing in 2012, which was refinanced by a forward starting term and
multicurrency revolving facilities valued at EUR 1 255 million, starting at the expiration of the existing
revolving credit facility in June 2012, and comprised in equal parts of a revolving credit facility maturing
in June 2015 and a term loan facility that matures in June 2013. Both the EUR 1 255 million forward
starting term and multicurrency revolving facilities and the existing EUR 2 000 million revolving credit
facility are used for general corporate purposes and include financial covenants related to leverage test
and interest coverage test of Nokia Siemens Networks. Since the end of 2011, the commitments
available under the EUR 1 255 million forward starting term and multicurrency revolving facilities have
been increased by EUR 150 million to EUR 1 405 million. As of December 31, 2011, all financial
covenants were satisfied.
In 2011, Nokia Siemens Networks had EUR 176 million in Finnish Pension loans outstanding that will
mature in 2015 of which EUR 44 million is repayable in 2012. In June 2009, Nokia Siemens Networks
signed and fully drew a EUR 250 million loan from the European Investment Bank, which was
amortized for EUR 50 million in January 2012. The proceeds of the loan are being used to finance the
investments in research and development in radio access network technology for mobile
communication systems. In 2010, Nokia Siemens Networks signed and fully drew a total of
EUR 80 million in loans from the Nordic Investment Bank. The proceeds of the loan are being used to
finance the investments in research and development in radio access network technology for mobile
communication systems. The loans from both the European Investment Bank and the Nordic
Investment Bank include similar financial covenants as the EUR 2 000 million revolving credit facility.
As of December 31, 2011, all financial covenants were satisfied.
At February 29, 2012, the total amount available to us under our committed credit facilities was
EUR 3 550 million. See Note 34(c) to our consolidated financial statements included in Item 18 of this
annual report for further information relating to our funding programs and committed credit facilities.
We have historically maintained a high level of liquid assets. Management estimates that the cash and
other liquid assets level of EUR 10 902 million at the end of 2011, together with our available credit
facilities, cash flow from operations, funds available from long-term and short-term debt financings, as
well as the proceeds of future equity or convertible bond offerings, will be sufficient to satisfy our future
working capital needs, capital expenditure, research and development, acquisitions and debt service
requirements at least through 2012.
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