Prior to maturity the company was able to realise substantially cheaper rearrangement of interest terms for an amount of around EUR 149 million. This corresponds to a share of 87 % of the loans, where long term fixed interest arrangements will expire in 2016 and 2017. The maturities of the newly agreed fixed interest arrangements again lie in the usual long-term range. Moreover, the financing mix of short and long term fixed rates was further optimised. As a consequence, the average interest rate for the loans expiring in 2016/17 which currently amounts to 4.5 to 5% will be reduced to around 2%. This will result in lower interest expenses starting from the 2016 fiscal year, with the full benefit of this measure being effective from 2018 year on.
Holger Pilgenröther, CFO of VIB Vermögen AG, expresses his great satisfaction: "We have achieved an important milestone in our financial planning with the fixed interest structures that we have put in place. With this new long-term securing of the currently favourable interest-rate level, we will be able to realise a significantly positive earnings effect in the coming years."
Ludwig Schlosser, CEO of VIB Vermögen AG, puts the optimisation of the debt portfolio into the context of the corporate strategy: "Sustainable financing has formed an elementary building block of VIB's success since its foundation. With the early prolongation of these loans, we are again underscoring our very good access to favourable financing facilities, also with regards to planned further acquisitions."