198
Annual Report -
2013
-
Vivendi
Financial Report
| Statutory Auditors’ Report on the Consolidated Financial Statements | Consolidated
Financial Statements | Statutory Auditors’ Report on the Financial Statements | Statutory Financial Statements
4
SECTION 5 - Treasury and capital resources
As of February 19, 2014, the date of the Management Board Meeting
that approved Vivendi’s Financial Statements for the year ended
December 31, 2013:
Vivendi SA had available confirmed credit facilities in the aggregate
amount of €7,140 million, of which €600 million was drawn. Given
the amount of commercial paper issued at that date, and backed
to bank credit facilities for €4,143 million, these facilities were
available for an aggregate amount of €2,397 million; and
bonds amounted to €6.9 billion, following the redemption in
January 2014 upon its contractual maturity, of the bond issued in
January 2009, with a 7.75% coupon, for €894 million.
Moreover, on March 4, 2013, a letter of credit for €975 million was
issued in connection with Vivendi’s appeal against the Liberty Media
judgment. This off-balance sheet financial commitment has no impact
on Vivendi’s Net Debt .
Contractual agreements in relation to credit facilities and letters
of credit granted to Vivendi SA (notably the letter of credit issued in
connection with the appeal against the Liberty Media judgment) do
not include provisions that tie the conditions of the loan to its financial
strength ratings from rating agencies. They contain customary provisions
related to events of default and, at the end of each half-year, Vivendi SA
is notably required to comply with a financial covenant (please refer to
Note 23 to the Consolidated Financial Statements for the year ended
December 31, 2013). The credit facilities granted to group companies
other than Vivendi SA are intended to finance either the general needs
of the borrowing subsidiary or a specific project.
After taking into account the proceeds from the sale of the 53% interest
in Maroc Telecom Group (€4.2 billion) expected during the first months
of 2014, Vivendi’s adjusted Financial Net Debt would be approximately
€6.9 billion (compared to €11.1 billion as of December 31, 2013 and
€13.4 billion as of December 31, 2012).
(in millions of euros)
Cash and cash
equivalents
Borrowings and
other financial
items
(a)
Impact on
Financial Net
Debt
Financial Net Debt as of December 31, 2012
(3,894)
17,313
13,419
Outflows/(inflows) related to continuing operations:
Operating activities
(3,823)
-
(3,823)
Investing activities
(765)
76
(689)
Financing activities
7,702
(4,598)
3,104
Foreign currency translation adjustments of continuing operations
48
(167)
(119)
Outflows/(inflows) related to continuing operations
3,162
(4,689)
(1,527)
Outflows/(inflows) related to discontinued operations
(705)
224
(481)
Reclassification of Financial Net Debt from discontinued operations as of December 31, 2013
396
(710)
(314)
Change related to discontinued operations
(309)
(486)
(795)
Financial Net Debt as of December 31, 2013
(1,041)
12,138
11,097
Expected proceeds from the sale of the 53% interest in Maroc Telecom Group
(b)
(4,187)
Financial Net Debt as of December 31, 2013 adjusted for the sale of Maroc Telecom Group
6,910
Expected proceeds from the sale of the remaining ownership interest in Activision Blizzard
(c)
(1,078)
Financial Net Debt as of December 31, 2013 adjusted for transactions in progress
5,832
(a)
“Other financial items” include commitments to purchase non-controlling interests, derivative financial instruments (assets and liabilities), and
cash deposits backed to borrowings.
(b)
Assuming the hypothesis that the sale of the 53% interest in Maroc Telecom Group is completed during the first months of 2014 according to the
financial terms known to date.
(c)
Following the sale of 88% of its interest in Activision Blizzard on October 11, 2013, Vivendi retained 83 million Activision Blizzard shares. This
remaining ownership interest is subject to a staggered 15-month lock-up period, which is described in Note 7 to the Consolidated Financial
Statements for the year ended December 31, 2013. Proceeds from the sale of these remaining shares are estimated at an aggregate amount of
$1,480 million (€1,078 million), on the basis of $17.83 per share, Activision Blizzard’s share price on December 31, 2013.
