The SCA Group's financial risk management is centralized to capitalize on economies of scale and synergy effects and to minimize operational risks.
The central treasury function is responsible for the Group's borrowing, liquidity management, currency and interest rate risk management, and serves as an internal bank for the Group's financial transactions. In addition to ensuring that the SCA Group has secure financing, financial transactions are conducted with the aim of limiting the Group's financial risks.
Funding and debt programmes
SCA:s funding is based on committed credit facilities with the bank group, bilateral loans from Swedish Export Credit Corporation, and through public programmes. All financial transactions are conducted within the approved mandates of the Board of Directors.
Long term Credit Facilities
SCA has two syndicated revolving credit facilities with the bank group, according to the table below.
|Facility A||Facility B|
|Amounts:||3,5 billion SEK||4,5 billion SEK|
|Borrower:||Svenska Cellulosa Aktiebolaget SCA (publ)|
|Type:||Revolving Credit Facility|
|Participating banks:||Danske Bank, SEB, SHB, Swedbank|
Some of SCA:s funding is conducted under a commercial paper programme. SCA have the following debt programmes in place.
|Type:||Commercial Paper Swedish Programme|
|Issuer:||Svenska Cellulosa Aktiebolaget SCA (publ)|
|Max amount:||3 billion SEK|
|Issuing institutions/dealers:||Danske Bank, SEB, SHB, Swedbank|
|Issuing and Paying Agent:||SHB|
Credit rating is an assessment of a company's credit-worthiness. It helps investors to analyze the credit risks associated with fixed-income securities issued by the company.
Svenska Cellulosa AB SCA has had a long-term rating from Moody's Investor Service and Standard & Poor's (S&P) since 1994. The Group in current state, after the de-merger of the hygiene business (named Essity), have received a confirmed long term credit rating of BBB, with stable outlook.