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Financial risks are identified primarily locally
and evaluated and managed centrally by Group
Treasury in close cooperation with the Group’s
legal units.
Credit risk
Credit risk arises from cash and cash equiva-
lents, derivative financial instruments and
deposits with banks and financial institutions,
as well as from exposures to customers, includ-
ing outstanding receivables and committed
transactions. Credit risk may result in a financial
loss if one party in a transaction is unable or
unwilling to meet its obligations. It is Autone-
um’s objective to limit the impact of a default.
The maximum risk of these positions corre-
sponds to the book values of loans and receiva-
bles and derivative financial instruments and
is disclosed in note 30 on page 108.
Credit risk of financial counterparties is
monitored centrally by Group Treasury. Signifi-
cant relationships with banks and financial
institutions are basically only entered into with
counterparties rated no lower than “A”
(according to Standard & Poor’s). At the date
of reporting, management does not expect
any losses from non-performance by financial
institutions where funds are invested.
Autoneum maintains business relationships
with all significant automotive manufacturers
and, compared to the industry sector, has a
geographically broad, diversified customer port-
folio. No customer accounted for more than
19.2% (2015: 20.0%) of Autoneum’s net sales.
The Group monitors the creditworthiness of
its key customers by using independent ratings
(if available) and by taking into account their
financial position, past experience and other
factors. The related credit risk is considered
as low at the date of reporting.
The credit quality of financial assets that are
neither past due nor impaired at the balance
sheet date can be assessed by reference to exter-
nal credit ratings, if available, or to historical
information about counterparty default rates
(refer to note 19, page 94).
Liquidity risk
The objective of liquidity risk management is to
ensure that sufficient financial resources are
available at any point in time in order to be able
to completely and timely fulfill all payment
obligations of the Group. As part of an integral
budgeting and forecasting process, Group
Treasury centrally monitors the planned liquidity
position of the Group. Group Treasury com-
pares the planned liquidity requirements with
the available funds to detect shortages in a
timely manner. The liquidity risk management
of Autoneum includes the maintenance of
sufficient liquidity reserves and the availability
of funding through an adequate amount of
credit lines.
Beside several smaller bilateral credit facili-
ties with banks Autoneum maintains a credit
agreement for the medium- and long-term financ-
ing with a group of banks in the amount of
CHF 150.0 million, which expires in December
31, 2019. Furthermore, a bond in the amount
of CHF 125.0 million with maturity as of Decem-
ber 14, 2017, and a bond in the amount of
CHF 75.0 million with maturity as of July 4,
2023, have been issued, both of which are
listed at the SIX Swiss Exchange (refer to note
24, page 100).
The following table shows the contractual
maturities of Autoneum’s financial liabilities
(including interest).
80
Autoneum
Financial Report 2016
Consolidated Financial Statements