Siemens 2012 Annual Report Download - page 178

1 A. To our Shareholders
21 B. Corporate Governance 49 C. Combined Management Report
50 C. Business and economic environment
64 C. Financial performance measures
69 C. Results of operations
82 C. Financial position
93 C. Net assets position
95 C. Overall assessment of the economic position
96 C. Subsequent events
97 C. Sustainability
111 C. Report on expected developments and
associated material opportunities and risks

In February , Siemens issued US$ bonds with warrant
units in an aggregate principal amount of US$. billion in two
tranches. The bonds due in August  have a volume of
US$. billion and a coupon of notional .% per annum; the
bonds due in August  have a volume of US$. billion and
a coupon of notional .% per annum. The exercise price of
the warrants was fixed at .% of the reference price. On
that basis, the exercise price amounts to €. per share.
At issuance, one warrant will entitle its holder to receive
,. Siemens AG shares. The warrants result in option
rights relating to a total of about . million Siemens AG
shares. The equivalent amount of these bonds outstanding as
of September ,  was €. billion.
In September , we issued a subordinated hybrid bond in two
tranches, a euro tranche of € million in .% notes and a
British pound tranche of £ million in .% notes, both
tranches with a final legal maturity in September . The com-
pany has a call option after ten years or thereafter. If the bond is
not called, both tranches will become floating rate notes accord-
ing to the conditions of the bond. The total nominal amount of
our hybrid bond as of September ,  was €. billion.
In August , we issued notes totaling US$. billion. These
notes were issued in four tranches comprising: US$ million
in floating rate notes (three months London Interbank Offered
Rate + .%) due in August , which were redeemed at
face value at their maturity date; US$ million in .% notes
due in February , which were redeemed at face value on
their maturity date; US$. billion in .% notes due in Oc-
tober  and US$. billion in .% notes due in August
. We may redeem, at any time, all or some of the fixed rate
notes at the early redemption amount (call) according to the
conditions of the notes. The nominal amount of these notes
outstanding as of September ,  was €. billion.
Assignable loans – In June , we issued four tranches of
assignable loans with an aggregate amount of €. billion:
€ million in floating rate notes (six months European Inter-
bank Offered Rate + .%) and €. million in .% notes,
both maturing in June  and €. million in floating rate
notes (six months European Interbank Offered Rate + .%)
and € million in .% notes, both maturing in June .
Both floating rate tranches were called in August  and re-
deemed in December  at face value.
Credit facilities – We have three credit facilities at our dispos-
al for general corporate purposes. Our credit facilities as of
September , , consisted of €. billion in committed
lines of credit. These facilities included:
> a €. billion undrawn syndicated multi-currency revolving
credit facility provided by a syndicate of international banks
with a  year tenor and two one-year extension options,
which was signed in April . It replaced a US$. billion
syndicated multi-currency revolving credit facility, which ex-
pired in March ;
> a € million bilateral undrawn revolving credit facility pro-
vided by a domestic bank expired in September . This
credit facility has been extended to September ;
> a US$. billion syndicated multi-currency credit facility ex-
piring August  provided by a syndicate of international
banks. This facility comprised a US$. billion (€. billion)
term loan which was drawn in January  and is due in
August  as well as an undrawn US$. billion (€. bil-
lion) revolving tranche.
As of September , , €. billion of these lines of credit
remained unused.
The maturity profile of the loans, notes and bonds described
above is presented below:
As mentioned above Siemens AG maintains two lines of credit
of € billion and of US$ billion, respectively. These two lines
of credit provide its lenders with a right of termination in the
event that () Siemens AG becomes a subsidiary of another
company or () a person or a group of persons acting in con-
cert acquires control over Siemens AG by being able to exer-
cise decisive influence over its activities (Art.  () of Council
Regulation (EC) /). In addition, Siemens AG has a bilat-
eral credit line at its disposal in the amount of € million as
mentioned above which may be terminated by the lender if
major changes in Siemens AG’s corporate legal situation occur
that jeopardize the orderly repayment of the credit.
,     
(      )
1 The maturity of the hybrid bond depends on the exercise of a call option: the
bond is callable by us in September  and thereafter, with a final legal maturity
ending in September .
2 We may redeem, at any time, all or some of US$-notes, issued in August ,
at the early redemption amount (call) according to the conditions of the notes.
2013 2014 2015 2016 2017 2018 2019 2020 2025 2026 2042 2066
2.9
1.4
0.3
0.4
1.81
2.21
4.52
1.6 1.5 1.0
0.4
1.4
0.8
1.81