Air Liquide diversifies its financing sources by accessing various debt markets. In the long run, the Group funds itself with bond issues, usually though its Euro Medium-Term Notes programme (EMTN), targeting European, American, as well as Chinese markets. Over the short term, Air Liquide has recourse to French Billet de Trésorerie and US Commercial Paper. The Group has also access to a securitization programme as well as a Syndicated Credit Facility and several bilateral credit facilities with the Group’s core banking partners for general corporate purposes.
Air Liquide’s policy requires that confirmed credit lines back all commercial paper issues.
For this reason, the Group holds a 1.3 billion euro, five-year syndicated credit facility, with two one-year extension options, reaching maturity in November 2020 after the exercise of both one-year extension options.
The Group did indeed take advantage of the liquidity of the 2013 market to extend the initial two-year maturity and did so while increasing the total amount committed by the banks and aligning its loan conditions with the market conditions prevailing at the time of negotiations.
Bilateral credit facilities
Air Liquide has also contracted bilateral credit facilities with its core banking partners. In 2015, the total amount of undrawn committed credit lines reached 2.57 billion euros including the Syndicated Credit Facility.
Prudent liquidity management
As of December 31, 2015
Air Liquide renegotiated its syndicated credit facility increasing the amount committed by banks and extending the maturity.
Additional bilateral credit facilities have been signed with key banking counterparts in 2013.