In the first half of 2017  the net financial position, compared to 31 December 2016, increased by 20.8 million euro due to the seasonality of certain businesses; over the last twelve months, there was an improvement of 90.5 million euro, resulting in a decrease in net financial debt to -284.4 million euro compared to -374.8 million euro as at 30 June 2016 (-263.6 million euro as of 31 December 2016).

PFN1H17_eng

Ordinary cash flow amounted to 63.2 million euro, of which 89.6 deriving from operating income from which taxes and financial charges totaled € 26.5 million; extraordinary cash flow is positive for 27.3 million euro.

Ordinary cash flow for the first half of 2017 compared to the same period of 2016 (which did not include the consolidation of Rizzoli Libri in the first quarter) decreased by approximately 5 million euro.

Cash flow 1H17_eng

The net financial position as at 30 June 2017 breaks down as follows:

Net financial position (€ mln)Euro/millions
30 June 2017
Euro/millions
30 June 2016
Euro/millions
31 December 2016
Cash and cash equivalents 60.4 29.677.6
Assets (liabilities) from derivative instruments (0.9) (2.6)(1.6)
Other financial assets (liabilities) (4.4) (12.1)(13.4)
Loans (short and medium/long term) (339.5) (389.7)(326.2)
Net financial position (284.4) (374.8)

Since 2009 the Mondadori Group has held no bonded loans and its debt is financed through the use of medium-long term credit lines. At 30 June 2017 these totalled 677.4 million euro, of which 472.6 million euro is committed.

(Euro/millions)Pool of Credit InstitutionsOf which unutilisedOf which with interest rate hedge
(1) Term Loan A1 (Refinancing)189.2145.9
(2) Term Loan A2 (Line dedicated to acquisition of RCS Libri)103.4
(3) Revolving Facility B100.0100.0
(4) Acquisition Line C80.043.8
Total472.6
Due date2017201820192020
(1)€ 16.0 million€ 21.3 million€ 21.3 million€ 130.6 million
(2)€ 8.7 million€ 11.7 million€ 11.7 million€ 71.3 million
(3)bullet loan, coming to maturity
in December
(4)bullet loan coming to maturity
in December, increasable up to
105.0 million euro,
with concurrent reduction
of A1 or A2

The Group’s short-term loans, amounting to 204.8 million euro, 16.2 million euro of which drawn down at 30 June 2017, include overdraft credit lines on current accounts, advances subject to collection and “hot money” flows.