Note 31 - Borrowing

The outstanding loan facility matures in May 2015; however, periodic maturity (so-called rolling of drawn loans) takes place regularly. The average rate of interest on bank loans was 1.06% per year (2011: 1.66% per year)

With respect to borrowing, Duni's exposure on the balance sheet date to changes in interest rates and contractual dates for interest renegotiation was as follows:

Duni's borrowing is valued at the accrued acquisition value applying the effective annual interest rate method. The difference between the values reported in the balance sheets for Dec 31, 2012 and the nominal values consists of transaction costs.

Duni's accrued interest is reported as accrued expenses. Shown below are the nominal values excluding accrued interest and reported values for Duni’s borrowing.

Fair values

Current financing

Duni's long-term bank loans and overdraft facility, amounting to SEK 575 m (2011: SEK 661 m) carry variable interest which is determined in conjunction with each loan period; the discount effect for such a relatively short period of time is insignificant and thus the fair value corresponds to the nominal value plus accrued interest.

Reported amounts, per currency, for the Group's borrowing are as follows:

Bank loans

Duni has a revolving credit facility in a nominal amount of EUR 130 m which extends until May 2015. The interest rate is variable and set as EURIBOR, until the next rolling plus a margin.

Overdraft facility 

On behalf of the Group, the Parent Company has taken out an overdraft facility in a nominal amount of SEK 81 m. As per December 31, 2012, the sum utilized was SEK 17 m.