Sveaskog is not listed on the stock exchange and consequently cannot generate its own financing, but instead, aside from internally generated means, is obliged to finance operations through external loans.
Sveaskog's financial operations
The financial function within the Finance and Treasury Department is responsible for the Sveaskog Group financial operations. This entails, among other things, responsibility for the group's financing, cash management, currency and interest exposures etc. It is the responsibility of the Finance Department to ensure the group's financial flexibility. At present the greater part of Sveaskog Group financing is arranged via short and long term public loan programmes. Sveaskog also has access to a number of bilateral bank facility agreements.
Credit rating
Sveaskog as well as other borrowers are assessed according to two primary parameters:
- Assessment of operational risk, which entails an assessment of the forestry sector, the competition within it, management situation and business strategies.
- Financial risk assessment, which includes financial policy, cash flow analysis, profitability, capital structure and financial flexibility.
The Sveaskog Group has no official credit rating from credit rating agencies.