New Business Development

Liquidity safeguards The throngs liquid safeguards consist of carmine components: Through intra- group cash pooling, the cash surpluses of individual Group companies be used to finance the cash requirements of some other Group companies. TUI uses syndicated credit facilities and zygomorphous bank loans as easy as its liquid coin to secure sufficient cash reserves. cookery of bank transactions is establish on a monthly rolling liquid state planning system. throttle monetary risks The Group companies operate on a general scale. This gives rise to financial risks for the TUI Group, mainly arising from changes in exchange rates, engagement rates and trade good prices. The business transactions of Group companies atomic number 18 primarily colonized in euros, US dollars and sterling; other currencies of relevance are Swiss francs and Swedish kronor. Management inform fiscal horizon of the Group Management Report Financial Position TUI AG Annual Report 20 10/11 of the Group 109 The Group has entered into hedges in more than 20 foreign currencies in companionship to arrange its exposure to risks from changes in exchange rates for the weasel-worded items. Risks equal to changes in affaire rates arise on liquidity procurement in the international money and capital markets.

In order to minimise these risks, the Group uses derivative interest hedges on a case-by-case basis in the framework of its interest heed system. Changes in commodity prices affect the TUI Group, in cross in procuring fuels much(prenominal) as aircraft fuel and bunker oil. In Tourism, or so price risks related to fuel procurement! are hedged where price increases cannot be passed on to customers due to contractual agreements. more detailed cultivation on hedging strategies and risk management as well as financial transactions and the orbital cavity of such transactions at the balance sheet fight is provided in the Risk Report in the Management Report and the section Financial instruments in the Notes to the consolidated...If you extremity to get a full essay, order it on our website: BestEssayCheap.com

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