Trinidad Cement Limited
Annual Report 2012
70
Notes to the Consolidated Financial Statements (continued)
For the year ended 31 December, 2012
(Expressed in Thousands of Trinidad and Tobago Dollars, except where otherwise stated)
16. Borrowings
(continued)
2012
2011
$
$
Type of borrowings
(continued)
Interest rate profile
Fixed rates
1,661,084
1,350,600
Floating rates
385,042
327,763
2,046,126
1,678,363
2012
2011
The weighted average effective interest rate for borrowings is:
9.9%
9.65%
a) Bonds
(i) Barbados $50 million Bond
This bond, with current book value of TT$133.5 million (2011: TT$106.9 million), is secured by a charge on the
fixed and floating assets of Arawak Cement Company Limited and carries rates of interest in the range 9.4% to
11.45% for the four tranches.
(ii) TT$346.5 million Bond
This bond, with current book value of TT$167.9 million (2011: TT$138.1 million), is secured by a charge on the
assets of the TCL Group and carries a fixed rate of interest of 6.87% per annum plus 200 basis points.
(iii) TT$187 million Bond
This bond, with current book value of TT$210.4 million (2011: TT$164.9 million), is secured by a charge on the
assets of the TCL Group and carries a fixed rate of interest of 8.95% per annum plus 200 basis points.
(iv) TT$100 million Bond
This bond, with current book value of TT$93.7 million (2011: TT$74.4 million), is secured by a charge on the
assets of the TCL Group and carries a fixed interest rate of 8.5% per annum plus 200 basis points.
(v) TT$315 million Bond
This bond, with current book value of TT$378.4 million (2011: TT$298.7 million), is secured by a charge on the
assets of the TCL Group under the Override Agreement and carries a fixed rate of interest of 9.1% per annum
plus 200 basis points.
b) Term loans
(i) US$25 million ‘A’ Loan
This loan, with current book value of TT$136.8 million (2011: TT$114.7 million), is secured by a charge on the
assets of the TCL Group and carries a floating rate of interest of 6 month Libor plus 425 basis points with Floor
on Libor of 4%.
(ii) US$10 million ‘C’ Loan
This loan, with current book value of TT$74.0 million (2011: TT$63.4 million), is secured by a charge on assets
of the TCL Group and carries a floating rate of interest of 6 month Libor plus 300 basis points.
In addition to interest, the lender is entitled to an additional annual margin capped at 1000 basis points above
Libor calculated on the excess Earnings before Interest, Taxes, Depreciation and Amortisation (‘EBITDA’) of
Caribbean Cement Company Limited over US$20.0 million.
(iii) US$20 million ‘Parallel’ Loan
This loan, with current book value of TT$132.4million (2011: TT$110.2million), is secured by a charge on assets of
the TCLGroup and carries a floating rate of interest of 6month Libor plus 475 basis points with a Floor on Libor of
4%.
