as of December 31, 2014

Our refinancing activities in 2014 were influenced by the continued growth of the Volkswagen Group. We implemented a higher number of capital market transactions to refinance our operating business and strategic projects and issued bonds with a value of approximately €30 billion.

The Volkswagen Group continues to focus on the diversification of its issues and the expansion of its maturity profile so as to address a broad base of investors and access new groups of investors. The main currencies of the issues were euros, US dollars, sterling and Canadian dollars; the share of fixed-rate refinancing was roughly twice as high as the share of variable-rate instruments.

The largest principal amount of €3.0 billion was issued in the form of unsecured subordinated hybrid notes. The perpetual hybrid notes were issued in two tranches and can only be called by the issuer. The first call date for the first tranche with a volume of €1.25 billion is after seven years, and the first call date for the second tranche of €1.75 billion is after twelve years. In connection with the voluntary tender offer for the acquisition of all outstanding Scania shares, the issue – like the capital increase through the issue of new preferred shares – served to strengthen the Group’s net liquidity.

In addition, Volkswagen conducted a number of money and capital market transactions for the Financial Services Division. Three benchmark bonds with a value of €3.5 billion were issued in the European region and supplemented by a series of private placements.

Outside of the European refinancing market, the Volkswagen Group was particularly active in the North American capital markets and was able to exploit the favorable pricing situation to its advantage. A total volume of USD 5.5 billion was placed through two issues. On the Canadian capital market, the Volkswagen Group issued securities with a volume of around CAD 575 million in an attractive market environment.

In 2014, the Group was active in the Russian and South Korean capital markets for the first time. Following the debut bond issue, two further issues were successfully placed in Russia.

In the asset-backed securities segment, the Volkswagen Group issued securities with a total value of approximately €13 billion primarily in Europe and North America. Securities were also issued on the Chinese ABS market for the first time.

In all refinancing arrangements, interest rate and currency risk is generally excluded by entering into derivatives contracts at the same time.

The table below shows how our money and capital market programs were utilized as of December 31, 2014 and illustrates the financial flexibility of the Volkswagen Group:

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Authorized volume
€ billion


Amount utilized on Dec. 31, 2014 € billion






Commercial paper










of which hybrid issues





Asset-backed securities





The syndicated credit line of €5.0 billion agreed in July 2011 was extended in April 2014 by a further five years with two options for extension in 2015 and 2016, by a year in each case. The credit line remains unused.

Syndicated credit lines worth a total of €3.1 billion at other Group companies have also not been drawn down. In addition, Group companies arranged bilateral credit lines with national and international banks in various other countries for a total of €12.5 billion, of which €2.2 billion has not been drawn down.

These extensive financing measures ensure the solvency of the Volkswagen Group at all times.