41. Capital Management
The key objective of the Group’s capital management is to maintain the ability to continue its operations, taking into account investment plans, while increasing the Group’s shareholder value.
The Group monitors its capital position using the leverage ratio, calculated as the ratio of net debt to the sum of total equity and net debt. In accordance with the rules applied by the Group, the leverage should not exceed 35%. Net debt is the sum of borrowings, finance lease liabilities, liabilities under debt securities in issue and trade and other payables less cash and cash equivalents. Equity includes equity attributable to owners of the Parent.
in PLN m
| Dec 31 2013 | Dec 31 2012 | |
|---|---|---|
| Borrowings, finance lease liabilities and liabilities under debt securities in issue | 7,661 | 10,211 |
| Trade and other payables | 4,275 | 3,744 |
| Cash and cash equivalents (-) | (2,827) | (1,948) |
| Net debt | 9,109 | 12,007 |
| Equity (attributable to owners of the parent) | 28,447 | 27,193 |
| Equity and net debt | 37,556 | 39,200 |
| Leverage | 24.30% | 30.60% |
Previous note