9 Financial expense
CHF million |
| 1st half-year 2012 |
| 1st half-year 2011 |
|
|
|
|
|
Interest expense payable to banks for liabilities and derivatives |
| –16.1 |
| –15.7 |
Interest expense for bond issue |
| –2.0 |
| –0.5 |
Interest expense for convertible bonds |
| –3.6 |
| –3.5 |
Finance expense from write-back of derivatives |
| –2.0 |
| 0.0 |
Capitalised building loan interest |
| 4.5 |
| 3.7 |
Finance expense |
| –19.2 |
| –16.0 |
Out of the inflow of funds from the capital increase carried out in May 2012, short-term borrowings were repaid and, at the same, two interest rate swaps with a contract volume of CHF 150 million and a term to maturity of December 2012 were written back early. The expenditure of CHF 2.0 million was charged to the income statement, thereby reducing the financial expense in the second half of 2012 by roughly the same amount.
Capitalised building loan interest of CHF 4.5 million relates to directly attributable financial expenses on development real estate under construction (CHF 1.6 million) and investment real estate under construction (CHF 2.9 million).