8. Net interest income / interest expenses
The interest result can be broken down as follows:
€ million |
|
2015/16 |
|
2016/17 |
Interest income |
|
65 |
|
44 |
thereof finance leases |
|
(0) |
|
(0) |
thereof from post-employment benefits plans |
|
(7) |
|
(5) |
thereof from financial instruments of the measurement categories according to IAS 39: |
|
|
|
|
loans and receivables incl. cash and cash equivalents |
|
(20) |
|
(29) |
held to maturity |
|
(0) |
|
(0) |
held for trading incl. derivatives in a hedging relationship according to IAS 39 |
|
(2) |
|
(0) |
available for sale |
|
(0) |
|
(0) |
Interest expenses |
|
−276 |
|
−200 |
thereof finance leases |
|
(−86) |
|
(−80) |
thereof from post-employment benefits plans |
|
(−19) |
|
(−13) |
thereof from financial instruments of the measurement categories according to IAS 39: |
|
|
|
|
held for trading incl. derivatives in a hedging relationship according to IAS 39 |
|
(−3) |
|
(0) |
other financial liabilities |
|
(−147) |
|
(−97) |
|
|
−210 |
|
−156 |
Interest income and interest expenses from financial instruments are assigned to the measurement categories according to IAS 39 on the basis of the underlying transactions.
The reduction in interest income is essentially due to non-period interest income from tax refunds in the previous year.
Interest expenses in the measurement category “other financial liabilities” primarily include interest expenses for issued bonds (including the commercial paper programme) of €66 million (2015/16: €98 million) and for liabilities to banks of €14 million (2015/16: €18 million).
The decline in interest expenses was primarily the result of more favourable refinancing terms.