Financial risk management
Risk management is governed by a financial strategy approved by the Board of Directors. This strategy includes principles and risk limits relating to its balance sheet structure, banking relations and risk management. Financial risks are reviewed by the Board of Directors at least once a year. The Company has issued written guidelines on the relationships between Treasury and the business segments and the management of operational risks.
Treasury is also responsible for Group insurance management and decision-making in cooperation with an external specialist. Due to the nature of operations, insurance management focuses on product liability, property damage and business interruption insurance policies.
Financial structure
Funding is raised from various sources. This aims to insure the optimum use of financing with regard to providers of finance and maturity. Standard credit documentation seeks to insure the equal treatment of banks and agree on financing under the same terms.
The Group aims to optimize financing expenses in line with the objectives set for the financial structure and risks.
Amer Sports’ debt is raised through the Parent Company as a rule. The Company builds long-term relationships with providers of funding, enabling it to meet significant new funding requirements.
The development of the Group’s capital structure is primarily followed up using the gearing.
Financial risk management (pdf)