Management Report Results of Operations, Financial Position, Assets and Liabilities Financial Position 
FINANCIAL POSITION
Financial management policies and goals
Insuring financial flexibility is key to the financing strategy of the Fresenius Group. We achieve this flexibility through a broad spectrum of financing instruments and the wide diversification of our investors. The maturity profile is characterized by a broad spread of maturities with a large proportion of mid- to long-term financing.
Sufficient financial cushion is assured for the Fresenius Group by the revolving syndicated credit lines and bilateral credit lines that are only partially drawn. Market capacity, investor diversification, flexibility, credit covenants, and the current maturity profile are all taken into consideration when selecting financing instruments. At the same time, we seek to optimize our financing costs.
In line with the Group’s structure, financing for Fresenius Medical Care and for the rest of the Fresenius Group is conducted separately. There are no joint loans or credit agreements and no mutual guarantees. The Fresenius Kabi, Fresenius Helios, and Fresenius Vamed business segments are financed primarily through Fresenius SE in order to avoid any structural subordination.
Financing
Fresenius meets its financing needs through a combination of operating cash flows generated in the business segments and short, mid-, and long-term debt. In addition to conventional bank loans, important financing instruments include the issuance of bonds, notes, trust preferred securities, a commercial paper program, a receivables securitization program, and mandatory exchangeable bonds.
In 2008, the Group’s financing activities mainly involved the financing of the APP Pharmaceuticals acquisition, including the refinancing of its financial liabilities that totaled approximately US$ 4.8 billion (including financing expenses). This acquisition was financed by a mix of equity and debt. Thanks to the great advances the Group has made in lowering its leverage since 2006, it was possible to finance by far the greater part of this transaction with debt instruments. Consequently, the impact on Fresenius SE’s credit ratings was minimized.
