The financial policy applies to all companies in the Group. The policy determines which financial risks the Group is prepared to take and describes risk management goals and guidelines. It describes the division of responsibilities, reporting and internal control routines for financial risk management.
The policy is revised annually or as needed by ICA Gruppen’s Audit Committee and is approved by ICA Gruppen’s Board of Directors.
In connection with the acquisition of the remaining shares in ICA, the Board expressed a long-term financial goal for a debt level whereby the net debt/EBITDA is to be lower than 2x.
Liquidity risk is the risk that ICA Gruppen will not meet its short-term payment obligations. ICA Gruppen’s financial policy states that the liquidity reserve must be sufficient so that the reserve can handle the fluctuations that may be expected over a 12-month period. To ensure this, the Group has bank overdraft facilities and confirmed credit facilities. According to banking laws, ICA Bank’s surplus liquidity is not available to the Group.