Note 17 – Income from financial items
|Interest income, external investments||1||0||–||0|
|Interest income, Group companies||–||–||24||22|
|Total financial income||1||0||24||22|
|Interest expenses, external loans||-11||-6||-10||-6|
|Interest expenses, pensions||-5||-5||-5||-5|
|Interest expenses, Group companies||–||–||–||0|
|Interest expenses, interest rate swaps||-4||-3||-4||-3|
|Change in fair value, currency forwards||2||2||2||2|
|Other financial expenses||-6||-4||-4||-3|
|Total financial expenses||-23||-18||-22||-16|
The interest share of pension expenses for the year is recognized among interest expenses. The rate of interest used in the Parent Company is 4.0% (2017: 4.0%) set by PRI, calculated on the average of opening and closing balances on the item “Pension provisions”.
Other financial income and expenses include bank charges as well as exchange rate effects on financial loans and investments. Since Duni is primarily a borrower, the entire effect is recognized among interest expenses.