Financing of Tesco PLC

Tesco PLC, is the largest UK supermarket retailer, that is in the middle of fixing it’s finances, after accounting issues. It has huge assets, for example sold 14 sites a few months ago and raised £250m

http://www.tescoplc.com/index.asp?pageid=17&newsid=1222

Tesco finances its operations through a combination of retained profits, long and medium term debt capital market issues, commercial paper, bank borrowings and leases, with the objective of ensuring continuity of funding.

http://www.tescoplc.com/index.asp?pageid=32

Tesco’s principal medium to long term funding is through its £15bn Euro Note Programme.
When you look at the bond issues one can see the debt it is carrying:-

EUR 5.389
GBP 3.097
US$ 2.5

In total of a facility of £15bn is has issued:

£4.05 + £3.097 +£1.72 = £8.867 Billion

This has tapped over 50% of its funding programme. Every little helps.

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