Currency risk

Since CA Immo invests in various currency areas, the company is exposed to certain currency risks. CA Immo counters currency risk from the inflow of rental income and rents receivable in BGN, CZK, HUF, PLN, RON and RSD by pegging rents to a hard currency (EUR or USD). No significant currency risk exists at present. Since incoming payments are mainly received in local currency, however, free liquidity is converted into euros upon receipt. The pegging of rents to the EUR/USD affects the creditworthiness of tenants and thus produces an indirect currency risk that can result in payment bottlenecks and loss of rent. Loans are taken out in the currency underlying the relevant lease (this mainly applies to financing in CZK and USD). Currency risks are hedged in connection with construction projects if possible.

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