MERLIN Properties Annual Report 2018 / English

ı 71 ı Annual Report 20 18 Outlook / R+D information / other In 2019, MERLIN expects to continue with high occupancy rates and the maintenance of strong cash flow due to the long remaining lease period (5.8 years from 31 December 2018, weighted by each tenant rents) The Company also expects to continue with the acquisition of assets that fit within its investment strategy. To this end, it holds a cash position of € 350.1 million. In this regard, in 2018, in accordance to our best estimates, average payment period to suppliers was 47 days. The Company has not developed any research and development activities during 2018. The Company uses interest rates hedging financial instruments to manage the exposure to the interest rates fluctuation in its financing. The Company Policy consists of maintaining the net non-current financial debt from third parties at fix rate. To achieve the target, the Company operates with interest rates swaps that hedge their corresponding loans.