25 Net debt
Net debt is an important parameter for DSM's financial policy. In order to maintain a single A credit rating DSM aims for a net debt which is between 30 and 40% of net debt plus equity. Furthermore, operating profit before amortization and depreciation should at least amount to 8.5 times the balance of financial income and expense. The financial policy is discussed in depth in the section on Financial policy.
 
2007
2006
 
 
 
Borrowings:
 
 
- Non-current borrowings
1,560
907
- Current borrowings
192
607
 
 
 
Total borrowings
1,752
1,514
Current investments
(4)
(3)
Cash and cash equivalents
(369)
(552)
Financial derivatives, assets (see also note 23)
(83)
(79)
Financial derivatives, liabilities (see also note 23)
42
41
 
 
 
Net debt
1,338
921
Cash at year-end 2007 was not being used as collateral and was therefore not restricted (2006: also zero).