Operations in 2002 Quarterly Data and Key Figures Board Report Consolidated Financial Statements Parent Company Financial Statements Financial Notes Auditors’ Report The Share Corporate Governance

	Operations in 2002 Value Creation Market Sales and Deliveries Financial Result Non-recurring Items Financing and Capital Expenditure Risk Analysis Risk Management Funding and Financing Costs Interest Rate Risk Financial Credit Risk Customer Credit Risk Supplier Risk		Reports 2002  >  Financials 2002  >  Operations in 2002  >  Funding and Financing Costs  >  Interest Rate Risk Interest Rate Risk Fluctuations in interest rates affect the interest expense of the Group. As a result of the cyclical nature of the industry, the Group has an interest rate risk policy to synchronise the cost of capital with the return on capital, which is formulated by a benchmark of 12 months duration with a deviation mandate of +/- 6 months. In order to achieve this benchmark, fixed interest rates are converted to floating interest rates using financial derivatives. Since January 2003 the interest risk policy of the Group has changed so that whilst the benchmark duration is unchanged at 12 months, the deviation mandate is now between 3 and 24 months.