The financing strategy of Fresenius Medical Care is based on a conservative approach particularly in order to maintain financial flexibility. This is ensured by using a broad range of financial instruments and a high diversification of investors. The maturity profile is characterized by a full range of maturities from the short term accounts receivable facility, which is renewed annually, up to the senior notes which mature in 2017.

Besides having facilities available which are fully utilized, Fresenius Medical Care maintains sufficient cushion by means of a syndicated credit facility and various bilateral credit lines which are available for utilization on a revolving basis in case of need. Whenever financing instruments are selected, specific criteria like market capacity, financing costs, investor diversification, flexibility, covenants and maturities are considered.

In its long-term financial planning, Fresenius Medical Care takes the debt / EBITDA ratio (Leverage Ratio) as a guideline. This ratio compares the debt of our company to our Earnings Before Interest, Tax, Depreciation and Amortization and other non-cash charges. The debt / EBITDA ratio was 2.84 at the end of 2007.

Our company seeks to reduce the debt / EBITDA ratio to below 2.8 by the end of 2008, and we expect a further decrease in the following years.