ScottishPower’s financial strategy is aligned with the overall financial strategy of the Iberdrola Group.

Debt capital represents an important financing source for the Iberdrola Group. Iberdrola places importance on having a diversified investor base and on reducing financing risks. Iberdrola therefore issues in different markets currencies and with varying maturities. Iberdrola seeks to, whenever possible, centralise its financing activities, however there are circumstances when the Group considers it necessary to arrange finance at the subsidiary level.

This means that whilst the majority of financing is conducted at the Iberdrola S.A. level or conducted through instruments with the guarantee of Iberdrola S.A. there is also some debt capital at subsidiaries, including the ScottishPower Group. As a result, ScottishPower’s debt financing is a combination of external and intercompany borrowings.

Further information on the financial strategy of the Iberdrola Group is available here.