13. Net finance costs

(amounts in millions of €, unless otherwise indicated)

	2008		2007
Financial income
Interest and similar income	32.3		13.6
Interest income due to passage of time:
- held-to-maturity investments, loans and receivables	1.6		0.3
Foreign exchange gains	15.5		-
Fair value adjustment short term borrowings	4.4		-
	53.8		13.9
Financial expenses
Interest and similar expenses on current borrowings	13.5		2.9
Interest and similar expenses on non-current borrowings	102.0		2.2
Foreign exchange losses	-		0.3
Dividend minority interests classified as liability	1.2		-
Interest expenses due to passage of time:
- defined benefit pension plans and other employee benefits	2.6		1.5
- workers’ compensation and other provisions	1.8		1.9
- non-current liabilities	4.4		-
	125.5		8.8
Dividend preferred shares	-		7.2
	125.5		16.0
Net finance costs	71.7		2.1

Financial income and expenses have been adjusted for non-cash items (such as interest receivable/payable) to arrive at financial income received (€ 26.7 million) and financial expenses paid (€ 110.8 million) in the cash flow statement.