Vidrala signs its first sustainable IRS with BBVA
- The agreement links the Interest Rate Swap (IRS) to the achievement of a reduction of carbon emissions
- It is a pioneering financial product, aligned with Vidrala’s firm commitment to reducing CO2 emissions.
Vidrala Group, leading producer of glass containers for the F&B industry, has signed with Spanish bank BBVA its first interest rate swap (IRS) agreement linked to sustainable criteria, a pioneering financial product in the derivative market. IRS are a product class that help companies manage and cover risks related to interest rates and exchange rates, which are part of business’ day to day operations. However, Vidrala and BBVA have gone one step further by formalizing a sustainable version of this product.
Vidrala has linked the contractual conditions of this IRS to a particular goal meant to reduce CO2 emissions. In this regard, the fees it will have to pay as part of the IRS agreement vary depending on the achievement of the established key performance indicator (KPI). In case Vidrala fails to achieve the expected carbon footprint reduction, it will face a penalty that will be assigned to reforestation project “Tree Planting in Tanzania”, led by ForestNation.
Vidrala is a consumer packaging company. We produce glass containers for food & beverage products and offer a wide range of services that include logistic solutions and botting activities. Our industrial know-how, increasing geographical presence, experience in glass production and our in depth understanding of the needs and processes of our customers, make us a reliable partner for many of the biggest brands in the food & beverage sector. Vidrala’s products and services contribute to widen our customer’s vision by connecting the consumer experiences to their brands and playing a relevant role in their strategies.