10 – Financial result (XLS:) Download Million € 2017 2016 Dividends and similar income 22 39 Income from the disposal of shareholdings 5 9 Income from profit transfer agreements 3 6 Income from tax allocation to participating interests 1 – Income from other shareholdings 31 54 Expenses from loss transfer agreements (43) (18) Write-downs on/losses from the sale of shareholdings (17) (53) Expenses from other shareholdings (60) (71) Net income from shareholdings (29) (17) Interest income from cash and cash equivalents 188 159 Interest and dividend income from securities and loans 38 20 Interest income 226 179 Interest expenses (560) (661) Interest result (334) (482) Net interest income from overfunded pension plans and similar obligations 2 5 Income from the capitalization of borrowing costs 68 92 Miscellaneous financial income – – Other financial income 70 97 Write-downs on/losses from the disposal of securities and loans (3) (10) Net interest expense from underfunded pension plans and similar obligations (175) (183) Net interest expense from other long-term personnel obligations (1) (7) Unwinding the discount on other noncurrent liabilities (36) (47) Miscellaneous financial expenses (214) (231) Other financial expenses (429) (478) Other financial result (359) (381) Financial result (722) (880) The interest result improved by €148 million compared with the previous year from minus €482 million to minus €334 million as a result of higher interest income and lower interest expenses. Higher interest income arose particularly from interest rate and currency swaps to hedge BASF bonds as well as loans granted in connection with the financing of the Nord Stream 2 project. The decrease in interest expenses was largely due to lower liabilities to banks, commercial papers and related hedging transactions. The net interest expense from underfunded pension plans and similar obligations decreased in comparison with the previous year, as a result of the reduced net defined benefit liability as of December 31, 2016. The net interest expenses for the respective business year are based on the discount rate and the defined benefit obligation at the beginning of the year. In comparison with 2016, income from the capitalization of borrowing costs declined due to the start up of major investment projects. The decline in other financial expenses was mostly attributable to lower costs for the hedging of loans in U.S. dollars. back next