Two of Syngenta's largest markets are Europe, Africa and the Middle East (EAME) and North America. Both sales and operating profit in these two regions are seasonal and are weighted towards the first half of the calendar year, reflecting the northern hemisphere planting and growing cycle. Latin America is another large market for Syngenta and sales and operating profit there is weighted towards the second half of the calendar year, reflecting the southern hemisphere planting and growing cycle. This seasonal operating activity results in seasonal working capital requirements.
Syngenta's principal source of liquidity consists of cash generated from operations. Working capital fluctuations due to the seasonality of the business are supported by short-term funding available from a $2.5 billion Global Commercial Paper program supported by a $2.5 billion committed, revolving, multi-currency syndicated credit facility. This syndicated credit facility was originally signed in 2012 for $ 1.5 billion and in January 2016, an additional $1 billion committed facility was established. The syndicated facility will mature in 2019.
At December 31, 2016, Syngenta had commercial paper issuances outstanding in the amount of $100 million. The average outstanding balance under the Global Commercial Paper program for the year 2016 was $1.2 billion (2015: $400 million).
Although the Terms of the Global Commercial Paper Program allow the issuance of Index Linked Notes, where the amount of promised principal is contractually dependent on the performance of an index or a formula, Syngenta hereby notifies investors under this Commercial Paper Program that all Notes will be redeemed at par.