13 Financial expenses

Million CHF

2014

2013

Interest expenses

(558)

(616)

Amortization on bonds and private placements

(15)

(13)

Fair value changes on financial instruments

4

0

Unwinding of discount on provisions

(22)

(19)

Other financial expenses

(54)

(68)

Foreign exchange loss net

(35)

(98)

Financial expenses capitalized

69

38

Total

(611)

(777)

The weighted average nominal interest rate of financial liabilities at December 31, 2014, was 4.2 percent (2013: 4.6).

The positions “Interest expenses” and “Other financial expenses” relate primarily to financial liabilities measured at amortized cost.

The position “Financial expenses capitalized” comprises interest expenditures on large-scale projects during the reporting period.

Information about the Group’s exposure to the risk of changes in market interest rates and foreign currency exchange rates is disclosed within the section “Risk management”.