# Net Debt / EBITDA Ratio Calculation for TenneT 2022

## Step 1: Identify the Required Components

According to S&P methodology, the Net Debt / EBITDA ratio is calculated as:
**Net Debt / EBITDA = (Total Debt - Cash) / EBITDA**

Where:
- **Total Debt** = Long-term Borrowings + Short-term Borrowings + Current Bank Overdrafts (+ Lease Liabilities per S&P)
- **Cash** = Cash and Cash Equivalents
- **EBITDA** = Operating Income + Depreciation & Amortization

## Step 2: Calculate EBITDA for 2022 (2021-01-01 to 2022-01-01)

From the data:
- Profit/Loss from Operating Activities (2021-2022): -275,000,000 EUR
- Depreciation and Amortisation Expense (2021-2022): 1,165,000,000 EUR

**EBITDA = -275 + 1,165 = 890,000,000 EUR**

## Step 3: Calculate Total Debt as of 2022-01-01

- Long-term Borrowings (2022-01-01): 12,366,000,000 EUR
- Short-term Borrowings (2022-01-01): 1,339,000,000 EUR
- Current Bank Overdrafts (2022-01-01): 64,000,000 EUR
- Noncurrent Lease Liabilities (2022-01-01): 235,000,000 EUR
- Current Lease Liabilities (2022-01-01): 169,000,000 EUR

**Total Debt = 12,366 + 1,339 + 64 + 235 + 169 = 14,173,000,000 EUR**

## Step 4: Calculate Net Debt as of 2022-01-01

- Cash and Cash Equivalents (2022-01-01): 3,204,000,000 EUR

**Net Debt = 14,173 - 3,204 = 9,969,000,000 EUR**

## Step 5: Calculate the Ratio

**Net Debt / EBITDA = 9,969 / 890 = 11.20**

<answer>11.20</answer>