6 Finance result

(CHF 1,000)	2017	2016
Interest expenses on debentures and non-current loans	–13,016	–15,375
Less capitalised interest on borrowings for buildings under construction	838	1,038
Net interest expenses on debentures and non-current loans	–12,178	–14,337
Interest expenses on finance lease liabilities	–195	–622
Accretion of interest on financial liabilities at amortised cost	–330	–733
Net interest expenses on defined benefit obligations	–1,072	–1,240
Other interest expenses	–710	–776
Total interest expenses	–14,485	–17,708
Loss on financial assets of Airport of Zurich Noise Fund	–2,222	–2,324
Other finance costs	–3,733	–1,825
Foreign exchange losses	–1,493	–396
Unwinding of discount on provision for formal expropriations plus sound insulation and resident protection 1)	–1,355	0
Unwinding of discount on non-current liabilities from concession arrangements	–843	0
Total finance costs	–24,131	–22,253
Interest income on financial assets of Airport of Zurich Noise Fund	3,183	3,011
Interest income on postal accounts and bank deposits/loans	1,287	39
Unwinding of discount on provision for formal expropriations plus sound insulation and resident protection 1)	0	1,052
Total interest income	4,470	4,102
Foreign exchange gains	650	434
Net change in fair value of derivative financial instruments held for trading	671	0
Other finance income	16	288
Total finance income	5,807	4,824
Finance result, net	–18,324	–17,429

1) See note 19, Provision for formal expropriations plus sound insulation and resident protection.

The net finance result of Flughafen Zürich AG amounted to CHF –18.3 million in the reporting period (2016: CHF –17.4 million).

A debenture that matured in May 2017 was refinanced on much more favourable terms, saving CHF 2.4 million in interest year on year.

On the other hand, the finance result for the past financial year reflects additional expenses of around CHF 1.2 million due to the first-time consolidation of the subsidiaries in Latin America. Of this amount, CHF 0.4 million are cash items.

Whereas the unwinding of the discount on provisions for formal expropriations plus sound insulation and resident protection resulted in income of CHF 1.1 million in the previous year, an expense of CHF 1.4 million was recognised in the reporting period.