16. Reconciliation of movement in net debt

Balance
as at
1 January
2012
£m
Foreign
exchange
adjustments
£m
Non-cash
movements
£m
Debt
disposed
£m
Cash flow
£m
Balance
as at
31 December
2012
£m
Cash and cash equivalents
Short-term deposits42.1(0.5)(33.4)8.2
Cash at bank and in hand146.0(4.5)(20.2)121.3
Bank overdrafts(4.2)(0.6)(4.8)
(54.2)
Borrowings, excluding bank overdrafts
Current(127.7)2.51.8121.6(1.8)
Non-current(424.4)13.9227.8(240.7)(423.4)
Capitalised borrowing costs4.33.8(2.9)5.2
(119.1)
Net debt(363.9)11.43.8226.7(173.3)(295.3)

Net debt is a measure of the Group's net indebtedness to banks and other external financial institutions and comprises the total of cash and short-term deposits and current and non-current interest-bearing borrowings.