Income Statement Disclosures

Download

16. Results from the Measurement of Derivative Financial Instruments

Derivative financial instruments are used to hedge interest rate, foreign exchange, and commodities price risks. These derivative financial instruments are explained in note 41 "Disclosures of Financial Instruments".

The measurement of the derivative financial instruments resulted in an expense of 13.9 million euros in the financial year (previous year: 0.5 million euros). This was due primarily to the fact that stand-alone derivatives are marked to market.

The measurement of stand-alone currency derivatives in the financial year led to an expense of 10.7 million euros (previous year: 1.6 million euros) and the measurement of stand-alone interest rate swaps resulted in a gain of 0.7 million euros (previous year: gain of 0.9 million euros).

This was offset by the fair value measurement of currency derivatives in the cash flow hedge. The results from that totalled 0.9 million euros (previous year: 0.6 million euros). Of that amount, income in the amount of 1.2 million euros (previous year: expenses of 0.2 million euros) are from the ineffective portion of the hedge.

Moreover, the measurement of currency derivatives designated as hedging instruments in fair value hedges resulted in an expense of 0.4 million euros (previous year: expense of 0.3 million euros).