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24 Additional disclosures on financial instruments

24 Additional disclosures on financial instruments
  31.12.2014 31.12.2013
  Carrying amount Carrying amount
Assets    
     
Derivative financial instruments 110,036 124,185
Held for trading 110,036 124,185
Forward foreign currency contracts 198 3
Energy trading transactions 109,838 123,884
Interest rate swaps - 298
     
Non-derivative financial instruments 916,142 860,999
Loans and receivables 910,406 832,395
Active loans 3,815 33,688
Fixed term deposits (4-12 months) 156,313 -
Receivables 502,926 525,178
Trade accounts receivables 443,537 454,876
Other receivables 48,509 55,253
Current income tax receivables 10,880 15,049
Prepaid expenses and accrued income 318 536
Cash and cash equivalents 247,034 272,993
Held for trading 182 189
Shares, bonds, other securities 182 189
Available for sale 5,554 28,415
Other financial assets 5,554 28,415
     
At 31.12. 1,026,178 985,184
  31.12.2014 31.12.2013
  Carrying amount Carrying amount
Liabilities    
     
Derivative financial instruments 116,648 111,115
Held for trading 116,648 110,904
Forward foreign currency contracts 263 101
Energy trading transactions 99,399 104,239
Interest rate swaps 16,986 6,564
Hedge accounting - 211
Interest rate swaps - 211
     
Non-derivative financial instruments 1,098,451 1,016,832
Other financial liabilities 1,098,451 1,016,832
Received loans 551,585 521,557
Current financial liabilities 83,414 31,638
Liabilities for financial leasing 545 642
Other current liabilities 440,979 422,698
Trade accounts payables 386,851 365,217
Other liabilities 54,128 57,481
Accrued expenses 21,928 40,297
     
At 31.12. 1,215,099 1,127,947

The carrying amount of each financial instrument represents a reasonable estimate for the fair value with the exception of the following positions:

  31.12.2014 31.12.2014 31.12.2013 31.12.2013
  Carrying amount Fair value Carrying amount Fair value
         
Received loans (incl. long term leasing) 551,738 617,231 521,841 544,733

Measurement hierarchy

Measurements at fair value in the balance sheet are classified using a three-level hierarchy based on the type and quality of the fair values (market prices). The following levels exist:

Level 1: Publicly quoted market prices for the respective financial instrument (e.g. stock market prices).

Level 2: Market prices that are not generally accessible and possibly derived from prices for similar financial instruments or underlying goods.

Level 3: Prices that are not based on market data.

Fair value hierarchy

Recurring measurement of

  31.12.2014 Level 1 Level 2 Level 3
Assets        
         
Derivative financial instruments 110,036 - 110,036 -
Held for trading 110,036 - 110,036 -
Forward foreign currency contracts 198 - 198 -
Energy trading transactions 109,838 - 109,838 -
Interest rate swaps - - - -
         
Non-derivative financial instruments 182 - 182 -
Shares, bonds, other securities 182 - 182 -

Recurring measurement of

  31.12.2014 Level 1 Level 2 Level 3
Liabilities        
         
Derivative financial instruments 116,648 - 116,648 -
Forward foreign currency contracts 263 - 263 -
Energy trading transactions 99,399 - 99,399 -
Interest rate swaps 16,986 - 16,986 -
Hedge accounting - - - -
No hedge accounting 16,986 - 16,986 -
         
Financial instruments that are not measured at fair value 617,231 - 617,231 -
Received loans (incl. long term leasing) 617,231 - 617,231 -
  31.12.2013 Level 1 Level 2 Level 3
Assets        
         
Derivative financial instruments 124,185 19 124,166 -
Held for trading 124,185 19 124,166 -
Forward foreign currency contracts 3 - 3 -
Energy trading transactions 123,884 19 123,865 -
Interest rate swaps 298 - 298 -
         
Non-derivative financial instruments 189 - 189 -
Shares, bonds, other securities 189 - 189 -
  31.12.2013 Level 1 Level 2 Level 3
Liabilities        
         
Derivative financial instruments 111,115 - 111,115 -
Forward foreign currency contracts 101 - 101 -
Energy trading transactions 104,239 - 104,239 -
Interest rate swaps 6,775 - 6,775 -
Hedge accounting 211 - 211 -
No hedge accounting 6,564 - 6,564 -
         
Financial instruments that are not measured at fair value 544,733 - 544,733 -
Received loans (incl. long term leasing) 544,733 - 544,733 -

There are currently no indications for a one-time measurement of a fair value.

In the Repower Group, transfers of positions measured at fair value to and from a level generally take place at the end of the period. There were no transfers between levels at the end of 2014. There were no changes in the measurement methods nor were positions measured at fair value shifted within the individual categories.

Change in positions reported under assets

Forward exchange transactions and interest rate swaps under the group of derivative financial instruments, and shares, bonds, other securities under the group of non-derivative financial instruments, are components of the balance sheet item securities and other financial instruments. The energy trading transactions under the group of derivative financial instruments correspond to the balance sheet item positive replacement values held-for-trading positions.

Change in positions reported under liabilities

Forward exchange transactions and interest rate swaps under the group of derivative financial instruments are components of the balance sheet items non-current financial liabilities and current financial liabilities. The energy trading transactions under the group of derivative financial instruments correspond to the balance sheet item negative replacement values held-for-trading positions. Loans and leasing commitments under the group of financial instruments that are not measured at fair value are components of the balance sheet item non-current financial liabilities.

Basic measurement methods and assumptions

Fair values are determined by applying standard market measurement methods taking into account the market data available on the measurement date. The measurement methods and assumptions used to calculate fair values are as follows:

The price curves of the last trading day for the various products and maturities on stock exchanges or with brokers are incorporated into the measurement of the energy trading transactions (positive/negative replacement values of the held-for-trading positions) classified as Level 1 and 2. The replacement value is the difference in price compared to the closing price.

Observable currency curves of active markets are incorporated into the fair value measurement of forward exchange transactions. Interest differences between individual currencies are taken into account when determining the fair value.

Observable yield curves of active markets are incorporated into the fair value measurement of interest rate swaps.

A present value calculation is used to determine the fair value of the non-current loans. Observable capital market rates on active markets are used as input parameters and increased by Repower's observable credit risk. Loans in euros are converted to Swiss francs at the closing rate.

The table below shows the financial assets that were netted as well as enforceable global netting agreements and similar agreements:

  31.12.2014 31.12.2013 31.12.2014 31.12.2013
  Receivables / other current liabilities Receivables / other current liabilities Positive / negative replacement values Positive / negative replacement values
         
Assets        
Gross amount of financial assets before offsetting 806,014 869,174 252,950 344,605
Gross amount of financial liabilities that have been offset with financial assets in the balance sheet -313,968 -359,045 -143,112 -220,721
Net amount of financial assets in the balance sheet 492,046 510,129 109,838 123,884
         
Gross amounts that have led to no netting with financial assets (financial instruments and cash collateral received) - - - -
Net amount 492,046 510,129 109,838 123,884
  31.12.2014 31.12.2013 31.12.2014 31.12.2013
  Other current liabilities / receivables Other current liabilities / receivables Negative / positive replacement values Negative / positive replacement values
         
Liabilities        
Gross amount of financial liabilities before offsetting -754,947 -781,743 -242,511 -324,960
Gross amount of financial assets that have been offset with financial liabilities in the balance sheet 313,968 359,045 143,112 220,721
Net amount of financial liabilities in the balance sheet -440,979 -422,698 -99,399 -104,239
         
Gross amounts that have led to no netting with financial liabilities (financial instruments and cash collateral received) - - - -
Net amount -440,979 -422,698 -99,399 -104,239