Page 293 - 2012 Annual Report

293
VIVENDI l 2012 l Annual Report
FINANCIAL REPORT – CONSOLIDATED FINANCIAL STATEMENTS – STATUTORY AUDITORS’ REPORT ON THE
CONSOLIDATED FINANCIAL STATEMENTS – STATUTORY AUDITORS’ REPORT ON THE FINANCIAL STATEMENTS –
STATUTORY FINANCIAL STATEMENTS 4
4
III - CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2012
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
Note 23 Financial instruments and management of financial risks
The tables below show the notional amounts of interest rate risk management instruments used by Vivendi:
(in millions of euros)
December 31, 2012
Notional amounts Fair value
Total 2013 2014 2015 2016 2017
After
2017 Assets Liabilities
Pay-fixed interest rate swaps 450 450 - (10)
Pay-floating interest rate swaps (1,450) (1,000) (450) 104 -
Net position at fixed interest rate (1,000) (1,000) (a) - 104 (10)
Breakdown by accounting category of rate hedging instruments
Cash flow hedge - - -
Fair value hedge (1,000) (1,000) 55 -
Economic hedging (b) - (a) - 49 (10)
(in millions of euros)
December 31, 2011
Notional amounts Fair value
Total 2012 2013 2014 2015 2016
After
2016 Assets Liabilities
Pay-fixed interest rate swaps 1,000 1,000 - -
Pay-floating interest rate swaps (1,750) (1,000) (750) 60 -
Net position at fixed interest rate (750) 1,000 (1,000) (750) 60 -
Breakdown by accounting category of rate hedging instruments
Cash flow hedge - - -
Fair value hedge (1,750) (1,000) (c) (750) 60 -
Economic hedging (b) 1,000 1,000 - -
(a) Includes pay-floating interest rate swaps for a notional amount of €450 million as well as pay-fixed swaps for a notional amount of €450 million,
maturing in 2017, both of which qualified as economic hedges.
(b) The economic hedging instruments relate to derivative financial instruments which are not eligible for hedge accounting pursuant to IAS 39.
(c) In 2012, Vivendi SA early redeemed €300 million swaps from the €750 million pay-floating interest rate swap portfolio maturing in 2017.
OUTSTANDING AND AVERAGE INCOME FROM
INVESTMENTS
In 2012, average cash and cash equivalents amounted to €3.4 billion
(compared to €4.1 billion in 2011), bearing interest at floating rates. The
average interest income rate amounted to 0.91% in 2012 (compared to
1.16% in 2011). They mainly included Activision Blizzard’s cash and cash
equivalents, invested in money market funds with initial maturity dates
not exceeding 90 days.
SENSITIVITY TO CHANGES IN INTEREST RATES
As of December 31, 2012, given the relative weighting of the group’s fixed-
rate and floating-rate positions, an increase of 100 basis points in short-
term interest rates (or a decrease of 100 basis points) would have resulted
in a €29 million increase in interest expense (or a decrease of €29 million),
unchanged compared to 2011.