Air Canada 2009 Annual Report Download - page 127

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Consolidated Financial Statements and Notes
127
15. FINANCIAL INSTRUMENTS AND RISK MANAGEMENT
Summary of Financial Instruments
Carrying Amounts
December 31, 2009
December 31,
2008
Financial instruments classifi cation
Held for
trading
Held to
maturity
Loans and
receivables
Liabilities at
amortized
cost Total
Financial Assets
Cash and cash equivalents $ 1,115 $ - $ - $ - $ 1,115 $ 499
Short-term investments 292 - - - 292 506
Restricted cash 78 - - - 78 45
Accounts receivable - - 701 - 701 702
Collateral deposits for fuel derivatives 43 - - - 43 328
Deposits and other assets
Restricted cash 121 - - - 121 65
Asset backed commercial paper 29 - - - 29 29
Aircraft related and other deposits - 256 - - 256 323
Derivative instruments
Foreign exchange derivatives - - - - - 64
Interest rate swaps 11 - - - 11 21
$ 1,689 $ 256 $ 701 $ - $ 2,646 $ 2,582
Financial Liabilities
Accounts payable $ - $ - $ - $ 1,215 $ 1,215 $ 1,262
Current portion of long-term debt
and capital leases - - - 468 468 663
Long-term debt and capital leases - - - 4,054 4,054 4,691
Derivative instruments
Fuel derivatives
(1) 31 - - - 31 15
Foreign exchange derivatives 4 - - - 4 -
$ 35 $ - $ - $ 5,737 $ 5,772 $ 6,631
(1) The fuel derivatives above relate to fuel derivatives not designated under fuel hedge accounting. There are no fuel derivatives designated under hedge accounting as
at December 31, 2009. As at December 31, 2008, fuel derivatives under hedge accounting had a fair value of $405 in favour of the counterparties and are described
further below.
There have been no changes in classifi cation of fi nancial instruments since December 31, 2008.
For cash fl ow purposes, the Corporation may settle, from time to time, certain short-term investments prior to their
original maturity. For this reason, these fi nancial instruments do not meet the criteria of held to maturity and are therefore
designated as held for trading. They are recorded at fair value with changes in fair value recorded in Interest income.