Audi 2009 Annual Report Download - page 207

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Net results for financial instruments
The net results for financial instruments – as categorized under IAS 39 – are as follows:
EUR million 2009 2008
Financial instruments measured at fair value through profit or loss – 248 – 30
Loans and receivables – 70 – 147
Available-for-sale financial assets 278 448
Measured at amortized cost – 17 –
The net results for financial instruments include the net income or expense from interest, fair
value measurements, foreign currency translation, reductions for impairment and disposal
gains.
The “Financial instruments measured at fair value through profit or loss” category presents the
results from the settlement and measurement of derivative financial instruments not allocated
to hedge accounting. The “Loans and receivables” category essentially consists of impairment
losses on receivables as well as factoring expenses. The net result for available-for-sale finan-
cial assets predominantly comprises income from financial investments and investments in
securities.
The financial instruments are accounted for and measured in accordance with IAS 39 and are
described in the recognition and measurement principles under “Financial instruments.”
Interest income and expense for financial instruments not measured at fair value
EUR million 2009 2008
Interest income 248 26
Interest expense – 24 – 94
Interest income and expense 224 – 68
Interest income and expense for financial instruments not measured at fair value constitute
part of the net result for financial instruments that fall into the category of “Loans and receiv-
ables.” Interest expense here largely comprises factoring expenses arising in connection with
the loan asset sales to Volkswagen AG (Wolfsburg) subsidiaries not belonging to the
Audi Group.
Impairment losses for financial assets by category
EUR million 2009 2008
Measured at fair value 3 60
Measured at amortized cost 84 37
Impairment losses 87 97
The impairment losses relate to value adjustments of financial assets, such as impairment
losses on receivables, securities and non-consolidated subsidiaries.
No impairment was applied to financial instruments falling outside the scope of IFRS 7.
Gains and losses from hedging activities
From the cash flow hedge reserve the sum of EUR 341 (553) million was included under cost of
sales and other operating expenses.