Audi 2012 Annual Report Download - page 253

256
EUR million Dec. 31, 2012 Dec. 31, 2011
+ 10% – 10% + 10% – 10%
Currency relation
EUR/USD
Hedging provision 761 – 761 900 – 873
Profit after income taxes – 69 69 – 116 104
EUR/GBP
Hedging provision 403 – 403 331 – 331
Profit after income taxes 0 – 0 0 – 0
EUR/JPY
Hedging provision 165 – 165 184 – 184
Profit after income taxes – 11 1 – 1
EUR/CNY
Hedging provision 276 – 276 150 – 150
Profit after income taxes – 17 17 – 37 37
Quantifying other market risks by means of sensitivity analyses
The measurement of other market risks pursuant to IFRS 7 is also carried out using sensitivity
analyses in the Audi Group. Hypothetical changes to risk variables on the balance sheet date are
examined to calculate their impact on the corresponding Balance Sheet items and on the result
after tax. Depending on the type of risk, there are various possible risk variables (primarily equity
prices, commodity prices, market interest rates, market prices of used cars).
The sensitivity analyses carried out enable the following other market risks to be quantified for
the Audi Group:
Data in 2012 2011
Fund price risks
Change in share prices Percent + 10 – 10 + 10 – 10
Effects on equity capital EUR million – 18 22 – 5 5
Commodity price risks
Change in commodity prices Percent + 10 – 10 + 10 – 10
Effects on equity capital EUR million 20 – 20 26 – 26
Effects on profit after tax EUR million 40 – 40 59 – 59
Interest rate change risks
Change in market interest rate Basis points + 100 – 100 + 100 – 100
Effects on equity capital EUR million 35 – 27 18 – 17
Effects on profit after tax EUR million – 44 13 – 14
Residual value risks
Change in market prices of used cars Percent + 10 – 10 + 10 – 10
Effects on profit after tax EUR million 162 – 162 141 – 127
37.5 Methods of monitoring the effectiveness of hedging relationships
Within the Audi Group, the effectiveness of hedging relationships is evaluated prospectively using
the critical terms match method, as well as by means of statistical methods in the form of a
regression analysis. Retrospective evaluation of the effectiveness of hedges involves an effective-
ness test in the form of the dollar offset method or in the form of a regression analysis.
In the case of the dollar offset method, the changes in value of the underlying transaction,
expressed in monetary units, are compared with the changes in value of the hedge, expressed
in monetary units. All hedge relationships were effective within the range specified in IAS 39
(80 to 125 percent).