BMW 2013 Annual Report Download - page 154

154
88 GROUP FINANCIAL STATEMENTS
88 Income Statements
88 Statement of
Comprehensive Income
90 Balance Sheets
92 Cash Flow Statements
94 Group Statement of Changes in
Equity
96 Notes
96 Accounting Principles and
Policies
114 Notes to the Income Statement
121 Notes to the Statement
of Comprehensive Income
122
Notes to the Balance Sheet
145 Other Disclosures
161 Segment Information
The cash flows shown comprise principal repayments
and the related interest. The amounts disclosed for de-
rivatives comprise only cash flows relating to derivatives
that have a negative fair value at the balance sheet date.
At 31 December 2013 irrevocable credit commitments
to dealers which had not been called upon at the end of
31 December 2012 Maturity Maturity Maturity Total
in € million within between one later than
one year and five years five years
Bonds – 8,482 – 18,375 – 5,071 – 31,928
Liabilities to banks – 4,866 – 4,469 – 678 – 10,013
Liabilities from customer deposits (banking) – 10,139 – 3,028 – – 13,167
Commercial paper – 4,578 – – – 4,578
Asset backed financing transactions – 2,170 – 7,346 – 137 – 9,653
Derivative instruments – 1,146 – 1,085 – 1 – 2,232
Trade payables – 6,424 – 9 – – 6,433
Other financial liabilities* – 86 – 248 – 424 – 758
Total – 37,891 – 34,560 – 6,311 – 78,762
* Previous year’s figures adjusted.
31 December 2013 Maturity Maturity Maturity Total
in € million within between one later than
one year and five years five years
Bonds – 7,933 – 21,434 – 3,043 – 32,410
Liabilities to banks – 4,686 – 4,328 – 126 – 9,140
Liabilities from customer deposits (banking) – 9,405 – 3,243 – – 12,648
Commercial paper – 6,294 – – – 6,294
Asset backed financing transactions – 2,814 – 7,614 – 32 – 10,460
Derivative instruments – 426 – 659 – 80 – 1,165
Trade payables – 7,283 – 195 – – 7,478
Other financial liabilities – 210 – 361 – 367 – 938
Total – 39,051 – 37,834 – 3,648 – 80,533
tion prevailing in the relevant market. The assets in-
volved are generally vehicles which can be converted
into cash at any time via the dealer organisation.
Impairment losses are recorded as soon as credit risks
are identified on individual financial assets, using a
methodology specifically designed by the BMW Group.
More detailed information regarding this methodology
is provided in the section on accounting policies (note 5).
Creditworthiness testing is an important aspect of the
BMW Group’s credit risk management. Every borrower’s
creditworthiness is tested for all credit financing and lease
contracts entered into by the BMW Group. In the case
of retail customers, creditworthiness is assessed using vali-
dated
scoring systems integrated into the purchasing
process. In the area of dealer financing, creditworthiness
is assessed by means of ongoing credit monitoring and
an internal rating system that takes account not only of
the tangible situation of the borrower but also of qualita-
tive factors such as past reliability in business relations.
The credit risk relating to derivative financial instruments
is minimised by the fact that the Group only enters into
such contracts with parties of first-class credit standing.
The general credit risk on derivative financial instru-
ments utilised by the BMW Group is therefore not con-
sidered
to be significant.
A concentration of credit risk with particular borrowers
or groups of borrowers has not been identified in con-
junction with financial instruments.
Further disclosures relating to credit risk – in particu-
lar with regard to the amounts of impairment losses
recognised – are provided in the explanatory notes to
the relevant categories of receivables in notes 26, 27
and 31.
Liquidity risk
The following table shows the maturity structure of ex-
pected contractual cash flows (undiscounted) for finan-
cial liabilities: