BT 2015 Annual Report Download - page 193

191
Overview
The Strategic Report
Purpose and strategy Delivering our strategy Group performance Governance Financial statements
Additional information
)LQDQFLDOLQVWUXPHQWVDQGULVNPDQDJHPHQWFRQWLQXHG
he credit ualit and credit concentration of cash euivalents current asset investents and derivative financial assets are detailed in the tables
below. here the opinion of oods and  dier the lower ratin is used.
oods credit ratin of counterpart
2015
£m
2014
£m
a and above 3,133 1,774
a 206 47
1 248 111
 a793 434
 121 –
aa1 439 376
aa and below 11 –
 
a7KHJURXSKROGVFDVKFROODWHUDORI~P~PLQUHVSHFWRIGHULYDWLYHƬQDQFLDODVVHWVZLWKFHUWDLQFRXQWHUSDUWLHV
The concentration of credit risk for trading balances of the group is provided in note 16, which analyses outstanding balances by line of business.
here ultiple transactions are undertaen with a sinle financial counterpart or roup of related counterparties the roup has entered into
nettin arraneents to reduce the roups eposure to credit ris b ain use of standard nternational waps and erivatives ssociation 
documentation. The group has also entered into credit support agreements with certain swap counterparties whereby on a weekly and monthly basis
the fair value position on notional 9 of lon dated cross-currenc swaps and interest rate swaps is collateralised. he related net cash inow
durin the ear was 9 011 cash outow of 09. he collateral paid and received is reconised within current asset investents
011 cash and cash euivalents and loans and other borrowins respectivel.
settin of financial instruents
he table below shows the roups financial assets and liabilities that are subect to oset in the roups balance sheet and the ipact of enforceable
master netting or similar agreements.
5HODWHGDPRXQWVQRWVHWRƪLQWKHEDODQFHVKHHW
Financial assets and liabilities
At 31 March 2015
Gross
amounts
£m
Amounts
set o
£m
Amounts
presented in
the balance
sheet
£m
iht of set o with
derivative
counterparties
£m
Cash
collateral
£m
Net
amount
£m
erivative financial assets 1,329 – 1,329 0  289
erivative financial liabilities 109 –109 603 30 
Cash and cash equivalents 588 1 434 – – 434
Bank overdrafts 11 154  – – 
7RWDO 641 –641 – 234
5HODWHGDPRXQWVQRWVHWRƪLQWKHEDODQFHVKHHW
Financial assets and liabilities
At 31 March 2014
Gross
amounts
£m
Amounts
set o
£m
Amounts
presented in
the balance
sheet
£m
iht of set o with
derivative
counterparties
£m
Cash
collateral
£m
Net
amount
£m
erivative financial assets 653 – 653 9 1 182
erivative financial liabilities 1 –1 297 20 01
Cash and cash equivalents 3,165 0 695 – – 695
Bank overdrafts 1 2,470 11 – – 11
7RWDO 519 –519 – 365
ash and cash euivalents and ban overdrafts include aounts set o of 1 011 0 as part of a aster nettin areeent with
arclasanlc. alances held within this arraneent are pooled and interest is paid or received on the net balance.