DHL 2015 Annual Report Download - page 194

Deutsche Post  Group —  Annual Report
e maturity structure of the derivative nancial instruments based
on cash ows is as follows:
Maturity structure of derivative financial instruments
 m
Less than
1year
More than
1year
to2years
More than
2years
to3years
More than
3years
to4years
More than
4years
to5years
More than
5years
At  December 
Derivative receivables – gross settlement
Cash outflows –1,527 –233 0 0 0 0
Cash inflows 1,553 234 0 0 0 0
Net settlement
Cash inflows 11 3 0 0 0 0
Derivative liabilities – gross settlement
Cash outflows –3,012 –194 –3 –2 0 0
Cash inflows 2,939 187 3 1 0 0
Net settlement
Cash outflows –34 –13 0 0 0 0
At  December 
Derivative receivables – gross settlement
Cash outflows –1,900 –149 –15 –17 –14 –37
Cash inflows 1,982 169 28 28 20 50
Net settlement
Cash inflows 5 1 0 0 0 0
Derivative liabilities – gross settlement
Cash outflows –2,429 –259 0 0 0 0
Cash inflows 2,321 248 0 0 0 0
Net settlement
Cash outflows –30 –6 0 0 0 0
Derivative nancial instruments entail both rights and obligations.
e contractual arrangement denes whether these rights and ob-
ligations can be oset against each other and therefore result in a
net settlement, or whether both parties to the contract will have to
perform their obligations in full (gross settlement).
    
e international business activities of Deutsche Post  Group
expose it to currency risks from recognised or planned future trans-
actions:
Balance sheet currency risks arise from the measurement and
settlement of items in foreign currencies that are recognised if the
exchange rate on the measurement or settlement date diers from
the rate on recognition. e resulting foreign exchange dierences
directly impact prot or loss. In order to mitigate this impact as far
as possible, all signicant balance sheet currency risks within the
Group are centralised at Deutsche Post  through the in-house
bank function. e centralised risks are aggregated by Corporate
Treasury to calculate a net position per currency and hedged exter-
nally based on value-at-risk limits. e currency-related value at
risk (  / one-month holding period) for the portfolio totalled
 million (previous year:  million) at the reporting date; the cur-
rent limit was a maximum of  million.
e notional amount of the currency forwards and currency
swaps used to manage balance sheet currency risks amounted to
, million at the reporting date (previous year: , million);
the fair value was – million (previous year: – million). For
simplication purposes, fair value hedge accounting was not applied
to the derivatives used, which are reported as trading derivatives
instead.
Currency risks arise from planned foreign currency trans-
actions if the future foreign currency transactions are settled at ex-
change rates that dier from the rates originally planned or calcu-
lated. ese currency risks are also captured centrally in Corporate
Treasury and managed on a rolling -month basis as part of a
hedging programme. e goal is to hedge an average of up to  
of all signicant currency risks over a -month period. is makes
it possible to plan reliably and reduce uctuations in earnings
caused by currency movements. At the reporting date, an average
of around   of the foreign currency risk of the currencies con-
cerned was hedged for the next  months. e relevant hedging
transactions are recognised using cash ow hedge accounting;
Note ., cash ow hedges.
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