Dell 2009 Annual Report Download - page 70

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Table of Contents
DELL INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
Dell presents its foreign exchange derivative instruments on a net basis in the Consolidated Statements of Financial Position due to the
right of offset by its counterparties under master netting arrangements. The fair value of those derivative instruments presented on a gross
basis for the period is as follows:
January 29, 2010
Other Current Other Non- Other Current Total
Assets Current Assets Liabilities Fair Value
(in millions)
Derivatives Designated as Hedging Instruments
Foreign exchange contracts in an asset position $ 181 $ 5 $ - $ 186
Foreign exchange contracts in a liability position (80) - (9) (89)
Interest rate contracts in an asset position - 1 - 1
Net asset (liability) 101 6 (9) 98
Derivatives not Designated as Hedging Instruments
Foreign exchange contracts in an asset position 63 - 2 65
Foreign exchange contracts in a liability position (74) - (5) (79)
Net asset (liability) (11) - (3) (14)
Total derivatives at fair value $ 90 $ 6 $ (12) $ 84
Dell has reviewed the existence and nature of credit-risk-related contingent features in derivative trading agreements with its
counterparties. Certain agreements contain clauses whereby if Dell's credit ratings were to fall below investment grade upon a change of
control of Dell, counterparties would have the right to terminate those derivative contracts under which Dell is in a net liability position.
As of January 29, 2010, there have been no such triggering events.
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