Mercedes 2013 Annual Report Download - page 238

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The Group has additional other financial obligations resulting
from non-cancelable long-term rental agreements and operat-
ing leases for property, plant and equipment; the contracts
partially include renewal or repurchase options and escalation
clauses. In 2013, Daimler recognized as expense rental
payments of €501 million (2012: €528 million). Table  F.74
provides an overview of when future minimum lease payments
under non-cancelable long-term rental and lease agreements
fall due (nominal amounts).
In addition, the Group had issued irrevocable loan commitments
as of December 31, 2013. These loan commitments had not
been utilized as of that date. An overview of the maturities
of irrevocable credit commitments is shown in Table  F.90
in Note 32.
Miscellaneous other financial commitments primarily comprise
financial obligations to make payments in connection with
capital contributions to be made into the share capital of non-
consolidated subsidiaries or associated companies as well
as obligations in connection with cooperation agreements.
31. Financial instruments
Carrying amounts and fair values of financial instruments
Table  F.75 shows the carrying amounts and fair values
of the Group’s financial instruments. The fair value of a financial
instrument is the price at which a party would accept the
rights and/or obligations of that financial instrument from
another independent party. Given the varying influencing
factors, the reported fair values can only be viewed as indicators
of the prices that may actually be achieved on the market.
The fair values of financial instruments were calculated
on the basis of market information available on the balance
sheet date. The following methods and premises were used:
Receivables from financial services. The fair values of receiv-
ables from financial services with variable interest rates
are estimated to be equal to the respective carrying amounts
because the interest rates agreed and those available on the
market do not significantly differ. The fair values of receivables
from financial services with fixed interest rates are deter-
mined on the basis of discounted expected future cash flows.
The discounting is based on the current interest rates
at which similar loans with identical terms could have been
obtained as of December 31, 2013 and December 31, 2012.
Trade receivables and cash and cash equivalents.
Due to the short terms of these financial instruments,
it is assumed that their fair values are equal to the carrying
amounts.
Marketable debt securities and other financial assets.
Financial assets available for sale include:
– debt and equity instruments measured at fair value;
these instruments were measured using quoted market prices
at December 31. Otherwise, the fair value measurement
of these debt and equity instruments is based on inputs that
are either directly or indirectly observable on active markets.
Equity instruments measured at fair value predominantly
comprise the investments in Renault SA (Renault) and Nissan
Motor Co., Ltd. (Nissan).
– equity interests measured at cost; fair values could not
be determined for these financial instruments because
no market prices or fair values are available. These equity
interests comprise investments in non-listed companies
for which no objective evidence existed at the balance sheet
date that these assets were impaired and whose fair values
cannot be determined with sufficient reliability. It is assumed
that the fair values approximate the carrying amounts.
F.74
Future minimum lease payments under
long-term rental and lease agreements
At December 31,
2013 2012
In millions of euros
Maturity
within one year 376 360
between one and five years 1,032 1,012
later than five years 572 767
1,980 2,139