Virgin Media 2013 Annual Report Download - page 139

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III - 29
Sensitivity Information
Information concerning the sensitivity of the fair value of certain of our more significant derivative instruments to changes in
market conditions is set forth below. The potential changes in fair value set forth below do not include any amounts associated
with the remeasurement of the derivative asset or liability into the applicable functional currency. For additional information, see
notes 4 and 5 to our consolidated financial statements.
Cross-currency and Interest Rate Derivative Contracts
Holding all other factors constant, at December 31, 2013:
(i) an instantaneous increase (decrease) of 10% in the value of the British pound sterling relative to the U.S. dollar would
have decreased (increased) the aggregate fair value of the cross-currency and interest rate derivative contracts by
approximately £498 million; and
(ii) an instantaneous increase (decrease) in the relevant base rate of 50 basis points (0.50%) would have increased (decreased)
the aggregate fair value of the cross-currency and interest rate derivative contracts by approximately £57 million.
Projected Cash Flows Associated with Derivative Instruments
The following table provides information regarding the projected cash flows associated with our derivative instruments at
December 31, 2013. The pound sterling equivalents presented below are based on interest rates and exchange rates that were in
effect as of December 31, 2013. These amounts are presented for illustrative purposes only and will likely differ from the actual
cash payments required in future periods. For additional information regarding our derivative instruments, see note 4 to our
consolidated financial statements. For information concerning the counterparty credit risk associated with our derivative
instruments, see the discussion under Counterparty Credit Risk above.
Payments (receipts) due during:
Total 2014 2015 2016 2017 2018 Thereafter
in millions
Projected derivative cash payments
(receipts), net:
Interest-related (a)............................ £ 41.8 £ 48.9 £ 29.8 £ 29.4 £ 24.6 £ (4.5) £ 170.0
Principal-related (b) ......................... — — — — 12.0 166.4 178.4
Other (c)........................................... — — 47.2 — — — 47.2
Total.............................................. £ 41.8 £ 48.9 £ 77.0 £ 29.4 £ 36.6 £ 161.9 £ 395.6
_______________
(a) Includes the interest-related cash flows of our cross-currency and cross-currency interest rate swap contracts.
(b) Includes the principal-related cash flows of our cross-currency and cross-currency interest rate swap contracts.
(c) Includes amounts related to the Virgin Media Capped Calls and the derivative embedded in the VM Convertible Notes. For
information regarding the settlement of these instruments, see notes 4 and 7 to our consolidated financial statements.