Western Union 2009 Annual Report Download - page 127

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The following table summarizes the fair value of derivatives held at December 31, 2009 and their
expected maturities (in millions):
Total 2010 2011 Thereafter
Foreign currency cash flow
hedges—Consumer-to-consumer .................... $(15.9) $ (8.4) $ (7.5) $—
Foreign currency undesignated
hedges—Consumer-to-consumer .................... 3.5 3.5 — —
Foreign currency undesignated hedges—Global business
payments ..................................... 10.7 10.9 (0.2) —
Interest rate fair value hedges—Corporate ............... 31.0 20.5 10.5 —
Total .......................................... $29.3 $26.5 $ 2.8 $—
Income Statement
The following tables summarize the location and amount of gains and losses of derivatives in the
Consolidated Statements of Income segregated by designated, qualifying hedging instruments and those that
are not, for the years ended December 31, 2009, 2008 and 2007 (in millions):
Fair Value Hedges
The following table presents the location and amount of gains/(losses) from fair value hedges for the
years ended December 31, 2009, 2008 and 2007 (in millions):
Derivatives
Income Statement
Location 2009 2008 2007 Hedged Items
Income Statement
Location 2009 2008 2007
Amount Amount
Gain Recognized in Income on Derivatives
Gain/(Loss) Recognized in Income on Related
Hedged Item (b)
Interest rate contracts .......... Interest expense $12.9 $58.5 $3.6 Fixed-rate debt Interest expense $11.1 $(54.6) $(3.6)
Total gain/(loss) . . . .......... $12.9 $58.5 $3.6 $11.1 $(54.6) $(3.6)
Cash Flow Hedges
The following table presents the location and amount of gains/(losses) from cash value hedges for the
years ended December 31, 2009, 2008 and 2007 (in millions):
Derivatives 2009 2008 2007
Income Statement
Location 2009 2008 2007
Income Statement
Location 2009 2008 2007
Amount of (Loss)/Gain
Recognized in OCI on
Derivatives (Effective
Portion) Amount Amount
Gain/(Loss) Reclassified from
Accumulated OCI into Income (Effective
Portion)
(Loss)/Gain Recognized in Income on
Derivative (Ineffective Portion and Amount
Excluded from Effectiveness Testing) (c)
Foreign currency
contracts . . . . . . . . $(43.6) $82.6 $(55.9) Revenue $34.6 $(23.4) $(29.6)
Derivative
(losses)/gains, net $(1.2) $(9.9) $8.7
Interest rate contracts
(d) . . . . . . . . . . . . — — — Interest expense (1.7) (1.7) (1.7)
Derivative
(losses)/gains, net — — —
Total gain/(loss) . . . . . $(43.6) $82.6 $(55.9) $32.9 $(25.1) $(31.3) $(1.2) $(9.9) $8.7
113
THE WESTERN UNION COMPANY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)