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2013 FORM 10-K
THE WESTERN UNION COMPANY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
132
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, 2013,
2012 and 2011 (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,
2013, 2012 and 2011 (in millions):
Gain/(Loss) Recognized in Income on
Derivatives
Gain/(Loss) Recognized in Income on
Related Hedged Item (a)
Gain/(Loss) Recognized in Income on
Derivatives (Ineffective Portion and Amount
Excluded from Effectiveness Testing)
Income
Statement
Location
Amount
Income
Statement
Location
Amount
Income
Statement
Location
Amount
Derivatives 2013 2012 2011
Hedged
Item 2013 2012 2011 2013 2012 2011
Interest rate
contracts .
Interest
expense .$ (8.5) $ 3.9 $ 11.8
Fixed-
rate debt.
Interest
expense .$ 19.3 $ 3.7 $ 12.6
Interest
expense .$ — $ — $ —
Total gain/
(loss). . . . . . $ (8.5) $ 3.9 $ 11.8 $ 19.3 $ 3.7 $ 12.6 $ — $ — $ —
Cash Flow Hedges
The following table presents the location and amount of gains/(losses) from cash flow hedges for the years ended December 31,
2013, 2012 and 2011 (in millions):
Gain/(Loss) Recognized Gain/(Loss) Reclassified Gain/(Loss) Recognized in Income on
in OCI on Derivatives from Accumulated OCI into Income Derivatives (Ineffective Portion and Amount
(Effective Portion) (Effective Portion) Excluded from Effectiveness Testing) (b)
Amount Income
Statement
Location
Amount Income
Statement
Location
Amount
Derivatives 2013 2012 2011 2013 2012 2011 2013 2012 2011
Foreign currency
contracts. . . . . $ (3.1) $ (20.1) $ 16.4 Revenue $ 10.4 $ 13.4 $ (30.3)
Derivative
gains/(losses), net $ (0.4) $ (0.1) $ (10.2)
Interest rate
contracts (c) . . — — (21.6) Interest expense (3.6) (3.6) (2.7) Interest expense — — —
Total gain/(loss) . $ (3.1) $ (20.1) $ (5.2) $ 6.8 $ 9.8 $ (33.0) $ (0.4) $ (0.1) $ (10.2)
Undesignated Hedges
The following table presents the location and amount of net gains/(losses) from undesignated hedges for the years ended
December 31, 2013, 2012 and 2011 (in millions):
Gain/(Loss) Recognized in Income on Derivatives (d)
Income Statement Location Amount
Derivatives 2013 2012 2011
Foreign currency contracts (e) . . . . . . . Selling, general and administrative $ (3.7) $ (10.6) $ 5.9
Foreign currency contracts (f) . . . . . . . Derivative gains/(losses), net (0.9) 0.6 21.9
Total gain/(loss) . . . . . . . . . . . . . . . . . . $ (4.6) $ (10.0) $ 27.8
____________________
(a) The 2013 gain of $19.3 million was comprised of a gain in value on the debt of $8.5 million and amortization of hedge
accounting adjustments of $10.8 million. The 2012 gain of $3.7 million was comprised of a loss in value on the debt of
$(3.9) million and amortization of hedge accounting adjustments of $7.6 million. The 2011 gain of $12.6 million was
comprised of a loss in value on the debt of $(11.8) million and amortization of hedge accounting adjustments of $24.4
million.