World Fuel Services 2015 Annual Report Download - page 85

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80
The following table presents information regarding the balance sheet location of our commodity and foreign currency
contracts net assets and liabilities (in millions):
As of December 31,
2015 2014
Commodity Contracts
Assets:
Short-term derivative assets, net $ 212.6 $ 294.3
Identifiable intangible and other non-current assets 18.9 11.2
Total net assets $ 231.5 $ 305.5
Liabilities:
Accrued expenses and other current liabilities $ 68.7 $ 41.3
Other long-term liabilities 5.4 0.7
Total net liabilities $ 74.1 $ 42.0
Foreign Currency Contracts
Assets:
Short-term derivative assets, net $ 7.6 $ 9.3
Identifiable intangible and other non-current assets 0.7 0.5
Total net assets $ 8.3 $ 9.8
Liabilities:
Accrued expenses and other current liabilities $ 0.9 $ —
Total net liabilities $ 0.9 $ —
For our derivative contracts, we may enter into master netting, collateral and offset agreements with counterparties. These
agreements provide us the ability to offset a counterparty’s rights and obligations, request additional collateral when
necessary or liquidate the collateral in the event of counterparty default. We net fair value of cash collateral paid or received
against fair value amounts recognized for net derivative positions executed with the same counterparty under the same
master netting or offset agreement.
As of December 31, 2015, we had $174.6 million of cash collateral deposits held by financial counterparties, of which $132.2
million have been offset against the total amount of commodity fair value liabilities in the above table and the remaining
$42.4 million is included in other current assets in the accompanying consolidated balance sheets. In addition, as of
December 31, 2015, we have offset $21.6 million of cash collateral deposits received from customers against the total
amount of commodity fair value assets in the above table. As of December 31, 2014, we had $301.0 million of cash collateral
deposits held by financial counterparties, of which $274.3 million have been offset against the total amount of commodity
fair value liabilities in the above table and the remaining $26.7 million is included in other current assets in the accompanying
consolidated balance sheets. In addition, as of December 31, 2014, we have offset $46.7 million of cash collateral deposits
received from customers against the total amount of commodity fair value assets in the above table.
The following table presents information about our assets and liabilities that are measured at fair value on a recurring basis
that utilized Level 3 inputs for the periods presented (in millions):
Beginning
of Period
Realized and
Unrealized
Gains
(Losses)
Included in
Earnings Settlements
Transfers
into
Level 3
End
of Period
Change in
Unrealized Gains
(Losses) Relating
to Assets and
Liabilities that are
Held at end of
Period
Location of
Realized and
Unrealized gains
(Losses) in
Earnings
2015
Assets:
Commodity contracts
$ 4.2
$ 3.4 $ 5.3
$ 1.0
$ 3.3
$ 2.8
Revenue
Liabilities:
Commodity contracts
$ 1.3
$ 0.6 $ 0.5
$ (0.1)
$ 0.3
$ 0.2
Cost of revenue
2014
Assets:
Commodity contracts
$ —
$ 12.7 $ 8.9
$ 0.4
$ 4.2
$ 4.2
Revenue
Liabilities:
Commodity contracts
$ —
$ (1.4) $ 0.1
$ —
$ (1.3)
$ (1.3)
Cost of revenue