Aer Lingus 2012 Annual Report Download - page 96

Download and view the complete annual report

Please find page 96 of the 2012 Aer Lingus annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 124

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124

FINANCIAL STATEMENTS Aer Lingus Group Plc
ANNUAL REPORT 2012
94
19 Other financial assets
Loans and receivables
2012 2011
€’000 €’000
1 January 42,180 39,790
Interest income 1,193 2,390
At 31 December 43,373 42,180
There were no impairment provisions for loans and receivables in 2012 and 2011.
Loans and receivables comprise the following:
2012 2011
€’000 €’000
- Zero-coupon debt securities held on inactive markets with maturity dates from August 2014 to
February 2015 43,373 42,180
These assets are all denominated in US dollars. These unlisted securities are mainly held in order to meet certain finance lease obligations
denominated in the same currency and with the same maturity.
The maximum exposure to credit risk at the reporting dates is the carrying amount of the debt securities classified as loans and receivables. None
of the debt securities are either past due or expired.
As at 31 December 2012, if the financial assets had not been reclassified from available for sale financial assets in 2008, the fair value and
carrying value of these financial assets would have been €43.8 million (31 December 2011: €42.3 million) and €43.1 million (31 December
2011: €41.7 million) respectively, which would have resulted in a fair value gain in equity of €0.1 million (2011: gain of €0.3 million). The fair
values of unlisted securities are based on cash flows discounted using a rate based on the market interest rate and the risk premium appropriate
to the unlisted securities. €0.1 million (2011: €0.1 million) was amortised from the available-for-sale reserve to the income statement in the year.
The effective interest rates of the financial assets reclassified into loans and receivable at the date of reclassification were between 2.8% and 4.5%.
The estimated undiscounted cash flows that the Group expects to recover from the remaining financial assets reclassified from available for sale
financial assets in 2008 was:
1 year or less Between 1 and 2
years
Between 2 and 5
years Over five years
€’000 €’000 €’000 €’000
Unlisted debt securities -34,121 12,803 -
20 Derivative financial instruments
2012 2012 2011 2011
€’000 €’000 €’000 €’000
Assets Liabilities Assets Liabilities
Interest rate swap -595 - -
Forward foreign exchange contracts 1,711 7,399 27,597 2,230
Forward fuel price contracts 3,835 4,072 9,332 7,370
Total 5,546 12,066 36,929 9,600
Notes to the consolidated financial statements (continued)