BT 2010 Annual Report Download - page 122

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FINANCIAL STATEMENTS NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
120 BT GROUP PLC ANNUAL REPORT & FORM 20-F
18. Loans and other borrowings continued
As noted on page 119, the principal repayments of loans and borrowings at hedged rates amounted to £11,139m (2009: £11,823m). The
table below reflects the currency risk and interest cash flow and fair value risk associated with these loans and borrowings after the impact
of hedging.
2010 2009
Fixed rate Floating rate Fixed rate Floating rate
interest interest Total interest interest Total
At 31 March £m £m £m £m £m £m
Sterling 10,110 835 10,945 10,239 1,373 11,612
Euro – 184 184 – 204 204
US Dollar – 3 3 – 2 2
Other – 7 7 – 5 5
Total 10,110 1,029 11,139 10,239 1,584 11,823
Weighted average effective fixed interest rate
Sterling 8.0% 8.1%
The floating rate loans and borrowings bear interest rates fixed in advance for periods ranging from one day to one year, primarily by
reference to LIBOR and EURIBOR quoted rates.
2010 2009 2010 2009
Repayment of outstanding
Minimum lease payments lease obligations
At 31 March £m £m £m £m
Amounts payable under finance leases:
Within one year 33 32 16 14
In the second to fifth years inclusive 119 135 48 66
After five years 422 456 240 252
574 623 304 332
Less: future finance charges (270) (291) – –
Total finance lease obligations 304 332 304 332
Assets held under finance leases mainly consist of buildings and network assets. The group’s obligations under finance leases are secured
by the lessors’ title to the leased assets.
19. Derivative financial instruments
2010 2009a2008a
Assets Liabilities Assets Liabilities Assets Liabilities
At 31 March £m £m £m £m £m £m
Interest rate swaps – cash flow hedge – 361 – 446 1 207
Interest rate swaps – fair value hedge – 6––––
Other interest rate swaps 106 295 107 316 25 239
Cross currency swaps – cash flow hedge 1,571 30 2,541 1 340 605
Cross currency swaps – fair value hedge – – 18 – – 20
Other cross currency swaps – 1––––
Forward foreign exchange contracts – cash flow hedge 23 4 27 1 20 1
Other forward foreign exchange contracts –2721–
Credit default swaps – – – 1 – –
1,700 699 2,700 767 387 1,072
Analysed as:
Current 624 166 158 56 71 58
Non current 1,076 533 2,542 711 316 1,014
1,700 699 2,700 767 387 1,072
aRestated. See page 94.