Electrolux 2014 Annual Report Download - page 116

Other interest-bearing investments
Interest-bearing receivables from customer financing amounting to
SEK m () are included in the item Trade receivables in the consol-
idated balance sheet. The Group’s customer-financing activities are per-
formed in order to provide sales support and are directed mainly to
independent retailers in Scandinavia. The majority of the financing is
shorter than  months. There is no major concentration of credit risk
related to customer financing. Collaterals and the right to repossess the
inventory also reduce the credit risk in the financing operations. The
income from customer financing is subject to interest-rate risk. This risk
is immaterial to the Group.
Commercial flows
The table below shows the forecasted transaction flows, imports and
exports, for the -month period of  and hedges at year-end .
The hedged amounts are dependent on the hedging policy for each
flow considering the existing risk exposure. Hedges with maturity above
 months have a market value of SEK m () at year-end. The effect of
hedging on operating income during  amounted to SEK –m ().
At year-end , the unrealized fair value of forward contracts for hed-
ing of forecasted transaction flows amounted to SEK m ().
Forecasted transaction flows and hedges
AUD BRL CAD CHF CLP CNY EGP EUR GBP USD Other Total
Inflow of currency, long position , , , , , —  , , , , ,
Outflow of currency, short position – – –, – – –, – –, – –, –, –,
Gross transaction flow , , , , , –,  –, , –, , —
Hedges – – – – – , — , – , – —
Net transaction flow , , ,   –  –, , –, , 
Maturity profile of financial liabilities and derivatives
The table below presents the undiscounted cash flows of the Group’s contractual liabilities related to financial instruments based on the remaining
period at the balance sheet to the contractual maturity date. Floating interest cash flows with future fixing dates are estimated using the forward–
forward interest rates at year–end. Any cash flow in foreign currency is converted to local currency using the FX spot rates at year–end.
Maturity profile of financial liabilities and derivatives – undiscounted cash flows
 year
>  year
<  years
>  years
<  years >  years Total
Loans –, –, –, –, –,
Net settled derivatives – – — — –
Gross settled derivatives  — — — 
Outflow –, — — — –,
Inflow , — — — ,
Accounts payable –, — — — –,
Financial guarantees –, — — — –,
Total –, –, –, –, –,
Net gain/loss, fair value and carrying amount on financial instruments
The tables below present net gain/loss on financial instruments, the effect in the income statement and equity, and the fair value and carrying amount
of financial assets and liabilities. Net gain/loss can include both exchange–rate differences and gain/loss due to changes in interest–rate levels.
Net gain/loss, income and expense on financial instruments
 
Gain/loss
in profit
and loss
Gain/loss
in OCI Income Expense
Gain/loss
in profit
and loss
Gain/loss
in OCI Income Expense
Recognized in the operating income
Financial assets and liabilities at fair value through
profit and loss  — — — – ———
Loans and receivables – –
Available–for–sale financial assets — – — — —  — —
Total net gain/loss, income and expense  – — — –  — —
Recognized in the financial items
Financial assets and liabilities at fair value through
profit and loss –  — –  – — 
Loans and receivables – —  — – —  —
Other financial liabilities – — — – – — — –
Total net gain/loss, income and expense –   – – –  –

 ELECTROLUX ANNUAL REPORT 
All amounts in SEKm unless otherwise stated