Telstra 2011 Annual Report Download - page 153

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Telstra Corporation Limited and controlled entities
138
Notes to the Financial Statements (continued)
(f) Derivative financial instruments
All our derivatives are in designated hedge relationships which
satisfy the requirements for hedge accounting, except for a number
of derivatives classified as held for trading which are in economic
relationships but not in a designated hedge relationship for hedge
accounting purposes. Refer to note 18 for details on hedging
relationships.
Derivative financial instruments for the Telstra Group as at 30 June
are shown in Table G and Table H below. For these derivative
instruments the fair value equates to the carrying amounts in the
statement of financial position which differs from the face values
which are also provided in other tables within this note.
17. Capital management and financial instruments (continued)
Table G Telstra Group
As at 30 June 2011
Cross currency
swaps
Interest rate
swaps Forward contracts Total Total Total
Asset Liability Asset Liability Asset Liability Asset Liability Net
$m $m $m $m $m $m $m $m $m
Current
Fair value hedge . . . . . . . -(261) 8 - - (4) 8(265) (257)
Cash flow hedge (i) . . . . . -(336) 11 (8) 1(17) 12 (361) (349)
Hedge of net investment in
foreign operation . . . . . . 59 - - - - - 59 -59
Held for trading (ii) . . . . . - - - - 4 (8) 4(8) (4)
59 (597) 19 (8) 5(29) 83 (634) (551)
Non current
Fair value hedge . . . . . . . 13 (51) 8(40) - - 21 (91) (70)
Cash flow hedge (i) . . . . . 10 (946) 176 (173) - - 186 (1,119) (933)
Hedge of net investment in
foreign operation . . . . . . 10 - - - - - 10 -10
Held for trading (ii) . . . . . -(587) 68 - - (2) 68 (589) (521)
33 (1,584) 252 (213) -(2) 285 (1,799) (1,514)
92 (2,181) 271 (221) 5(31) 368 (2,433) (2,065)
Table H Telstra Group
As at 30 June 2010
Cross currency swaps Interest rate swaps Forward contracts Total Total Total
Asset Liability Asset Liability Asset Liability Asset Liability Net
$m $m $m $m $m $m $m $m $m
Current
Fair value hedge . . . . . . . - (150) 36 - 1 - 37 (150) (113)
Cash flow hedge (i) . . . . . - (203) 52 (21) 6 (4) 58 (228) (170)
Hedge of net investment in
foreign operation . . . . . . 59(4)----59(4)55
Held for trading (ii) . . . . . - - - - 19 (2) 19 (2) 17
59 (357) 88 (21) 26 (6) 173 (384) (211)
Non current
Fair value hedge . . . . . . . 98 (169) 35 - - - 133 (169) (36)
Cash flow hedge (i) . . . . . 19 (806) 299 (211) - - 318 (1,017) (699)
Hedge of net investment in
foreign operation . . . . . . 3 (6) - - - - 3 (6) (3)
Held for trading (ii) . . . . . 1 (326) 137 - - - 138 (326) (188)
121 (1,307) 471 (211) - - 592 (1,518) (926)
180 (1,664) 559 (232) 26 (6) 765 (1,902) (1,137)