Tucows 2014 Annual Report Download - page 86

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foreign currency exchange movements. Accordingly, we enter into foreign exchange contracts to mitigate the exchange
rate risk on portions of our Canadian dollar exposure.
Year ended December 31,
2014 2013
Loss (gain) on currency forward contracts $ 1,310,848 $ 676,120
Increase over prior period $ 634,728
Increase - percentage 94%
Percentage of net revenues 1%1%
We have entered into certain forward exchange contracts that do not comply with the requirements of hedge
accounting to meet a portion of our future Canadian dollar requirements through December 2015. The impact of the fair
value adjustment on outstanding contracts for Fiscal 2014 was a net loss of $0.1 million, compared to $0.5 million for
Fiscal 2013. The impact of the fair value adjustment on outstanding contracts was increased by a realized loss upon
settlement of currency forward contracts of $1.3 million for Fiscal 2014 compared to $0.2 million for Fiscal 2013.
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