100 % more pressure - MTU Aero Engines

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further information
on page 158 and 182
In 2011, over 90 % of net surplus
income in U.S. dollars was covered
by hedging transactions.
further information
on page 233
The other liabilities to banks amounting to € 34.4 million (2010: € 34.4 million) relate to third-party
loans provided to subsidiaries. At € 60.0 million, total financial liabilities to banks were virtually
unchanged over the 2010 figure of € 59.7 million.
Finance lease liaBilities
Finance lease liabilities represent obligations under finance lease arrangements that are capitalized
and amortized using the effective interest method. For information on the accounting treatment of
lease assets and a summary of capitalized lease assets, please refer to Note 5.9. (Leasing) and Note
20. (Property, plant and equipment) to the consolidated financial statements.
derivative Financial assets and liaBilities
In the financial year 2011, over 90 % of the net surplus income denominated in U.S. dollars, after
deduction of expenses denominated in U.S. dollars, was covered by hedging transactions. At
December 31, 2011, hedging transactions were in place for the financial years 2012 and 2013
covering 62 % and 46 % respectively of the surplus U.S. dollar income. At the same date, further
arrangements were in place to cover 27 % and 11 % respectively of the expected surplus U.S. dollar
income in the financial years 2014 and 2015.
The increase of € 16.5 million in derivative financial liabilities to € 41.4 million (2010: € 24.9 million)
relates principally to changes in the fair value of forward foreign exchange contracts and currency
options used to hedge cash flows.
The derivative financial assets mainly comprise fair value gains on forward foreign exchange
transactions and forward commodity sales contracts for nickel concluded for hedging purposes.
Derivative financial assets decreased by € 12.1 million to € 9.7 million (2010: € 21.8 million) as
a result of market-related changes in the euro-U.S. dollar exchange rate.
For further information on credit and market risks arising from derivative financial assets and
liabilities, please refer to Note 41. to the consolidated financial statements (Risk management and
financial derivatives).
cash and cash equivalents
in € million
Change 2011 - 2010
in € million in % dec. 31, 2011 Dec. 31, 2010
Balance on current accounts, cash in hand -14.6 -30.6 33.1 47.7
Fixed-term and overnight deposits 101.5 165.7 64.2
total cash and cash equivalents 86.9 77.7 198.8 111.9