SECTION 1 -

Note 19.C Financial instruments
1. Currency hedges
There were no currency hedges outstanding at December 31, 2009.
2. Interest rate hedges
There were no interest rate hedges outstanding at December 31, 2009.
3. Fair value of financial instruments
The carrying amount and fair value of financial instruments at December 31, 2009 were as follows:
(in € millions)
December 31, 2009
Carrying amount
New Services: Pro forma Financial Statements and Notes
December, 31, 2009
December 31, 2009
Fair value
FINANCIAL LIABILITIES 1 566 1 566
Bonds 600 600
Bank borrowings 910 910
Other financial liabilities 56 56
CURRENT FINANCIAL ASSETS (1 263) (1 263)
Marketable securities (1) (1 222) (1 222)
Cash (41) (41)
NET DEBT 303 303
(1) Marketable securities break down as follows:
(in € millions)
December 31, 2009
Carrying amount
December 31, 2009
Fair value
Bonds and other negociable debt securities (a) (121) (121)
Money market securities (b) (1 096) (1 096)
Mutual fund units convertible inot cash in less than three months (*) (c) (2) (2)
Other (3) (3)
Total marketable securities (1 222) (1 222)
(*) The fair value of mutual fund units corresponds to their published net asset value (level 1 valuation technique).
(a) Held‐to‐maturity investments.
(b) Loans and receivables issued by the Group.
(c) Available‐for‐sale financial assets.
Note 19.D Financial Risk Management
Risk management objectives, policies and procedures (liquidity risk, credit risk, currency risk, interest rate risk and equity risk),
and interest rate and currency sensitivity analyses are presented in section 3 of this prospectus.
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