2011 Annual Report - OTCIQ.com

144 Notes
For financial liabilities that bear floating interest rates, the
rates that were fixed on the balance sheet date are used to
calculate future interest payments for subsequent periods
as well. Financial liabilities that can be terminated at any time
are assigned to the earliest maturity band in the same way
as put options that are exercisable at any time. All covenants
were complied with during 2011.
In gross-settled derivatives (usually currency derivatives and
commodity derivatives), outflows are accompanied by related
inflows of funds or commodities.
The net gains and losses from financial instruments by IAS 39
category are shown in the following table:
Net Gains and Losses by Category1 € in millions 2011 2010
Loans and receivables -136 -141
Available for sale 449 2,724
Held for trading -1,230 2,635
Amortized cost -1,292 -1,536
Total -2,209 3,682
1 The categories are described in detail in Notes 2 and 9.
In addition to interest income and expenses from financial
receivables, the net gains and losses in the loans and receivables
category consist primarily of valuation allowances on
trade receivables. Gains and losses on the disposal of available-for-sale
securities and equity investments are reported
under other operating income and other operating expenses,
respectively.
The net gains and losses in the amortized cost category are
due primarily to interest on financial liabilities, adjusted for
capitalized construction-period interest.
The net gains and losses in the held-for-trading category
encompass both the changes in fair value of the derivative
financial instruments and the gains and losses on realization.
The fair value measurement of commodity derivatives is
the most important factor in the net result for this category.