VINCI - 2008 annual report

Consolidated fi nancial statements
The breakdown of fi nancial income and expenses by accounting category and fi nancial assets and liabilities is as follows:
(in € millions) Cost of net fi nancial debt
Liabilities at amortised cost (1,016.1)
Assets and liabilities at fair value through profi t or loss (fair value option) 180.4
198 VINCI __ 2008 ANNUAL REPORT
31/12/2008
Other fi nancial income
and expenses Equity
Derivatives designated as hedges: assets and liabilities (6.6) (291.2)
Derivatives at fair value through profi t or loss (trading): assets and liabilities (21.1)
Loans and receivables (5.4)
Available-for-sale fi nancial assets (21.8) (*) 9.5
Foreign exchange gains and losses (9.7)
Eff ect of discounting to present value (42.0)
Borrowing costs capitalised or in inventory 135.9
Total fi nancial income and expenses (863.3) 57.0 (281.7)
of which
Concessions (744.0) 127.4 (280.1)
Other business lines 63.0 23.4 (5.0)
Holding companies (182.3) (93.8) 3.4
(*) Including impairment loss on shares in ADP (see above) and gains on disposal of shareholdings.
(in € millions) Cost of net fi nancial debt
Liabilities at amortised cost (1,000.3)
Assets and liabilities at fair value through profi t or loss (fair value option) 195.5
31/12/2007 (*)
Other fi nancial income
and expenses Equity
Derivatives designated as hedges: assets and liabilities 6.2 51.6
Derivatives at fair value through profi t or loss (trading): assets and liabilities (12.4) (16.3)
Loans and receivables 1.5
Available-for-sale fi nancial assets 45.9 3.6
Foreign exchange gains and losses 0.5
Eff ect of discounting to present value (47.9)
Capitalised borrowing costs 135.6
Total fi nancial income and expenses (811.0) 119.4 55.2
of which
Concessions (681.1) 116.9 71.7
Other business lines 70.1 21.8 0.2
Holding companies (200.0) (19.3) (16.7)
(*) Restated in accordance with the change of accounting policy described in Note A.1.3 “Change of accounting policy: IFRIC 12 Service Concession Arrangements”.
The eff ect of discounting to present value relates mainly to provisions for retirement benefi t obligations for €34.8 million at 31 December 2008
(€33.9 million at 31 December 2007) and to provisions for the obligation to maintain concession assets in a good state of repair, for €8.6 million
at 31 December 2008 (€11.9 million at 31 December 2007).
Gains and losses on derivative fi nancial instruments allocated to fi nancial debt (and designated as hedges) breaks down as follows:
(in € millions) 31/12/2008 31/12/2007
Net interest on derivatives designated as fair value hedges (7.4) 6.3
Change in value of derivatives designated as fair value hedges 119.1 (25.5)
Change in value of the adjustment to fair value hedged fi nancial debt (121.9) 24.7
Reserve reversed through profi t or loss in respect of cash fl ow hedges 7.5 0.6
Ineff ectiveness of cash fl ow hedges (3.9) 0.1
Gains and losses on derivative instruments allocated to net fi nancial debt
of which
(6.6) 6.2
Concessions 3.4 8.4
Other business lines 0.6 (0.2)
Holding companies (10.6) (1.9)