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FINANCIAL INFORMATION
4.2 Consolidated financial statements
4
217
Registration Document 2016 — Capgemini
value of hedging derivatives
C)
Hedging derivatives are recorded in the following accounts:
At December 31
(in millions of euros)
Notes
(1)
2015
2016
Other non-current assets
18
228
107
Other current assets
20
114
149
Other non-current and current liabilities
26
(217)
(89)
Fair value of hedging derivatives, net
125
180
Relating to:
operating transactions
■
145
217
financial transactions
■
(20)
(37)
Certain reclassifications have been made to 2015 amounts to conform to current year presentation. These reclassifications had no impact on net income nor on net cash flows.
(1)
The main hedging derivatives comprise mainly:
centralized management of currency risk recorded in “Other
non-current assets” in the amount of €120 million, in “Other
the fair value of derivative instruments contracted as part of the
◗
current liabilities” in the amount of €13 million and in “Other
current liabilities” in the amount of €35 million;
current assets” in the amount of €145 million, in “Other non
2016.
EUR/USD fix-to-fix cross currency swaps recorded in “Other
◗
non-current liabilities” valued at €35 million at December 31,
The change in the period in derivative instruments hedging operating and financing transactions recorded in income and expense
recognized in equity breaks down as follows:
in millions of euros
2016
Hedging derivatives recorded in income and expense recognized in equity at January 1
124
Amounts reclassified to profit in respect of transactions performed
(12)
Fair value of derivative instruments hedging future transactions
91
HEDGING DERIVATIVES RECORDED IN INCOME
AND EXPENSE RECOGNIZED IN EQUITY AT DECEMBER 31
203
Interest rate risk management
Interest rate risk management policy
A)
investments mainly at floating rates (or failing this, at fixed rates for
periods of less than or equal to three months), and €3,412 million
in gross indebtedness principally at fixed rates (85%) (see
Note 21, Net debt / Net cash and cash equivalents). The high
The Group’s exposure to interest rate risk should be analyzed in
light of its cash position: at December 31, 2016, the Group had
€2,036 million in cash and cash equivalents, with short-term
proportion of fixed-rate borrowings is due to the weight of bond
issues in gross indebtedness.
Exposure to Interest rate risk: sensitivity analysis
B)
As 85% of Group borrowings were at fixed rates in 2016, any
increase or decrease in interest rates would have had a negligible
impact on the Group’s net finance costs.
and cash management assets, a 100-basis point rise in interest
rates would have had a positive impact of around €5 million on the
Group’s net finance costs in 2016. Conversely, a 100-basis point
fall in interest rates would have had an estimated €5 million
Based on average levels of floating-rate short-term investments
negative impact on the Group’s net finance costs.
Counterparty risk management
In addition, in line with its policies for managing currency and
managing currency and interest rate risk are Barclays, BNP
Paribas, CA CIB, Citibank, Commerzbank, HSBC, ING, JP
Morgan, Morgan Stanley, Natixis, Royal Bank of Scotland,
interest rate risks as described above, the Group also enters into
hedging agreements with leading financial institutions.
Accordingly, counterparty risk can be deemed not material. At
December 31, 2016, the Group’s main counterparties for
Santander, and Société Générale.