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The foreign currency derivatives have been arranged in such a way that they are totally
effective and, therefore, they are recognised in full in equity until inventories are recognised.
The sensitivity analysis indicates that positive or negative changes of 10% in the spot
EUR/USD exchange rate would give rise to changes of approximately EUR 35 million in the fair
value of the foreign currency derivatives in 2014 (2013: EUR 14 million). Increases in the
value of the euro (depreciation of the US dollar) would increase negative values while
decreases in the value of the euro would increase positive values.
Financial instruments measured at fair value must be classified as levels 1 to 3, based on the
degree of verification of their fair value. Therefore, fair values derived from quoted prices on
active markets will be classified as level 1. Those derived from external information other than
quoted prices will be classified as level 2. And values obtained using valuation techniques
including data that are not observable in active markets will be classified as level 3. The
Group’s derivative instruments detailed in this section on “Foreign Currency Hedges” would be
classified as level 2.
Interest rate hedges
In August 2013 the Parent arranged interest rate swaps in order to fix the finance cost arising
from the floating rates applicable to each of the tranches of the syndicated financing arranged
at that date. These swaps expire in August 2017 and the hedged amount is EUR 111,209
thousand, with an fixed interest rate of 1.01% and EUR 20,844 thousand, with an fixed
interest rate of 0.71%. At 31 December 2013, the fair value of the swaps amounted to EUR 5
thousand and was recognised as a financial asset.
b) Other current and non-current financial liabilities
The main item under “Other Current Financial Liabilities” relates mainly to the account payable
by Gestora de Inversiones Audiovisuales La Sexta, S.A. to its shareholders, which was
assumed by the Parent in the merger transaction carried out in 2012. This account payable
amounted to EUR 34,687 thousand at 31 December 2013 and bears interest a floating rate
tied to Euribor plus a market spread (see Note 22).
In the first halfyear of 2014 this account payable had been fully repaid.
15. Trade and other payables
The detail of trade and other payables in the consolidated balance sheets at 31 December
2014 and 2013 is as follows:
Thousands of euros
2014
2013
Payable to suppliers
339,879
353,236
Payable to associates and related parties (Note 23)
59,178
67,927
Total payable to suppliers
399,057
421,163
Other accounts payable to public authorities (Note 22-d)
10,669
15,740
Other non-trade payables
16,218
18,330
Customer advances
2,552
3,649
Total other payables
29,469
37,719