Notes to the Consolidated Financial Statements continued
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Reportofthe Reportofthe Financial Other
Contents Overview Executive Board Supervisory Board Statements Information
Exposure to foreign currency risk
HEINEKEN's transactional exposure to the US dollar and Euro was as follows based on notional amounts. The Euro column relates to transactional
exposure to the Euro within subsidiaries which are reporting in other currencies. Included in the amounts are intra-EIEINEKEN cash flows. HEINEKEN's
transactional exposure to the British pound was excluded from the sensitivity analysis as the net exposure is not material.
2015
201A
In millions
EUR
USD
EUR
USD
Financial assets
Trade and other receivables
27
61
14
44
Cash and cash equivalents
79
101
98
93
Intragroup assets
18
4,873
14
4,727
Financial liabilities
Interest-bearing liabilities
(25)
(5,441)
(17)
(5,464)
Non-interest-bearing liabilities
(1)
(1)
Trade and other payables
(145)
(129)
(135)
(93)
Intragroup liabilities
(910)
(644)
(728)
(706)
Gross balance sheet exposure
(956)
(1,179)
(755)
(1,400)
Estimated forecast sales next year
168
1,353
186
1,373
Estimated forecast purchases next year
(1,765)
(1,534)
(1,739)
(1,562)
Gross exposure
(2,553)
(1,360)
(2,308)
(1,589)
Net notional amount forward exchange contracts
406
748
99
950
Net exposure
(2,147)
(612)
(2,209)
(639)
Sensitivity analysis
Equity
(46)
(33)
(35)
(31)
Profit or loss
(8)
(6)
(6)
(2)
Sensitivity analysis
A10 per cent strengthening of the US dollar against the Euro or. in case of the Euro, a strengthening of the Euro against all other currencies as at
31 December would have affected the value of financial assets and liabilities (related to transactional exposure) recorded on the balance sheet and
would have therefore decreased (increased) eguity and profit by the amounts shown above. This analysis assumes that all other variables, in particular
interest rates, remain constant.
A10 per cent weakening of the US dollar against the Euro or. in case of the Euro, a weakening of the Euro against all other currencies as at 31 December
would have had the egual but opposite effect on the basis that all other variables remain constant.
Interest rate risk
In managing interest rate risk, HEIN EKEN aims to reduce the impact of short-term fluctuations on earnings. Over the longer term, however, permanent
changes in interest rates would have an impact on profit.
HEIN EKEN opts for a mix of fixed and variable interest rates in its financing operations, combined with the use of interest rate instruments. Currently.
HEINEKEN's interest rate position is more weighted towards fixed than floating. Interest rate instruments that can be used are interest rate swaps, forward
rate agreements, caps and floors.
Swap maturity follows the maturity of the related loans and borrowings which have swap rates for the fixed leg ranging from 3.8 to 7.3 per cent (201 4:from
3.8 to 7.3 percent).
121 Helneken N.V. Annual Report 2015
