Notes to the Consolidated Financial Statements (continued)
12.3 Income tax on other comprehensive income
-
-
-
13 Other
13.1 Fair value
O Q,
Introduction Report of the Executive Board Report of the Supervisory Board
2018
2017
In millions of
Amount
before-tax
Tax
Amount
net of tax
Amount
before-tax
Tax
Amount
net of tax
Actuarial gains and losses
296
(75)
221
73
(9)
64
Currency translation differences
(127)
27
(100)
(1,440)
(45)
(1,485)
Recycling of currency translation
differences to profit or loss
59
59
Effective portion of net
investment hedges
(3)
(3)
26
26
Effective portion of changes
in fair value of cash flow hedges
(96)
29
(67)
145
(36)
109
Effective portion of cash flow
hedges transferred to profit or loss
(77)
(77)
(13)
10
(3)
Net change in fair value through
OCI investments*
8
3
11
69
(1)
68
Share of other comprehensive
income of associates/joint ventures
(36)
(36)
(7)
(7)
Other comprehensive income
(35)
(16)
(51)
(1,088)
(81)
(1,169)
In 2017 these investments were classified as available-for-sale investments.
Heineken N.V. Annual Report 2018! 10
Financial Statements
Sustainability Review
Other Information
In this note more information is disclosed regarding the fair value and the different methods of
determining fair values.
Financial instruments - hierarchy
The financial instruments included on the HEINEKEN statement of financial position are measured at
either fair value or amortised cost. To measure the fair value HEINEKEN generally uses external valuations
with market inputs. In some cases however the measurement of this fair value can be subjective and is
dependent on inputs used in the calculations. The different valuation methods are called 'hierarchies' and
are described below.
- Level 1 - The fair value is determined using quoted prices (unadjusted) in active markets for identical
assets or liabilities.
- Level 2 - The fair value is calculated using inputs other than quoted prices included within level 1 that
are observable for the asset or liability, either directly (that is, as prices) or indirectly (that is, derived
from prices).
- Level 3 - The fair value is determined using inputs for the asset or liability that are not based on
observable market data (unobservable inputs).
