✨ Financial Statements
28 NOVEMBER 2008 NEW ZEALAND GAZETTE, No. 186 4885
TRANSPOWER NEW ZEALAND LIMITED LINES BUSINESS
16. Other current financial liabilities
| LINES BUSINESS | |
|---|---|
| 2008 | |
| $000 |
Current debt
Call borrowing | | 32,388 |
Current portion of non current debt | 153,713 | 726,271 |
| 153,713 | 758,659 |
Derivatives in loss
Cross currency interest rate swaps | 16,391 | 127,088 |
Forward exchange contracts | 69 | 3,951 |
Interest rate options | 112 | - |
| 16,572 | 131,039 |
Total other current financial liabilities | 170,285 | 889,698 |
Financial Instrument Designation
Refer to Note 9 Financial Instrument Designation for the designation of the above instruments.
Derivatives in loss
Derivatives are used to manage financial risk, refer to Note 23 Financial Instruments for information. The loss on derivatives represents the unrealised loss at balance date. The Lines Business anticipates that the derivatives will be held until maturity and it is unlikely that settlement at the reported fair values will occur. Refer Note 10 Other Current Financial Assets for derivatives that are in gain.
The Lines Business hedges against foreign currency fluctuations on certain foreign purchases through the use of forward exchange contracts. These contracts are hedge accounted using the fair value method. The hedge commitment is shown separately in Note 10 Other Current Financial Assets.
Current portion of non current debt
The June 2007 balance consists of the structured finance transaction maturing. The nature of this transaction is discussed in the June 2007 Annual Report.
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NZ Gazette 2008, No 186
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Transpower New Zealand Limited Lines Business Financial Statements
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🏭 Trade, Customs & IndustryFinancial Statements, Current Financial Liabilities, Derivatives, Financial Instruments, Debt