operations also entered into cross-currency interest rate swaps, exchanging the principal amounts (€500 million fo r $670 million)
and interest payments (both variable), in order to cover the foreign currency exposure of the entity in connection with the
transaction described above. Delhaize Group did not apply hedge accounting to this transaction because this swap constitutes
an economic hedge with Delhaize America, LLC's underlying €500 million term loan.
Also, Delhaize Group enters into foreign currency swaps with various commercial banks to hedge foreign currency risk on
intercompany loans denominated in currencies other than its reporting currency.
The table below indicates the principal terms of the currency swaps outstanding at December 31, 2012. Ch anges in fair value o f
these swaps are recorded in "Finance costs" or "Income from investments" in the income statement:
(in
j n Currency Sv
2007
(1 As of De
2014
- 31, 2012, $100
>tes due 2014, th,
$670
€76
3m LIBOR
+0.98%
€500
e $300 m
3m EURIBOR
+0.94%
(6)
(9)
Amount
Amount
Received
Delivered to
from Bank at
Bank at
Trade Date,
Trade Date,
and to be
and to
Delivered to
Receive from
Year
Bank at
Bank at
Fair Value
Fair Value
Fair Value
ear Trade
Expiration
Ex piration
Ex piration
Dec. 31,
Dec. 31,
Dec. 31,
Date
Date
Date
In
terest Rate
Date
Lt:er
est Rate
201 2
2011
201 0
2012
2019
€225
3m
EURIBOR
2.06%
$300
3m
LIBOR
2.31%
1
2012
2013
30
12m
EURIBOR
3.77%
40
12m
LIBOR
+3.85%
2012
2013
€1
12m
EURIBOR
4.30%
1
12m
LIBOR
4.94%
2011
2012
€12
12m
EURIBOR
+4.83%
$17
12m
LIBOR
+4.94%
1
2010
2011
€53
6m
EURIBOR
3.33%
$75
6m
LIBOR
3.40%
3
2010
2011
€26
12m
EURIBOR
5.02%
$35
12m
LIBOR
+4.94%
1
2009
2014
€76
6.60%
$100
5.88%
(4)(1)
(11)
(13)
n/€228 million currency swap. Fo
,nd settled on January 3, 2013.
(2)
$300
Debt Covenants for Derivatives
The G roup has several ISDAs in place containing customary provisions related to events of default and restrictions in terms of
ale of assets, merger and rating.
The maximum exposure of derivative financial instruments to credit risk at the reporting date equals their carrying values at
balance sheet date (i.e., €61 million at December 31, 2012). See N ote 12 in conn ection with collateral posted on derivative
financial liabilities.
126 DELHAIZE GROUP FINANCIAL STATEMENTS'12
