Notes to the
parent company
financial statements
continued
14 Current liabilities
15 Derivatives
Overview
Business review
Governance
Financials
Investors
Ahold Delhaize Annual Report 2016
The current liabilities are liabilities that mature within one year.
For more information on derivatives, see Note 15 to these parent company financial statements.
Non-current derivatives - assets
338
The parent company regularly enters into derivative contracts with banks to hedge foreign currency and interest exposures of the parent company
or its subsidiaries. Derivative contracts that are entered into to hedge exposures of subsidiaries are generally mirrored with intercompany
derivative contracts with the subsidiaries that are exposed to the hedged risks on substantially identical terms as the external derivative contracts.
In these parent company financial statements, the external derivative contracts and the intercompany derivative contracts are presented
separately on the balance sheet. In situations where the external derivative contract qualifies for hedge accounting treatment in the consolidated
financial statements, the external derivative contract and the intercompany derivative contract are presented as “Hedging derivatives external”
and “Hedging derivatives intercompany,” respectively. In situations where the external derivative contract does not qualify for hedge accounting
treatment in the consolidated financial statements, the external derivative contract and the intercompany derivative contract are presented as
“Other derivatives external” and “Other derivatives intercompany,” respectively.
Fair value movements of external derivative contracts that were entered into to hedge the exposures of subsidiaries are recorded directly in
income, where they effectively offset the fair value movements of the mirroring intercompany derivatives that are also recorded directly in income.
Details of these derivative contracts, other financial instruments and the parent company’s risk management strategies are included in Note 30 to
the consolidated financial statements and in the tables presented below.
January 1,
2017
1,502
300
138
20
8
14
2
30
2,014
January 3,
2016
580
22
16
6
2
1
32
659
2015
310
28
2016
338
(25)
(313)
million
Short-term borrowings from subsidiaries
Other derivatives intercompany
Loans - current portion
Dividend cumulative preferred financing shares
Income tax payable
Payables to subsidiaries
Payables to joint ventures
Interest payable
Other current liabilities
Total current liabilities
million
Beginning of year
Fair value changes
Reclassification of current portion
End of year
