149
AirAsia X Berhad • Annual Report 2014
NOTES TO THE FINANCIAL STATEMENTS
AS AT 31 DECEMBER 2014
18 INVESTMENT IN A JOINT VENTURE (CONTINUED)
Reconciliation of summarised financial information
IAAX
2014
RM’000
Opening net assets at acquisition date
109,976
Loss for the financial year
(33,310)
Closing net assets at 31 December
76,666
Interest in joint venture (49%)
37,566
Carrying value at 31 December
37,566
19 DERIVATIVE FINANCIAL INSTRUMENTS
Group and Company
2014
2013
Assets
RM’000
Liabilities
RM’000
Assets
RM’000
Liabilities
RM’000
Non-current
Forward foreign exchange contracts – cash flow hedges
-
-
60,388
-
Current
Commodity derivatives
- held for trading
-
(102,993)
5,541
-
The full fair value of a hedging derivative is classified as a non-current asset if the remaining maturity of the hedge item is more than 12 months and, as a current asset, if the
maturity of the hedged item is less than 12 months. Derivatives held for trading are those which do not qualify for hedge accounting.
(i)
Forward foreign exchange contracts
The notional principal amounts of the outstanding forward foreign exchange contracts at 31 December 2014 were nil (2013: RM741.1million).
During the financial year 2014, the Group has terminated all cross currency interest rate swaps (“CCIRS”). The hedging instruments are derecognised from balance
sheet and any cumulative gain or loss existing in equity at that time is reclassified to income statement.
(ii)
Fuel contracts
The outstanding number of barrels of Singapore Jet Kerosene derivative contracts at 31 December 2014 was 1,957,597 barrels (2013: 187,778 barrels). The Group
entered into Singapore Jet Kerosene fixed swap contracts with AirAsia Berhad during the financial year ended 31 December 2014, where the contracts are classified
as derivatives held for trading.
