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ANNUAL REPORT 2011
on the short term or if designated as such by the
Board of Directors. Derivatives are also classified
as held for negotiation, except if they are classified
for hedging. Assets in this category are classified
as current if they are held for negotiation or are
realisable within 12 months after the consolidated
statement of financial position date.
b) Loans granted and accounts
Loans granted and other credits are non-derivative
financial assets with fixed or determinable
payments and that are not listed on an active
market. These assets originate when the group
supplies cash, goods or services directly to a debtor,
without intending to negotiate the time at which
it will receive payment for the said cash goods or
services. They are included in current assets, except
when they mature in more than 12 months after
the consolidated statement of financial position
date, in which case they are classified as non-
current assets.
c) Investments held until maturity
Investments held until maturity is non-derivative
financial assets with fixed or determinable
payments and fixed maturities, which the group’s
Board of Directors has the intention and capacity
to maintain until maturity. These investments
are included in non-current assets, except those
falling due within 12months as of the consolidated
statement of financial position date, which are
classified as current assets.
d) Financial assets available for sale
Financial assets available for sale are non-derivative
assets which are designated in this category or are
not classified in any of the other categories. They
are included in non-current assets, except when
the Board of Directors wishes to sell the investment
within 12 months as of the consolidated statement
of financial position date.
2.8.2. Recognition and measurement
Purchases and sales of investments are recognised
on the transactiondate – thedateonwhich thegroup
promises to purchase or sell the asset. Investments
are initially recognised at the fair value, including
transaction costs, when the financial assets are not
shown at the fair value through results (in this case,
they are also recognised at the fair value, but the
transaction costs are recorded in costs in the year at
the time they are incurred). Financial investments
are derecognised when the rights to receive cash
from them expire or have been transferred and
the group has substantially transferred all the risks
and benefits from its possession. Financial assets
available for sale and financial assets at the fair
value through results are subsequently valuated
at the fair value. Loans granted and accounts
receivable and investments held until maturity are