Financial report Consolidated annual financial statements: Notes to the consolidated annual financial statements Financing and risk management
The “cash flow hedge reserve from interest rate hedges for which hedge accounting is no longer used” arose from hedging using a CHF 10 million interest rate swap on which hedge accounting was discontinued during 2016 due to its ineffectiveness which was too high. Accumulated changes in valuation that are recognised in other comprehensive income until hedge accounting is discontinued are rebooked to the income statement for the residual term of the interest rate swap. In the year under review, this effect was CHF –0.2 million (prior year: CHF –0.2 million). As at the reporting date, the cash flow reserve still contained CHF 0.3 million (prior year: CHF 0.4 million) of the originally recognised ineffective portions. The interest rate swaps with hedge accounting comprised the following maturities as at the reporting date:
Interest rate periods are as follows (composition until next interest rate adjustment/taking into account interest rate hedging): TCHF
31.12.2018
31.12.2017
Up to 1 year
87,848
204,421
Up to 2 years
120,132
65,187
Up to 3 years
258,138
114,918
Up to 4 years
155,230
252,676
Up to 5 years
203,839
152,803
Over 5 years
715,501
722,823
1,540,688
1,512,828
Total financial liabilities
Nominal amount in TCHF 2018
Average fixed interest rate in % 2018
Nominal amount in TCHF 2017
Average fixed interest rate in % 2017
Due within 1 – 5 years
1,325
1.8%
1,325
1.8%
Due within 6 – 10 years
1,325
1.8%
1,325
1.8%
Due within 11 – 15 years
65,495
1.8%
65,760
1.8%
Due within 16 – 20 years
12. P ledged assets/assets not freely disposable
50,000
1.8%
50,000
1.8%
The carrying amount of pledged assets is as follows:
118,145
1.8%
118,410
1.8%
Interest rate swaps applying hedge accounting
As at 31 December 2018, taking current interest rate swaps into account, CHF 1,528.5 million was subject to fixed interest rates, with CHF 12.2 million bearing variable rates. In addition to variable-rate mortgages and rollover mortgages, loans with a total maturity of less than one year (fixed advances) count as variable. The average rate of interest for the period, taking interest rate swaps into account, was 2.01% (prior year: 2.17%).
TCHF
Taking into account interest rate hedging, i.e. the maturities of the designated swaps are used instead of the maturities of the fixed advances, financial liabilities as at the reporting date comprised the following maturities: TCHF
31.12.2018
31.12.2017
87,848
204,421
Due within 2nd year
120,132
65,187
Due within 3rd year
258,138
114,918
Due within 4th year
155,230
252,676
Due within 5th year
203,839
152,803
Due within 6th year
169,686
43,005
Due within 7th year
11,249
160,518
Due within 8th year
264,865
1,502
Due within 9th year
68,942
247,550
Due within 10th year Due within 11th year and longer Total financial liabilities
265
69,488
200,495
200,760
1,540,688
1,512,828
2017
Trade receivables
178
200
Other receivables
13,919
22,645
Trading properties
7,987
11,222
2,448,820
2,238,900
12,962
13,454
2,483,866
2,286,420
Investment properties and investment properties under construction Owner-occupied properties Carrying amount of pledged assets
Due within 1st year
2018
This is the carrying amount of those assets that are pledged either in full or in part for the purpose of securing bank mortgage loans and free limits. These assets were encumbered with mortgages totalling CHF 812.1 million (prior year: CHF 774.2 million) (see Note 11).
The average residual term of total financial liabilities is 6.1 years (prior year: 6.5 years).
Mobimo Annual Report 2018
83