Microsoft 2012 Annual Report Download - page 56

Download and view the complete annual report

Please find page 56 of the 2012 Microsoft annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 87

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87

Fair Values of Derivative Instruments
The following tables present the gross fair values of derivative instruments designated as hedging instruments
(“designated hedge derivatives”) and not designated as hedging instruments (“non-designated hedge derivatives”). The
fair values exclude the impact of netting derivative assets and liabilities when a legally enforceable master netting
agreement exists and fair value adjustments related to our own credit risk and counterparty credit risk:
(In millions)
Foreign
Exchange
Contracts
Equity
Contracts
Interest
Rate
Contracts
Credit
Contracts
Commodity
Contracts
Total
Derivatives
June 30, 2012
Assets
Non-designated hedge derivatives:
Short-term investments
$
14
$
162
$
10
$
26
$
3
$
215
Other current assets
85
0
0
0
0
85
Total
$
99
$
162
$
10
$
26
$
3
$
300
Designated hedge derivatives:
Short-term investments
$
6
$
0
$
0
$
0
$
0
$
6
Other current assets
177
0
0
0
0
177
Total
$
183
$
0
$
0
$
0
$
0
$
183
Total assets
$
282
$
162
$
10
$
26
$
3
$
483
Liabilities
Non-designated hedge derivatives:
Other current liabilities
$
(84
)
$
(19
)
$
(17
)
$
(21
)
$
0
$
(141
)
Designated hedge derivatives:
Other current liabilities
$
(14
)
$
0
$
0
$
0
$
0
$
(14
)
Total liabilities
$
(98
)
$
(19
)
$
(17
)
$
(21
)
$
0
$
(155
)
(In millions)
Foreign
Exchange
Contracts
Equity
Contracts
Interest
Rate
Contracts
Credit
Contracts
Commodity
Contracts
Total
Derivatives
June 30, 2011
Assets
Non-designated hedge derivatives:
Short-term investments
$
14
$
179
$
0
$
17
$
4
$
214
Other current assets
73
0
0
0
0
73
Total
$
87
$
179
$
0
$
17
$
4
$
287
Designated hedge derivatives:
Short-term investments
$
6
$
0
$
0
$
0
$
0
$
6
Other current assets
123
0
0
0
0
123
Total
$
129
$
0
$
0
$
0
$
0
$
129
Total assets
$
216
$
179
$
0
$
17
$
4
$
416
Liabilities
Non-designated hedge derivatives:
Other current liabilities
$
(91
)
$
(12
)
$
(9
)
$
(19
)
$
(4
)
$
(135
)
Designated hedge derivatives:
Other current liabilities
$
(128
)
$
0
$
0
$
0
$
0
$
(128
)
Total liabilities
$
(219
)
$
(12
)
$
(9
)
$
(19
)
$
(4
)
$
(263
)
See also Note 4 – Investments and Note 6 – Fair Value Measurements.