Tesco 2008 Annual Report Download - page 106

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Tesco PLC Annual Report and
Financial Statements 2008
104
Note 10 Derivative financial instruments
The fair value of derivative financial instruments has been disclosed in the Company’s Balance Sheet as:
2008 2007
Asset Liability Asset Liability
£m £m £m £m
Current 76 (413) 108 (64)
Non-current 216 (86) – (116)
Total 292 (499) 108 (180)
2008 2007
Asset Liability Asset Liability
Fair value Notional Fair value Notional Fair value Notional Fair value Notional
£m £m £m £m £m £m £m £m
Fair value hedges
Interest rate swaps and similar instruments 2 125 (80) 657 7 267 (69) 717
Cross currency swaps 252 2,788 – – – – (45) 1,174
Cash flow hedges
Interest rate swaps and similar instruments ––––– – (9) 988
Forward foreign currency contracts ––––2 73 (25) 691
Net investment hedges
Forward foreign currency contracts 2 289 (218) 2,328 65 3,053 (8) 1,292
Derivatives not in a formal hedge relationship
Interest rate swaps and similar instruments 5 3,638 (2) 189 5 1,570 (1) 230
Cross currency swaps – – (2) 204 ––––
Forward foreign currency contracts 31 1,589 (197) 2,625 29 1,236 (23) 687
Total 292 8,429 (499) 6,003 108 6,199 (180) 5,779
Note 11 Share-based payments
Tesco PLC’s equity-settled share-based payment schemes comprise various share schemes designed to reward Executive Directors. For further information
on these schemes, including the valuation models and assumptions used, see note 23 to the Group financial statements.
a) Share option schemes
The number of options and weighted average exercise price (WAEP) of share option schemes relating to Tesco PLC employees are:
For the year ended 23 February 2008
Savings-related Approved Unapproved Nil cost
share option scheme share option scheme share option scheme share options
Options WAEP Options WAEP Options WAEP Options WAEP
Outstanding at
24 February 2007 42,249 223.23 53,381 280.99 11,300,347 270.90 5,810,007 0.00
Granted 5,733 410.00 – – 1,888,688 473.75 5,113,574 0.00
Exercised (10,330) 159.00 – – (997,056) 253.25 (85,343) 0.00
Outstanding at
23 February 2008 37,652 269.29 53,381 280.99 12,191,979 303.75 10,838,238 0.00
Exercisable as at
23 February 2008 – – 15,189 197.50 5,233,393 230.71 – –
Exercise price range 164.00 to
(pence) – – – 197.50 – 259.00 – –
Weighted average remaining
contractual life (years) – – – 5.16 – 4.33 – –
Notes to the Parent Company financial statements continued
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