Carrefour - 2017 Registration Document

CONSOLIDATED FINANCIAL STATEMENTS AS OF DECEMBER 31, 2017 Notes to the Consolidated Financial Statements 2017 REGISTRATION DOCUMENT | CARREFOUR 5. 278 The following tables analyse the cash flows generated by the Group’s financial and other liabilities by period. December 31, 2017 (in millions of euros) Carrying amount Contractual cash flows Within 1 year In 1 to 5 years Beyond 5 years Fixed rate borrowings 7,117 7,557 1,285 4,325 1,947 Finance lease liabilities 301 546 47 165 333 Derivative instruments 78 64 25 - 39 Total Borrowings 7,497 8,167 1,358 4,490 2,319 Suppliers and other creditors 15,082 15,082 15,082 - - Consumer credit financing 5,478 5,478 2,817 2,661 - Other payables (1) 2,695 2,695 2,695 - - TOTAL FINANCIAL LIABILITIES 30,751 31,422 21,952 7,151 2,319 Excluding deferred revenue. (1) December 31, 2016 (in millions of euros) Carrying amount Contractual cash flows Within 1 year In 1 to 5 years Beyond 5 years Borrowings hedged by fair value hedges 254 251 251 - - Fixed rate borrowings 7,397 8,090 1,627 3,892 2,572 Finance lease liabilities 322 570 47 177 346 Derivative instruments 101 98 83 9 6 Total Borrowings 8,075 9,009 2,008 4,077 2,924 Suppliers and other creditors 15,396 15,396 15,396 - - Consumer credit financing 5,330 5,330 3,395 1,935 - Other payables (1) 3,031 3,031 3,031 - - TOTAL FINANCIAL LIABILITIES 31,831 32,766 23,830 6,012 2,924 Excluding deferred revenue. (1) Interest rate risk 12.7.2 Interest rate risk is the risk of a change in interest rates leading to an increase in the Group’s net borrowing costs. It is managed at headquarters level by Corporate Treasury and Financing, which reports monthly to an Interest Rate Risk Committee responsible for recommending hedging strategies and methods to be used to limit interest rate exposures and optimise borrowing costs. Long-term borrowings are generally at fixed rates of interest and do not therefore give rise to any exposure to rising interest rates. Various financial instruments are nonetheless used to hedge borrowings against the risk of changes in interest rates. These are mainly basic swaps and options. Hedge accounting is applied in all cases where the required criteria are met. Variable rate long-term borrowings are hedged using financial instruments that cap rises in interest rates over all or part of the life of the debt.