in PLN millions, unless otherwise stated
The following table contains information on changes in the fair value of instruments, as well as corresponding changes in the fair value of hedged positions during the reporting period, being
the basis for recognising the effective and ineffective portions of changes in the fair value of hedging instruments in the years 2019-2020. In hedging relations, only the intrinsic value of the option is designated as a hedging instrument. The balance of other comprehensive income, presented below, shows a full change in the value of options, including the intrinsic value (effective part) and time value (understood as hedging cost). The time value approximates zero in the horizon of a hedging relation.
The hedge’s inefficiency recognised in the statements of profit or loss in the reporting periods 2019-2020 was immaterial.
| As at 31 December 2020 | from 1 January 2020 to 31 December 2020 |
from 1 January 2020 to 31 December 2020 |
As at 31 December 2019 |
from 1 January 2019 to 31 December 2019 | from 1 January 2019 to 31 December 2019 | |||
|---|---|---|---|---|---|---|---|---|
|
Balance of other comprehensive income due to cash flow hedging for relations: |
Balance of other comprehensive income due to cash flow hedging for relations: |
|||||||
|
relation type risk type instrument type – hedged item |
remaining in hedge accounting | for which hedge accounting was ceased | Change in the value of hedged item | Change in the value of hedging instrument | remaining in hedge accounting | for which hedge accounting was ceased | Change in the value of hedged item | Change in the value of hedging instrument |
| Cash flow hedging | ||||||||
| Commodity risk (copper) | ||||||||
| Options – Sales revenue | (1 213) | – | 409 | (1 261) | 40 | – | (124) | (115) |
| Commodity risk (silver) | ||||||||
| Options – Sales revenue | 89 | – | (8) | 88 | (4) | – | (4) | (4) |
| Currency risk (USD) | ||||||||
| Options – Sales revenue | 164 | 22 | (154) | 149 | (33) | – | (39) | (39) |
| Loans – Sales revenue | – | (96) | – | – | – | (113) | – | – |
| Currency-interest rate risk | ||||||||
| Options – Sales revenue | (61) | – | 28 | (21) | (39) | – | (44) | (39) |
| Options – Finance income/costs | (138) | – | 122 | (104) | (34) | – | (43) | (34) |
| Total | (1 159) | (74) | 397 | (1 149) | (70) | (113) | (254) | (231) |
The table below presents information on the impact of hedge accounting on profit or loss and other comprehensive income (excluding the tax effect).
| from 1 January 2020 to 31 December 2020 | from 1 January 2020 to 31 December 2019 | |||
|---|---|---|---|---|
|
relation type
risk type instrument type |
Profit or (loss) due to hedging recognised in other comprehensive income | Amount reclassified from other comprehensive income to the statement of profit or loss as a reclassification adjustment, due to realisation of a hedged item in the period | Profit or (loss) due to hedging recognised in other comprehensive income | Amount reclassified from other comprehensive income to the statement of profit or loss as a reclassification adjustment, due to realisation of a hedged item in the period |
| Cash flow hedging | ||||
| Commodity risk (copper) | ||||
| Options* | (1 108) | 145 | (140) | 141 |
| Commodity risk (silver) | ||||
| Options* | 89 | (3) | (4) | – |
| Currency risk (USD) | ||||
| Options* | 144 | (76) | (80) | (34) |
| Loans** | – | (16) | – | (16) |
| Currency-interest rate risk | ||||
| CIRS*** | (151) | (26) | (79) | (5) |
| Total | (1 026) | 24 | (303) | 86 |
The following table contains information on changes in other comprehensive income (excluding the tax effect) in the period in connection with the application of hedge accounting in 2020.
| Other comprehensive income due to cash flow hedging | |||
|---|---|---|---|
| Effective value* | Cost of hedging** | Total | |
| Other comprehensive income – transactions hedging against commodity and currency risk – as at 1 January 2020 | (33) | (150) | (183) |
| Impact of measurement of hedging transactions (effective part) | (397) | (629) | (1 026) |
| Reclassification to profit or loss due to realisation of hedged item | (305) | 281 | (24) |
| Other comprehensive income – transactions hedging against commodity and currency risk – as at 31 December 2020 | (735) | (498) | (1 233) |
The following table contains information on changes in other comprehensive income (excluding the tax effect) in the period in connection with the application of hedge accounting in 2019.
| Other comprehensive income due to cash flow hedging | |||
|---|---|---|---|
| Effective value* | Cost of hedging** | Total | |
| Other comprehensive income – transactions hedging against commodity and currency risk – as at 1 January 2019 | 278 | (72) | 206 |
| Impact of measurement of hedging transactions (effective part) | (67) | (236) | (303) |
| Reclassification to profit or loss due to realisation of hedged item | (244) | 158 | (86) |
| Other comprehensive income – transactions hedging against commodity and currency risk – as at 31 December 2019 | (33) | (150) | (183) |