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MEDIASET ESPAÑA COMUNICACIÓN, S.A. AND SUBSIDIARIES
Liabilities maturing in less than 12 months from the consolidated statement of financial position date are classified as
current, while those with longer maturity periods are classified as non-current.
4.18. Derivative financial instruments
The Group uses financial derivatives to manage some its exchange rate risk exposure.
Cash flow hedges are a hedge of the exposure to variability in cash flows attributable to a particular risk associated with
a recognized asset or liability or a highly probable forecast transaction, and could affect the separate income statement.
The effective portion of the gain or loss on the hedging instrument is recognized directly in equity, while the ineffective
portion is recognized in the separate income statement.
Amounts taken to equity are transferred to the separate income statement when the hedged transaction affects profit
or loss such as when hedged financial income or expense is recognized or when a forecast sale or purchase occurs.
Where the hedged item is the cost of a financial asset or liability, the amounts taken to equity are transferred to the
initial carrying amount of the financial asset or liability.
If the forecast transaction is no longer expected to occur, the amounts previously recognized in equity are transferred to
the separate income statement. If a hedging instrument expires or is sold, terminated or exercised without replacement
or rollover, or if its designation as a hedge is revoked, amounts previously recognized in equity remain in equity until
the forecast transaction occurs. If the related transaction is not expected to occur, the amount is taken to the separate
income statement.
The Group’s financial derivatives at December 31, 2015 and 2014 were classified as held for trading, with gains or losses
recognized in the consolidated separate income statement.
4.19. Derecognition of financial assets and liabilities
4.19.1. Financial assets
A financial asset (or,where applicable a part of a financial asset or part of a group of similar financial assets) is derecognized
when:
• The rights to receive cash flows from the assets have expired.
• The Group retains the right to receive the cash flows from the asset but has assumed the obligation to pay the
received cash flows in full without material delay to a third party under a pass-through arrangement.
• The Group has transferred its rights to receive cash flows from the asset and either (a) the Group has transfe-
rred substantially all the risks and rewards of the asset, or (b) the Group has neither transferred nor retained
substantially all the risks and rewards of the asset, but has transferred control of the asset.
When the Group has transferred its rights to receive cash flows from an asset, and has neither transferred nor retained
substantially all the risks and rewards of the asset nor transferred control of the asset, the Group continues to recognize
the asset to the extent of the Group’s continuing involvement in the asset. Continuing involvement that takes the form
of a guarantee over the transferred asset is measured at the lower of the original carrying amount of the asset and the
maximum amount of consideration that the Group could be required to repay.