Interim Report 2015/2016
NOTES TO CONDENSED ACCOUNTS
23
2 Financial risk management and fair value estimation
(continued)
(b) Fair value estimation
(continued)
(ii) The fair value of long-term financial liabilities is estimated by discounting the future contractual cash flows
at the current market interest rate that is available to the Group for similar financial instruments.
The following table presents the Group’s financial instruments that are measured at fair value at 31
December 2015:
Level 1
Level 2
Level 3
Total
HK$m HK$m HK$m HK$m
Available-for-sale financial assets
2,270.2
54.4
10,336.3
12,660.9
Financial assets at fair value
through profit or loss
0.2
–
706.2
706.4
Derivative financial instruments
Derivative financial assets
–
1.9
58.8
60.7
2,270.4
56.3
11,101.3
13,428.0
Derivative financial instruments
Derivative financial liabilities
–
(764.3)
(27.3)
(791.6)
The following table presents the Group’s financial instruments that are measured at fair value at 30 June
2015:
Level 1
Level 2
Level 3
Total
HK$m
HK$m
HK$m
HK$m
Available-for-sale financial assets
3,115.7
60.7
3,732.8
6,909.2
Financial assets at fair value through
profit or loss
0.2
–
847.0
847.2
Derivative financial instruments
Derivative financial assets
–
11.1
58.8
69.9
3,115.9
71.8
4,638.6
7,826.3
Derivative financial instruments
Derivative financial liabilities
–
(817.3)
(30.1)
(847.4)
There were no significant transfer of financial assets between level 1 and level 2 fair value hierarchy
classifications.
