F urther information re gar din g carr yin g and fair v alues is pro vided in the t able Financial ins truments b y cate g or y – carr yin g and fair v alues in note 6 as w ell as in the defnitions of the cate g ories belo w . Financial assets or fnancial liabilities at fair v alue throug h proft or loss Financial assets at fair v alue throug h proft or loss ha v e t w o sub-cate g ories: fnancial assets held for tr adin g, and those designated at fair v alue throug h proft or loss at inception. A fnancial asset is classifed in this cate g or y if acquired principally for the purpose of sellin g in the short -term or if so designated b y mana g ement . F air v alue deriv ativ e assets are also cate g o - riz ed as held for tr adin g unless the y qualif y for hed g e accountin g. Assets in this cate g or y are classifed as current assets if the y are either held for tr adin g or are e xpected to be realiz ed within 12 months of the balance sheet date . f inancial liabilities at fair v alue are tr adin g securities with ne gativ e fair v alue; normally deriv ativ e liabilities unless the y qualif y for hed g e accountin g. Loans and receiv ables Loans and receiv ables are non-deriv ativ e fnancial assets with fx ed or determinable pa yments that are not quoted in an activ e mark et . The y arise when the Group pro vides mone y , g oods or ser vices directly to a debtor with no intention of tr adin g the receiv able . The y are included in current assets, e x cept for loans and receiv ables with maturities later than 12 months after the balance sheet date . Held-to-maturit y in v es tments Held-to-maturit y in v es tments are non-deriv ativ e fnancial assets with fx ed or determinable pa yments and fx ed maturities that the Group ’ s mana g e - ment has the positiv e intention and abilit y to hold to maturit y . A v ailable-for -sale fnancial assets A v ailable-for -sale fnancial assets are non-deriv ativ es that are either desig - nated in this cate g or y or not classifed in an y of the other cate g ories. The y are included in non-current assets unless mana g ement intends to dispose of the in v es tment within 12 months of the balance sheet date . Financial liabilities designated as hed g ed item in a fair v alue hed g e This cate g or y includes fnancial liabilities designated as hed g ed item in a fair v alue hed g e . The hed g in g ins truments are included in the cate g or y deriv a - tiv es designated for hed g in g. f inancial liabilities designated as hed g ed item in a fair v alue hed g e are included in non-current liabilities e x cept for liabili - ties with maturities later than 12 months from the balance sheet date . Other fnancial liabilities Other fnancial liabilities are an y fnancial liabilities that are not included in either of the cate g ories fnancial liabilities designated as hed g ed item in a fair v alue hed g e or fnancial liabilities at fair v alue throug h proft or loss. The y are included in current liabilities e x cept for liabilities with maturities later than 12 months from the balance sheet date . Deriv ativ es designated for hed g in g The Group normally only enter s into deriv ativ e contr acts when the y either qualif y for hed g e accountin g or when there is a natur al ofset in the account - in g. This cate g or y includes the fr s t t ype of deriv ativ es. Deriv ativ es where the hed g ed item or the item for which a natur al ofset in the accountin g is soug ht has a maturit y within 12 months after the balance sheet date are either included in current assets on the line other interes t -bearin g current assets, or in current liabilities on the line other short -term loan liabilities. Deriv ativ es where the hed g ed item or the item for which a natur al ofset in the accountin g is soug ht has a maturit y later than 12 months after the balance sheet date are either included in non-current assets on the line other interes t -bearin g fnancial non-current assets, or in lon g -term liabilities on the line other lon g -term loan liabilities. R ecognition and subsequent measurement P urchases and sales of fnancial ins truments are recogniz ed on the tr ade date – the date on which the Group commits to purchase or sell the ins trument . Financial assets and liabilities are initially recogniz ed at fair v alue plus tr ansaction cos ts for all fnancial assets or fnancial liabilities not carried at fair v alue throug h proft or loss. Financial assets or liabilities at fair v alue throug h proft or loss are recogniz ed at fair v alue . An y tr ansaction cos ts are char g ed to the s t atement of income . Financial assets are derecogniz ed when the rig hts to receiv e cash fo ws from the ins truments ha v e e xpired or ha v e been tr ansferred and the Group has tr ansferred subs t antially all risks and rew ar ds of o wner ship . Financial liabilities are remo v ed when the obligation is dischar g ed, cancelled or has e xpired. Financial assets or fnancial liabilities at fair v alue throug h proft or loss and a v ailable-for -sale fnancial assets are subsequently carried at fair v alue . Loans and receiv ables and held-to-maturit y in v es tments are carried at amortiz ed cos t usin g the efectiv e interes t method. R ealiz ed and unrealiz ed gains and losses arisin g from chan g es in the fair v alue of the fnancial assets or liabilities at fair v alue throug h proft or loss cate g or y are included in fnan - cial income or fnancial e xpenses in the s t atement of income in the period in which the y arise . Financial liabilities with the e x ception of fnancial liabilities at fair v alue throug h proft or loss and fnancial liabilities designated for hed g in g are subsequently carried at amortiz ed cos t . f inancial liabilities designated as the hed g ed item in a fair v alue hed g e are carried at amortiz ed cos t but are adjus ted for chan g es in the fair v alue due to the hed g ed risk. Chan g es in the fair v alue are included in fnancial income or fnancial e xpenses in the s t atement of income in the period in which the y arise . The correspondin g gain or loss from re-measurin g the hed g in g ins trument at fair v alue is also included in fnancial income or fnancial e xpenses in the s t atement of income in the same period as that in which the gain or loss on the hed g ed item arises. Cash fo w hed g in g ins truments are carried at fair v alue in the balance sheet and the gains or losses from re-measurin g the hed g in g ins truments at fair v alue are recogniz ed in the hed g in g reser v e in other comprehensiv e income with a re v er sal from the hed g in g reser v e to the s t atement of income in the period of which the cash fo w of the hed g ed item impacts the s t ate - ment of income . Ex chan g e r ate gains and losses on deriv ativ es that are part of a net in v es tment hed g e relationship are recogniz ed in other comprehen - siv e income . An y inefectiv eness is recogniz ed in the s t atement of income . Actual cash fo ws (accruals) that arise from interes t -r ate deriv ativ e contr acts are recogniz ed as interes t income and / or interes t e xpense in the period to which the y relate . Chan g es in fair v alue (after accruals) for both the hed g ed item and the hed g in g ins trument (deriv ativ e) are recogniz ed sepa - r ately as re v aluation of fnancial ins truments. The line re v aluation of fnancial ins truments is included within fnancial income and / or fnancial e xpense . The fair v alues of quoted fnancial ins truments are based on current bid prices. If the mark et for a fnancial ins trument is not activ e (and for unlis ted securities), the Group es t ablishes fair v alue b y usin g v aluation techniques. These include the use of recent arm ’ s len g th tr ansactions, reference to other ins truments that are subs t antially the same , discounted cash fo w analysis, and option pricin g models refned to refect the issuer ’ s specifc circum - s t ances. Impairment of fnancial assets The Group assesses at each balance sheet date whether there is objectiv e e vidence that a fnancial asset or a group of fnancial assets is impaired. 80 Annual R eport Notes and comments to the consolidated fnancial s t atements Securit as Annual R eport 2012