Registration document 2007 - Total.com
Registration document 2007 - Total.com
Registration document 2007 - Total.com
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Impact on net in<strong>com</strong>e<br />
The amount of the cost of net debt after hedging instruments is disclosed in the consolidated statement of in<strong>com</strong>e under “Cost of net<br />
debt”.<br />
The effective interest rate resulting from the cost of net debt approximates market conditions for the current debt. This effective rate may<br />
differ substantially from the interest rate of non-current loans as disclosed above, as the hedging instruments of interest rates are swaps<br />
that convert Group financing conditions to short-term market conditions (3-month average).<br />
The 2006 gain for hedging instruments on debenture loans amounts to 18 M€ after tax ((23) M€ expense in 2005 and (12) M€ expense in<br />
2004).<br />
B) Current borrowings, bank overdrafts and related financial instruments<br />
Current borrowings consist mainly of <strong>com</strong>mercial papers or treasury bills or draws on bank loans. These instruments bear interest at rates<br />
that are close to market rates.<br />
As of December 31, (in M€) 2006 2005<br />
Current financial debt and bank overdrafts 3,348 2,928<br />
Current portion of non-current financial debt 2,510 992<br />
Current borrowings and bank overdrafts 5,858 3,920<br />
Current portion of financial instruments for interest rate swaps liabilities - 6<br />
Other current financial instruments - liabilities 75 27<br />
Other current financial liabilities (note 27) 75 33<br />
Current deposits beyond 3 months (3,496) -<br />
Current portion of financial instruments for interest rate swaps - assets (341) (44)<br />
Other current financial instruments - assets (71) (290)<br />
Current financial assets (note 27) (3,908) (334)<br />
Current borrowings, bank overdrafts and related financial assets and liabilities, net 2,025 3,619<br />
Changes in the value of current financial instruments are, in accordance with the methods described in note 1M to the consolidated<br />
financial statements, recognized in the net in<strong>com</strong>e of the period under “Financial interest on debt”, except for instruments qualified as net<br />
investment hedge, which are recognized directly in shareholders’ equity, for an amount of (5) M€ as of December 31, 2006 ((146) M€ as of<br />
December 31, 2005).<br />
21) Other creditors and accrued liabilities<br />
Appendix 1 – Consolidated financial statements<br />
Notes to the consolidated financial statement<br />
As of December 31, (in M€) 2006 2005<br />
Advances from customers 1,430 1,416<br />
Accruals and deferred in<strong>com</strong>e 163 253<br />
Payable to states (including taxes and duties) 7,204 7,644<br />
Payroll 879 1,015<br />
Other 2,833 2,741<br />
<strong>Total</strong> 12,509 13,069<br />
9<br />
TOTAL – <strong>Registration</strong> Document 2006 213