Annual Report - EDP

notes to the EDP consolidated - Energias de Portugal, and company S.A. financial statementsNotes to for the the Consolidated years and ended Company 31 december Financial Statements 2012 and 2011for the years ended 31 December 2012 and 2011Assets, liabilities and transactions with related companies, for the Group are analysed as follows:Assets and liabilitiesTransactionsDecember 2012Thousands of Euros Assets Liabilities Net ValueAssociates 268,041 539 267,502Jointly controlled entities 39,393 12,014 27,379307,434 12,553 294,881December 2011Thousands of Euros Assets Liabilities Net ValueAssociates 236,714 3,834 232,880Jointly controlled entities 25,212 12,249 12,963261,926 16,083 245,843December 2012Operating Financial Operating FinancialThousands of Euros Income Income Expenses ExpensesAssociates 15,448 11,378 -3,334 -3Jointly controlled entities 74,910 636 -30,360 -51490,358 12,014 -33,694 -517December 2011Operating Financial Operating FinancialThousands of Euros Income Income Expenses ExpensesAssociates 6,475 7,263 -3,087 -75Jointly controlled entities 64,199 6,229 -24,009 -45970,674 13,492 -27,096 -53447. FAIR VALUE OF FINANCIAL ASSETS AND LIABILITIESFair value of financial instruments is based, whenever available, on listed market prices. Otherwise, fair value is determined through internal models, which are basedon cash flow discounting techniques and option valuation models or through quotations supplied by third parties. These models are developed considering themarket variables which affect the financial instruments, namely yield curves, exchange rates and volatility factors.Market data is obtained from stock exchange and suppliers of financial data (Bloomberg and Reuters).As at 31 December 2012 and 2011, the following table presents the interest rate curves of the major currencies to which the Group is exposed used for cash flowdiscount:31 December 201231 December 2011CurrencyCurrencyEUR USD BRL EUR USD BRL3 months 0.19% 0.31% 7.06% 1.36% 0.58% 10.41%6 months 0.32% 0.51% 7.09% 1.62% 0.81% 10.15%1 year 0.54% 0.84% 7.14% 1.95% 1.13% 10.04%2 years 0.38% 0.39% 7.71% 1.31% 0.73% 10.48%3 years 0.44% 0.48% 8.19% 1.36% 0.82% 10.75%4 years 0.60% 0.64% 8.44% 1.54% 1.01% 10.92%5 years 0.77% 0.83% 8.64% 1.72% 1.23% 10.98%6 years 0.95% 1.06% 8.79% 1.91% 1.45% 11.05%7 years 1.12% 1.27% 9.00% 2.07% 1.64% 11.05%8 years 1.29% 1.47% 9.16% 2.19% 1.80% 11.07%9 years 1.43% 1.65% 9.22% 2.29% 1.93% 11.17%10 years 1.57% 1.81% 9.33% 2.38% 2.03% 11.22%EDP - Annual Report 2012245