Audited by PwC

Note 25 - Foreign currencies in the balance sheet

Hedging of assets and liabilities in foreign currency (transaction risk)
 
The table below shows the Group's assets and liabilities in foreign currencies at December 31, 2008, calculated as the total of each Group company's assets and liabilities in a currency other than its own. The table also shows the derivatives used to hedge these assets and liabilities.
DKK million     Currency exposure Derivatives Net currency exposure Exchange rate at Dec. 31, 2008  (for 100 units)  
AUD 131  (111) 20  364.60
CNY 51    - 51  77.32
CHF (668) 337  (331) 497.93
EUR 405    - 405  745.06
JPY 89  (56) 33  5.85
USD 180  (82) 98  528.49
Other        124  124      
188  212  400 
Transaction risk is the possibility of gains/losses on transactions that are open on the balance sheet date as a result of subsequent exchange rate changes. Gains/losses are recognized in the income statement.
Hedging of investments in foreign subsidiaries (translation risk)
DKK million     Net investment in foreign subsidiaries Derivatives Net assets with translation risk Exchange rate at Dec. 31, 2008  (for 100 units)  
AUD 53    -  53  364.60
BRL 105    -  105  227.11
CAD 102    -  102  429.90
CHF 690    -  690  497.93
CNY 908    -  908  77.32
EUR 66    -  66  745.06
GBP 122    -  122  764.79
INR 130    -  130  11.01
SEK 199    -  199  68.04
USD 434  (211) 223  528.49
Other     58    -  58    -   
2,867  (211) 2,656 
Translation risk is the possibility of gains/losses arising from translation of net assets in subsidiaries as a result of subsequent exchange rate changes. Gains/losses are recognized directly in Currency translation under Shareholders' equity.
See also section on Risk factors.