19 | derivative financial instruments
The group has concluded three interest rate derivative contracts to mitigate the interest rate risk. Hedge accounting in accordance with IAS 39 is applied to these interest rate derivative contracts. The interest rate derivatives are viewed to be effective. The derivatives have been agreed with the banks that issued the syndicated credit facility.
The three interest rate derivatives came into effect on 31 December 2013 for a period of three years for a total nominal value of € 42 million. The variable interest rate based on the 3-month EURIBOR is hedged at a fixed rate of 0.63% per year. At the end of 2015 the derivatives had a value of € -340 (2014: € -475). The change in value of € 102 after income tax (2014: € -322) is recognised in comprehensive income and the impact (after tax) on equity was € -254 (2014: € -356). The counterparties did not demand or provide any guarantees for the derivatives.
The balance sheet item also contains the valuation of an option of € -227 (2014: € -108) which the group has on 20% of the shares in BC Beheer B.V. The change is recognised as net finance costs in the income statement.