Reply To: IFRS9 and the release of the hedging reserve to the P&L

Thank you for your expert opinion feedback regarding my questions.

I am now clear on both questions.

Regarding A2, my view is that this essentially ties back to when the P&L is affected by the Hedged item. How/when this occurs is dependent on how the customer recognises the hedged item in the P&L. Based on my conversations with the customer they do not have a clear handle/view on this. This is something that I do not want to provide specialist accounting advice on (not part my current scope). I am going to advise them to discuss/clarify and confirm the accounting treatment of the hedge reserve/OCI release under IFRS9 with their external accountants (based on my view and their own investigations) and obtain expert advice.

Kind regards

Chris