The FTSE 100 company’s half-year results are set to show a huge charge against the value of the company’s $29bn hedge book, which Rolls uses to protect itself against currency fluctuations in the aerospace industry, where deals are done in US dollars.Accounting rules mean Rolls has to value its hedge book on the last day of the accounting period for its interim results. This was June 30, just days after the Brexit vote which caused sterling to crash to $1.33, compared with $1.48 it was at when Rolls valued its hedge book at the last results
Post a Comment