Financial instruments and fair value (Tables)

6 Months Ended

Jul. 28, 2012

Fair Value and Presentation of Derivative Instruments in Condensed Consolidated Balance Sheets

The following table summarizes the fair value and presentation of derivative instruments in the condensed consolidated balance sheets:


	Derivative assets
			Fair value
	Balance sheet location		July 28, 2012 $million			January 28, 2012 $million			July 30, 2011 $million
Derivatives designated as hedging instruments:
Foreign currency contracts		Other current assets		1.0			1.1			—
Foreign currency contracts		Other assets		0.2			0.1			—
Commodity contracts		Other current assets		3.1			16.1			20.8
Commodity contracts		Other assets		0.1			—			1.9

Total derivative assets				4.4			17.3			22.7


	Derivative liabilities
			Fair value
	Balance sheet location		July 28, 2012 $million			January 28, 2012 $million			July 30, 2011 $million
Derivatives designated as hedging instruments:
Foreign currency contracts		Other current liabilities		(0.2	)		(0.2	)		(1.4	)
Foreign currency contracts		Other liabilities		—			—			(0.1	)
Commodity contracts		Other current liabilities		(6.3	)		(1.0	)		—
Commodity contracts		Other liabilities		—			—			—

				(6.5	)		(1.2	)		(1.5	)

Derivatives not designated as hedging instruments:
Foreign currency contracts		Other current liabilities		(1.3	)		—			(0.3	)

				(1.3	)		—			(0.3	)

Total derivative liabilities				(7.8	)		(1.2	)		(1.8	)

Fair Value of Financial Instruments Held Or Issued

The methods Signet uses to determine fair value on an instrument-specific basis are detailed below:


	July 28, 2012 $million						January 28, 2012 $million						July 30, 2011 $million
	Carrying Value			Fair Value (Level 2)			Carrying Value			Fair Value (Level 2)			Carrying Value			Fair Value (Level 2)
Assets:
Forward foreign currency contracts and swaps		1.2			1.2			1.2			1.2			0.1			0.1
Forward commodity contracts		3.2			3.2			16.1			16.1			22.7			22.7
Liabilities:
Forward foreign currency contracts and swaps		(1.5	)		(1.5	)		(0.2	)		(0.2	)		(1.8	)		(1.8	)
Forward commodity contracts		(6.3	)		(6.3	)		(1.0	)		(1.0	)		—			—

Cash Flow Hedging

Effect of Derivative Instruments on Condensed Consolidated Income Statements

The following tables summarize the effect of derivative instruments on the condensed consolidated income statements:

Amount of gain/(loss)
recognized in OCI on
derivatives
(Effective portion)

Location of
gain/(loss)
reclassified from
accumulated OCI
into income
(Effective portion)

Amount of gain/(loss) reclassified
from accumulated OCI into
income
(Effective portion)

13 weeks ended

July 28,
2012
$million

July 30,
2011
$million

July 28,
2012
$million

July 30,
2011
$million

Derivatives in cash flow hedging relationships:

Foreign currency contracts

0.9

1.1

Cost of sales

0.1

—

Commodity contracts

(2.1

)

14.3

Cost of sales

5.8

3.4

Total

(1.2

)

15.4

5.9

3.4

Amount of gain/(loss)
recognized in OCI on
derivatives
(Effective portion)

Location of
gain/(loss)
reclassified from
accumulated OCI
into income
(Effective portion)

Amount of gain/(loss) reclassified
from accumulated OCI into
income
(Effective portion)

26 weeks ended

July 28,
2012
$million

July 30,
2011
$million

July 28,
2012
$million

July 30,
2011
$million

Derivatives in cash flow hedging relationships:

Foreign currency contracts

0.1

(0.7

)

Cost of sales

0.2

(0.1

)

Commodity contracts

(14.2

)

33.1

Cost of sales

14.3

6.4

Total

(14.1

)

32.4

14.5

6.3

Not Designated as Hedging Instrument

Effect of Derivative Instruments on Condensed Consolidated Income Statements

The ineffective portion of hedging instruments taken into other operating income, net in the 13 and 26 weeks ended July 28, 2012 was $0.0 million (13 and 26 weeks ended July 30, 2011: $0.4 million gain).

Amount of gain/(loss)
recognized in income
on derivatives

Location of gain/(loss)
recognized in income
on derivatives

Amount of gain/(loss)
recognized in income
on derivatives

13 weeks ended

26 weeks ended

July 28,
2012
$million

July 30,
2011
$million

July 28,
2012
$million

July 30,
2011
$million

Derivatives not designated as hedging instruments:

Foreign currency contracts

1.1

0.3

Other operating income, net

1.1

0.7

Total

1.1

0.3

1.1

0.7

- Definition

Tabular disclosure of the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments, assets, and liabilities. Such certain disclosures about the financial instruments, assets, and liabilities include: (1) the fair value of the required items together with their carrying amounts (as appropriate) and (2) the methodology and assumptions used in developing such estimates of fair value.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Statement of Financial Accounting Standard (FAS)

-Number 107

-Paragraph 14

-Subparagraph a

-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 2: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Statement of Financial Accounting Standard (FAS)

-Number 159

-Paragraph 18

-Subparagraph c(2), d, e, f

-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 3: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 825

-SubTopic 10

-Section 50

-Paragraph 10

-Subparagraph (a)

-URI http://asc.fasb.org/extlink&oid=7491637&loc=d3e13433-108611

Reference 4: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Statement of Financial Accounting Standard (FAS)

-Number 107

-Paragraph 15

-Subparagraph b-d

-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 5: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 825

-SubTopic 10

-Section 50

-Paragraph 11

-URI http://asc.fasb.org/extlink&oid=7491637&loc=d3e13467-108611

Reference 6: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Statement of Financial Accounting Standard (FAS)

-Number 159

-Paragraph 19

-Subparagraph a, b, c(1), d(1)

-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 7: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 820

-SubTopic 10

-Section 50

-Paragraph 2

-Subparagraph (a)

-URI http://asc.fasb.org/extlink&oid=7578670&loc=d3e19207-110258

Reference 8: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 825

-SubTopic 10

-Section 45

-Paragraph 2

-URI http://asc.fasb.org/extlink&oid=6447952&loc=d3e13220-108610

Reference 9: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Statement of Financial Accounting Standard (FAS)

-Number 157

-Paragraph 32

-Subparagraph a, c(1), c(2), c(3), d

-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 10: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Statement of Financial Accounting Standard (FAS)

-Number 107

-Paragraph 10

-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 11: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 825

-SubTopic 10

-Section 50

-Paragraph 12

-URI http://asc.fasb.org/extlink&oid=7491637&loc=d3e13476-108611

Reference 12: http://www.xbrl.org/2003/role/presentationRef

-Publisher FASB

-Name Accounting Standards Codification

-Topic 825

-SubTopic 10

-Section 50

-Paragraph 30

-Subparagraph (a)

-URI http://asc.fasb.org/extlink&oid=6957238&loc=d3e14172-108612

+ Details

- Definition

Tabular disclosure of the location and amount of gains and losses reported in the statement of financial performance, or when applicable, the statement of financial position. For example, (a) gains and losses recognized in the income statement on derivative instruments designated and qualifying as hedging instruments in fair value hedges and related hedged items designated and qualifying in fair value hedges and (b) gains and losses initially recognized in other comprehensive income on derivative instruments designated and qualifying as cash flow hedges.

+ References+ Details

- Definition

Tabular disclosure of the location and fair value amounts of derivative instruments (and nonderivative instruments that are designated and qualify as hedging instruments) reported in the statement of financial position.

+ References+ Details