The ‘Other interest income from other investments’ in 2016 includes an amount of €6 million that relates to the interest component of the settlement of a historical claim.

Accounting policies

Finance income includes the interest income from monies invested (including from available-for-sale financial assets), leasing income, profits from the sale of available-for-sale financial assets, and gains from the hedging instruments that are recognised in the income statement. Interest income is recognised in the income statement as it accrues, using the effective interest method. Dividend income is recognised in the income statement when the right to the dividend payment is established.

Finance expenses include the interest expenses on borrowed monies, lease contracts, accrued interest on provisions and losses on hedging instruments that are recognised in the income statement. All financing costs that are not directly attributable to the acquisition, construction or production of a qualifying asset are recognised in the income statement using the effective interest method. No financing costs were capitalised in 2016 or 2017.

Financial benefits released from cross-border lease agreements are deducted from the interest expense. Exchange-rate gains and losses are included in the finance income and expense respectively.