NOTE 19 - FINANCIAL INSTRUMENTS

19.1 Financial assets and liabilities by categories


			At June 30, 2019								At December 31, 2018
(in millions of Euros)	Notes		At amortized cost		At Fair Value through Profit and loss		At Fair Value through OCI		Total		At amortized cost		At Fair Value through Profit and loss		At Fair Value through OCI		Total
Cash and cash equivalents		12		213		—		—		213		164		—		—		164
Trade receivables		13		—		—		521		521		—		—		481		481
Other financial assets				—		26		—		26		74		30		—		104

Total financial assets				213		26		521		760		238		30		481		749


			At June 30, 2019								At December 31, 2018
(in millions of Euros)	Notes		At amortized cost		At Fair Value through Profit and loss		At Fair Value through OCI		Total		At amortized cost		At Fair Value through Profit and loss		At Fair Value through OCI		Total
Trade payables and fixed assets payables		17		867		—		—		867		715		—		—		715
Borrowings		18		2,378		—		—		2,378		2,151		—		—		2,151
Other financial liabilities				—		58		11		69		—		79		10		89

Total financial liabilities				3,245		58		11		3,314		2,866		79		10		2,955

The table below details Other financial assets and Other financial liabilities positions:


	At June 30, 2019						At December 31, 2018
(in millions of Euros)	Non-current		Current		Total		Non-current		Current		Total
Derivatives		7		19		26		7		23		30
Aluminium and premium future contracts		2		4		6		2		7		9
Energy future contracts		—		—		—		—		—		—
Other future contracts		—		—		—		—		—		—
Currency commercial contracts		5		12		17		3		12		15
Currency net debt derivatives		—		3		3		2		4		6
Loans^(A)		—		—		—		67		2		69
Margin call		—		—		—		—		5		5

Other financial assets		7		19		26		74		30		104

Derivatives		25		44		69		29		60		89
Aluminium and premium future contracts		5		22		27		6		38		44
Energy future contracts		—		—		—		—		—		—
Other future contracts		3		3		6		5		3		8
Currency commercial contracts		10		14		24		7		12		19
Net investment hedge		—		—		—		—		4		4
Currency net debt derivatives		7		5		12		11		3		14

Other financial liabilities		25		44		69		29		60		89

(A) Corresponds to a loan facility to Constellium-UACJ ABS LLC at December 31, 2018

19.2 Fair values

All derivatives are presented at fair value in the Unaudited Interim Consolidated Statement of Financial Position.

The carrying value of the Group’s borrowings at maturity is the redemption value.

The fair value of Constellium SE Senior Notes issued in May 2014, February 2017 and November 2017 account for 102%, 104% and 103% respectively of the nominal value and amount to €664 million, €596 million and €866 million, respectively, at June 30, 2019. The fair value was classified as a Level 1 measurement under the fair value hierarchy provided by IFRS 13 – Fair Value Measurement.

The fair values of the other financial assets and liabilities approximate their carrying values, as a result of their liquidity or short maturity.

19.3 Valuation hierarchy

The following table provides an analysis of derivatives measured at fair value, grouped into levels based on the degree to which the fair value is observable:

•

Level 1 valuation is based on quoted prices (unadjusted) in active markets for identical financial instruments. It includes aluminium, copper and zinc futures that are traded on the LME.

•

Level 2 valuation is based on inputs other than quoted prices included within Level 1 that are observable for the assets or liabilities, either directly (i.e. prices) or indirectly (i.e. derived from prices). It includes foreign exchange derivatives.

•

Level 3 valuation is based on inputs for the asset or liability that are not based on observable market data (unobservable inputs). Trade receivables are classified as a Level 3 measurement under the fair value hierarchy.


	At June 30, 2019								At December 31, 2018
(in millions of Euros)	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
Other financial assets - derivatives		5		21		—		26		9		21		—		30
Other financial liabilities - derivatives		32		37		—		69		50		39		—		89

There was no material transfer of derivatives into or out of Level 1, Level 2 or Level 3 during the six months ended June 30, 2019 and the year ended December 31, 2018.