Gains (losses) from changes in fair value of financial assets

37. Gains (losses) from changes in fair value
of financial assets

The gains (losses) from changes in fair value of financial assets refer to:

(in thousands of Euros)

2007

2006

Measurement of financial assets at fair value through income statement

1,541

9,785

Measurement of currency derivatives at fair value

(31,291)

(35,201)

Measurement of other derivativesat at fair value

9,571

(30,540)

(20,179)

(55,956)

The measurement of financial assets at fair value through income statement refers for Euros 2,989 thousand to the year-end negative change in the fair value of securities classified in the financial statements as “securities held for trading” (Note 17) and for Euros 4,530 thousand to the positive change in the fair value of other financial assets designated at fair value through profit or loss (Cloe Fondo Uffici – Closed-end unlisted reserved real estate investment fund) classified in the financial statements in “Non-current other financial assets” (Note 11).

The measurement of currency derivatives at fair value refers to forward currency purchases and sales. For open items at the end of the year, the fair value is determined by applying the forward exchange rate at the balance sheet date.

The measurement of other derivatives at fair value, positive for Euros 9,571 thousand, almost entirely includes the measurement at fair value of derivatives connected with interest rate risk. The loss last year referred to the measurement at fair value of options on Telecom Italia S.p.A. shares / convertible bonds, exercised in March 2006.