kAThMANdu  annual report 2012 67 the Group enters into forward exchange contracts to manage  the risks associated with the purchase of foreign currency  denominated products. the table below analyses the Group’s derivative financial  instruments that will be settled on a gross basis into relevant  maturity groupings based on the remaining period at the  balance date to the contractual maturity date. the amounts  disclosed in the table are the contractual undiscounted  cash flows. they are expected to occur and affect the profit  or loss at various dates between balance date and the  following five years. the following methods and assumptions were used to  estimate the fair values for each class of financial instrument. the carrying value of these items is equivalent to their fair value. the fair value of the Group’s term liabilities is estimated based  on current market rates available to the Group for debt of  similar maturity. the fair value of these instruments is estimated based on the  quoted market price of these instruments. the fair value of these instruments is estimated on the basis  that management do not expect settlement at face value to  arise. the carrying value and fair value of these instruments is  nil. details of guarantees are included in note 23. all guarantees  are repayable on demand. Fair values Trade debtors, trade creditors and bank balances Term liabilities Guarantees and overdraft facilities Foreign exchange contracts and interest rate swaps Less than  1 year nZ$’000 Between  1 and 2 years nZ$’000 Between  2 and 5 years nZ$’000 At 31 July 2012 Forward foreign exchange contracts - Inflow 96,243 - - - Outflow (99,138) - - Net Inflow / (Outflow) (2,895) - - Net settled derivatives – interest rate swaps Net Inflow / (Outflow) (606) (300) (83) At 31 July 2011 Forward foreign exchange contracts - Inflow 73,719 - - - Outflow (84,185) - - Net Inflow / (Outflow) (10,466) - - Net settled derivatives – interest rate swaps Net Inflow / (Outflow) (254) (84) -