88 At 30 June 2013, the notional principal amounts and period of expiry of the swaps for each counterparty are as follows: FAIRFAx MEDIA LIMITED AND CONTROLLED ENTITIES FOR THE PERIOD ENDED 30 JUNE 2013 16. DERIVATIVE FINANCIAL INsTRUMENTs (CONTINUED) NOTEs TO THE FINANCIAL sTATEMENTs  The contracts require settlement on interest receivable semi-annually and interest payable each 90 days. These dates coincide  with the interest payable dates on the underlying Senior Notes. At 30 June 2013, the Group held an interest rate swap designated as hedging the future contracted interest payments on AUD  denominated bank borrowings. The interest rate swap is being used to hedge future movements in interest rates. At 30 June 2013, the notional principal amount and period of expiry of the swap is as follows: The contract requires settlement on interest receivable and interest payable each 90 days. These dates coincide with the  interest payable dates on the underlying AUD denominated bank borrowings. At 30 June 2013, the above hedges were assessed to be highly effective with a combined unrealised gain in fair value of $1.7  million (2012: $8.3 million loss) recognised in equity for the period. During the period an unrealised loss of $0.4 million (2012: $0.1  million unrealised gain) was recognised in the income statement attributable to the ineffective portion of the cash flow hedges. During the year there was no gain or losses transferred from equity to the income statement (2012: $1.2 million gain). During the year, forward exchange contracts were used by the Group to hedge future foreign capital and non-capital purchase  commitments across the Australian and New Zealand business. The contracts are timed to mature as payments are scheduled  to be made to suppliers. At 30 June 2013, the Group held forward exchange contracts of $1.0 million (2012: $0.1 million).  The foreign currency contracts are considered to be fully effective hedges as they are matched against the highly probable  foreign capital and non-capital purchases with any gain or loss on the contracts taken directly to equity. When the contract  is delivered, the Group will adjust the initial measurement of any component recognised on the balance sheet by the related  amount deferred in equity. During the current and prior financial period there was no material ineffectiveness recognised in the income statement  attributable to cash flow hedges of foreign exchange contracts. At 30 June 2013, the Group held cross currency swap agreements designated as hedging changes in the underlying value  of USD denominated senior notes (refer to Note 19). The terms of certain cross currency swap agreements exchange USD  obligations into AUD obligations and other agreements exchange USD obligations into NZD obligations. The latter are also  designated to hedge value changes in the Group’s New Zealand controlled entities, as discussed in Note (iv) below. At 30 June 2013, the cross currency swap agreements had a combined derivative liability position of $43.0 million (2012:  $59.2 million). The cross currency swaps are designated based on matched terms to the debt and also have the same maturity profile as the  USD denominated senior notes. The terms of these cross currency swaps are as follows: (iii) FAiR VAlue HedGeS (ii) CASH FloW HedGeS – FoReiGn exCHAnGe ConTRACTS INTEREST RATE MATURITY DATE 2013 2012 Pay fixed, receive floating – AUD$59.5m 10 July 2017 7.52% 7.52% Pay fixed, receive floating – AUD$59.5m 10 July 2017 7.46% 7.46% INTEREST RATE MATURITY DATE 2013 2012 Pay fixed, receive floating – AUD$125m 12 October 2015 6.52% 6.52% MATURITY DATE Pay floating AUD receive fixed USD – USD$125m 10 July 2014 Pay floating AUD receive floating USD – USD$25m 10 July 2014 Pay floating NZD receive fixed USD – USD$50m 15 January 2014 Pay floating NZD receive fixed USD – USD$90m 15 January 2016 Pay floating NZD receive fixed USD – USD$40m 15 January 2019