The Group mostly enters into fixed forward foreign exchange contracts in managing its foreign exchange risk resulting from Cash flows from current business activities. Transaction risk is calculated in each foreign currency and includes currency denominated assets and liabilities and certain off-balance sheet items such as highly probable future Cash flows for firm commitments and highly probable purchases and sales. The currency risks of the Group occur due to the fact that the Group operates and has production and sales in different countries worldwide. The Group has designated the major part of its forward exchange contracts as cash flow hedges and carries them at fair value.