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Unformatted text preview: mmodity prices, but may utilize them in the future. 18 Nonderivative financial instruments
Fair value - the Company considers that the carrying amount of its financial instruments
generally approximates fair market value. Fair value have been determined as follows:
Cash - the carrying amount of cash is a reasonable estimate of its fair value.
Cash equivalents and short-term investments and bank deposits - cash equivalents are
represented, principally, by short-term investments. Their fair value, and that of other bank
deposits not meeting the definition of cash equivalents, were estimated using the rates currently
offered for deposits of similar remaining maturities.
35 Aracruz Celulose S.A.
Notes to Consolidated Financial Statements
Expressed in thousands of United States dollars
(unless otherwise stated) Debt securities - the fair value of the Company's debt securities was estimated by obtaining
quotes from major financial institutions and brokers.
Short-term debt and long-term debt - interest rates that are currently available to the Company
for issuance of debt with similar terms and remaining maturities are used to estimate fair value.
The Company´s financial structure does not require...
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- Spring '08