Company: BBVXF
Filing Date: 2025-09-09
Form Type: 424B3
Source: 0001193125-25-198517
Chunk: 532

Company: BANCO BILBAO VIZCAYA ARGENTARIA, S.A.
Filing Date: 2025-09-09
Form: 424B3
Chunk 532
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 differences arising in the fair value of the derivative and the hedged item that are                                                                                                                                        
 attributable to the hedged risk are recognised directly in the consolidated income statement, with a balancing entry under the headings of the consolidated balance sheet in which the hedged item is included, or under the heading “Derivatives 
 – Hedge accounting”, as appropriate.                                                                                                                                                                                                              |

In fair value hedges of interest rate risk of a portfolio of financial instruments, gains or losses arising when the hedging instrument is measured are recognised directly in the consolidated income statement. Losses and gains arising from fair value changes in the hedged item that can be attributed to the hedged risk are recognised in the consolidated income statement with a balancing entry under the heading “Fair value changes of the hedged items in portfolio hedge of interest rate risk” on either the asset side or the liability side of the consolidated balance sheet, as appropriate. In this case, hedge effectiveness is assessed by comparing the net position of assets and liabilities in each time period against the hedged amount designated for each of them, immediately recognising the ineffective portion under the heading “Gains or (-) losses on financial assets and liabilities, net” of the consolidated income statement.

| – | In cash flow hedges, differences in the value of the effective portion of hedging instruments are recognised under                                                                                                                      
 the heading “Accumulated other comprehensive income – Hedging derivatives. Cash flow hedges reserve [effective portion]” of the consolidated statement of equity. These differences are recognised in the consolidated income statement 
 when the losses or gains on the hedged item are recognised through profit or loss, when the envisaged transactions are executed, or on the maturity date of the hedged item.                                                            |

A-362

| – | In hedges of net investments in foreign operations, measurement differences in the effective portion of hedging                                                                                                                         
 instruments are recognised temporarily in the consolidated statement of equity under “Accumulated other comprehensive income – Hedge of net investments in foreign operations [effective portion]”. These differences are recognised in 
 the consolidated income statement when the investment in foreign operations is disposed of or derecognised from the consolidated balance sheet.                                                                                         |

| – | Measurement differences in hedging instruments relating to the ineffective portion of cash flow hedges and net                                                          
 investments in foreign operations are recognised under the heading “Gains or (-) losses on financial assets and liabilities, net” of the consolidated income statement. |

If a derivative assigned as a hedging derivative does not meet the above requirements due