Dear All,

We run a SAP system with a company in EUR as Local currency and USD as reporting currency. When we book a 100 EUR invoice automatically SAP books it based on the system rate as f.e.150 USD in the reporting currency. Sofar everthing is in order. When we pay the 100 EUR from a EUR bank account 14 days later USD rate is 1,4.  In Local currency we have no realized exchange differences nor revaluation differences. In the reporting currency however we are facing a difference of 10 USD. I tend to treat this difference as a revaluation difference, due to the fact that if we would have run a revaluation just before we did the payment the difference would have been posted as a revaluation difference. Do you agree to this methodology? Or based on what IAS or other IFRS rule it should be a realized exchange difference?