STATEMENT OF CASH FLOWS

12 Months Ended

Dec. 31, 2018

Statement Of Cash Flows

STATEMENT OF CASH FLOWS

NOTE 35 - STATEMENT OF CASH FLOWS

(a)       The Company has done significant non-cash transactions mainly with financial leases, which are detailed in Note 17 letter (d), additional information in numeral (iv) Financial leases.

(b)       Other inflows (outflows) of cash:

	For theyear ended
	December 31,
	2018			2017			2016
	ThUS$			ThUS$			ThUS$
Fuel hedge		77,234			19,862			(50,029	)
Hedging margin guarantees		14,755			(4,201	)		1,184
Guarantees		1,573			59,988			(51,559	)
Tax paid on bank transaction		318			(6,635	)		(10,668	)
Change reservation systems		-			(16,120	)		-
SEC agreement		-			-			(4,719	)
DOJ fine		-			-			(12,750	)
Currency hedge		(1,282	)		(17,798	)		(39,534	)
Bank commissions, taxes paid and other		(8,179	)		(7,738	)		(769	)
Fuel derivatives premiums		(13,947	)		(2,832	)		(6,840	)
Court deposits		(30,860	)		(33,457	)		(33,635	)
Others		-			-			50
Total Other inflows (outflows) Operation flow		39,612			(8,931	)		(209,269	)
Others deposits in guarantees		-			3,754			-
Recovery loans convertible into shares		-			-			8,896
Tax paid on bank transaction		(2,476	)		(2,594	)		(3,716	)
Others		-			(10,383	)		(4,337	)
Total Other inflows (outflows) Investment flow		(2,476	)		(9,223	)		843
Loan guarantee		-			80,615			(74,186	)
Aircraft Financing advances		55,728			(26,214	)		(125,149	)
Settlement of derivative contracts		(11,675	)		(40,695	)		(29,828	)
Total Other inflows (outflows) Financing flow		44,053			13,706			(229,163	)

Dividends:

	For the year ended
	December 31,
	2018			2017			2016
	ThUS$			ThUS$			ThUS$
Latam Airlines Group S.A.		(46,591	)		(20,766	)		-
Multiplus S.A. (*)		(26,029	)		(45,876	)		(40,823	)
Lan Perú S.A. (*)		-			-			(400	)
Total dividends paid		(72,620	)		(66,642	)		(41,223	)

(*) Dividends paid to minority shareholders

d) Reconciliation of liabilities arising from financing activities:

	As of		Cash flows								Non-Flow Movements					As of
Obligations with	December 31,		Obtainment		Payment						Interest accrued					December 31,
financial institutions	2017		Capital		Capital			Interest			and others		Reclassifications			2018
	ThUS$		ThUS$		ThUS$			ThUS$			ThUS$		ThUS$			ThUS$
Loans to exporters		314,619		293,001		(202,000	)		(10,467	)		5,568		-			400,721
Bank loans		321,633		74,663		(167,548	)		(13,961	)		7,954		-			222,741
Guaranteed obligations		4,036,843		-		(315,698	)		(122,639	)		99,320		(1,163,805	)		2,534,021
Other guaranteed obligations		242,175		704,398		(274,339	)		(16,873	)		18,091		-			673,452
Obligation with the public		1,584,066		-		1,561			(107,629	)		75,081		-			1,553,079
Financial leases		1,109,504		-		(691,390	)		(69,808	)		112,743		1,163,805			1,624,854
Other loans		282,800		55,728		(88,935	)		(15,978	)		19,243		-			252,858
Total Obligations with financial institutions		7,891,640		1,127,790		(1,738,349	)		(357,355	)		338,000		-			7,261,726

(e) Advances of aircraft

Below are the cash flows associated with aircraft purchases, which are included in the statement of consolidated cash flow, in the item Purchases of properties, plants and equipment:

	For the year ended
	December 31,
	2018			2017
	ThUS$			ThUS$
Increases (payments)		(212,163	)		(205,143	)
Recoveries		157,508			103,065
Total cash flows		(54,655	)		(102,078	)

f) The net effect by the hyperinflation application in the consolidated statement of cash flow for the exercise ended December 31, 2018 corresponds to:

	ThUS$
Net cash flows from (used in) operating activities		6,088
Net cash flows from (used in) investment activities		(17,611	)
Net cash flows from (used in) financing activities		3,914
Effects of variation in the exchange rate on cash and cash equivalents		7,609
Net increase (decrease) in cash and cash equivalents		-