ENVIRONMENTAL LIABILITIES

12 Months Ended

Dec. 31, 2019

ENVIRONMENTAL LIABILITIES

ENVIRONMENTAL LIABILITIES

NOTE 22 — ENVIRONMENTAL LIABILITIES

The steel industry uses and generates substances that may damage the environment. The Company and its subsidiaries believe they are compliant with all the applicable environmental regulations in the countries where they operate. The Company’s management performs frequent analysis with the purpose of identifying potentially impacted areas and a liability is recorded based on the best estimate of costs for investigation, treatment and cleaning of potentially affected sites. The Company uses estimates and assumptions to determine the amounts involved, which may change in the future, as result of the final investigations and the determination of the actual environmental impact. The balances of the provisions are as follows:

	2019	2018
Provision for environmental liabilities	112,308	132,647
Current	60,913	60,419
Non-current	51,395	72,228