Other Income and Expenses, Net

12 Months Ended

Dec. 31, 2020

28	OTHER INCOME AND EXPENSES, NET

For the years ended December 31, these items include the following:


	2018			2019			2020
Other income:
Sale of assets		26,007			12,748			9,118
Sale of investments		13,475			—			—
Penalty income		—			984			1,168
Supplier debt forgiveness		—			19,026			14,545
Recovery of provisions and impairments		—			23,279			6,501
Trademarks revaluation		—			20,676			—
Profit from Mizuho Bank Ltd. agreement (a)		—			89,688			—
Present value of the liability from put option		6,122			—			—
Others		12,815			13,384			4,267

		58,419			179,785			35,599

Other expenditures:
Asset impairment (b)		—			339,774			103,074
Civil repair to the Peruvian Government		73,500			69,150			64,571
Net cost of fixed assets disposal		36,931			23,697			8,682
Legal and tax litigation		—			49,754			32,186
Renegotiation of contract with suppliers		—			—			4,889
Present value of the call option		—			4,697			2,326
Provision for well closure		—			4,055			112
Administrative fine		—			1,423			1,897
Others		13,842			26,729			708

		124,273			519,279			218,445

		(65,854	)		(339,494	)		(182,846	)

(a)

Corresponds to the refinancing agreement linked to the contract signed between Tren Urbano de Lima S.A. and Mitzuho Bank Ltd. where the Company acted as an endorsement of the transaction. Under the contract, a bond letter was issued with Mitzuho Bank Ltd. for it to be covered with a financial derivative required for the closing of the CPAOs purchase operation of the Expansion Project. The contract further indicated that in the event that the bank refinanced the debt obtained for the purchase of the CPAOS, the Company received 70% of the gains obtained.

(b)

As of December 31, 2020, corresponds a impairment of accounts receivable generated by the subsidiary Concessionaire Via Expresa Sur S.A. for S/55.8 million (Note 13(i)), as a consequence of the new estimates of the Company regarding the recovery of the investment it maintains in the project, this project concession contract has been suspended by mutual agreement with the Municipality of Lima since June; impairment accounted in CAM Holding S.P.A. for S/12.5 million for claims accepted against the guarantee account (Note 13), and impairment of accounts receivable generated by the subsidiary Concar S.A.C. for S/33.8 million to the Regional Government of Cusco (Note 10); other minor for S/0.5 million from other accounts receivable (Note 13) and S/0.1 million from trade accounts receivable (Note 10) (as of December 31, 2019 corresponds to a provision for impairment of accounts receivable from GSP for S/276 million; the subsidiary Promotora Larco Mar SA recognized an impairment in its assets in progress for S/18.2 million; the subsidiary Cumbra Peru S.A. recognized an impairment of intangibles for S/35.4 million; the subsidiary Adexus recognized an impairment of Intangibles for S/10.1 million).