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Financial assets and liabilities | 12 Months Ended
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Dec. 31, 2022
Other Financial Assets And Liabilities |
Financial assets and liabilities |
| 21. | Financial assets and liabilities
The Company classifies its financial instruments in accordance with the purpose for which they were acquired, and determines the classification and initial recognition according to the following categories:
Schedule of financial instruments classification based on its recognition |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | December 31, 2022 |  | December 31, 2021
Financial assets | Notes | Amortized cost |  | At fair value through OCI |  | At fair value through profit or loss |  | Total |  | Amortized cost |  | At fair value through OCI |  | At fair value through profit or loss |  | Total
Current |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Cash and cash equivalents | 23 | 4,736 |  | - |  | - |  | 4,736 |  | 11,721 |  | - |  | - |  | 11,721
Short-term investments | 23 | - |  | - |  | 61 |  | 61 |  | - |  | - |  | 184 |  | 184
Derivative financial instruments | 20 | - |  | - |  | 342 |  | 342 |  | - |  | - |  | 111 |  | 111
Accounts receivable | 11 | 538 |  | - |  | 3,781 |  | 4,319 |  | 703 |  | - |  | 3,211 |  | 3,914
|  | 5,274 |  | - |  | 4,184 |  | 9,458 |  | 12,424 |  | - |  | 3,506 |  | 15,930
Non-current |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Judicial deposits | 28 | 1,215 |  | - |  | - |  | 1,215 |  | 1,220 |  | - |  | - |  | 1,220
Restricted cash | 32 | 77 |  | - |  | - |  | 77 |  | 117 |  | - |  | - |  | 117
Derivative financial instruments | 20 | - |  | - |  | 196 |  | 196 |  | - |  | - |  | 20 |  | 20
Investments in equity securities | 14 | - |  | 7 |  | - |  | 7 |  | - |  | 6 |  | - |  | 6
|  | 1,292 |  | 7 |  | 196 |  | 1,495 |  | 1,337 |  | 6 |  | 20 |  | 1,363
Total of financial assets |  | 6,566 |  | 7 |  | 4,380 |  | 10,953 |  | 13,761 |  | 6 |  | 3,526 |  | 17,293
Financial liabilities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Current |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Suppliers and contractors | 13 | 4,461 |  | - |  | - |  | 4,461 |  | 3,475 |  | - |  | - |  | 3,475
Derivative financial instruments | 20 | - |  | - |  | 90 |  | 90 |  | - |  | - |  | 243 |  | 243
Loans, borrowings and leases | 23 | 489 |  | - |  | - |  | 489 |  | 1,204 |  | - |  | - |  | 1,204
Liabilities related to the concession grant | 14(a) | 416 |  | - |  | - |  | 416 |  | 760 |  | - |  | - |  | 760
Other financial liabilities - Related parties | 31 | 400 |  | - |  | - |  | 400 |  | 393 |  | - |  | - |  | 393
Contract liability and other advances |  | 766 |  | - |  | - |  | 766 |  | 916 |  | - |  | - |  | 916
|  | 6,532 |  | - |  | 90 |  | 6,622 |  | 6,748 |  | - |  | 243 |  | 6,991
Non-current |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivative financial instruments | 20 | - |  | - |  | 186 |  | 186 |  | - |  | - |  | 592 |  | 592
Loans, borrowings and leases | 23 | 12,223 |  | - |  | - |  | 12,223 |  | 12,578 |  | - |  | - |  | 12,578
Participative shareholders' debentures | 22 | - |  | - |  | 2,725 |  | 2,725 |  | - |  | - |  | 3,419 |  | 3,419
Liabilities related to the concession grant | 14(a) | 2,554 |  | - |  | - |  | 2,554 |  | 1,437 |  | - |  | - |  | 1,437
Financial guarantees | 32 | - |  | - |  | 103 |  | 103 |  | - |  | - |  | 542 |  | 542
|  | 14,777 |  | - |  | 3,014 |  | 17,791 |  | 14,015 |  | - |  | 4,553 |  | 18,568
Total of financial liabilities |  | 21,309 |  | - |  | 3,104 |  | 24,413 |  | 20,763 |  | - |  | 4,796 |  | 25,559
b) Hierarchy of fair value
Schedule of assets and liabilities measured and recognized at fair value |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
|  | December 31, 2022 |  | December 31, 2021
| Notes | Level 1 |  | Level 2 |  | Level 3 |  | Total |  | Level 1 |  | Level 2 |  | Level 3 |  | Total
Financial assets |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Short-term investments | 23 | 61 |  | - |  | - |  | 61 |  | 184 |  | - |  | - |  | 184
Derivative financial instruments | 20 | - |  | 538 |  | - |  | 538 |  | - |  | 118 |  | 13 |  | 131
Accounts receivable | 11 | - |  | 3,781 |  | - |  | 3,781 |  | - |  | 3,211 |  | - |  | 3,211
Investments in equity securities | 14 | 7 |  | - |  | - |  | 7 |  | 6 |  | - |  | - |  | 6
|  | 68 |  | 4,319 |  | - |  | 4,387 |  | 190 |  | 3,329 |  | 13 |  | 3,532
Financial liabilities |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Derivative financial instruments | 20 | - |  | 276 |  | - |  | 276 |  | - |  | 835 |  | - |  | 835
Participative shareholders' debentures | 22 | - |  | 2,725 |  | - |  | 2,725 |  | - |  | 3,419 |  | - |  | 3,419
Financial guarantees | 32 | - |  | 103 |  | - |  | 103 |  | - |  | 542 |  | - |  | 542
|  | - |  | 3,104 |  | - |  | 3,104 |  | - |  | 4,796 |  | - |  | 4,796
There were no transfers between levels 1, 2 and 3 of the fair value hierarchy during the years presented. b.i) Changes in Level 3 assets and liabilities during the year
Schedule of changes in Level 3 assets and liabilities |  |  |  |
|  | Derivative financial instruments
|  | Financial assets |  | Financial liabilities
Balance at December 31, 2021 |  | 13 |  | -
Gain and losses recognized in income statement |  | (13) |  | -
Balance at December 31, 2022 |  | - |  | -
c) Fair value of loans and borrowings Loans and borrowings are recorded at their contractual values. To determine the market values of these financial instruments traded in public markets, the closing market quotations on the balance sheet dates were used. The Company considers that for the other financial liabilities measured at amortized cost, their book values are close to their fair values and therefore information on their fair values is not being presented.
Schedule of fair value and carrying amounts of loans and financing |  |  |  |  |  |  |  |
|  | December 31, 2022 |  | December 31, 2021
|  | Carrying amount |  | Fair value |  | Carrying amount |  | Fair value
Quoted in the secondary market: |  |  |  |  |  |  |  |
Bonds |  | 6,157 |  | 6,253 |  | 7,448 |  | 9,151
Debentures |  | 233 |  | 225 |  | 387 |  | 387
Debt contracts in Brazil in: |  |  |  |  |  |  |  |
R$, indexed to TJLP, TR, IPCA, IGP-M and CDI |  | 278 |  | 278 |  | 354 |  | 449
R$, with fixed interest |  | 2 |  | 2 |  | 13 |  | -
Basket of currencies and bonds in US$ indexed to LIBOR |  | - |  | - |  | 11 |  | 11
Debt contracts in the international market in: |  |  |  |  |  |  |  |
US$, with variable and fixed interest |  | 4,266 |  | 4,391 |  | 3,615 |  | 3,231
Other currencies, with variable interest |  | 9 |  | 9 |  | 87 |  | 54
Other currencies, with fixed interest |  | 89 |  | 91 |  | 107 |  | 117
|  | 11,034 |  | 11,249 |  | 12,022 |  | 13,400
Accounting policy Classification and measurement - The Company classifies financial instruments based on its business model for managing the assets and the contractual cash flow characteristics of those assets. The business model test determines the classification based on the business purpose for holding the asset and whether the contractual cash flows represent only payments of principal and interest. Financial instruments are measured at fair value through profit or loss (“FVTPL”) unless certain conditions are met that permit measurement at fair value through other comprehensive income (“FVOCI”) or amortized cost. Gains and losses recorded in other comprehensive income for debt instruments are recognized in profit or loss only on disposal. Investments in equity instruments are measured at FVTPL unless they are eligible to be measured at FVOCI, whose gains and losses are never recycled to profit or loss. All financial liabilities are initially measured at fair value, net of transaction costs incurred and are subsequently carried at amortized cost and updated using the effective interest rate method. Excepts for Participative shareholders’ debentures and Derivative financial instruments that are measured at FVTPL. Fair value hierarchy - The Company classifies financial instruments within the fair value hierarchy as: Level 1: The fair value of financial instruments traded in active markets (e.g. derivatives and publicly traded shares) is based on quoted market prices at the end of the financial statements period. Level 2: The fair value of financial instruments that are not traded in an active market (e.g. over the counter derivatives) is determined using valuation techniques that maximize the use of observable market data. If all significant data required for the fair value of an instrument are observable, the instrument is included in level 2. Level 3: If one or more of the significant data are not based on observable market data, the instrument is included in level 3. The fair value of derivatives classified as level 3 is estimated using discounted cash flows and option valuation models with unobservable inputs of discount rates, stock prices and commodity prices.

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