XML 153 R17.htm IDEA: XBRL DOCUMENT
v3.20.1

INTANGIBLE ASSETS AND GOODWILL, NET | 12 Months Ended
--- | ---
Dec. 31, 2019
INTANGIBLE ASSETS AND GOODWILL, NET |
INTANGIBLE ASSETS AND GOODWILL, NET | 11 INTANGIBLE ASSETS AND GOODWILL, NET
| a) |  | Intangible assets -
The movement of intangible assets with limited useful life for the years ended December 31, 2019, 2018 and 2017 was as follows:
|  | Client |  |  |  | Fund |  |  |  |  |  | Intangible |  |  |  |  |  |  |  |
|  | relationships |  | Brand |  | manager |  | Relationships |  | Software and |  | in |  |  |  |  |  |  |  |
Description |  | (i) |  | name (ii) |  | contract (iii) |  | with holders |  | developments |  | progress |  | Other |  | 2019 |  | 2018 |  | 2017
|  | S/(000) |  | S/(000) |  | S/(000) |  | S/(000) |  | S/(000) |  | S/(000) |  | S/(000) |  | S/(000) |  | S/(000) |  | S/(000)
Cost - |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Balances at January 1 |  | 403,607 |  | 258,928 |  | 95,527 |  | 21,100 |  | 2,173,302 |  | 427,028 |  | 26,841 |  | 3,406,333 |  | 3,090,365 |  | 2,789,435
Additions |  | — |  | — |  | — |  | — |  | 101,503 |  | 270,454 |  | — |  | 371,957 |  | 419,789 |  | 271,722
Acquisition of business, Note 2(a) |  | 18,462 |  | 1,164 |  | 4,298 |  | — |  | 79,165 |  | — |  | 23,039 |  | 126,128 |  | — |  | —
Transfers |  | — |  | — |  | — |  | — |  | 357,432 |  | (357,432) |  | — |  | — |  | — |  | —
Disposals and others |  | (43,173) |  | (66,845) |  | (5,682) |  | — |  | (6,841) |  | 23,297 |  | (185) |  | (99,429) |  | (103,821) |  | 29,208
Balances at December 31 |  | 378,896 |  | 193,247 |  | 94,143 |  | 21,100 |  | 2,704,561 |  | 363,347 |  | 49,695 |  | 3,804,989 |  | 3,406,333 |  | 3,090,365
Accumulated amortization - |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Balance at January 1 |  | 257,580 |  | 120,425 |  | 7,072 |  | 16,703 |  | 1,513,340 |  | — |  | 26,841 |  | 1,941,961 |  | 1,747,475 |  | 1,464,894
Amortization of the year |  | 27,229 |  | 7,041 |  | 4,396 |  | 3,516 |  | 266,338 |  | — |  | 446 |  | 308,966 |  | 258,984 |  | 241,080
Acquisition of business, Note 2(a) |  | — |  | — |  | — |  | — |  | 3,104 |  | — |  | — |  | 3,104 |  | — |  | —
Disposals and others |  | (40,858) |  | (66,823) |  | 973 |  | — |  | (8,599) |  | — |  | — |  | (115,307) |  | (64,498) |  | 41,501
Balance at December 31 |  | 243,951 |  | 60,643 |  | 12,441 |  | 20,219 |  | 1,774,183 |  | — |  | 27,287 |  | 2,138,724 |  | 1,941,961 |  | 1,747,475
Net carrying amount |  | 134,945 |  | 132,604 |  | 81,702 |  | 881 |  | 930,378 |  | 363,347 |  | 22,408 |  | 1,666,265 |  | 1,464,372 |  | 1,342,890
During the year 2019, the Group has made disbursements mainly related with the implementation and development of various IT projects such as DataLake, Holístico, SpotLigth, DWH, Operating Model, Client 360, Connex, Mainframe, Kalignite NDC, Small and medium businesses (PYME, from spanish acronym) Loans Online, Information Cube and others (Business Integration, DWH - Modelo Lineal I15, Credit Card, Customer Identity and Access Management, DWH - Operative Model, Yape and others during the year 2018). Also, during the year 2019, the activation of various intangibles in progress was carried out, mainly the DataLake system for a total cost of US$19.7 million, equivalent to S/64.9 million. This system manages the Bank's customer database and provides various financial reports.
| (i) |  | Client relationships -
This item consists of the following:
|  | 2019 |  | 2018
|  | S/(000) |  | S/(000)
Prima AFP - AFP Unión Vida |  | 82,322 |  | 94,670
Credicorp Capital Holding Chile - Inversiones IMT |  | 19,333 |  | 22,776
Mibanco |  | 15,036 |  | 27,065
Ultraserfinco |  | 13,400 |  | —
Culqi |  | 2,550 |  | —
Tenpo |  | 2,304 |  | —
Mibanco - Edyficar Perú |  | — |  | 1,516
Net carrying amount |  | 134,945 |  | 146,027
| (ii) |  | Brand name -
This item consists of the following:
|  | 2019 |  | 2018
|  | S/(000) |  | S/(000)
Mibanco |  | 131,440 |  | 138,268
Culqi |  | 1,164 |  | —
Credicorp Capital Holding Chile - Inversiones IMT |  | — |  | 235
Net carrying amount |  | 132,604 |  | 138,503
| (iii) |  | Fund management contract -
This item consists of the following:
|  | 2019 |  | 2018
|  | S/(000) |  | S/(000)
Credicorp Capital Colombia |  | 42,352 |  | 47,886
Credicorp Capital Holding Chile - Inversiones IMT |  | 34,997 |  | 40,569
Ultrasefinco S.A. |  | 4,353 |  | —
Net carrying amount |  | 81,702 |  | 88,455
Management has assessed at each reporting date that there was no indication that customer relationships, brand name, fund management contract and software and developments may be impaired.
| b) |  | Goodwill -
Goodwill acquired through business combinations has been allocated to each subsidiary or groups of them, which are also identified as a CGU for the purposes of impairment testing, as follows:
|  | 2019 |  | 2018
|  | S/(000) |  | S/(000)
Mibanco - Edyficar Perú |  | 273,694 |  | 273,694
Banco Compartir S.A. |  | 212,085 |  | —
Prima AFP - AFP Unión Vida |  | 124,641 |  | 124,641
Credicorp Capital Colombia |  | 72,134 |  | 74,391
Banco de Crédito del Perú |  | 52,359 |  | 52,359
Ultraserfinco S.A. |  | 45,339 |  | —
Pacífico Seguros |  | 36,354 |  | 36,354
Atlantic Security Holding Corporation |  | 29,795 |  | 29,795
Tenpo SpA |  | 23,051 |  | —
Multicaja Prepago S.A. |  | 12,943 |  | —
Compañía Incubadora de Soluciones Móviles S.A. |  | 3,518 |  | —
Crediseguro Seguros Personales |  | 96 |  | 96
Net carrying amount |  | 886,009 |  | 591,330
The recoverable amount of all of the CGUs has been determined based on the calculations of the fair value less selling costs, which is the present value of the discounted cash flows determined principally with assumptions of revenue and expenses projection (based on efficiency ratios). Goodwill balance from Credicorp Holding Colombia (due to the acquisition of Credicorp Capital Colombia S.A, Banco Compartir S.A. and Ultraserfinco S.A.) and Krealo SpA (due to the acquisition of Tenpo SpA and Multicaja Prepago S.A.) are affected by the volatility effect of the local exchange rate currency of the country in which they operate against the exchange rate of functional currency of Credicorp Ltd and subsidiaries. The following table summarizes the key assumptions used for the calculation of fair value less selling costs in 2019 and 2018:
|  | At December 31, 2019
|  | Terminal |  |
|  | value growth |  |
Description |  | rate |  | Discount rate
|  | % |  | %
Mibanco - Edyficar Perú |  | 3.00 |  | 12.35
Prima AFP - AFP Unión Vida |  | 1.00 |  | 11.63
Credicorp Capital Colombia |  | 3.80 |  | 12.62
Banco de Crédito del Perú |  | 5.00 |  | 11.19
Pacífico Seguros (*) |  | 5.00 |  | 10.72 and 12.00
Atlantic Security Holding Corporation |  | 2.00 |  | 11.41
|  | At December 31, 2018
Description |  | Terminal |  |
|  | value growth |  |
|  | rate |  | Discount rate
|  | % |  | %
Mibanco - Edyficar Perú |  | 3.00 |  | 14.18
Prima AFP - AFP Unión Vida |  | 1.00 |  | 10.73
Credicorp Capital Colombia |  | 3.80 |  | 14.65
Banco de Crédito del Perú |  | 5.00 |  | 11.15
Pacífico Seguros (*) |  | 5.00 |  | 12.05 and 14.00
Atlantic Security Holding Corporation |  | 2.00 |  | 10.07
(*)As of December 31, 2019 and 2018, corresponds to the discount rates used to determine the recoverable value for the general and life insurance business lines cash flows. Five or ten years of cash flows, depending on the business maturity, were included in the discounted cash flow model. The growth rate estimates are based on historic performance and management’s expectations of market development. A long-term growth rate to perpetuity has been determined taking into account forecasts included in industry reports. Discount rates represent the current market assessment of the specific risks to each CGU. The discount rate is derived from the capital asset pricing model (CAPM). The cost of equity is derived from the expected return on investment by the Group’s investors, specific risk incorporated by applying individual comparable beta factors adjusted by the debt structure of each CGU and country and market specific risk premiums to each CGU. The beta factors are evaluated annually based on publicly available market data. During the year 2019, the Group did not recorded any impairment loss. During the year 2018, the Group recorded a gross impairment loss amounting to S/38.2 million, as a result of the assessment of the recoverable amount of the CGU “Inversiones IMT”, decreasing in relation to prior years due to the lower revenues generated compared to those originally budgeted by Management and for the changes expected in the payment of taxes attributable to the parent company resulting from the tax law reform presented in Chile. The key assumptions described above may change if the conditions of the economy and market change. At December 31, 2019 and 2018, the Group estimates that reasonably possible changes in these assumptions would not cause the recoverable amount of all CGUs to decline below their carrying amount.

X
- References No definition available. + Details
Name: | ifrs-full_DisclosureOfIntangibleAssetsAbstract
Namespace Prefix: | ifrs-full_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for intangible assets. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Name IAS -Number 38 -IssueDate 2019-01-01 -Section Disclosure -URI http://eifrs.ifrs.org/eifrs/xifrs-link?type=IAS&num=38&code=ifrs-tx-2019-en-r&doctype=Standard&dita_xref=IAS38_g118-128_TI -URIDate 2019-03-27 + Details
Name: | ifrs-full_DisclosureOfIntangibleAssetsExplanatory
Namespace Prefix: | ifrs-full_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration