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TRADE AND OTHER ACCOUNTS RECEIVABLE CURRENT, AND NON-CURRENT ACCOUNTS RECEIVABLE
 12 Months Ended
Dec. 31, 2019
Disclosure of trade and other receivables [text block] [Abstract]  
Disclosure of trade and other receivables [text block]

NOTE 8 - TRADE AND OTHER ACCOUNTS RECEIVABLE CURRENT, AND NON-CURRENT ACCOUNTS RECEIVABLE


   As of   As of 
   December 31,   December 31, 
   2019   2018 
   ThUS$   ThUS$ 
       Restated 
Trade accounts receivable   1,073,599    1,077,561 
Other accounts receivable   275,876    188,393 
Total trade and other accounts receivable   1,349,475    1,265,954 
Less: Expected credit loss   (100,402)   (97,991)
Total net trade and accounts receivable   1,249,073    1,167,963 
Less: non-current portion – accounts receivable   (4,725)   (5,381)
Trade and other accounts receivable, current   1,244,348    1,162,582 

The fair value of trade and other accounts receivable does not differ significantly from the book value.


To determine the expected credit losses, the Company groups accounts receivable for passenger and cargo transportation; depending on the characteristics of shared credit risk and maturity.


   As of December 31, 2019   As December 31, 2018 
   Expected   Gross book   Impairment loss   Expected   Gross book   Impairment loss 
Portfolio maturity  loss rate (1)   value (2)   Provision   loss rate (1)   value (2)   Provision 
   %   ThUS$   ThUS$   %   ThUS$   ThUS$ 
                         
Up to date   2%   875,889    (16,433)   3%   888,930    (23,933)
From 1 to 90 days   8%   56,537    (4,253)   5%   91,387    (5,014)
From 91 to 180 days   28%   16,922    (4,747)   45%   11,085    (4,983)
From 181 to 360 days   39%   47,865    (18,459)   65%   15,078    (9,864)
more of 360 days   74%   76,386    (56,510)   76%   71,081    (54,197)
Total   9%   1,073,599    (100,402)   9%   1,077,561    (97,991)

(1) Corresponds to the expected average rate.


(2) the gross book value represents the maximum growth risk value of trade accounts receivable.


Currency balances that make up the Trade and other accounts receivable and non-current accounts receivable are the following:


   As of   As of 
   December 31,   December 31, 
Currency  2019   2018 
   ThUS$   ThUS$ 
         
Argentine Peso   47,079    82,893 
Brazilian Real   537,224    511,174 
Chilean Peso   131,543    118,546 
Colombian peso   2,288    7,259 
Euro   32,711    49,044 
US Dollar   436,774    110,312 
Other currency (*)   61,454    288,735 
Total   1,249,073    1,167,963 
           
(*) Other currencies          
Australian Dollar   20,964    100,733 
Chinese Yuan   2,145    5,106 
Danish Krone   54    475 
Pound Sterling   7,428    18,129 
Indian Rupee   37    7,163 
Japanese Yen   1,222    56,589 
Norwegian Kroner   14    283 
Swiss Franc   535    5,046 
Korean Won   8,172    31,381 
New Taiwanese Dollar   1,117    6,180 
Other currencies   19,766    57,650 
Total   61,454    288,735 

The movements of the provision for impairment losses of the Trade Debtors and other accounts receivable are as follows:


       Adoption             
   Opening   adjustment       (Increase)   Closing 
   balance   IFRS 9 (*)   Write-offs   Decrease   balance 
Periods  ThUS$   ThUS$   ThUS$   ThUS$   ThUS$ 
From January 1 to December  31, 2017   (77,054)   -    8,249    (19,104)   (87,909)
From January 1 to December  31, 2018   (87,909)   (10,524)   8,620    (8,178)   (97,991)
From January 1 to December  31, 2019   (97,991)   -    12,569    (14,980)   (100,402)

(*)Adjustment to the balance as of December 31, 2017 registered in retained earnings as of 01.01.2018 for the adoption of IFRS 9.

Once pre-judicial and judicial collection efforts are exhausted, the assets are written off against the allowance. The Company only uses the allowance method rather than direct write-off, to ensure control.


The historical and current renegotiations are not very relevant, and the policy is to analyze case by case to classify them according to the existence of risk, determining if their reclassification corresponds to pre-judicial collection accounts.


The maximum credit-risk exposure at the date of presentation of the information is the fair value of each one of the categories of accounts receivable indicated above.


   As of December 31, 2019   As of December 31, 2018 
   Gross exposure   Gross   Exposure net   Gross exposure   Gross   Exposure net 
   according to   impaired   of risk   according to   Impaired   of risk 
   balance   exposure   concentrations   balance   exposure   concentrations 
   ThUS$   ThUS$   ThUS$   ThUS$   ThUS$   ThUS$ 
Trade accounts receivable   1,073,599    (100,402)   973,197    1,077,561    (97,991)   979,570 
Other accounts receivable   275,876    -    275,876    188,393    -    188,393 

There are no relevant guarantees covering credit risk and these are valued when they are settled; no materially significant direct guarantees exist. Existing guarantees, if appropriate, are made through IATA.