Bank Loans and issuance of Debt Securities

12 Months Ended

Dec. 31, 2018

Disclosure Of Detailed Information About Borrowings [Abstract]

Bank Loans and issuance of Debt Securities

17.	Bank Loans and issuance of Debt Securities

Bank Loans

During 2015, the Company obtained loans to finance the acquisition of 100% of the shares of the DCA Company with BBVA and Bank of Nova Scotia, which were refinanced later. With the acquisition of MBJA the Company assumed loans previously hired by MBJA. All the loans contracted with banking institutions and third parties are described below with the unpaid balance at each date.

		December 31 2016					December 31 2017					December 31 2018
	Ps.		167,884			Ps.		148,014			Ps.		—
MBJA signed a simple unsecured loan with its shareholder Vantage in June 2007 for USD$10,936,000, which is repayable at the same maturity date as the IFC´s loans but are subject to restrictions. Interest is accrued at an interest rate of 14% per annum. The loan does not have an expiration date and no amortization schedule.				225,999					215,843					215,269
In February 2009, MBJA signed a simple unsecured loan with its shareholder Vantage for USD$510,000 to finance expenses related to a construction project of MBJA. The interest rate was set at 8%. The loan does not have an expiration date and no amortization schedule.				10,539					10,065					10,038
On December 12, 2012, MBJA signed a simple unsecured loan with IFC for USD$13 million. The loan bears interest at a variable rate of six month LIBOR plus 450 basis points, for a period of 5 years from each disposition. The loan was settled on August 2018.				216,972					73,504					—
In 2014 MBJA signed two finance lease arrangements, one with SITA Information Networking Computing BV for USD$1,792,096, for equipment and the other with SITA Information Networking BV. USA for software support for USD$1,231,858. Both leases are for seven years with a fixed interest rate of 8% per annum. Monthly lease payment total USD$47,132. The loans were settled on August 2018.				46,058					35,370					—
On January 19, 2016, GAP refinanced with Bank of Nova Scotia the simple unsecured loan contracted previously in the short term for amount of USD $95.5 million, with a five-year maturity. The loan bears interest at LIBOR 1M plus 99 basis points.				1,973,412					1,884,731					1,879,717
On February 15, 2016, GAP refinanced with BBVA Bancomer the simple unsecured loan contracted previously in the short term for amount of USD $95.5 million, with a five-year maturity. The loan bears interest at LIBOR 1M plus 105 basis points.				1,973,412					1,884,731					1,879,717
On December 28, 2017, MBJA signed a simple unsecured loan with The Bank of Nova Scotia Jamaica Limited for USD$40,000,000. The loan bears interest at LIBOR 1M plus 280 basis points for a period of 7 years from this disposition and semi-annual instalments. As of December 31, 2018 the balance amounted to USD$28.0 million.				—					—					551,122
Total unpaid balance of bank loans and long-term debt				4,614,276					4,252,258					4,535,863
Less - Current portion				(84,758	)				(141,412	)				—
Long-term portion		Ps.		4,529,518			Ps.		4,110,846			Ps.		4,535,863

Issuance of Debt Securities

	December 31 2016		December 31 2017			December 31 2018
Unsecured debt securities issued in the Mexican market on February 20, 2015, for Ps. 1,100,000 under the "GAP 15" name, at a variable interest rate of 28-day TIIE plus 24 basis points for a period of five years, maturing on February 14, 2020. On January 29, 2016, the first reopening was made the long-term debt securities GAP 15 for the total Ps. 1,100,000. With the same maturity as the originally and accrue the same interest rate. At December 31, 2018, the TIIE rate is 8.5956%.	Ps.	2,200,000	Ps.		2,200,000	Ps.		2,200,000
Unsecured debt securities issued in the Mexican market on February 20, 2015, for Ps. 1,500,000 under the name "GAP 15-2" at a fixed annual interest rate of 7.08% over a period of 10 years, maturing on February 7, 2025.		1,500,000			1,500,000			1,500,000
Unsecured debt securities issued in the Mexican market on July 8, 2016, for Ps. 1,500,000 under the "GAP 16" name, at a variable interest rate of 28-day TIIE plus 49 basis points for a period of five years. At December 31, 2018, the TIIE rate is 8.5956%.		1,500,000			1,500,000			1,500,000
Unsecured debt securities issued in the Mexican market on April 6, 2017, for Ps. 1,500,000 under the "GAP 17" name, at a variable interest rate of 28-day TIIE plus 49 basis points for a period of five years. At December 31, 2018, the TIIE rate is 8.5956%.		—			1,500,000			1,500,000
Unsecured debt securities issued in the Mexican market on November 9, 2017, for Ps. 2,300,000 under the "GAP 17-2" name, at a variable interest rate of 28-day TIIE plus 44 basis points for a period of five years. At December 31, 2018, the TIIE rate is 8.5956%.		—			2,300,000			2,300,000
Long-term portion	Ps.	5,200,000	Ps.	9,000,000		Ps.	9,000,000

The proceeds in 2016 from the issuance of the long-term debt securities were allocated to finance capital investments set forth in the Master Development Program 2016 in the Mexican Airports of Ps. 2,600,000. Issuance expenses of Ps.7,797 were recognized.

The proceeds in 2017 from the issuance of the long-term debt securities were allocated to finance capital investments set forth in the Master Development Program 2017 of the Mexican Airports of Ps. 3,800,000. Issuance expenses of Ps. 9,313 were recognized.

The long-term debt previously described, matures as follows:

Year	Amount
2020	Ps.	2,200,000
2021		3,869,658
2022		1,610,224
2023		1,610,224
2024		2,410,224
Thereafter		1,835,533
	Ps.	13,535,863

At December 31, 2016, 2017 and 2018, debts are payable by the following companies:

At December 31, 2016

Company

Current

Long-Term

Total

GAP

Ps.

—

Ps.

9,146,824

Ps.

9,146,824

MBJA

84,758

582,694

667,452

Total

Ps.

84,758

Ps.

9,729,518

Ps.

9,814,276

At December 31, 2017

Company

Current

Long-Term

Total

GAP

Ps.

—

Ps.

12,769,461

Ps.

12,769,461

MBJA

141,412

341,385

482,797

Total

Ps.

141,412

Ps.

13,110,846

Ps.

13,252,258

At December 31, 2018

Company

Current

Long-Term

Total

GAP

Ps.

—

Ps.

12,759,435

Ps.

12,759,435

MBJA

—

776,428

Total

Ps.

—

Ps.

13,535,863

Ps.

13,535,863

The loan agreements limit the Company’s use of proceeds for the financing of capital expenditures, working capital and prepayments of loans, in addition to prohibiting the merger of the airport creditors with any other entity, as well as the prohibition of sales or transfers of assets in an amount greater than Ps. 1,000, without previous authorization from the creditors and requires the Company to maintain certain financial ratios which have been fulfilled. If the individual airports are unable to fulfill their commitments and maintain the minimum financial ratios under the credit agreements, dividends cannot be declared.

As a result of the issuance of the debt securities, the Company has covenants which have been fulfilled during 2016, 2017 and 2018. The principal payment of the debt securities will be made at the end of the contractual term. Direct costs incurred in the issuance or incurrence of debt are deferred and amortized, as part of interest expense using the effective interest rate over the term of each transaction. These costs include commissions and professional fees.

Reconciliation of liabilities arising from financing activities

							Non-cash changes
	Balance as of January 1, 2018			Repayments on bank loans			Proceeds from issuance of Debt securities		Reclassification of current installments of long term debt		Exchange effects			Fair value adjustments			Balance as of December 31, 2018
Banks loans and current portion of long-term borrowings	Ps.	141,412		Ps.	(141,412	)	Ps.	—	Ps.	—	Ps.	—		Ps.	—		Ps.	—
Long-term borrowings		4,110,846			(110,683	)		—		551,122		(15,422	)		—			4,535,863
Debt securities		9,000,000			—			—		—		—			—			9,000,000
Derivative financial instruments (Note 16)		(106,815	)		—			—		—		—			(29,642	)		(136,457	)
Total	Ps.	13,145,443		Ps.	(252,095	)	Ps.	—	Ps.	551,122	Ps.	(15,422	)	Ps.	(29,642	)	Ps.	13,399,406