(1)

Correspond to the contractual rights to produce and distribute Coca-Cola products in certain parts of Argentina, Brazil, Chile and Paraguay. Distribution rights result from the valuation process at fair value of the assets and liabilities of the companies acquired in business combinations. Production and distribution contracts are renewable for periods of 5 years with Coca-Cola. The nature of the business and renewals that Coca-Cola has permanently done on these rights, allow qualifying them as indefinite contracts.

The distribution rights together with the assets that are part of the cash-generating units, are annually subjected to the impairment test, Such distribution rights have an indefinite useful life and are not subject to amortization, except for the Monster rights that are amortized in the term of the agreement which is 4 years.


	12.31.2021	12.31.2020
Distribution rights	ThCh$	ThCh$
Chile (excluding Metropolitan Region, Rancagua and San Antonio)	303,973,971	303,702,092
Brazil (Rio de Janeiro, Espírito Santo, Ribeirão Preto and investments in Sorocaba and Leão Alimentos e Bebidas Ltda.) *	158,175,979	138,176,054
Paraguay	181,675,993	152,595,420
Argentina (North and South)	2,688,386	1,892,171
Total	646,514,329	596,365,737

* On September 21, 2021 Coca-Cola Andina together with Coca-Cola Femsa, acquired the Brazilian beer brand Therezópolis for BRL 70 million. Each bottler bought 50% of the brand. This transaction is part of the company’s long-term strategy to complement its beer portfolio in Brazil. The transaction was completed and approved by CADE (Brazilian Administrative Council of Economic Defense). In September, 2021 Andina recorded an intangible asset under the Therezópolis brand for BRL 35 million with an indefinite useful life.

The movement and balances of identifiable intangible assets are detailed as follows:

January 1 to December 31, 2021

January 1 to December 31, 2020

Distribution

Description

rights

Others

Software

Total

rights

Others

Software

Total

ThCh$

Opening balance

596,365,737

975

8,147,453

604,514,165

666,755,196

456,763

7,863,416

675,075,375

Additions

5,773,560

—

6,998,593

12,772,153

94,661

—

2,575,125

2,669,786

Amortization

(152,644)

—

(2,637,823)

(2,790,467)

(1,573,878)

—

(2,088,612)

(3,662,490)

Other increases (decreases) (1)

44.527.676

51,277

556,739

45,135,692

(68,910,242)

(455,788)

(202,476)

(69,568,506)

Saldo final

646,514,329

52,252

13,064,962

659,631,543

596,365,737

975

8,147,453

604,514,165

(1)	Mainly corresponds to restatement due to the effects of translation of distribution rights of foreign subsidiaries.