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Other financial liabilities
 12 Months Ended
Dec. 31, 2023
Other Financial Liabilities  
Other financial liabilities

Note 21 Other financial liabilities

 

Debts and financial liabilities classified according to the type of obligation and their classifications in the Consolidated Financial Statements are detailed as follows:

 

       
  As of December 31, 2023 As of December 31, 2022
Current Non-current Current Non-current
ThCh$ ThCh$ ThCh$ ThCh$
Bank borrowings (1) 24,494,870 174,074,170 134,737,116 84,839,970
Bonds payable (1) 38,650,859 1,050,838,488 30,871,086 1,081,682,928
Derivatives not designated as hedges (2) 468,541 – 3,753,264 –
Derivatives designated as hedges (2) 3,207,739 9,333,449 4,605,695 9,183,801
Deposits for return of bottles and containers 11,774,922 – 11,912,090 –
Put option liability (3) 28,554,669 – – –
Total 107,151,600 1,234,246,107 185,879,251 1,175,706,699

 

(1) See Note 5 - Risk administration.

(2) See Note 7 - Financial instruments.

(3) See Note 1 - General information, letter C), number (10).

 

Current bank borrowings and bonds payable

 

The maturities and interest rates of these obligations are detailed as follows:

 

As of December 31, 2023:

 

 

                     
              Maturity (*)      
Debtor Tax ID Company Debtor country Lending party Tax ID Creditor name Creditor country Currency 0 to 3 months 3 months to 1 year Total Type of amortization Interest Rate
              ThCh$ ThCh$ ThCh$   (%)
Bank borrowings                      
76,035,409-0 Cervecera Guayacán SpA. Chile 97,004,000-5 Banco de Chile Chile UF 2,373 5,439 7,812 Monthly 3.39
76,035,409-0 Cervecera Guayacán SpA. Chile 97,004,000-5 Banco de Chile Chile UF 2,845 8,764 11,609 Monthly 5.65
76,920,876-3 D&D SpA. Chile 97,006,000-6 Banco de Crédito e Inversiones Chile CLP 13,506 23,703 37,209 At maturity 6.96
76,920,876-3 D&D SpA. Chile 97,006,000-6 Banco de Crédito e Inversiones Chile CLP 7,054 – 7,054 At maturity 3.50
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP – 1,541,550 1,541,550 At maturity 7.17
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP – 549,050 549,050 At maturity 8.34
91,041,000-8 Viña San Pedro Tarapacá S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP 1,363 – 1,363 At maturity 9.60
91,041,000-8 Viña San Pedro Tarapacá S.A. Chile 76,645,030-K Banco Itaú Corpbanca Chile USD 16,700,666 – 16,700,666 At maturity 5.88
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP 79,750 – 79,750 At maturity 8.70
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP – 34,320 34,320 At maturity 8.58
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP – 16,750 16,750 At maturity 8.04
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP 213,582 – 213,582 At maturity 8.60
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP – 58,367 58,367 At maturity 8.00
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,018,000-1 Scotiabank Chile Chile CLP 32,080 – 32,080 At maturity 3.95
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,018,000-1 Scotiabank Chile Chile CLP – 1,656,358 1,656,358 Semiannual 3.45
99,586,280-8 Compañía Pisquera de Chile S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP 604,555 – 604,555 At maturity 8.66
0-E Compañía Industrial Cervecera S.A. Argentina 0-E BBVA Argentina Euros 177,940 – 177,940 At maturity 19.80
0-E Compañía Industrial Cervecera S.A. Argentina 0-E Santander Argentina ARS 23,144 – 23,144 At maturity 105.00
0-E Compañía Industrial Cervecera S.A. Argentina 0-E Citibank Argentina ARS 31,389 – 31,389 Daily 130.00
0-E Finca La Celia S.A. Argentina 0-E Banco Patagonia Argentina USD 271 – 271 At maturity 105.00
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 19,383 – 19,383 Semiannual 5.50
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 3,734 567,103 570,837 Semiannual 5.50
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 6,589 567,103 573,692 Semiannual 5.50
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 36,016 135,081 171,097 Quarterly 5.00
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 20,366 280,005 300,371 Quarterly 5.00
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 19,734 480,288 500,022 Semiannual 5.50
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 3,857 289,853 293,710 Semiannual 5.95
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 3,689 277,250 280,939 Semiannual 5.95
Total             18,003,886 6,490,984 24,494,870    

 

(*) The amount based on the undiscounted contractual flows is found in Note 5 - Risk administration,

 

 

              Maturity (*)      
Debtor Tax ID Company Debtor country Registration ID No. Instrument Creditor country Currency 0 to 3 months 3 months to 1 year Total Type of amortization Interest Rate
              ThCh$ ThCh$ ThCh$   (%)
Bond payable                      
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile Bond J 898 28/06/2018 Chile UF 1,237,075 3,851 1,240,926 Semiannual 2.90
90,413,000-1 Compañía Cervecerías Unidas S.A. (1) Chile Bond L 897 28/06/2018 Chile UF 42,917 27,813,845 27,856,762 Semiannual 1.20
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile Bond M 898 28/06/2018 Chile UF 65,763 291,746 357,509 Semiannual 1.60
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile Bond International 144A/Regulación S United States USD 7,053,155 – 7,053,155 Semiannual 3.35
90,413,000-1 Compañía Cervecerías Unidas S.A. (1) Chile Bond P 897 28/06/2018 Chile UF 720,004 21,005 741,009 Semiannual 3.35
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile Bond R 1115 20/08/2022 Chile UF 1,110,156 – 1,110,156 Semiannual 2.70
91,041,000-8 Viña San Pedro Tarapacá S.A. (2) Chile Bond D 986 12/12/2019 Chile UF 61,750 229,592 291,342 Semiannual 1.00
Total             10,290,820 28,360,039 38,650,859    

 

(1) This obligation is hedged by a Cross Currency Swap agreement, Note 7 - Financial instruments.

(2) This obligation is partially hedged by a Cross Currency Swap agreement, Note 7 - Financial instruments.

(*) The amount based on the undiscounted contractual flows is found in Note 5 - Risk administration.

 

As of December 31, 2022:

 

              Maturity (*)      
Debtor Tax ID Company Debtor country Lending party Tax ID Creditor name Creditor country Currency 0 to 3 months 3 months to 1 year Total Type of amortization Interest Rate
              ThCh$ ThCh$ ThCh$   (%)
Bank borrowings                      
76,035,409-0 Cervecera Guayacán SpA. Chile 97,004,000-5 Banco de Chile Chile UF 1,645 6,719 8,364 Monthly 3.39
76,035,409-0 Cervecera Guayacán SpA. Chile 97,004,000-5 Banco de Chile Chile UF 2,622 10,587 13,209 Monthly 5.65
76,337,371-1 Bebidas CCU-PepsiCo SpA. Chile 97,018,000-1 Scotiabank Chile Chile CLP 1,010,488 – 1,010,488 At maturity 3.20
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP 26,710,141 732,067 27,442,208 At maturity 8.34
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile 97,018,000-1 Scotiabank Chile Chile CLP – 96,199,000 96,199,000 At maturity 5.70
91,041,000-8 Viña San Pedro Tarapacá S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile USD 2,582,301 – 2,582,301 At maturity 5.16
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,004,000-5 Banco del Estado de Chile Chile CLP 79,750 – 79,750 At maturity 8.70
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP – 2,006,310 2,006,310 At maturity 1.60
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP – 1,003,333 1,003,333 At maturity 1.60
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP 218,128 – 218,128 At maturity 8.60
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,018,000-1 Scotiabank Chile Chile CLP 22,881 – 22,881 At maturity 3.95
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,018,000-1 Scotiabank Chile Chile CLP – 1,662,154 1,662,154 Semiannual 3.45
99,586,280-8 Compañía Pisquera de Chile S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP 604,555 – 604,555 At maturity 8.66
0-E Compañía Industrial Cervecera S.A. Argentina 0-E Galicia Argentina ARS – 2,999 2,999 Daily 0.00
0-E Sáenz Briones & Cía. S.A.I.C. Argentina 0-E Santander - Argentina Argentina ARS 9,622 – 9,622 At maturity 46.00
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 14,806 – 14,806 Quarterly 5.00
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 62,115 – 62,115 Quarterly 5.00
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 600 – 600 Semiannual 5.50
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 4,453 245,937 250,390 Semiannual 5.30
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 8,907 491,874 500,781 Semiannual 5.30
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 5,550 516,467 522,017 Semiannual 5.30
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 4,638 516,467 521,105 Semiannual 5.30
Total             31,343,202 103,393,914 134,737,116    

 

(*) The amount based on the undiscounted contractual flows is found in Note 5 - Risk administration.

 

Debtor Tax ID Company Debtor country Registration ID No. Instrument Creditor country Currency Maturity (*)      
0 to 3 months 3 months to 1 year Total Type of amortization Interest Rate
ThCh$ ThCh$ ThCh$   (%)
Bond payable                      
90,413,000-1 Compañía Cervecerías Unidas S.A. (1) Chile Bond H 573 03/23/2009 Chile UF 3,773,458 3,174,589 6,948,047 Semiannual 4.25
90,413,000-1 Compañía Cervecerías Unidas S.A. (1) Chile Bond J 898 06/28/2018 Chile UF 1,180,641 3,684 1,184,325 Semiannual 2.90
90,413,000-1 Compañía Cervecerías Unidas S.A. (1) Chile Bond L 897 06/28/2018 Chile UF 50,640 13,420,052 13,470,692 Semiannual 1.20
90,413,000-1 Compañía Cervecerías Unidas S.A. (1) Chile Bond M 898 06/28/2018 Chile UF 62,890 278,815 341,705 Semiannual 1.60
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile Bond Internacional 144A/Regulation S United States USD 6,882,197 – 6,882,197 Semiannual 3.35
90,413,000-1 Compañía Cervecerías Unidas S.A. (1) Chile Bond P 897 06/28/2018 Chile UF 705,938 – 705,938 Semiannual 3.35
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile Bond R 1115 08/20/2022 Chile UF 1,059,348 – 1,059,348 Semiannual 2.70
91,041,000-8 Viña San Pedro Tarapacá S.A. (2) Chile Bond D 986 12/12/2019 Chile UF 59,128 219,706 278,834 Semiannual 1.00
Total             13,774,240 17,096,846 30,871,086    

(1) This obligation is hedged by a Cross Currency Swap agreement, Note 7 - Financial instruments.

(2) This obligation is partially hedged by a Cross Currency Swap agreement, Note 7 - Financial instruments.

(*) The amount based on the undiscounted contractual flows is found in Note 5 - Risk administration.

 

Non-current bank borrowings and bonds payable

 

The maturities and interest rates of these obligations are detailed as follows:

 

As of December 31, 2023:

 

 

                       
              Maturity (*)      
Debtor Tax ID Company Debtor country Lending party Tax ID Creditor name Creditor country Currency Over 1 year to 3 years Over 3 years to 5 years More than 5 years Total Type of amortization Interest Rate
              ThCh$ ThCh$ ThCh$ ThCh$   (%)
Bank borrowings                      
76,035,409-0 Cervecera Guayacán SpA. Chile 97,004,000-5 Banco de Chile Chile UF 15,198 16,263 21,940 53,401 Monthly 3.39
76,035,409-0 Cervecera Guayacán SpA. Chile 97,004,000-5 Banco de Chile Chile UF 25,276 28,272 47,416 100,964 Monthly 5.65
76,920,876-3 D&D SpA. Chile 97,006,000-6 Banco de Crédito e Inversiones Chile CLP 15,062 – – 15,062 At maturity 6.96
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP – 90,000,000 – 90,000,000 At maturity 7.17
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP – 30,000,000 – 30,000,000 At maturity 8.34
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP 2,000,000 – – 2,000,000 At maturity 8.70
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP 2,000,000 – – 2,000,000 At maturity 8.58
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP 1,000,000 – – 1,000,000 At maturity 8.04
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP – 6,726,334 – 6,726,334 At maturity 8.60
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP – 5,967,737 – 5,967,737 At maturity 8.00
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,018,000-1 Scotiabank Chile Chile CLP 2,994,217 – – 2,994,217 At maturity 3.95
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,018,000-1 Scotiabank Chile Chile CLP 1,651,019 – – 1,651,019 Semiannual 3.45
99,586,280-8 Compañía Pisquera de Chile S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP – 16,000,000 – 16,000,000 At maturity 8.66
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 486,291 648,388 162,097 1,296,776 Semiannual 5.50
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 1,080,648 1,080,648 2,026,213 4,187,509 Quarterly 5.00
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 2,240,038 2,240,038 3,920,067 8,400,143 Quarterly 5.00
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 720,432 960,576 – 1,681,008 Semiannual 5.50
Total             14,228,181 153,668,256 6,177,733 174,074,170    

 

(*) The amount based on the undiscounted contractual flows is found in Note 5 - Risk administration.

 

 

 

 

 

              Maturity (*)      
Debtor Tax ID Company Debtor country Registration ID No. Instrument Creditor country Currency Over 1 year to 3 years Over 3 years to 5 years More than 5 years Total Type of amortization Interest Rate
              ThCh$ ThCh$ ThCh$ ThCh$   (%)
Bond payable                        
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile Bond J 898 28/06/2018 Chile UF 10,270 10,158 110,456,141 110,476,569 Semiannual 2.90
90,413,000-1 Compañía Cervecerías Unidas S.A. (1) Chile Bond L 897 28/06/2018 Chile UF 55,527,378 13,876,608 – 69,403,986 Semiannual 1.20
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile Bond M 898 28/06/2018 Chile UF 526,108 526,108 73,976,883 75,029,099 Semiannual 1.60
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile Bond International 144A/Regulation S United States USD – – 520,409,088 520,409,088 Semiannual 3.35
90,413,000-1 Compañía Cervecerías Unidas S.A. (1) Chile Bond P 897 28/06/2018 Chile UF 56,014 56,014 73,680,966 73,792,994 Semiannual 3.35
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile Bond R 1115 20/08/2022 Chile UF – – 146,434,024 146,434,024 Semiannual 2.70
91,041,000-8 Viña San Pedro Tarapacá S.A. (2) Chile Bond D 986 12/12/2019 Chile UF 55,292,728 – – 55,292,728 Semiannual 1.00
Total             111,412,498 14,468,888 924,957,102 1,050,838,488    

 

(1) This obligation is hedged by a Cross Currency Swap agreement, Note 7 - Financial instruments.

(2) This obligation is partially hedged by a Cross Currency Swap agreement, Note 7 - Financial instruments.

(*) The amount based on the undiscounted contractual flows is found in Note 5 - Risk administration.

 

As of December 31, 2022:

 

              Maturity (*)      
Debtor Tax ID Company Debtor country Lending party Tax ID Creditor name Creditor country Currency Over 1 year to 3 years Over 3 years to 5 years More than 5 years Total Type of amortization Interest Rate
              ThCh$ ThCh$ ThCh$ ThCh$   (%)
Bank borrowings                      
76,035,409-0 Cervecera Guayacán SpA. Chile 97,004,000-5 Banco de Chile Chile UF 14,141 15,132 26,883 56,156 Monthly 3.39
76,035,409-0 Cervecera Guayacán SpA. Chile 97,004,000-5 Banco de Chile Chile UF 23,137 25,868 55,717 104,722 Monthly 5.65
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP – 40,000,000 – 40,000,000 At maturity 8.34
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,004,000-5 Banco del Estado de Chile Chile CLP 2,000,000 – – 2,000,000 At maturity 8.70
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP – 6,710,993 – 6,710,993 At maturity 8.60
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,018,000-1 Scotiabank Chile Chile CLP 2,998,735 – – 2,998,735 At maturity 3.95
96,981,310-6 Cervecería Kunstmann S.A. Chile 97,018,000-1 Scotiabank Chile Chile CLP 3,299,391 – – 3,299,391 Semiannual 3.45
99,586,280-8 Compañía Pisquera de Chile S.A. Chile 97,030,000-7 Banco del Estado de Chile Chile CLP – 16,000,000 – 16,000,000 At maturity 8.66
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 659,034 1,054,454 2,504,328 4,217,816 Quarterly 5.00
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 1,365,925 2,185,478 4,918,354 8,469,757 Quarterly 5.00
0-E Bebidas Bolivianas BBO S.A. Bolivia 0-E Banco Mercantil Santa Cruz S.A. Bolivia BOB 368,400 491,200 122,800 982,400 Semiannual 5.50
Total             10,728,763 66,483,125 7,628,082 84,839,970    

 

(*) The amount based on the undiscounted contractual flows is found in Note 5 - Risk administration.

 

              Maturity (*)      
Debtor Tax ID Company Debtor country Registration ID No. Instrument Creditor country Currency Over 1 year to 3 years Over 3 years to 5 years More than 5 years Total Type of amortization Interest Rate
              ThCh$ ThCh$ ThCh$ ThCh$   (%)
Bond payable                        
90,413,000-1 Compañía Cervecerías Unidas S.A. (1) Chile Bond H 573 03/23/2009 Chile UF 12,721,446 12,721,446 15,908,546 41,351,438 Semiannual 4.25
90,413,000-1 Compañía Cervecerías Unidas S.A. (1) Chile Bond J 898 06/28/2018 Chile UF 9,822 9,822 105,422,549 105,442,193 Semiannual 2.90
90,413,000-1 Compañía Cervecerías Unidas S.A. (1) Chile Bond L 897 06/28/2018 Chile UF 53,071,586 39,800,351 – 92,871,937 Semiannual 1.20
90,413,000-1 Compañía Cervecerías Unidas S.A. (1) Chile Bond M 898 06/28/2018 Chile UF 503,118 503,118 70,857,871 71,864,107 Semiannual 1.60
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile Bond Internacional 144A/Regulation S United States USD – – 506,983,975 506,983,975 Semiannual 3.35
90,413,000-1 Compañía Cervecerías Unidas S.A. (1) Chile Bond P 897 06/28/2018 Chile UF – – 70,444,041 70,444,041 Semiannual 3.35
90,413,000-1 Compañía Cervecerías Unidas S.A. Chile Bond R 1115 08/20/2022 Chile UF – – 139,714,703 139,714,703 Semiannual 2.70
91,041,000-8 Viña San Pedro Tarapacá S.A. (2) Chile Bond D 986 12/12/2019 Chile UF 344,064 52,666,470 – 53,010,534 Semiannual 1.00
Total             66,650,036 105,701,207 909,331,685 1,081,682,928    

 

(1) This obligation is hedged by a Cross Currency Swap agreement, Note 7 - Financial instruments.

(2) This obligation is partially hedged by a Cross Currency Swap agreement, Note 7 - Financial instruments.

(*) The amount based on the undiscounted contractual flows is found in Note 5 - Risk administration.

 

Details of the fair value of bank borrowings, financial leases obligations and bonds payable are described in Note 7 - Financial instruments.

 

The current effective interest rates of bond obligations are as follows:

 

 
Bonds Serie J 2.89%
Bonds Serie L 1.21%
Bonds Serie M 0.87%
Bonds International 3.30%
Bonds Serie D 0.53%
Bonds Serie P 3.36%
Bonds Serie R 2.81%

 

 

The terms and conditions of the main interest accruing obligations as of December 31, 2023, are detailed as follows:

 

A)Bank Borrowings

 

Banco del Estado de Chile - Bank Loans

 

a)On July 27, 2012, the subsidiary Compañía Pisquera Chile S.A. (CPCh) signed a bank loan with the Banco del Estado de Chile for a total of ThCh$ 16,000,000, with maturity on July 27, 2017.

 

This loan accrues interest at an annual fixed rate of 6.86% and an effective rate of 7.17% per annum. The subsidiary amortized interest semi-annually, and the capital amortization consists of a single payment at the end of the established term.

 

On July 27, 2017 this loan was renewed for 5 years, with maturity on July 27, 2022.

 

This loan accrues interest at an annual fixed rate of 4.68%. The Subsidiary pays interest semi-annually and the capital amortization consists of a single payment at the end of the established term.

 

On July 27, 2022 this loan was renewed for 5 years, with maturity on July 27, 2027.

 

This loan bears interest at a annual fixed rate of 8.664%. The company pays interests semiannually and the principal amortization consists of a single payment at the end of the established term.

 

This obligation is subject to certain reporting obligations in addition to complying with the following financial ratios, which will be measured on the half-yearly financial statements of CPCh:

 

-Maintain a Financial Expense Coverage not less than 3, calculated as the relationship between Gross Margin less Marketing costs, Distribution and Administration expenses, plus Other income by function, less Other expenses by function, plus Depreciation and Amortization, divided by Financial costs.

 

-Maintain a debt ratio of no more than 3, measured as Total liabilities divided by Equity.

 

-Maintain an Equity higher than UF 770,000.

 

In addition, this loan obliges CPCh to comply with certain restrictions of affirmative nature, including maintaining insurance, maintaining the ownership of essential assets, and also to comply with certain restrictions, such as not to pledge, mortgage or grant any kind of encumbrance or real right over any fixed asset with an individual accounting value higher than UF 10,000, except under the terms established by the agreement, among other.

 

On the other hand, the Company, through an agreement dated July 28, 2017, forces to maintain a direct or indirect shareholding of at least 50.1%, which allows it to control its subsidiary Compañía Pisquera de Chile S.A. during the term of this loan.

 

As of December 31, 2023, the subsidiary and CCU were in compliance with the financial covenants.

 

b)On April 16, 2021, the subsidiary Cervecería Kunstmann S.A. signed a bank loan with Banco del Estado de Chile for a total of ThCh$ 1,000,000, at a fixed interest rate maturing on April 17, 2023.

 

On April 17, 2023, this loan was renewed for a 3-year term, maturing on April 17, 2026.

 

The subsidiary amortizes interest semi-annually and principal in a single payment at the end of the established term.

 

c)On April 21, 2021, the subsidiary Cervecería Kunstmann S.A. signed a bank loan with Banco del Estado de Chile for a total of ThCh$ 2,000,000, at a fixed interest rate maturing on April 21, 2023.

 

On April 21, 2023, this loan was renewed for a 3-year term, maturing on April 21, 2026.

 

The subsidiary amortizes interest semi-annually and principal in a single payment at the end of the established term.

 

d)On July 19, 2022, the subsidiary Cervecería Kunstmann S.A. subscribed a bank loan with Banco del Estado de Chile for a total of ThCh$ 2,000,000, at a fixed interest rate, maturing on July 18, 2025.

 

The subsidiary amortizes interest semiannually and the principal in a single payment at the end of the established term.

 

e)On August 11, 2022, the subsidiary Cervecería Kunstmann S.A. subscribed a bank loan with Banco del Estado de Chile for a total of ThCh$ 6,750,000, at a fixed interest rate, maturing on August 11, 2027.

 

The subsidiary amortizes interest semiannually and the principal in a single payment at the end of the established term.

 

The bank loan mentioned above requires complying certain informational requirements and also compliance with certain financial ratios that are described below:

 

a.A Coverage of Financial Expenses higher than or equal to three times. For these purposes, Financial Expenses Coverage is defined as ORBDA divided by the item “Financial Expenses” of the Consolidated Financial Statements of the Debtor measured over the last 12 months, ORBDA is defined as the Operating Income plus Depreciation for the Year and plus amortization of Intangible Assets.

 

b.A ratio of Net Financial Debt to ORBDA less than or equal to three times. For these purposes the Net Financial Debt is the difference between /i/ the sum of the item “Others Financial Liabilities, Current and Non-Current”; and /ii/ the sum of the item "Cash and Cash Equivalent" in the Consolidated Financial Statements of the Debtor.

 

Additionally, this loan forces the subsidiary to comply with certain negative restrictions, such as not granting real guarantees. These are pledges and mortgages to guarantee its own or third-party obligations without prior authorization and by writing of the Bank for an amount equal to or greater than ten percent of the total fixed assets of the Debtor.

 

As at 31 December 2023, the subsidiary was in compliance with all the requirements of this obligation.

 

f)On May 12, 2023, the subsidiary Cervecería Kunstmann S.A. subscribed a bank loan with Banco del Estado de Chile for a total of ThCh$ 6,000,000, at a fixed interest rate, maturing on May 12, 2028.

 

The subsidiary amortizes interest semiannually and the principal in a single payment at the end of the established term.

 

The bank loan mentioned above requires complying certain informational requirements and also compliance with certain financial ratios that are described below:

 

a.A Coverage of Financial Expenses higher than or equal to three times. For these purposes, Financial Expenses Coverage is defined as ORBDA divided by the item “Financial Expenses” of the Consolidated Financial Statements of the Debtor measured over the last 12 months, ORBDA is defined as the Operating Income plus Depreciation for the Year and plus amortization of Intangible Assets.

 

b.A ratio of Net Financial Debt to ORBDA less than or equal to three times. For these purposes the Net Financial Debt is the difference between /i/ the sum of the item “Others Financial Liabilities, Current and Non-Current”; and /ii/ the sum of the item "Cash and Cash Equivalent" in the Consolidated Financial Statements of the Debtor.

 

Additionally, this loan forces the subsidiary to comply with certain negative restrictions, such as not granting real guarantees. These are pledges and mortgages to guarantee its own or third-party obligations without prior authorization and by writing of the Bank for an amount equal to or greater than ten percent of the total fixed assets of the Debtor.

 

As at 31 December 2023, the subsidiary was in compliance with all the requirements of this obligation.

 

g)On April 13, 2017, Compañía Cervecerías Unidas S.A. signed a bank loan with Banco del Estado de Chile for a total of ThCh$ 40,000,000 (current balance of ThCh$ 30,000,000 as of December 31, 2023), at a fixed interest rate, maturing on April 13, 2022.

 

On April 13, 2022, this loan was renewed for a 5-year term, maturing on April 13, 2027.

 

The Company amortizes interest semi-annually, and the capital amortization consists in a single payment at the end of the established term.

 

On March 31, 2023, ThCh$ 10,000,000 of principal due was paid in advance.

 

This obligation is subject to certain reporting obligations in addition to complying with the following financial ratios:

 

a.Maintain at the end of each quarter a level of Consolidated Net Financial Debt reflected in each of its quarterly Consolidated Financial Statements not greater than 1,5 times defined as the ratio between Net Financial Debt and Total Adjusted Equity, hereinafter “Consolidated Net Financial Debt Level”. To determine the Consolidated Net Financial Debt Level, it will be based on the quarterly Consolidated Financial Statements and the following will be considered: /i/ “Net Financial Debt”, the difference between /x/ the unpaid amount of the “Financial Debt”, which is the sum of the lines, current and non-current, Bank loans, Bonds and Obligations for financial leases, contained in the Note Other financial liabilities and will not be considered for the calculation and determination of Financial Debt Net, the total amount of the liability for the obligation for rights to use assets of the account or subaccount of "IFRS 16", current and non-current, and /y/ the balance of the Cash and Cash Equivalents item contained in the Statement Consolidated Financial Position of the Issuer, and /ii/ “Total Adjusted Equity” the sum of /x/ Total Equity e /y/ the sum of the accounts Provisional Dividends, Dividends provisioned according to policy, as well as all other accounts related to provision of dividends contained in the Statement Consolidated of Changes in the Issuer's Equity.

 

b.The Issuer must maintain a consolidated financial expense coverage of not less than 3 times, defined as the ratio between ORBDA and Financial Costs. ORBDA1 is the sum of the accounts Gross Margin and Other Income by Function, less the accounts Distribution Costs, Administrative Expenses and Other Expenses by Function and plus the line Depreciation and Amortization recorded in the Note Costs and Expenses by Nature. For Financial Costs, the account of the same name contained in the Consolidated Statement of Income by Function. The Consolidated Financial Expense Coverage will be calculated for the twelve consecutive months prior to the date of the corresponding Consolidated Financial Statements, including the month of closing of such Consolidated Financial Statements.

 

c.The Issuer shall maintain an Adjusted Shareholders' Equity at the consolidated level of at least ThCh$ 312,516,750. For these purposes, Adjusted Shareholders' Equity corresponds to the sum of /i/ the account Equity attributable to owners of the controlling company contained in the Consolidated Statement of Financial Position, and /ii/ the sum of the accounts Interim Dividends, Dividends provided according to policy, as well as all other accounts related to provision for dividends, contained in the Consolidated Statement of Changes in Shareholders' Equity.

 

d.The Issuer shall maintain unencumbered assets for an amount equal to at least 1.2 times the outstanding amount of unsecured financial debt, For these purposes, assets and debts shall be valued at book value. The term "unencumbered assets" means: /a/ the difference between /i/ the Total Assets account in the Consolidated Statement of Financial Position, and /ii/ the assets pledged as collateral indicated in the Note on Contingencies and Commitments of the Consolidated Financial Statements; and /b/ Financial Debt, the definition given to this term is found in the Indenture.

 

e.The Issuer shall maintain, either directly or indirectly, ownership over more than 50% of the subscribed and paid-up shares and over the voting rights of the following companies: Cervecera CCU Chile Ltda. and Embotelladoras Chilenas Unidas S.A.

 

f.Maintain a nominal installed capacity for the production, indistinctly, of Beer and/or Alcoholic Beverages and/or Nectars and/or Mineral and/or Bottled Waters, hereinafter the "Essential Businesses", equal to or not less, either with respect to one or more of the aforementioned categories or all of them together, than 15.9 million hectoliters per year.

 

g.The Issuer shall maintain, directly or through a subsidiary, ownership of the trademark "CRISTAL", word or word, for beer, in class 32 of the International Classifier of Products and Services for the registration of trademarks.

 

h.The Issuer shall not make investments in instruments issued by "related parties" other than its subsidiaries, nor to carry out with them other transactions outside its normal line of business, under conditions other than those established in Title XVI of the Corporations Law.

 

As of December 31, 2023, the Company was in compliance with the financial covenants.

 

h)On October 13, 2021, Compañía Cervecerías Unidas S.A. signed a bank loan with Scotiabank Chile for a total of ThCh$ 90,000,000, at a fixed interest rate, maturing on April 6, 2023.

1 ORBDA, for the Company purposes, is defined as Adjusted Operating Result before Depreciation and Amortization.

On April 6, 2023, the loan was renewed with Banco del Estado de Chile for a term of 5 years, maturing on April 6, 2028.

 

This obligation is subject to certain reporting obligations in addition to complying with the following financial ratios:

 

a.Maintain at the end of each quarter a level of Consolidated Net Financial Debt reflected in each of its quarterly Consolidated Financial Statements not greater than 1.5 times defined as the ratio between Net Financial Debt and Total Adjusted Equity, hereinafter “Consolidated Net Financial Debt Level”. To determine the Consolidated Net Financial Debt Level, it will be based on the quarterly Consolidated Financial Statements and the following will be considered: /i/ “Net Financial Debt”, the difference between /x/ the unpaid amount of the “Financial Debt”, which is the sum of the lines, current and non-current, Bank loans, Bonds and Obligations for financial leases, contained in the Note Other financial liabilities, and /ii/ “Total Adjusted Equity” the sum of /x/ Total Equity e /y/ the sum of the accounts Provisional Dividends, Dividends provisioned according to policy, as well as all other accounts related to provision of dividends contained in the Statement Consolidated of Changes in the Issuer's Equity.

 

b.The Issuer must maintain a Consolidated Financial Expense Coverage of no less than three times defined as the ratio between ORBDA2 and Financial Expenses. ORBDA is defined as the sum of the items Gross margin and Other income per function minus the items Distribution expenses, Administrative expenses, and Other expenses per function registered in the Consolidated Financial Statments of Incomes of the quarterly Consolidated Financial Statement of the issuer, plus the Depreciation and Amortization line recorded in the Note Costs and Expenses by Nature, Financial Expenses refers to the account of the same name referred to in the Consolidated Statement of Income by Function. The Consolidated Financial Expenses Coverage Ratio will be calculated for the period of 12 consecutive months prior to the date of the corresponding Consolidated Financial Statements including the closing month of said Consolidated Financial Statements.

 

c.The issuer must maintain an Adjusted Equity at a consolidated level for an amount of at least equal to ThCh$ 312,516,750. For these purposes, Adjusted Equity corresponds to the sum of /i/ the Equity account attributable to the owners of the controlling entity in the Consolidated Statement of Financial Position, and /ii/ the sum of the accounts Dividends, Dividends provisioned according to policy, as well as all other accounts relating to the provision of dividends, contained in the Consolidated Statement of Changes in Equity.

 

d.The issued must maintain Lien-Free Assets for an amount equal to at least 1.2 times the unpaid amount of the Financial Debt without collateral. For these purposes, the assets and debts will be valued at book value. The following shall be understood: /a/ Assets Free of Liens is the difference between /i/ the Total Assets account in the Consolidated Statement of Financial Position, and /ii/ the assets given as guarantees indicated in the Note on Contingencies and Commitments of the Consolidated Financial Statements; and /b/ Fianancial Debt is the definition given to said term in numeral Four letter a/ /i/ of the Fifteenth clause of the Issuance Contract. It is expressly recorded and established that as of the mandatory entry of IFRS 16 on January 1, 2019, which was issued and approved by the International Accounting Standards Board regarding the calculation of Financial Debt that must be made in accordance with numerals Four and Five of Clause Fifteen of the Issuance Contract after said date. The account or respective subaccount refers to the total amount of the liability for obligation for rights of use assets or the name that the Commission defines for this purpose. Due to the entry of the aforementioned standard, it must be disclosed as a financial liability within the items, Other current financial liabilities and Other non-current financial liabilities, which will not be considered, incorporated or used for the calculation and determination of said Financial Debt.

 

e.Maintain, directly or indirectly, the ownership of more than fifty percent of the social rights and of the subscribed and paid shares, respectively, of: /a/ Cervecera CCU Chile Limitada and /b/ Embotelladoras Chilenas Unidas S.A.

 

f.Maintain a nominal installed capacity for the production without distinction of Beers and/or non-alcoholic Beverages and/or Nectars and/or Mineral and/or Packaged Waters, Hereinafter, the "Essential Businesses" equal to and not inferior to either with respect to one or more of the aforementioned categories or all of them together, 15.9 million hectoliters per year.

 

g.Maintain directly or through a Subsidiary, the ownership of the trademark "CRISTAL", brand or word, for beer, in class 32 of the International Classifier of Products and Services for the registration of trademarks.

 

As of December 31, 2023, the Company was in compliance with the financial covenants.

 

2 ORBDA, for the Company purposes, is defined as Adjusted Operating Result before Depreciation and Amortization.

Banco de Chile - Bank Loans

 

a)On July 5, 2021, the subsidiary Cervecera GuayacánSpA. subscribed a bank loan with Banco de Chile for a total of UF 2,110 (equivalent to ThCh$ 61,213 as of December 31, 2023), at a fixed interest rate, maturing on June 5, 2031.

 

The subsidiary amortizes interest and principal on a monthly basis.

 

b)On December 17, 2021, the subsidiary Cervecera GuayacánSpA. subscribed a bank loan with Banco de Chile for a total of UF 3,663 (equivalent outstanding balance is ThCh$ 112,573 as of December 31, 2023), at a fixed interest rate, maturing on November 17, 2031.

 

The subsidiary amortizes interest and principal on a monthly basis.

 

Scotiabank Chile - Bank Loans

 

a)On December 9, 2019, the subsidiary Cervecería Kunstmann S.A. signed a bank loan with Scotiabank Chile for a total of ThCh$ 10,000,000 (equivalent outstanding balance is ThCh$ 3,333,333 as of December 31, 2023), at a fixed interest rate, maturing on December 9, 2025.

 

The subsidiary amortizes interest and capital semi-annually with a first payment on June 9, 2020.

 

The bank loan mentioned above requires complying certain informational requirements and also compliance with certain financial ratios that are described below:

 

i. A Coverage of Financial Expenses higher than or equal to three times. For these purposes, Financial Expenses Coverage is defined as ORBDA3 divided by the item “Financial Expenses” of the Consolidated Financial Statements of the Debtor measured over the last 12 months, ORBDA is defined as the Operating Income plus Depreciation for the Year and plus amortization of Intangible Assets.

 

ii. A ratio of Net Financial Debt to ORBDA less than or equal to three times. For these purposes the Net Financial Debt is the difference between /i/ the sum of the item “Others Financial Liabilities, Current and Non-Current”; and /ii/ the sum of the item "Cash and Cash Equivalent" in the Consolidated Financial Statements of the Debtor.

 

Additionally, this loan forces the subsidiary to comply with certain negative restrictions, such as not granting real guarantees. These are pledges and mortgages to guarantee its own or third-party obligations without prior authorization and by writing of the Bank for an amount equal to or greater than ten percent of the total fixed assets of the Debtor.

 

As of December 31, 2023, the subsidiary was in compliance with the financial covenants.

 

b)On March 17, 2020, the subsidiary Cervecería Kunstmann S.A. signed a bank loan with Scotiabank Chile for a total of ThCh$ 3,000,000 at a fixed interest rate and maturity on March 16, 2025.

 

The subsidiary amortizes interest semi-annually and capital amortization consists of a single payment at the end of the established term.

 

The bank loan mentioned above is required to comply certain informational requirements and also compliance with certain financial ratios that are described below:

 

i. A Coverage of Financial Expenses higher than or equal to three times. For these purposes, Financial Expenses Coverage is defined as ORBDA divided by the item “Financial Expenses” of the Consolidated Financial Statements of the Debtor measured over the last 12 months, ORBDA is defined as the Operating Income plus Depreciation for the Year and plus amortization of Intangible Assets.

 

ii. A ratio of Net Financial Debt to ORBDA less than or equal to three times, For these purposes, the Net Financial Debt is the difference between /i/ the sum of the item “Others Financial Liabilities, Current and Non-Current”; and /ii/ the sum of the item "Cash and Cash Equivalent" in the Consolidated Financial Statements of the Debtor.

3 ORBDA, for the Company purposes, is defined as Adjusted Operating Result before Depreciation and Amortization.

Additionally, this loan forces the subsidiary to comply with certain negative restrictions, such as not granting real guarantees. These are pledges and mortgages to guarantee its own or third-party obligations without prior authorization and by writing the Bank for an amount equal to or greater than ten percent of the total fixed assets of the Debtor.

 

As of December 31, 2023, the subsidiary was in compliance with the financial covenants.

 

c)On February 18, 2020, the subsidiary Bebidas CCU-PepsiCo SpA. signed a bank loan with Scotiabank Chile for a total of ThCh$ 2,000,000 at a fixed interest rate and maturity on February 18, 2023. The Company recognized the 50% of this loan in accordance with its participation on this joint operation.

 

The subsidiary amortizes interest semi-annually and capital amortization consists of a single payment at the end of the established term.

 

On February 18, 2023, the loan was fully paid.

 

Banco Itaú Corpbanca - Bank Loans

 

a)On April 23, 2019, the subsidiary Viña San Pedro Tarapacá S.A. signed a bank loan with Banco Itaú Corpbanca for a total of US$ 14,000,000, at a fixed interest rate, maturing on April 22, 2022.

 

The subsidiary amortizes interest semi-annually and capital amortization consists in a single payment at the end of the established term.

 

On April 22, 2022, this loan was repaid for a total equivalent of ThCh$ 11,657,130.

 

Banco Crédito e Inversiones - Bank loans

 

a)On May 18, 2020, D&D SpA. entered into a bank loan with Banco de Crédito e Inversiones for a total of ThCh$ 69,000 (equivalent outstanding balance is ThCh$ 7,054 December 31, 2023) at a fixed interest rate, maturing on April 24, 2024.

 

The Company amortizes interest and principal on a monthly basis.

 

b)On July 23, 2021, D&D SpA. entered into a bank loan with Banco de Crédito e Inversiones for a total of ThCh$ 100,000 (equivalent outstanding balance is ThCh$ 52,272 as of December 31, 2023) at a fixed interest rate, maturing on June 16, 2025.

 

The Company amortizes interest and principal on a monthly basis.

 

Banco Mercantil Santa Cruz S.A. - Bank loans

 

a)On June 26, 2017, the subsidiary BBO S.A. signed a bank loan with Banco Mercantil Santa Cruz S.A. for a total of 68,877,500 bolivians (current balance equivalent to ThCh$ 8,700,514 as of December 31, 2023), at a fixed interest rate, maturing on April 4, 2032.

 

The BBO subsidiary amortizes interest on a quarterly basis, and the capital amortization will begin to be settled from November 12, 2024 on a quarterly basis.

 

b)On May 31, 2019, the subsidiary BBO S.A. signed a bank loan with Banco Mercantil Santa Cruz S.A. for a total of 34,300,000 bolivians (current balance equivalent to ThCh$ 4,358,606 as of December 31, 2023), at a fixed interest rate, maturing on July 21, 2032.

 

The BBO subsidiary amortizes interest on a quarterly basis and the capital amortization will begin to be settled from October 31, 2024 on a quarterly basis.

 

c)On June 30, 2022, the subsidiary BBO S.A. signed a bank loan with Banco Mercantil Santa Cruz S.A. for a total of 17,150,000 bolivians (current balance equivalent to ThCh$ 2,181,030 as of December 31, 2023), at a fixed interest rate and maturing on June 25, 2028.

 

This loan accrues interest at a fixed interest rate. The BBO subsidiary will amortize interest on a semi-annual basis, and the capital amortization will begin to be settled on June 25, 2024 on a semi-annual basis.

d)On May 29, 2023, the subsidiary BBO S.A. signed a bank loan with Banco Mercantil Santa Cruz S.A. for a total of 10,290,000 bolivians (current balance equivalent to ThCh$ 1,316,159 as of December 31, 2023), at a fixed interest rate and maturing on May 10, 2029.

 

This loan accrues interest at a fixed interest rate. The BBO subsidiary will amortize interest on a semi-annual basis, and the capital amortization will begin to be settled on November 10, 2025 on a semi-annual basis.

 

B)Bonds

 

Series H Bonds - CCU S.A.

 

On March 23, 2009, under number 573, the Company recorded in the Securities Record the issue of bonds Series H for UF 2 million, with 21 years terms. Emission was placed in the local market on April 2, 2009. The issuance of the Bond H was UF 2 million with maturity on March 15, 2030, with a discount amounting to ThCh$ 156,952, and accrues interest at an annual fixed rate of 4.25%, with amortizes interest and capital annually.

 

By deed dated December 27, 2010 issued in the Notary of Ricardo San Martín Urrejola, under repertoires No. 36,446-2010, were amended Issue Contract Series H, in order to update certain references and to adapt to the new IFRS accounting rules.

 

The current issue was subscribed with Banco Santander Chile as representative of the bond holders and as paying bank, and it requires that the Company complies with the following financial covenants on its Consolidated Financial Statements and other specific requirements.

 

On September 15, 2023, the Company proceeded to prepay this bond for the total principal due at that date, equivalent to ThCh$ 42,757,520.

On the other hand, the inflationary risk associated with the interest rate, to which Bond H was exposed, was mitigated until the same date of prepayment of Bond H, through the use of Cross Currency Swap contracts, which left the rate fixed. See details of the Company's hedging in Note 7 - Financial instruments.

 

Series J Bonds - CCU S.A.

 

On June 28, 2018, CCU S.A. registered in the Securities Register, under the number 898, the issuance of its Series J Bond, bearer and dematerialized, for a total of UF 3 million (the balance outstanding is ThCh$ 110,368,080 as of December 31, 2023) with maturity on August 10, 2043. The Series J bonds will accrue on the unpaid capital expressed in Unidades de Fomento, an annual interest of 2.9%, compounded, due, calculated on the basis of equal semesters of 180 days, equivalent to 1.4396% semi-annual. Interest will accrue as of August 10, 2018, will be paid semiannually as of February 10, 2019.

 

The issue was subscribed with Banco BICE as the representative of the bond holders and the payer bank and requires the Company to comply with the following financial indicators with respect to its Consolidated Financial Statements and other specific requirements:  

 

a.Maintain at the end of each quarter a level of Consolidated Net Financial Debt reflected in each of its quarterly Consolidated Financial Statements not greater than 1.5 times defined as the ratio between Net Financial Debt and Total Adjusted Equity, hereinafter “Consolidated Net Financial Debt Level”. To determine the Consolidated Net Financial Debt Level, it will be based on the quarterly Consolidated Financial Statements and the following will be considered: /i/ “Net Financial Debt”, the difference between /x/ the unpaid amount of the “Financial Debt”, which is the sum of the lines, current and non-current, Bank loans, Bonds and Obligations for financial leases, contained in the Note Other financial liabilities and will not be considered for the calculation and determination of Financial Debt Net, the total amount of the liability for the obligation for rights to use assets of the account or subaccount of "IFRS 16", current and non-current, and /y/ the balance of the Cash and Cash Equivalents item contained in the Statement Consolidated Financial Position of the Issuer, and /ii/ “Total Adjusted Equity” the sum of /x/ Total Equity e /y/ the sum of the accounts Provisional Dividends, Dividends provisioned according to policy, as well as all other accounts related to provision of dividends contained in the Statement Consolidated of Changes in the Issuer's Equity.

 

b.The Issuer must maintain a consolidated financial expense coverage of not less than three times, defined as the ratio between ORBDA4 and Financial Expenses. ORBDA is the sum of the accounts Gross margin and Other income per

4 ORBDA, for the Company purposes, is defined as Adjusted Operating Result before Depreciation and Amortization.

function, minus the accounts Distribution expenses, Administrative expenses and Other expenses per function and plus the Depreciation and Amortization line recorded in the Note Costs and Expenses by Nature. Financial Expenses refers to the account of the same name referred to in the Consolidated Statement of Income by Function. The Consolidated Financial Expenses Coverage Ratio will be calculated for the period of twelve consecutive months prior to the date of the corresponding Consolidated Financial Statements, including the closing month of said Consolidated Financial Statements.

 

c.Maintain an Adjusted Equity at a consolidated level for an amount of at least equal to ThCh$ 312,516,750. For these purposes, Adjusted Equity corresponds to the sum of / i / the Equity account attributable to the owners of the controlling entity in the Consolidated Statement of Financial Position, and / ii / the sum of the accounts Interim Dividends, Dividends provisioned according to policy, as well as all other accounts relating to the provision of dividends, contained in the Consolidated Statement of Changes in Equity.

 

d.Maintain Lien-Free Assets for an amount equal to at least 1.2 times the unpaid amount of the Financial Debt without collateral. For these purposes, the assets and debts will be valued at book value. The following shall be understood: / a / Assets Free of Liens is the difference between / i / the Total Assets account in the Consolidated Statement of Financial Position, and / ii / the assets given as guarantees indicated in the Note on Contingencies and Commitments of the Consolidated Financial Statements; and / b / Financial Debt is defined in the Issuance Contract.

 

e.Maintain, directly or indirectly, the ownership of more than fifty percent of the social rights and of the subscribed and paid shares, respectively, of: / a / Cervecera CCU Chile Limitada and / b / Embotelladoras Chilenas Unidas S.A.

 

f.Not to sell, nor allow them to be sold, nor assign ownership and not to transfer and/or in any way dispose of, either through one transaction or a series of transactions, directly or indirectly, assets owned by it and its subsidiaries, necessary to maintain in Chile, directly and/or through one or more subsidiaries, a nominal installed capacity for the production without distinction of Beers and / or non-alcoholic Beverages and / or Nectars and / or Mineral and / or Packaged Waters, Hereinafter, the "Essential Businesses" equal to and not inferior to, either with respect to one or more of the aforementioned categories or all of them together, 15.9 million hectoliters per year.

 

g.To maintain directly or through a subsidiary, the ownership of the trademark "CRISTAL", brand or word, for beer, in class 32 of the International Classifier of Products and Services for the registration of trademarks.

 

h.Not to make investments in instruments issued by "related parties" other than the Company’s Subsidiaries, nor to carry out other operations outside its normal line of business under conditions different from those established in the contract.

 

The inflationary risk associated with the interest rate to which the J Bond is exposed was mitigated through the use of Cross Currency Swap contracts, which left the rate fixed until August 11, 2023, the date on which it was settled. See details of the Company's hedging in Note 7 - Financial instruments.

 

As of December 31, 2023, the Company was in compliance with the financial covenants.

 

Series L Bonds - CCU S.A.

 

On June 28, 2018 under the number 897, CCU S.A. recorded in the Securities Registry the issuance of a 10-years Bonds line. The issuer may issue one or more series of Bonds directed to the market general.

 

By public complimentary deed on June 10, 2020 the Company recorded in the Securities Record the issue of Bonds Series L for UF 3 million (the balance outstanding is ThCh$ 110,368,080 as of December 31, 2023), maturing on June 1, 2027. The L Series Bonds will accrue on the unpaid capital expressed in UF an interest rate of 1.20% calculated on the basis of equal semesters of 180 days, equivalent to 0.5982% semiannual. The interests will be accrued from June 1, 2020 and will be paid semiannually as from December 1, 2020. The capital will be paid semiannually as from December 1, 2023.

 

The issue was subscribed with Banco BICE as representative of the bond holders and as paying bank and it requires that the Company complies with the following financial covenants on its Consolidated Financial Statements and other specific requirements:

 

a.Maintain at the end of each quarter a level of Consolidated Net Financial Debt reflected in each of its quarterly Consolidated Financial Statements not greater than 1.5 times defined as the ratio between Net Financial Debt and Total Adjusted Equity, hereinafter “Consolidated Net Financial Debt Level”. To determine the Consolidated Net Financial Debt Level, it will be based on the quarterly Consolidated Financial Statements and the following will be considered: /i/ “Net Financial Debt”, the difference between /x/ the unpaid amount of the “Financial Debt”, which is the sum of the lines, current and non-current, Bank loans, Bonds and Obligations for financial leases, contained in the Note Other financial liabilities and will not be considered for the calculation and determination of Financial Debt Net, the total amount of the liability for the obligation for rights to use assets of the account or subaccount of "IFRS 16", current and non-current, and /y/ the balance of the Cash and Cash Equivalents item contained in the Statement Consolidated Financial Position of the Issuer, and /ii/ “Total Adjusted Equity” the sum of /x/ Total Equity e /y/ the sum of the accounts Provisional Dividends, Dividends provisioned according to policy, as well as all other accounts related to provision of dividends contained in the Statement Consolidated of Changes in the Issuer's Equity.

 

b.The Issuer must maintain a Consolidated Financial Expense Coverage of no less than three times defined as the ratio between ORBDA5 and Financial Expenses. ORBDA is defined as the sum of the items Gross margin and Other income per function minus the items Distribution expenses, Administrative expenses, and Other expenses per function registered in the Consolidated Financial Statments of Incomes of the quarterly Consolidated Financial Statement of the issuer, plus the Depreciation and Amortization line recorded in the Note Costs and Expenses by Nature. Financial Expenses refers to the account of the same name referred to in the Consolidated Statement of Income by Function. The Consolidated Financial Expenses Coverage Ratio will be calculated for the period of 12 consecutive months prior to the date of the corresponding Consolidated Financial Statements including the closing month of said Consolidated Financial Statements.

 

c.The issuer must maintain an Adjusted Equity at a consolidated level for an amount of at least equal to ThCh$ 312,516,750. For these purposes, Adjusted Equity corresponds to the sum of /i/ the Equity account attributable to the owners of the controlling entity in the Consolidated Statement of Financial Position, and /ii/ the sum of the accounts Dividends, Dividends provisioned according to policy, as well as all other accounts relating to the provision of dividends, contained in the Consolidated Statement of Changes in Equity.

 

d.The issued must maintain Lien-Free Assets for an amount equal to at least 1.2 times the unpaid amount of the Financial Debt without collateral. For these purposes, the assets and debts will be valued at book value. The following shall be understood: /a/ Assets Free of Liens is the difference between /i/ the Total Assets account in the Consolidated Statement of Financial Position, and /ii/ the assets given as guarantees indicated in the Note on Contingencies and Commitments of the Consolidated Financial Statements; and /b/ Fianancial Debt is the definition given to said term in numeral Four letter a/ /i/ of the Fifteenth clause of the Issuance Contract. It is expressly recorded and established that as of the mandatory entry of IFRS 16 on January 1, 2019, which was issued and approved by the International Accounting Standards Board regarding the calculation of Financial Debt that must be made in accordance with numerals Four and Five of Clause Fifteen of the Issuance Contract after said date. The account or respective subaccount refers to the total amount of the liability for obligation for rights of use assets or the name that the Commission defines for this purpose. Due to the entry of the aforementioned standard, it must be disclosed as a financial liability within the items, Other current financial liabilities and Other non-current financial liabilities, which will not be considered, incorporated or used for the calculation and determination of said Financial Debt.

 

e.Maintain, directly or indirectly, the ownership of more than fifty percent of the social rights and of the subscribed and paid shares, respectively, of: /a/ Cervecera CCU Chile Limitada and /b/ Embotelladoras Chilenas Unidas S.A.

 

f.Not sell, nor allow the sale of, nor assign the ownership of, nor transfer and/or in any way alienate, either through a transaction or a series of transactions, directly or indirectly, assets of the Company’s property and/or its subsidiaries necessary, to maintain in Chile, directly and/or through one or more Subsidiaries, a nominal installed capacity for the production without distinction of Beers and/or non-alcoholic Beverages and/or Nectars and/or Mineral and/or Packaged Waters, Hereinafter, the "Essential Businesses" equal to and not inferior to either with respect to one or more of the aforementioned categories or all of them together, 15.9 million hectoliters per year.

 

g.Maintain directly or through a Subsidiary, the ownership of the trademark "CRISTAL", brand or word, for beer, in class 32 of the International Classifier of Products and Services for the registration of trademarks.

 

5 ORBDA, for the Company purposes, is defined as Adjusted Operating Result before Depreciation and Amortization.

h.Not to make investments in instruments issued by "related parties" other than the Company’s Subsidiaries, nor to carry out other operations outside its normal line of business, under conditions different from those established in Chapter XVI of open stocks companies law.

The inflation risk associated to the interest rate to which Bond L is exposed is mitigated through the use of Cross Currency Swap contracts, which fix the rate. See details of the Company's hedging in Note 7 – Financial Instruments.

As of December 31, 2023, the Company was in compliance with the financial covenants.

 

Series M Bonds - CCU S.A.

 

On June 28, 2018 under the number 898, CCU S.A. recorded in the Securities Registry the issuance of a 30-years Bonds line. The issuer may issue one or more series of Bonds directed to the market general.

 

As stated in a complementary public deed, dated June 10, 2020, the Series M Bond has been placed, bearer and dematerialized, for a total of UF 2 million (the balance outstanding is ThCh$ 73,578,720 as of December 31, 2023) with maturity on June 1, 2030. The Series M bonds will accrue interest at an annual rate of 1.60% per annum on the unpaid principal expressed in Unidades de Fomento, compounded, due, calculated on the basis of equal semesters of 180 days, equivalent to 0.7968% per semester. Interest will accrue as from June 1, 2020, will be paid semi-annually as from December 1, 2020 and principal will be paid at the end of the bond term.

 

The issue was subscribed with Banco BICE as representative of the bond holders and as paying bank, It requires that the Company complies with the following financial covenants on its Consolidated Financial Statements and other specific requirements:

 

a.Maintain at the end of each quarter a level of Consolidated Net Financial Debt reflected in each of its quarterly Consolidated Financial Statements not greater than 1.5 times defined as the ratio between Net Financial Debt and Total Adjusted Equity, hereinafter “Consolidated Net Financial Debt Level”. To determine the Consolidated Net Financial Debt Level, it will be based on the quarterly Consolidated Financial Statements and the following will be considered: /i/ “Net Financial Debt”, the difference between /x/ the unpaid amount of the “Financial Debt”, which is the sum of the lines, current and non-current, Bank loans, Bonds and Obligations for financial leases, contained in the Note Other financial liabilities and will not be considered for the calculation and determination of Financial Debt Net, the total amount of the liability for the obligation for rights to use assets of the account or subaccount of "IFRS 16", current and non-current, and /y/ the balance of the Cash and Cash Equivalents item contained in the Statement Consolidated Financial Position of the Issuer, and /ii/ “Total Adjusted Equity” the sum of /x/ Total Equity e /y/ the sum of the accounts Provisional Dividends, Dividends provisioned according to policy, as well as all other accounts related to provision of dividends contained in the Statement Consolidated of Changes in the Issuer's Equity.

 

b.The Issuer must maintain a Consolidated Financial Expense Coverage of not less than three times defined as the ratio between ORBDA6 and Financial Expenses. ORBDA is defined as the sum of the items Gross margin and Other income per function minus the items Distribution expenses, Administrative expenses, and Other expenses per function registered in the Consolidated Financial Statments of Incomes of the quarterly Consolidated Financial Statement of the issuer, plus the Depreciation and Amortization line recorded in the Note Costs and Expenses by Nature. Financial Expenses refers to the account of the same name referred to in the Consolidated Statement of Income by Function. The Consolidated Financial Expenses Coverage Ratio will be calculated for the period of 12 consecutive months prior to the date of the corresponding Consolidated Financial Statements, including the closing month of said Consolidated Financial Statements.

 

c.The issuer must maintain an Adjusted Equity at a consolidated level for an amount of at least equal to ThCh$ 312,516,750. For these purposes, Adjusted Equity corresponds to the sum of /i/ the Equity account attributable to the owners of the controlling entity in the Consolidated Statement of Financial Position, and /ii/ the sum of the accounts Dividends, Dividends provisioned according to policy, as well as all other accounts relating to the provision of dividends, contained in the Consolidated Statement of Changes in Equity.

 

d.The issued must maintain Lien-Free Assets for an amount equal to at least 1.2 times the unpaid amount of the Financial Debt without collateral. For these purposes, the assets and debts will be valued at book value. The following shall be understood: /a/ Assets Free of Liens is the difference between /i/ the Total Assets account in the Consolidated Statement of Financial Position, and /ii/ the assets given as guarantees indicated in the Note on Contingencies and Commitments

6 ORBDA, for the Company purposes, is defined as Adjusted Operating Result before Depreciation and Amortization.

of the Consolidated Financial Statements, and /b/ Fianancial Debt is the definition given to said term in numeral Four letter a/ /i/ of the Fifteenth clause of the Issuance Contract. It is expressly recorded and established that as of the mandatory entry of IFRS 16 on January 1, 2019, it was issued and approved by the International Accounting Standards Board, Regarding the calculation of Financial Debt that must be made in accordance with numerals Four and Five of Clause Fifteen of the Issuance Contract after said date, the account or respective subaccount referred to the total amount of the liability for obligation for rights of use assets or the name that the Commission defines for this purpose. Due to the mandatory entry of the aforementioned, the standard must be disclosed as a financial liability within the items Other current financial liabilities and Other non-current financial liabilities, will not be considered, incorporated or used for the calculation and determination of said Financial Debt.

 

e.Maintain directly or indirectly, the ownership of more than fifty percent of the social rights and of the subscribed and paid shares, respectively of: /a/ Cervecera CCU Chile Limitada and /b/ Embotelladoras Chilenas Unidas S.A.

 

f.Not sell, nor allow the sale of, nor assign the ownership of, nor transfer and/or in any way alienate, either through a transaction or a series of transactions, directly or indirectly, assets of the Company’s property and/or its subsidiaries necessary, to maintain in Chile, directly and/or through one or more Subsidiaries, a nominal installed capacity for the production, without distinction of Beers and/or non-alcoholic Beverages and/or Nectars and/or Mineral and/or Packaged Waters, Hereinafter, the "Essential Businesses" equal to and not inferior to, either with respect to one or more of the aforementioned categories or all of them together, 15.9 million hectoliters per year.

 

g.Maintain directly or through a Subsidiary, the ownership of the trademark "CRISTAL", brand or word, for beer, in class 32 of the International Classifier of Products and Services for the registration of trademarks.

 

h.Not to make investments in instruments issued by "related parties" other than the Company’s Subsidiaries, nor to carry out other operations outside its normal line of business under conditions different from those established in Chapter XVI of open stocks companies law.

 

The inflationary risk associated to the interest rate in which this Bond M is exposed is mitigated by the use of Cross Currency Swap contracts, which leaves the rate fixed until June 1, 2023, the date on which it was liquidated. See details of the Company's hedging in Note 7 - Financial instruments.

 

As of December 31, 2023, the Company was in compliance with the financial covenants.

 

Series P Bonds - CCU S.A.

 

On March 15, 2022 under the number 897, CCU S.A. recorded in the Securities Registry the issuance of a 10-years Bonds line. The issuer may issue one or more series of Bonds directed to the market general.

 

As stated in a complementary public deed, dated March 30, 2022, the Series P Bond has been placed, bearer and dematerialized, for a total of UF 2 million (the balance outstanding is ThCh$ 73,578,720 as of December 31, 2023) with maturity on March 15, 2032. The Series P bonds will accrue interest at an annual rate of 3.35% per annum on the unpaid principal expressed in Unidades de Fomento, compounded, due, calculated on the basis of equal semesters of 180 days, equivalent to 1.6% per semester, Interest will accrue as from March 15, 2022, will be paid semi-annually as from September 15, 2022 and principal will be paid at the end of the bond term.

 

The issue was subscribed with Banco BICE as representative of the bond holders and as paying bank. It requires that the Company complies with the following financial covenants on its Consolidated Financial Statements and other specific requirements:

 

a.Maintain at the end of each quarter a level of Consolidated Net Financial Debt reflected in each of its quarterly Consolidated Financial Statements not greater than 1.5 times defined as the ratio between Net Financial Debt and Total Adjusted Equity, hereinafter “Consolidated Net Financial Debt Level”. To determine the Consolidated Net Financial Debt Level, it will be based on the quarterly Consolidated Financial Statements and the following will be considered: /i/ “Net Financial Debt”, the difference between /x/ the unpaid amount of the “Financial Debt”, which is the sum of the lines, current and non-current, Bank loans, Bonds and Obligations for financial leases, contained in the Note Other financial liabilities and will not be considered for the calculation and determination of Financial Debt Net, the total amount of the liability for the obligation for rights to use assets of the account or subaccount of "IFRS 16", current and non-current, and /y/ the balance of the Cash and Cash Equivalents item contained in the Statement Consolidated Financial Position of the Issuer, and /ii/ “Total Adjusted Equity” the sum of /x/ Total Equity e /y/ the sum of the accounts Provisional Dividends,

Dividends provisioned according to policy, as well as all other accounts related to provision of dividends contained in the Statement Consolidated of Changes in the Issuer's Equity.

 

b.The Issuer must maintain a Consolidated Financial Expense Coverage of not less than three times defined as the ratio between ORBDA7 and Financial Expenses. ORBDA is defined as the sum of the items Gross margin and Other income per function minus the items Distribution expenses, Administrative expenses, and Other expenses per function registered in the Consolidated Financial Statments of Incomes of the quarterly Consolidated Financial Statement of the issuer, plus the Depreciation and Amortization line recorded in the Note Costs and Expenses by Nature. Financial Expenses refers to the account of the same name referred to in the Consolidated Statement of Income by Function. The Consolidated Financial Expenses Coverage Ratio will be calculated for the period of 12 consecutive months prior to the date of the corresponding Consolidated Financial Statements, including the closing month of said Consolidated Financial Statements.

 

c.The issuer must maintain an Adjusted Equity at a consolidated level for an amount of at least equal to ThCh$ 312,516,750. For these purposes, Adjusted Equity corresponds to the sum of /i/ the Equity account attributable to the owners of the controlling entity in the Consolidated Statement of Financial Position, and /ii/ the sum of the accounts Dividends, Dividends provisioned according to policy, as well as all other accounts relating to the provision of dividends, contained in the Consolidated Statement of Changes in Equity.

 

d.The issued must maintain Lien-Free Assets for an amount equal to at least 1.2 times the unpaid amount of the Financial Debt without collateral. For these purposes, the assets and debts will be valued at book value. The following shall be understood: /a/ Assets Free of Liens is the difference between /i/ the Total Assets account in the Consolidated Statement of Financial Position, and /ii/ the assets given as guarantees indicated in the Note on Contingencies and Commitments of the Consolidated Financial Statements, and /b/ Fianancial Debt is the definition given to said term in numeral Four letter a/ /i/ of the Fifteenth clause of the Issuance Contract. It is expressly recorded and established that as of the mandatory entry of IFRS 16 on January 1, 2019, it was issued and approved by the International Accounting Standards Board, Regarding the calculation of Financial Debt that must be made in accordance with numerals Four and Five of Clause Fifteen of the Issuance Contract after said date, the account or respective subaccount referred to the total amount of the liability for obligation for rights of use assets or the name that the Commission defines for this purpose. Due to the mandatory entry of the aforementioned, the standard must be disclosed as a financial liability within the items Other current financial liabilities and Other non-current financial liabilities, will not be considered, incorporated or used for the calculation and determination of said Financial Debt.

 

e.Maintain directly or indirectly, the ownership of more than fifty percent of the social rights and of the subscribed and paid shares, respectively of: /a/ Cervecera CCU Chile Limitada and /b/ Embotelladoras Chilenas Unidas S.A.

 

f.Not sell, nor allow the sale of, nor assign the ownership of, nor transfer and/or in any way alienate, either through a transaction or a series of transactions, directly or indirectly, assets of the Company’s property and/or its subsidiaries necessary, to maintain in Chile, directly and/or through one or more Subsidiaries, a nominal installed capacity for the production, without distinction of Beers and/or non-alcoholic Beverages and/or Nectars and/or Mineral and/or Packaged Waters, Hereinafter, the "Essential Businesses" equal to and not inferior to, either with respect to one or more of the aforementioned categories or all of them together, 15.9 million hectoliters per year.

 

g.Maintain directly or through a Subsidiary, the ownership of the trademark "CRISTAL", brand or word, for beer, in class 32 of the International Classifier of Products and Services for the registration of trademarks.

 

h.Not to make investments in instruments issued by "related parties" other than the Company’s Subsidiaries, nor to carry out other operations outside its normal line of business under conditions different from those established in Chapter XVI of open stocks companies law.

 

The inflationary risk associated to the interest rate in which this Bond P is exposed is mitigated by the use of Cross Currency Swap contracts, which fix the rate. See details of the Company's hedging in Note 7 - Financial instruments.

 

As of December 31, 2023, the Company was in compliance with the financial covenants.

 

7 ORBDA, for the Company purposes, is defined as Adjusted Operating Result before Depreciation and Amortization.

Series International - CCU S.A.

 

On January 19, 2022, the Company issued and placed in the international markets bonds in the amount of US$ 600,000,000 (equivalent to ThCh$ 526,272,000 as of December 31, 2023), with an annual interest rate of 3.350%, payable semiannually for a term of 10 years, and payment of principal in one installment at maturity on January 19, 2032, subject to Rule 144 and Regulation S of the U.S. Securities Act of 1933.

 

Bond Serie R - CCU S.A.

 

On August 30, 2022 and under number 1,115, CCU S.A. registered in the relevant securities registry a new line of bonds, in which a line of 30-year bonds was established, under which the issuer may issue one or more series of bonds to the market.

 

As stated in the complementary public documents dated August 26, 2022, the Series R Bond, bearer and dematerialized, has been placed for a total of UF 4 million (equivalent to ThCh$ 147,157,440 as of December 31, 2023), maturing on September 15, 2042. The Series R bonds will accrue a compounded annual interest rate of 2.70% on the outstanding principal, expressed in Unidades de Fomento, calculated on the basis of equal semesters of 180 days, equivalent to 1.3410% semiannually. Interest will be accrued as from September 15, 2022, and will be paid semi-annually as from March 15, 2023. The principal will be paid at the end of the bond term.

 

The issue was subscribed with Banco BICE as representative of the bondholders and paying bank, requiring that the Company complies with the following covenants with respect to its Consolidated Financial Statements and other specific requirements:

 

a.Maintain at the end of each quarter a level of Consolidated Net Financial Debt reflected in each of its quarterly Consolidated Financial Statements not greater than 1.5 times defined as the ratio between Net Financial Debt and Total Adjusted Equity, hereinafter “Consolidated Net Financial Debt Level”. To determine the Consolidated Net Financial Debt Level, it will be based on the quarterly Consolidated Financial Statements and the following will be considered: /i/ “Net Financial Debt”, the difference between /x/ the unpaid amount of the “Financial Debt”, which is the sum of the lines, current and non-current, Bank loans, Bonds and Obligations for financial leases, contained in the Note Other financial liabilities, and /ii/ “Total Adjusted Equity” the sum of /x/ Total Equity e /y/ the sum of the accounts Provisional Dividends, Dividends provisioned according to policy, as well as all other accounts related to provision of dividends contained in the Statement Consolidated of Changes in the Issuer's Equity.

 

b.The Issuer must maintain a Consolidated Financial Expense Coverage of no less than three times defined as the ratio between ORBDA8 and Financial Expenses. ORBDA is defined as the sum of the items Gross margin and Other income per function minus the items Distribution expenses, Administrative expenses, and Other expenses per function registered in the Consolidated Financial Statments of Incomes of the quarterly Consolidated Financial Statement of the issuer, plus the Depreciation and Amortization line recorded in the Note Costs and Expenses by Nature, Financial Expenses refers to the account of the same name referred to in the Consolidated Statement of Income by Function. The Consolidated Financial Expenses Coverage Ratio will be calculated for the period of 12 consecutive months prior to the date of the corresponding Consolidated Financial Statements including the closing month of said Consolidated Financial Statements.

 

c.The issuer must maintain an Adjusted Equity at a consolidated level for an amount of at least equal to ThCh$ 312,516,750. For these purposes, Adjusted Equity corresponds to the sum of /i/ the Equity account attributable to the owners of the controlling entity in the Consolidated Statement of Financial Position, and /ii/ the sum of the accounts Dividends, Dividends provisioned according to policy, as well as all other accounts relating to the provision of dividends, contained in the Consolidated Statement of Changes in Equity.

 

d.The issued must maintain Lien-Free Assets for an amount equal to at least 1.2 times the unpaid amount of the Financial Debt without collateral. For these purposes, the assets and debts will be valued at book value. The following shall be understood: /a/ Assets Free of Liens is the difference between /i/ the Total Assets account in the Consolidated Statement of Financial Position, and /ii/ the assets given as guarantees indicated in the Note on Contingencies and Commitments of the Consolidated Financial Statements; and /b/ Fianancial Debt is the definition given to said term in numeral Four letter a/ /i/ of the Fifteenth clause of the Issuance Contract. It is expressly recorded and established that as of the mandatory entry of IFRS 16 on January 1, 2019, which was issued and approved by the International Accounting Standards Board regarding the calculation of Financial Debt that must be made in accordance with numerals Four and Five of Clause Fifteen of the Issuance Contract after said date. The account or respective subaccount refers to the total amount of the

8 ORBDA, for the Company purposes, is defined as Adjusted Operating Result before Depreciation and Amortization.

liability for obligation for rights of use assets or the name that the Commission defines for this purpose. Due to the entry of the aforementioned standard, it must be disclosed as a financial liability within the items, Other current financial liabilities and Other non-current financial liabilities, which will not be considered, incorporated or used for the calculation and determination of said Financial Debt.

 

e.Maintain, directly or indirectly, the ownership of more than fifty percent of the social rights and of the subscribed and paid shares, respectively, of: /a/ Cervecera CCU Chile Limitada and /b/ Embotelladoras Chilenas Unidas S.A.

 

f.Not sell, nor allow the sale of, nor assign the ownership of, nor transfer and/or in any way alienate, either through a transaction or a series of transactions, directly or indirectly, assets of the Company’s property and/or its subsidiaries necessary, to maintain in Chile, directly and/or through one or more Subsidiaries, a nominal installed capacity for the production without distinction of Beers and/or non-alcoholic Beverages and/or Nectars and/or Mineral and/or Packaged Waters, Hereinafter, the "Essential Businesses" equal to and not inferior to either with respect to one or more of the aforementioned categories or all of them together, 15.9 million hectoliters per year.

 

g.Maintain directly or through a Subsidiary, the ownership of the trademark "CRISTAL", brand or word, for beer, in class 32 of the International Classifier of Products and Services for the registration of trademarks.

 

h.Not to make investments in instruments issued by "related parties" other than the Company’s Subsidiaries, nor to carry out other operations outside its normal line of business, under conditions different from those established in Chapter XVI of open stocks companies law.

 

As of December 31, 2023, the Company was in compliance with the financial covenants.

 

Series D Bonds - VSPT S.A.

 

On December 12, 2019 under the number 986, VSPT recorded in the Securities Registry the issuance of a 10-years Bonds line. The issuer may issue one or more series of Bonds directed to the market general.

 

By public complimentary deed on June 10, 2020, VSPT recorded in the Securities Record the issue of Bonds Series D for UF 1.5 millions (equivalent to ThCh$ 55,184,040 as of December 31, 2023), maturing on June 1, 2025. The interest and capital will be paid semiannually from December 1, 2020 at a fixed interest rate of 1.00% annually.

 

The issue was subscribed with Banco BICE as representative of the bond holders and as paying bank and requires that the Company comply with the following financial covenants on its Consolidated Financial Statements and other specific requirements:

 

a.Maintain at the end of each quarter a level of Consolidated Net Financial Debt reflected in each of its quarterly Consolidated Financial Statements not greater than 1.5 times defined as the ratio between Net Financial Debt and Total Adjusted Equity, hereinafter “Consolidated Net Financial Debt Level”. To determine the Consolidated Net Financial Debt Level, it will be based on the quarterly Consolidated Financial Statements and the following will be considered: /i/ “Net Financial Debt”, the difference between /x/ the unpaid amount of the “Financial Debt”, which is the sum of the lines, current and non-current, Bank loans, Bonds and Obligations for financial leases, contained in the Note Other financial liabilities and will not be considered for the calculation and determination of Financial Debt Net, the total amount of the liability for the obligation for rights to use assets of the account or subaccount of "IFRS 16", current and non-current, and /y/ the balance of the Cash and Cash Equivalents item contained in the Statement Consolidated Financial Position of the Issuer, and /ii/ “Total Adjusted Equity” the sum of /x/ Total Equity e /y/ the sum of the accounts Provisional Dividends, Dividends provisioned according to policy, as well as all other accounts related to provision of dividends contained in the Statement Consolidated of Changes in the Issuer's Equity.

 

b.The Issuer must maintain a Consolidated Financial Expense Coverage of no less than 2.5 times defined as the ratio between ORBDA9 and Financial Expenses hereinafter, "Consolidated Financial Expense Coverage". For these purposes the following must be considered: /i/ ORBDA is defined as the sum of the items Gross margin and Other income per function, minus the items Distribution expenses, Administrative expenses and Other expenses per function registered in the Consolidated Financial Statments of Incomes of the quarterly Consolidated Financial Statement of the issuer, plus the Depreciation and Amortization line recorded in the Note Costs and Expenses by Nature, /ii/ Financial Expenses refers to the account of the same name referred to in the Consolidated Statement of Income by Function, The

9 ORBDA, for the Company purposes, is defined as Adjusted Operating Result before Depreciation and Amortization.

Consolidated Financial Expenses Coverage Ratio will be calculated for the period of 12 consecutive months prior to the date of the corresponding Consolidated Financial Statements, including the closing month of said Consolidated Financial Statements.

 

c.The issuer must maintain an Adjusted Equity at a consolidated level for an amount of at least equal to ThCh$ 100,000,000 at the issuing of every quarterly Consolidated Financial Statement. For these purposes, Adjusted Equity corresponds to the sum of /i/ the Equity account attributable to the owners of the controlling entity in the Consolidated Statement of Financial Position, /ii/ the sum of the accounts Dividends, Dividends provisioned according to policy, as well as all other accounts relating to the provision of dividends, contained in the Consolidated Statement of Changes in Equity of the issuer.

 

d.Not to make investments in instruments issued by "related parties" other than the Company’s Subsidiaries, nor to carry out other operations outside its normal line of business, under conditions different from those established in the contract with related parties, and neither carry out other operations outside its normal line of business.

 

e.It is obliged to record the provisions that arise from adverse contingencies, which in the opinion of the administration should be referred to in the Consolidated Financial Statements.

The exchange rate risk to which Bond D is exposed is proportionally mitigated through the use of Cross Currency Swap contracts. See detail of the Company's hedging in Note 7 - Financial Instruments.

As of December 31, 2023, the subsidiary was in compliance with the financial covenants.