Investor Presentaiton
31. Finance results, net
=
2021
2020
Accounting policy
(i) Financial income (expenses)
These comprise interest rates on loans and financial investments, monetary
and exchange variation on assets and liabilities, linked to loans with a swap
instrument, as a result of the exchange variation net of gains and losses on
derivative financial instruments (swap contracts) and various discounts that
are recognized in the income for the year on the accrual basis.
(ii) Foreign exchange variations
A foreign currency transaction will be initially recognized in the functional
currency by applying the spot exchange rate between the functional cur-
rency and the foreign currency on the transaction date to the amount in
foreign currency.
At the end of each reporting period, monetary items in foreign currency
must be converted using the closing exchange rate.
Foreign exchange variations arising from the settlement of monetary items
or the translation of monetary items at rates different from those for which
they were converted at the initial measurement during the period or in pre-
vious financial statements will be recognized in the statement of income in
the year in which they arise.
Finance income
Interest on financial assets
70
211
Income from financial investments
299
211
Fair value of borrowing and financing
163
72
Monetary updating of assets
52
27
Reversal of monetary restatement of provision
144
75
Discounts obtained
33
18
147
46
908
660
Other finance income
Finance costs
Interest on borrowing
Capitalization of borrowing costs
Award paid in bond buyback (tender offer)
Monetary restatement of provision
Fair value of borrowing and financing
Borrowing fees
Debt renegotiation charges
(1,546)
(1,386)
110
7
(70)
(190)
(326)
(228)
(127)
(167)
(48)
(58)
Interest and monetary restatement - Use of public assets
(227)
(324)
Adjustment to present value CPC 12
(161)
(135)
Commissions on financial operations
(82)
(147)
(42)
(17)
Charges on discount transactions
Interest on silver streaming
PIS/COFINS on financial results
(70)
(47)
(37)
(32)
(76)
(38)
Income tax on remittances of interest abroad
Other finance costs
(28)
(42)
(284)
(175)
(3,014)
(2,979)
4,386
(121)
4,386
(121)
(505)
(1,027)
1,775
(3,467)
Results of derivative financial instruments
Foreign exchange variation, net
Finance results, net
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