| A. |
Composition
|
|
As at December 31, 2017
|
||||||||||||||||||||||||
|
Balance at beginning of year
|
Additions
|
Disposals
|
Differences in translation reserves
|
Sale of
subsidiaries*
|
Balance at end of year
|
|||||||||||||||||||
|
$ thousands
|
||||||||||||||||||||||||
|
Cost
|
||||||||||||||||||||||||
|
Land, roads, buildings and leasehold improvements
|
1,041,723
|
4,139
|
(1,615
|
)
|
4,167
|
(1,005,625
|
)
|
42,789
|
||||||||||||||||
|
Installations, machinery and equipment
|
2,445,579
|
68,410
|
(70,142
|
)
|
49,825
|
(1,994,241
|
)
|
499,431
|
||||||||||||||||
|
Dams
|
164,469
|
105
|
(5
|
)
|
-
|
(164,569
|
)
|
-
|
||||||||||||||||
|
Office furniture and equipment and motor vehicles
|
455,352
|
43,744
|
(4,954
|
)
|
11,589
|
(500,163
|
)
|
5,568
|
||||||||||||||||
|
4,107,123
|
116,398
|
(76,716
|
)
|
65,581
|
(3,664,598
|
)
|
547,788
|
|||||||||||||||||
|
Plants under construction
|
131,178
|
109,709
|
(15
|
)
|
9,356
|
(85,609
|
)
|
164,619
|
||||||||||||||||
|
Spare parts for installations
|
68,854
|
4,364
|
(186
|
)
|
1,487
|
(61,129
|
)
|
13,390
|
||||||||||||||||
|
4,307,155
|
230,471
|
(76,917
|
)
|
76,424
|
(3,811,336
|
)
|
725,797
|
|||||||||||||||||
|
Accumulated depreciation
|
||||||||||||||||||||||||
|
Land, roads, buildings and leasehold improvements
|
83,737
|
20,523
|
(807
|
)
|
530
|
(96,690
|
)
|
7,293
|
||||||||||||||||
|
Installations, machinery and equipment
|
637,794
|
112,416
|
(13,466
|
)
|
8,547
|
(644,458
|
)
|
100,833
|
||||||||||||||||
|
Dams
|
48,385
|
8,097
|
(250
|
)
|
-
|
(56,232
|
)
|
-
|
||||||||||||||||
|
Office furniture and equipment and motor vehicles
|
39,939
|
23,824
|
(1,307
|
)
|
484
|
(61,433
|
)
|
1,507
|
||||||||||||||||
|
809,855
|
164,860
|
(15,830
|
)
|
9,561
|
(858,813
|
)
|
109,633
|
|||||||||||||||||
|
Balance as at December 31, 2017
|
3,497,300
|
65,611
|
(61,087
|
)
|
66,863
|
(2,952,523
|
)
|
616,164
|
||||||||||||||||
| * |
This amount includes impairment as a result of the sale of Colombian assets. The Company recorded the impairment in cost of sales of $ 10 million.
|
|
As at December 31, 2016
|
||||||||||||||||||||||||||||
|
Balance at beginning of year
|
Additions
|
Disposals
|
Differences in translation reserves
|
Acquisition as part of business combination
|
Transfers and Reclassifications
|
Balance at end of year
|
||||||||||||||||||||||
|
$ thousands
|
||||||||||||||||||||||||||||
|
Cost
|
||||||||||||||||||||||||||||
|
Land, roads, buildings and leasehold improvements
|
288,538
|
7,759
|
(1,244
|
)
|
629
|
2,441
|
743,600
|
1,041,723
|
||||||||||||||||||||
|
Installations, machinery and equipment
|
1,840,754
|
46,652
|
(35,616
|
)
|
7,350
|
—
|
586,439
|
2,445,579
|
||||||||||||||||||||
|
Dams
|
138,310
|
159
|
(965
|
)
|
—
|
—
|
26,965
|
164,469
|
||||||||||||||||||||
|
Office furniture and equipment and motor vehicles
|
52,124
|
25,866
|
(8,958
|
)
|
12,129
|
375,063
|
(872
|
)
|
455,352
|
|||||||||||||||||||
|
2,319,726
|
80,436
|
(46,783
|
)
|
20,108
|
377,504
|
1,356,132
|
4,107,123
|
|||||||||||||||||||||
|
Plants under construction
|
1,260,375
|
217,278
|
(167
|
)
|
385
|
7,839
|
(1,354,532
|
)
|
131,178
|
|||||||||||||||||||
|
Spare parts for installations
|
44,299
|
20,139
|
(477
|
)
|
281
|
7,152
|
(2,540
|
)
|
68,854
|
|||||||||||||||||||
|
3,624,400
|
317,853
|
(47,427
|
)
|
20,774
|
392,495
|
(940
|
)
|
4,307,155
|
||||||||||||||||||||
|
Accumulated depreciation
|
||||||||||||||||||||||||||||
|
Land, roads, buildings and leasehold improvements
|
71,953
|
13,169
|
(1,434
|
)
|
48
|
—
|
1
|
83,737
|
||||||||||||||||||||
|
Installations, machinery and equipment
|
530,324
|
123,275
|
(16,512
|
)
|
970
|
—
|
(263
|
)
|
637,794
|
|||||||||||||||||||
|
Dams
|
46,764
|
1,742
|
(121
|
)
|
—
|
—
|
—
|
48,385
|
||||||||||||||||||||
|
Office furniture and equipment and motor vehicles
|
21,538
|
20,591
|
(2,665
|
)
|
212
|
—
|
263
|
39,939
|
||||||||||||||||||||
|
670,579
|
158,777
|
(20,732
|
)
|
1,230
|
—
|
1
|
809,855
|
|||||||||||||||||||||
|
Balance as at December 31, 2016
|
2,953,821
|
159,076
|
(26,695
|
)
|
19,544
|
392,495
|
(941
|
)
|
3,497,300
|
|||||||||||||||||||
|
Prepayments on account of property, plant & equipment
|
6,057
|
—
|
||||||||||||||||||||||||||
| 2,959,878 | 3,497,300 | |||||||||||||||||||||||||||
| B. |
Net carrying values
|
|
As at December 31
|
||||||||
|
2017
|
2016
|
|||||||
|
$ thousands
|
||||||||
|
Land, roads, buildings and leasehold improvements
|
35,496
|
957,986
|
||||||
|
Installations, machinery and equipment
|
398,598
|
1,807,785
|
||||||
|
Dams
|
-
|
116,084
|
||||||
|
Office furniture and equipment, motor vehicles and other equipment
|
4,061
|
415,413
|
||||||
|
Plants under construction
|
164,619
|
131,178
|
||||||
|
Spare parts for installations
|
13,390
|
68,854
|
||||||
|
616,164
|
3,497,300
|
|||||||
| C. |
When there is any indication of impairment, the Group’s entities perform impairment tests for their long lived assets using fair values less cost to sell based on independent appraisals or value in use estimations, with similar assumptions as those described (Note 15.D).
|
| D. |
The amount of borrowing costs capitalized during 2017 was $3 million ($14 million during 2016).
|
| E. |
In I.C. Power, property, plant and equipment includes assets acquired through financing leases. As at December 31, 2017 and 2016, the cost and corresponding accumulated depreciation of such assets are as follows:
|
|
As of December 31, 2017
|
As of December 31, 2016
|
|||||||||||||||||||||||
|
Cost
|
Accumulated depreciation
|
Net cost
|
Cost
|
Accumulated Depreciation
|
Net cost
|
|||||||||||||||||||
|
$ thousands
|
||||||||||||||||||||||||
|
Land, roads, buildings and leasehold improvements
|
-
|
-
|
-
|
42,288
|
(6,602
|
)
|
35,686
|
|||||||||||||||||
|
Installations, machinery and equipment
|
-
|
-
|
-
|
275,852
|
(117,368
|
)
|
158,484
|
|||||||||||||||||
|
Motor vehicles
|
-
|
-
|
-
|
410
|
(46
|
)
|
364
|
|||||||||||||||||
|
-
|
-
|
-
|
318,550
|
(124,016
|
)
|
194,534
|
||||||||||||||||||
| F. |
Fixed assets purchased on credit in 2017, 2016 and 2015 were $31 million, $25 million and $46 million respectively.
|
| G. |
The composition of the depreciation expense from continuing operations is as follows:
|
|
As at December 31
|
||||||||
|
2017
|
2016
|
|||||||
|
$ thousands
|
||||||||
|
Depreciation charged to results
|
30,794
|
27,286
|
||||||
|
As at December 31
|
||||||||
|
2017
|
2016
|
|||||||
|
$ thousands
|
||||||||
|
Depreciation charged to cost of sales
|
30,102
|
26,697
|
||||||
|
Depreciation charged to general, selling and administrative expenses
|
597
|
468
|
||||||
|
Depreciation charged to results
|
30,699
|
27,165
|
||||||
|
Amortization of intangibles charged to cost of sales
|
-
|
-
|
||||||
|
Amortization of intangibles charged to general, selling and administrative expenses
|
95
|
121
|
||||||
|
Depreciation and amortization from continuing operations
|
30,794
|
27,286
|
||||||