IBERSOL | Annual Report 2020

Consolidated Financial Statements For this purpose, short-term bank loans are considered to expire on the renewal date and that commercial paper contracts expire on the termination dates, although renewal is usual. At the end of the year, current liabilities reached 168 million Euros, compared with 90 million Euros in current assets. This disequilibrium is, on one hand, a financial characteristic of this business and, on the other hand, it is due to some Commercial Paper programs, with termination clauses, in which reimbursement on the termina- tion date is considered regardless of the terms for which they are contracted and still circumstantially the option for issuance under contracts of lesser maturity at the expense of other programs of greater maturity that are left unused and conse- quently with amounts available for coverage. Loans in the form of commercial paper issues are classified as non-current liabilities when they are guaranteed to be placed for a period of more than one year and it is the intention of the Group’s Board of Directors to use this funding source for a period of more than one year. Considering, the expected operating cash flows and, if necessary, the commercial paper and the contracted credit lines, the amounts of which have not yet been used, are sufficient to settle almost all current liabilities. Even with reduced use of the group has contracted a significant amount of short- term lines. On 31 December 2020, the short term liquidity cash flow amounted to 14 million Euros and were not used. Investments in term deposits and other application of 50 million Euros, match 28% of liabilities paid. The following table shows the Group financial liabilities (relevant items), considering contractual cash-flows: until December 2021 from December 2021 to 2039 Bank loans and overdrafts 19.573.625 145.494.956 Lease liabilities 74.382.513 254.632.020 Other non-current liabilities - 6.026 Accounts payable to suppliers and accrued costs 52.715.370 - Other current liabilities 5.632.840 - Total 152.304.348 400.133.002 338