Company: LILA
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001712184-25-000179
Chunk: 35

Company: Liberty Latin America Ltd.
Filing Date: 2025-11-05
Form: 10-Q
Item: Item 2
Chunk 35
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)Total$(8.8)$(7.6)$(46.0)$(30.7)

(a)The changes are primarily related to a CRC and JMD functional currency entity.

(b)Primarily includes (i) losses upon conversion of foreign currency assets and (ii) third-party receivables and payables denominated in a currency other than an entity’s functional currency.

67

Gains or losses on debt extinguishment, net

Our gains or losses on debt extinguishment generally include (i) premiums or discounts associated with redemptions and/or repurchases of debt, (ii) the write-off of unamortized deferred financing costs, premiums and/or discounts and/or (iii) breakage fees.

We recognized losses on debt extinguishment, net, of nil and $14 million during the three and nine months ended September 30, 2025, respectively. Activity during 2024 was not material. The net loss during the nine months ended September 30, 2025 is associated with refinancing activity at C&W. 

For additional information concerning our debt repurchases and repayments, see note 10 to our condensed consolidated financial statements.

Income tax benefit or expense

We recognized income tax benefit of $4 million and $146 million during the three months ended September 30, 2025 and 2024, respectively, and $151 million and $177 million during the nine months ended September 30, 2025 and 2024, respectively.

For the three months ended September 30, 2025, the income tax benefit attributable to our earnings before income taxes differs from the amounts computed using the statutory tax rate, primarily due to the beneficial effects of net decreases in valuation allowances, permanent differences, such as non-taxable income, net favorable return-to-provision adjustments, and changes in uncertain tax positions. These beneficial effects were partially offset by the detrimental effects of jurisdictional rate differences, the inclusion of withholding taxes on cross-border payments, permanent differences, such as non-deductible expenses and our estimate of global minimum tax. 

For the nine months ended September 30, 2025, the income tax benefit attributable to our loss before income taxes differs from the amounts computed using the statutory tax rate, primarily due to the beneficial effects of jurisdictional rate differences, changes in uncertain tax positions, net favorable return-to-provision adjustments, and permanent differences, such as non-taxable income. These beneficial effects were partially offset by the detrimental effects of net increases in valuation allowances, the