Company: LILA
Filing Date: 2025-02-19
Form Type: 10-K
Source: 0001712184-25-000031
Chunk: 26

Company: Liberty Latin America Ltd.
Filing Date: 2025-02-19
Form: 10-K
Item: Item 7
Chunk 26
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 (iii) an increase from property and equipment additions, primarily associated with baseline-related additions, the expansion and upgrade of our networks and other capital initiatives and the installation of CPE.

Impairment, restructuring and other operating items, net 

 Year ended December 31, 20242023 in millionsImpairment charges (a)$538.4 $67.0 Restructuring charges (b)38.5 33.6 Other operating items, net (c)12.8 (13.7)Total$589.7 $86.9 

(a)The 2024 amount primarily relates to an impairment of goodwill recorded at Liberty Puerto Rico, as further described in note 8 to our consolidated financial statements. The 2023 amount primarily relates to the impairment of certain operating lease right-of-use assets, predominantly related to decommissioned tower leases at C&W Panama.

(b)The amounts include employee severance and termination costs related to reorganization activities at (i) C&W Panama and Liberty Puerto Rico for 2024, and (ii) C&W Caribbean and C&W Panama for 2023.

(c)The amounts primarily include the net effect of direct acquisition costs and gains on asset dispositions. 

Interest expense 

Our interest expense increased $26 million during 2024, as compared to 2023. The increase is primarily attributable to (i) an increase in our average outstanding debt balances, mainly driven by debt associated with the Tower Transactions and the activity during 2024 on our revolving credit facilities, and (ii) higher weighted-average interest rates.

For additional information regarding our outstanding indebtedness, see note 10 to our consolidated financial statements.

It is possible that the interest rates on (i) any new borrowings could be higher than the current interest rates on our existing indebtedness and (ii) our variable-rate indebtedness could increase in future periods. As further discussed in note 7 to our consolidated financial statements and under Item 7A. Qualitative and Quantitative Disclosures about Market Risk below, we use derivative instruments to manage our interest rate risks.

II-20

Realized and unrealized gains or losses on derivative instruments, net

Our realized and unrealized gains or losses on derivative instruments primarily include (i) unrealized changes in the fair values of our derivative instruments that are non-cash in nature until such time as the derivative contracts are fully or partially settled and (ii) realized gains or losses upon the full or partial settlement of the