Liberty Latin America Ltd. (NASDAQ: LILA and LILAK, OTC Link: LILAB) has announced that it agreed with its third-party insurance provider in late December 2018 to settle claims for a gross total of USD 138.5 million under its integrated group property and business interruption insurance program for the damages caused by Hurricanes Maria and Irma, the company said.
After the deduction of USD 30 million of self-insurance, the net third-party insurance proceeds for Liberty Latin America are USD 108.5 million.
With respect to Liberty Latin America´s financial results, the proceeds from the settlement will be allocated between recoveries for business interruption and operating expenses, which will benefit OCF1, and recoveries associated with property damages, which will be reflected as a gain within impairment, restructuring and other operating items, net. There will be no impact on revenue reported in 2018 or 2019. Of the net third-party insurance proceeds, over half is expected to benefit our 2018 OCF.
Liberty Latin America is a telecommunications company operating in over 20 countries across Latin America and the Caribbean under the consumer brands VTR, Flow, Liberty, MÃ¡s MÃ³vil, BTC and Cabletica.