9.1 Related Party Disclosures
Balances outstanding at period-end are not secured and are settled in cash. There are no guarantees granted or received for accounts receivable from or payable to related parties. As of December 31, 2017 and 2016, the Group has not recorded any material impairment of accounts receivable related to amounts owed by related parties. This evaluation is performed on an annual basis through an analysis of the related party’s financial position in the market in which the related party operates.
9.2 Parent Group (Controlling Group) Unaudited
The Controlling Group has the 39,16% of direct and indirect control of Viña Concha y Toro S.A. and subsidiaries.
Here below it is shown the legal persons that compose the Controlling Group, showing as “Others” those than have less than a 1% of control:
| Inversiones Totihue S.A. | 11.73 | % | ||
| Rentas Santa Bárbara S.A. | 11.42 | % | ||
| Inversiones Quivolgo S.A. | 4.38 | % | ||
| Inversiones GDF S.A. | 3.28 | % | ||
| Inversiones La Gloria Ltda. | 2.28 | % | ||
| Other | 6.07 | % |
The entities Rentas Santa Bárbara S.A. and Inversiones Totihue S.A. are closed Corporations, both 100% controlled directly or indirectly by the family Guilisasti Gana which is integrated by Mrs. Isabel Gana Morandé (ID No. 2.556.021-3), the brothers Eduardo Guilisasti Gana (ID No. 6.290.361-9), Rafael Guilisasti Gana (ID No. 6.067.826-K), Pablo Guilisasti Gana (ID No. 7.010.277-3) and sisters Isabel Guilisasti Gana (ID No. 7.010.269-2), Sara Guilisasti Gana (ID No. 7.010.280-3), and Josefina Guilisasti Gana (ID No.7.010.278-1) and the succession of Mr. José Guilisasti Gana (ID No. 7.010.293-3). The members of the family Guilisasti Gana exert its rights as legal persons or through investment companies which are totally owned by the same family. The concept “others” include companies and legal persons which correspond by 100%, directly and indirectly to the Guilisasti Gana family.
Inversiones Quivolgo S.A. is 100% owned by Mr. Alfonso Larraín Santa María (ID# 3.632.569-0) and by the family Larraín Vial, integrated by his spouse Teresa Vial Sánchez (ID# 4.300.060-8) and the brothers Felipe Larraín Vial (ID# 7.050.875-3), María Teresa Larraín Vial (ID# 10.165.925-9), Rodrigo Larraín Vial (ID# 10.165.924-0), María Isabel Larraín Vial (ID# 10.173.269-K) and Alfonso Larraín Vial (ID# 15.314.655-1). In addition, Inversiones La Gloria Ltda. is 100% controlled by the family Larraín Santa María, integrated by the brothers Alfonso Larraín Santa María, Andrés Larraín Santa María (ID# 4.330.116-0), Pilar Larraín Santa María (ID# 4.467.302-9), Gabriela Larraín Santa María (ID# 4.778.214-7) and Luz María Larraín Santa María (ID# 6.065.908-7).
The ownership of Inversiones GDF S.A. corresponds 100% to the family Fontecilla Lira, comprised by Mr. Mariano Fontecilla Lira (ID# 6.495.101-7), Rodrigo Fontecilla Lira (ID# 8.404.996-4), Enrique Fontecilla Lira (ID# 6.613.074-6) y Francisco Antonio Fontecilla Lira (ID# 8.671.675-5).
The concept “others” includes companies and legal persons which correspond by 100%, directly and indirectly to the Guilisasti Gana family, Mr. Alfonso Larrín Santa María and the Fontecilla Lira family.
There are no other natural persons or legal entities other than the Parent Group which own shares or rights which represent 10% or more of the Company’s capital, as well as other legal persons who own less than 10% and that in the aggregate with his spouse and/or relatives reach this percentage, either directly or through legal entities.
9.3 Key Management personnel
Key management personnel are those persons with authority and are responsible to plan, direct and control the Entity’s activities, either directly or indirectly, including any Board’s member (executive or not).
9.4 Senior Management Salaries
Managers and main executives are involved with an annual bonuses plan through participation on incomes and goals achievements. The global remuneration of the Company’s main executives is as follows:
| Senior management remuneration | From January 1 | From January 1 | ||||||
| to December 31, 2017 | to December 31, 2016 | |||||||
| ThCh$ | ThCh$ | |||||||
| Short-term employee benefits | 21,876,904 | 22,535,159 | ||||||
| Contract termination benefit | 345,466 | — | ||||||
| Total | 22,222,370 | 22,535,159 | ||||||
9.5 Account receivable from related companies, current
| Tax ID of the Related Party |
Name of related party | Name of relationship | Type of currency | As of December 31, 2017 ThCh$ |
As of December 31, 2016 ThCh$ |
|||||||||
| 96.512.200-1 | Viñedos Emiliana S.A. | By director | Chilean peso | 178,005 | 214,986 | |||||||||
| 96.824.300-4 | Viña Almaviva S.A. | Associate | Chilean peso | 65,795 | 46,745 | |||||||||
| 96.512.190-0 | Fruticola Viconto S.A. | By director | Chilean peso | 2,391 | 4,703 | |||||||||
| 45-2968791 | Excelsior Wine Company | Associate | US dollar | 8,642,503 | 10,420,512 | |||||||||
| 0-E | VCT Japón | Associate | US dollar | 53,434 | 24,101 | |||||||||
| 0-E | Escalade Wines & Spirits | Associate | Canadian dollar | 2,327,988 | 2,199,996 | |||||||||
| 78.968.020-5 | Sociedad. Agricola. Santa María Ltda. | By manager | Chilean peso | 49,869 | 19,881 | |||||||||
| 76.120.010-0 | Soc. Comercial y Promotora La Uva Ltda. | By director | Chilean peso | 220 | 220 | |||||||||
| 90.950.000-1 | Industria Corchera S.A. | Associate | Chilean peso | — | 23,595 | |||||||||
| 76.519.803-8 | Beer Garden Bellavista SPA | Subsidiary shareholder | Chilean peso | 314 | — | |||||||||
| 76.098.247-4 | Inversiones Galilea | Subsidiary shareholder | Chilean peso | 59,165 | — | |||||||||
| Total | 11,379,684 | 12,954,739 | ||||||||||||
9.6 Current payables due to related parties
| Tax ID of the Related Party |
Name of related party | Name of relationship | Type of currency | As of December 31, 2017 ThCh$ |
As of December 31, 2016 ThCh$ |
|||||||||
| 96.512.200-1 | Viñedos Emiliana S.A. | By director | Chilean peso | 1,172,595 | 1,260,558 | |||||||||
| 90.950.000-1 | Industria Corchera S.A. | Associate | Chilean peso | 2,081,751 | 1,161,121 | |||||||||
| 45-2968791 | Excelsior Wine Company | Associate | US dollar | 1,040,829 | — | |||||||||
| 96.824.300-4 | Viña Almaviva S.A. | Associate | Chilean peso | 124,611 | 136,615 | |||||||||
| 99.562.040-5 | Los Boldos de Tapihue S.A. | By manager | Chilean peso | — | 1,790 | |||||||||
| 76.088.641-6 | Agrícolas Las Pircas Ltda | By manager | Chilean peso | 989 | — | |||||||||
| 96.931.870-9 | Viveros Guillaume Chile S.A. | By director | Chilean peso | 286,253 | 125,774 | |||||||||
| 77.486.290-0 | Soc. Ag. Orrego Dos Ltda. | By manager | Chilean peso | — | 270 | |||||||||
| 76.021.221-0 | Agrícola Gabriela Ltda. | By director | Chilean peso | 411 | — | |||||||||
| 99.527.300-4 | Southern Brewing Company S. A. | Associate (*) | Chilean peso | — | 353,811 | |||||||||
| 0-E | Digrans | Subsidiary shareholder | Mexican peso | 2,212,603 | 1,614,501 | |||||||||
| 0-E | Digsmer | Subsidiary shareholder | Mexican peso | 13,782 | — | |||||||||
| 0-E | Escalade Wines & Spirits | Associate | Canadian dollar | 401,238 | 555,374 | |||||||||
| 78.335.990-1 | Comercial Greenvic S.A. | By director | Chilean peso | 3,460 | — | |||||||||
| 76.111.422-0 | Spumante del Limarí S.A. | By director | Chilean peso | 3,993 | — | |||||||||
| 85.630.300-4 | ST Computación | By manager | Chilean peso | 11,624 | 30,534 | |||||||||
| 76.120.010-0 | Soc. Comercial y Promotora La Uva Ltda. | By director | Chilean peso | 1,517 | — | |||||||||
| 78.968.020-5 | Sociedad Agrícola Santa María Ltda. | By manager | Chilean peso | — | 8,604 | |||||||||
| 0-E | VCT Japón | Associate | US dollar | 4,122 | 7,419 | |||||||||
| 76.519.803-8 | Beer Garden Bellavista SPA | Subsidiary shareholder | Chilean peso | 179 | — | |||||||||
| 76.098.247-4 | Inversiones Galilea | Subsidiary shareholder | Chilean peso | 1,822 | — | |||||||||
| Total | 7,361,779 | 5,256,371 | ||||||||||||
(*): Since November 2017, Southern Brewing Company became a subsidiary of Viña Concha y Toro.
9.7 Non-current payables due to related parties
| Tax ID of the Related Party |
Name of related party | Name of relationship | Type of currency |
As of December 31, 2017 ThCh$ |
As of December 31, 2016 ThCh$ |
|||||||||
| 96.512.200-1 | Viñedos Emiliana S.A. | By director | Chilean peso | 292,555 | 319,601 | |||||||||
| Total | 292,555 | 319,601 | ||||||||||||
9.8 Detail of transactions with related parties by entity
| As of December 31, 2017 | As of December 31, 2016 | |||||||||||||||||||||
| Tax ID of the Related Party |
Name of relatd party | Nature of relationship | Nature of transaction | Transaction ThCh$ |
Through profit or loss ThCh$ |
Transaction ThCh$ |
Through profit or loss ThCh$ |
|||||||||||||||
| 96.512.200-1 | Viñedos Emiliana S.A. | By director | Sale of raw material and products | 61,433 | 52,220 | 69,558 | 6,297 | |||||||||||||||
| 96.512.200-1 | Viñedos Emiliana S.A. | By director | Sale of services and other | 900,364 | 765,341 | 800,786 | 160,095 | |||||||||||||||
| 96.512.200-1 | Viñedos Emiliana S.A. | By director | Purchase of raw material and products | 69,140 | (4,069 | ) | 1,615,470 | 139 | ||||||||||||||
| 96.512.200-1 | Viñedos Emiliana S.A. | By director | Purchase of services and other | 4,772,302 | (280,892 | ) | 495,192 | (332,202 | ) | |||||||||||||
| 90.950.000-1 | Industria Corchera S.A. | Associate | Sale of raw material and products | 115 | 96 | — | — | |||||||||||||||
| 90.950.000-1 | Industria Corchera S.A. | Associate | Purchase of raw material and products | 5,308,213 | (46,168 | ) | 5,959,658 | (3,026 | ) | |||||||||||||
| 90.950.000-1 | Industria Corchera S.A. | Associate | Purchase of services and other | 2,387,842 | (20,768 | ) | 32,897 | (32,897 | ) | |||||||||||||
| 96.824.300-4 | Viña Almaviva S.A. | Associate | Sale of raw material and products | 351,187 | 293,842 | 276,235 | 190,450 | |||||||||||||||
| 96.824.300-4 | Viña Almaviva S.A. | Associate | Sale of services and other | 59,302 | 49,619 | 107,822 | 91,678 | |||||||||||||||
| 96.824.300-4 | Viña Almaviva S.A. | Associate | Purchase of raw material and products | 726,788 | (22,069 | ) | 767,480 | — | ||||||||||||||
| 96.824.300-4 | Viña Almaviva S.A. | Associate | Purchase of services and other | 77,815 | (2,363 | ) | 4,243 | (4,243 | ) | |||||||||||||
| 76.021.221-0 | Agricola Gabriela Ltda. | By director | Purchase of raw materials and products | — | — | 182,738 | (182,738 | ) | ||||||||||||||
| 76.120.010-0 | Soc. Comercial y Promotora La Uva |
By director | Purchase of services and other | 2,792 | (1,275 | ) | ||||||||||||||||
| 96.512.190-0 | Frutícola Viconto S.A. | By director | Sale of services and other | 13,100 | 12,000 | — | — | |||||||||||||||
| 85.201.700-7 | Agrícola Alto Quitralmán Ltda. |
By director | Sale of raw materials and other | 384 | — | 990 | 436 | |||||||||||||||
| 85.201.700-7 | Agrícola Alto Quitralmán Ltda. |
By director | Purchase of raw materials and products | — | — | 985,710 | (985,710 | ) | ||||||||||||||
| 70.017.820-K | Camara de Comercio de Stgo |
By director | Sale of raw materials and products | — | — | 470 | 314 | |||||||||||||||
| 70.017.820-K | Camara de Comercio de Stgo |
By director | Purchase of services and other | 27 | (27 | ) | 749 | (749 | ) | |||||||||||||
| 86.673.700-2 | Agrícola Los Alamos Ltda. | By director | Purchase of raw materials and products | — | — | 222,325 | (222,325 | ) | ||||||||||||||
| 45-2968791 | Excelsior Wine Company | Associate | Sale of raw materials and products | 5,175,628 | 5,175,640 | 43,950,495 | 23,476,873 | |||||||||||||||
| 45-2968791 | Excelsior Wine Company | Associate | Purchase of services and other | 717,641 | (717,641 | ) | — | — | ||||||||||||||
| 0-E | Digrans | Subsidiary shareholder | Sale of raw materials and products | 313,489 | 312,512 | 11,519,760 | 11,108,290 | |||||||||||||||
| 0-E | Digrans | Subsidiary shareholder | Purchase of services and other | 16,034 | (16,034 | ) | 12,208,103 | (12,208,103 | ) | |||||||||||||
| 99.527.300-4 | Southern Brewing Company S. A. |
Associate | Sale of raw materials and products | 3,125,732 | (81,694 | ) | 2,027,319 | — | ||||||||||||||
| 99.527.300-4 | Southern Brewing Company S. A. |
Associate | Purchase of services and other | — | — | 282 | (282 | ) | ||||||||||||||
| 91.143.000-2 | Cia.Nac.de Fuerza Electrica S.A. |
By director | Purchase of services and other | — | — | 206,586 | (206,586 | ) | ||||||||||||||
| 821482783RT0001 | Escalade Wines & Spirits | Associate | Sale of raw materials and products | 510,374 | 507,219 | 3,354,740 | 1,630,445 | |||||||||||||||
| 821482783RT0001 | Escalade Wines & Spirits | Associate | Purchase of services and other | 659,608 | (659,608 | ) | 914,199 | (914,199 | ) | |||||||||||||
| 01112-01-017295 | VCT Japón | Associate | Sale of raw materials and products | 96,086 | 96,086 | 319,136 | 174,304 | |||||||||||||||
| 01112-01-017295 | VCT Japón | Associate | Purchase of services and other | 58 | (58 | ) | — | — | ||||||||||||||
| 85.630.300-4 | ST Computación | By manager | Purchase of services and other | 194,969 | (81,292 | ) | — | — | ||||||||||||||
| 78.335.990-1 | Comercial Greenvic S.A. | By director | Sale of raw materials and products | 233 | (107 | ) | — | — | ||||||||||||||
| 78.335.990-1 | Comercial Greenvic S.A. | By director | Purchase of services and other | 6,135 | (2,802 | ) | 116 | (116 | ) | |||||||||||||
| 96.931.870-9 | Viveros Guillaume | By manager | Purchase of raw materials and products | 659,903 | (254,077 | ) | — | — | ||||||||||||||
This note presents transactions with associates and all other significant transactions with related parties, as well as all those operations involving purchases and sales of shares.
The amounts indicated as transactions in the enclosed chart, correspond to trade operations with related companies, which are performed under market conditions regarding price and payment terms.
There are no bad debt estimates which deduct balances receivables or guarantees related to such estimates.
Transactions and balances with the Group´s subsidiaries are eliminated from the consolidation.