Table of contents
Objective and Scope
Objective of this operation
Scope
Task description
Closure Activities
- Foreign revaluation
- Reclassification trade payable to Finance Debt
- Flow reclassification (F31 to F30)
- Reclassification from Long term portion to Short term portion
- Transfer Short Term Financial Debt to Operational Debt (Only local (P/L))
- Annulment of IFRS 16 amounts in statutory accounts
1 - Objective and Scope
Objective of these operations
The purpose of these tasks is to ensure that all activities are performed in order to guarantee the monthly IFRS 16 closure process.
NOTE: Please be aware that these tasks are performed automatically through FCC, however these guidelines are for when they need to be done manually.
Scope
This procedure is applied to all WW companies under IFRS 16.
2 - Task description
Closure Activities
Closure Activities need to be performed during D+1 to D+3
D+1: Foreign revaluation transaction /OBJVAL/D1 to D3
D1
- Foreign revaluation (SAP transaction code OBJVAL) - The purpose of this task is to revaluate at the functional currency (currency of the company code) the monthly valuation for contracts in foreign currency. As said this task is performed monthly and we should have always 2 postings, the revaluation posting in the closure period (M-1) and the reversal in the next period (M).
Fill in the required information, such as:
- Company Code
- Valuation Key Date: always the last day of the closure period (M-1)
- Valuation Area: always LE , except for (exceptions Brazil LB and Argentina LA (both for PF1 and WP1)
- Valuation Method: always EVR (both for PF1 and WP1)
Perform first in Test Run, if there's nothing to postbe posted, the following message will appear:.
In case there are documents
If there is revaluation to be posted (it will appear as image below), select on /OBJVAL/ main page as in the main menu select the Posting Method "Post Valuation Immediately". 
By clicking in the tab 2 Postings or 2 Messages save the number of the document(s) posted in the closure activities file. The first document is the Posting, the second is the reverse. There might be more than one document posted, in this case save all the document numbers. 
D+2
- Reclassification trade payable to Finance Debt (managed by Curitiba Service Center)
- F31 to F30 (managed by Curitiba Service Center)
- Reclassification long term Vs. short term debt /OBJREG/
- Transfer Short Term Financial Debt to Operational Debt (Only local (P/L))
- Reclassification Trade Partner to Finance Debt
Immediately and execute the transaction.
To check if the posting was done correctly (revaluation in the closure period and the reversal in the next period) in output you can select "2 Messages" and see the documents posted (image below - Display logs).
D2
- Reclassification Trade payables to Financial Debt (SAP transaction code PF2: Z1F_CAPEX_MONTHLY | WP2: ZWFA58002) - The purpose of this task is to reclassify on a monthly basis the amounts in the vendor trade payables account to the vendor financial debt account for reporting purposes. As said this task is performed monthly and we should have always 2 postings, the reclassification posting in the closure period (M-1) and the reversal in the next period (M).
When you enter the transaction to perform the posting you should select the variant: RC_TP_FD_AP_S
You will obtain the following output:
Check one company at a time 
Open transaction Z1F_CAPEX_MONTHLY (PF1) or ZWFA58002 (WP1). 
Open variant for IFRS.
Check if all the companies are inserted on the variant and run with test simulation in order to compare x confirm results before running the posting.
Check also in the history if the period is open for posting.
If not, the period must be open (for EMEA and APAC request to IFRS16 Lisbon team; For NAM and LAM for Finance Operations Curitiba team) in check if no error appears in the message.
The principal error that could appear is that one of the periods is closed. If this is the situation, open it before posting in order to process the pending items.
After checking the errors message and the open amounts in the transaction, check the open items (at the last day of the closure period) in FBL3N with for the G/L account 56030160 (WP1WP2) or | 5112100070 (PF1) for the companies and open items for the last date of the previous month.
Filter: Amount & Sub filer: Company code and profit center
Compare the results between both transactions. If everything is correct, remove the "test simulation" on the reclassification transaction, flag "Posting required" and "Process executed by SCMA" and run again. 
- Reclassification F31 to F30
PF2) has any posting. If you have any values from previous months, further analysis to identify what document should be reversed is necessary.
If everything is okay, remove “test simulation” and run the transaction in real mode.
When refreshing FBL3N the amount must be the same of the Reclassification Trade Payable to Finance Debt posting.
2. Reclassification F31 to F30 (SAP transaction code PF2: Z1F_IFRS_FLOW_CORR | WP2: ZWFA03B withvariant: F31-F30_APAC_S) - The purpose of this task is to reclassify on a monthly basis the amounts in flow F31 to flow F30 for reporting purposes (to report properly the cash out). As said this task is performed monthly and we should have always 2 postings, the reclassification posting in the closure period (M-1) and the reversal in the next period (M).
First you have to check the F31 amounts in FBL3N, open transaction and select the IFRS 16 accounts
(Accounts for PF2: 5102100010, 5112100010, 5112100020, 5112100040, 5112100070 ---- Accounts for WP2: 16830100, 56030100, 56030110, 56030119, 56030120, 56030129, 56030160).
Check one company at the time and use all items from the beginning of the year to the last day of the closure month.
Open the transaction GS03 in order to obtain the accounts to be use in FBL3N.
Use the set ZFC-l56030 and ZFC-L16830 (for both systems) and add in the FBL3N the accounts that will appear in the GS03 transaction.
Open FBL3N and use the accounts extracted via GS03.
All the companies from the closing files and open items from 01.01.2020 to the last day of the previous month.
Filter transaction type for F31 only.Open
Then you open the F31/F30 reclass transaction – Z1F_IFRS_FLOW_CORR (PF1) or ZWFA03B (WP1)
Add all the companies and period of the previous month (closing). Select "post and select IFRS16 variant.
Add one company at a time and check in test mode by selecting “Post the flow type correction” and " and 'test Test mode", in order to check the entries to be made.
Compare the data to be post posted with the information per company in FBL3Nthat you have in FBL3N. The amounts must match.
Check the history in the transaction in order to review if there is any closed period that need needs to be open or any other error.
Return
If no errors and periods are open, return and remove the "test mode" and process the items.
After the transaction posting, refresh the FBL3N extraction (same data info and F31 and filter again the transaction type filer)for F31.
All the company codes must have a zero balanceshould have F31 balanced.
...
3. Reclassification from Long term portion to Short term portion (SAP code transaction OBJREG) - The purpose of this task is to reclassify on a monthly basis the debt for the following 12 months from Long term portion to Short term portion. As said this task is performed monthly and we should have always 2 postings, the reclassification posting in the closure period (M-1) and the reversal in the next period (M).
Fill in the required information, such as:
- Company Code
- Valuation Key Date: always the last day of the closure period (M-1)
- Sort Method: always ZL16 both for WP1 and PF1
- Valuation Area: always LE, except for always LE (exceptions Brazil LB and Argentina LA (both for PF1 and WP1)
First "Perform first in Test Run, " running one company at the a time and check if there are no error messages (for example the period of a company might be closed already). The system allows to run /OBJREG/ as many time as you want, creating duplicates. This is the reason why you should be careful to run it just once. In case of duplication, the documents posted must be reverted.
Going back to /OBJREG/ main page, run by Posting Documents Immediately
If there are no errors and all periods are open go back to the main page of the transaction and run by "Posting Documents Immediately".
By clicking in the tab Postings or Messages save in the IFRS16 Closing activities file the number of the document(s) you can see the documents posted. The first document is the Postingreclassification posting, the second is the reverse. There might be more than one document posted, in this case save all the document numbers. 
Please be aware that the system allows to run OBJREG as many times as possible, creating duplicated amounts. For this reason you should be careful to run it just once.
In case of duplication, the documents posted must be reversed.
4. Transfer ST Financial Debt to Operational Debt (Only local (P/L)) (ZFI_DEBT_TRANSFER) - The purpose of this task is to transfer monthly the IFRS financial debt affecting contracts, which didn't extend the IFRS16 in local GAAP (which post the lease costs to the P&L), back to the operational debt. This function is only related to the Short Term financial debt since the Long Term one is purely cancelled through Z1ANNUL annulment posting. As said this task is performed monthly and we should have always 2 postings, the reclassification posting in the closure period (M-1) and the reversal in the next period (M).
Go to transaction /ZFI_DEBT_TRANSFER/ and select the variant IFRS16 FRANCE.
NOTE: This activity is performed ONLY for French companies.
Perform a first check in test run.
If there are no errors, then perform the posting in real mode unclicking the Test mode and save the document numbers.
D3
- Annulment of IFRS 16 amounts in statutory accounts (Z1AANNUL) - The purpose of this task is to cancel and correct the IFRS monthly financial debt affecting contracts, for both situations in Local GAAP (Local (P/L) - didn't extend the IFRS16 in local GAAP and post the lease costs to the P&L | Local (BS) - did extend the IFRS16 in local GAAP and post the lease costs to the BS).
To run Z1AANNULD+3 : Correction and Posting of /Z1AANNUL/
Run /Z1AANNUL/ in test mode, to verify if the different accounts are balanced.
Fill /Z1AANNUL/ , you have to fill fields with the required information – (templates with pre-filled information can be found in the "Variant Directory of Program Z1AANNUL").
Use as charts of account COCA for PF1 PF2 and Z001 for WP1WP2.
Run one company at the a time, remembering to change the Country Key, based on the country identity of the company code (e.g.: company 0001 Belgium – country key BE; company 5835 Italy - country key IT, etc..) 
To run /Z1AANNUL/ and in test run, remove the ticks on "CREATE BATCH-INPUT" and "SCMA".
The document type for PF1 is SA and for WP1 is S5.
Example of balanced accounts:
If the accounts are balanced, /Z1AANNUL/ needs to be posted. In order to do it, go back to /Z1AANNUL/ the transaction main page and tick on "CREATE BATCH-INPUT and SCMA", remembering to also change the NAME OF BATCH-INPUT based on the company code that is posted.
When creating the batch, the following 3 messages appear.
A batch will be created on transaction /SM35/ and it will appear as follow
Select the batch and select Process
Several Pages of documents posting will appear.
By clicking enter, the
The batch is created when the following message appears:
To run the bath in order to perform the annulment posting you have to go to SAP transaction code SM35 and select the batch created.
After selecting the batch you may process as follows:
The batch is posted when the following message appears:
You can confirm that the posting was performed by selecting the log icon (
) and entering in the batch you process as following images:
After this last task you may consider all closure activities as completed. documents will be processed until the session will be completed.
To find the document number click on Log
And then click on the Session that has been processed. 
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