THOMSON REUTERS CORP /CAN/ - 40-F filing on 2022-03-10

Trade and Other Receivables

12 Months Ended

Dec. 31, 2021

Note 13: Trade and Other Receivables



	December 31,

	2021		2020
Trade receivables		1,117		1,195
Less: allowance for doubtful accounts		(38)		(37)
Less: allowance for sales adjustments		(41)		(36)
Net trade receivables		1,038		1,122
Other receivables		19		29
Trade and other receivables		1,057		1,151

The aging of gross trade receivables at each reporting date

was

as follows:



	December 31,

	2021		2020
Current - 30 days		884		946
Past due 31-60 days		55		72
Past due 61-90 days		33		42
Past due 91-180 days		85		52
Past due >180 days		60		83
Balance at December 31		1,117		1,195

Allowance for doubtful accounts

The change in the allowance for doubtful accounts was as follows:



	December 31,

	2021		2020
Balance at beginning of year		37		30
Charges		35		51
Write-offs		(34)		(44)
Balance at end of year		38		37

The Company is exposed to normal credit risk with respect to its accounts receivable and maintains provisions for credit losses. The potential for such losses is mitigated because customer creditworthiness is evaluated before credit is extended and there is no significant exposure to any single customer.

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The Company estimates credit losses for trade receivables by aggregating similar customer types together, because they tend to share similar credit risk characteristics, taking into consideration the number of days the receivable is past due. Provision rates for the allowance for doubtful accounts are based on historical credit loss experience and calibrated, based on management’s judgment, with forward looking information about a debtor’s ability to pay, including estimates related to the global economic crisis caused by the

COVID-19

pandemic. Trade and other receivables are written off when there is no reasonable expectation

of recovery, such as the bankruptcy of the debtor.