Telefonica has a debt-laden balance sheet. As of Sep 30, 2021, the company had $11,346.6 million in cash and cash equivalents with $41,938.6 million of long-term debt. The company is experiencing a significant impact from the COVID-19 pandemic, with pressure across the Group's markets in both its B2C and B2B segments. Telefonica has classified its operations across Latin America (excluding Brazil) as non-core, given the challenging market conditions across these markets and their declining contribution to revenues and profitability in recent years.