When money is exhanged in a different country and converted to their currency, what exactly does that mean?

For example USD$1 = 1,967 Colombian Peso. So does that mean I would have $1,967 in Colombia or just that in their country that is equal to our dollar so it would be like saying the price on a pop that is $1 in the states would have a price tag in Colombia sayin 1,967. Or would $100 in the states make you $100,000 richer in Colombia. I'm really confused....