|
|
|
|
June 30, |
|
December 31, |
|
|
(US$ in millions) |
|
2012 |
|
2011 |
|
|
Prepaid commodity purchase contracts (1) |
|
$ |
835 |
|
$ |
206 |
|
|
Secured advances to suppliers, net (2) |
|
337 |
|
349 |
|
|
Unrealized gains on derivative contracts at fair value |
|
1,624 |
|
1,283 |
|
|
Recoverable taxes, net |
|
495 |
|
528 |
|
|
Margin deposits (3) |
|
417 |
|
352 |
|
|
Marketable securities |
|
69 |
|
50 |
|
|
Deferred purchase price receivable (4) |
|
156 |
|
192 |
|
|
Prepaid expenses |
|
368 |
|
369 |
|
|
Restricted cash (5) |
|
— |
|
43 |
|
|
Other |
|
463 |
|
424 |
|
|
Total |
|
$ |
4,764 |
|
$ |
3,796 |
|
(1) Prepaid commodity purchase contracts represent advance payments against fixed price contracts for future delivery of specified quantities of agricultural commodities. These contracts are recorded at fair value based on prices of the underlying agricultural commodities.
(2) Bunge provides cash advances to suppliers, primarily Brazilian farmers of soybeans, to finance a portion of the suppliers’ production costs. Bunge does not bear any of the costs or risks associated with the related growing crops. The advances are largely collateralized by future crops and physical assets of the suppliers, carry a local market interest rate and settle when the farmer’s crop is harvested and sold. The secured advances to farmers are reported net of allowances of $4 million at June 30, 2012 and $3 million at December 31, 2011.
Interest earned on secured advances to suppliers of $5 million for both the three months ended June 30, 2012 and 2011, respectively, and $13 million and $12 million for the six months ended June 30, 2012 and 2011, respectively, is included in net sales in the condensed consolidated statements of income.
(3) Margin deposits include U.S. treasury securities at fair value and cash.
(4) Deferred purchase price receivable represents additional credit support for the investment conduits in Bunge’s accounts receivables sales program (see Note 13) and is recognized at its estimated fair value.
(5) Restricted cash at December 31, 2011, includes an escrowed cash deposit related to an equity investment, which was completed in the first quarter of 2012.
|