v3.3.1.900
OTHER CURRENT ASSETS
9 Months Ended
Sep. 30, 2015
OTHER CURRENT ASSETS  
OTHER CURRENT ASSETS

6.OTHER CURRENT ASSETS

 

Other current assets consist of the following:

 

 

 

September 30,

 

December 31,

 

(US$ in millions)

 

2015

 

2014

 

Prepaid commodity purchase contracts (1)

 

$

355 

 

$

153 

 

Secured advances to suppliers, net (2)

 

441 

 

520 

 

Unrealized gains on derivative contracts, at fair value

 

1,676 

 

1,569 

 

Recoverable taxes, net

 

236 

 

349 

 

Margin deposits

 

352 

 

323 

 

Marketable securities, at fair value

 

132 

 

108 

 

Deferred purchase price receivable, at fair value (3)

 

84 

 

78 

 

Prepaid expenses

 

173 

 

183 

 

Other

 

417 

 

522 

 

 

 

 

 

 

 

Total

 

$

3,866 

 

$

3,805 

 

 

 

 

 

 

 

 

 

 

(1)

Prepaid commodity purchase contracts represent advance payments against fixed price contracts for future delivery of specified quantities of agricultural commodities.

 

(2)

Bunge provides cash advances to suppliers, primarily Brazilian farmers of soybeans and sugarcane, 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 $1 million and $2 million at September 30, 2015 and December 31, 2014, respectively.

 

Interest earned on secured advances to suppliers of $7 million and $8 million for the three months ended September 30, 2015 and 2014, respectively, and $27 million and $27 million for the nine months ended September 30, 2015 and 2014, respectively, is included in net sales in the condensed consolidated statements of income.

 

(3)

Deferred purchase price receivable represents additional credit support for the investment conduits in Bunge’s accounts receivables sales program (see Note 12).