v3.7.0.1
COMMITMENTS AND CONTINGENCIES (Tables)
 6 Months Ended
Jun. 30, 2017
COMMITMENTS AND CONTINGENCIES  
Liabilities related to general claims and lawsuits included in other non-current liabilities

 

 

June 30,

 

December 31,

 

(US$ in millions)

 

2017

 

2016

 

Non-income tax claims

 

$
173

 

$
170

 

Labor claims

 
91

 
82

 

Civil and other claims

 
91

 
98

 

 

 

 

 

 

 

Total

 

$
355

 

$
350

 

 

 

 

 

 

 

 

 

 

Maximum potential future payments related to guarantees

Guarantees - Bunge has issued or was a party to the following guarantees at June 30, 2017:

 

 

 

Maximum

 

 

 

Potential

 

 

 

Future

 

(US$ in millions)

 

Payments

 

Unconsolidated affiliates financing (1)(2)

 

$
182

 

Residual value guarantee (3)

 
227

 

 

 

 

 

Total

 

$
409

 

 

 

 

 

 

 

(1)

Bunge issued guarantees to certain financial institutions related to debt of certain of its unconsolidated joint ventures. The terms of the guarantees are equal to the terms of the related financings which have maturity dates in 2017 through 2022. There are no recourse provisions or collateral that would enable Bunge to recover any amounts paid under these guarantees. At June 30, 2017, Bunge recorded no obligation related to these guarantees.

 

(2)

Bunge issued guarantees to certain third parties related to performance of its unconsolidated joint ventures. The terms of the guarantees are equal to the completion date of a port terminal which is expected to be completed in 2019. There are no recourse provisions or collateral that would enable Bunge to recover any amounts paid under these guarantees. At June 30, 2017, Bunge recorded no obligation related to these guarantees.

 

(3)

Bunge issued guarantees to certain financial institutions which are party to certain operating lease arrangements for railcars and barges. These guarantees provide for a minimum residual value to be received by the lessor at conclusion of the lease term. These leases expire at various dates from 2018 through 2021. At June 30, 2017, Bunge’s recorded obligation related to these guarantees was $3 million.