v3.20.2
COMMITMENTS AND CONTINGENCIES (Tables)
 9 Months Ended
Sep. 30, 2020
Commitments and Contingencies Disclosure [Abstract]  
Liabilities related to general claims and lawsuits included in other non-current liabilities Included in Other non-current liabilities at September 30, 2020 and December 31, 2019 are the following amounts related to these matters:
(US$ in millions)September 30,
2020		December 31,
2019
Non-income tax claims$19 $23 
Labor claims47 50 
Civil and other claims74 88 
Total$140 $161 
Summary of tax examinations against Brazilian subsidiaries As of September 30, 2020, the Brazilian federal and state authorities have concluded examinations of the ICMS and PIS COFINS tax returns and have issued outstanding claims. The Company continues to evaluate the merits of each of these claims and will recognize them when loss is considered probable. The outstanding claims comprise the following:
(US$ in millions)Years ExaminedSeptember 30, 2020December 31, 2019
ICMS1990 to Present$162 $221 
PIS/COFINS2004 through 2016$191 $268 
Maximum potential future payments related to guarantees Bunge has issued or was a party to the following guarantees at September 30, 2020:
(US$ in millions)Maximum
Potential
Future
Payments
Unconsolidated affiliates guarantee (1) (2)
$296 
Residual value guarantee (3)
270 
Total$566 
(1)    Bunge has issued financial and performance guarantees to certain financial institutions related to debt of certain of its unconsolidated affiliates. The terms of the guarantees are equal to the terms of the related financings that have maturity dates through 2034. There are no recourse provisions or collateral that would enable Bunge to recover any amounts paid under these guarantees. In addition, certain Bunge subsidiaries have guaranteed the obligations of certain of their affiliates and in connection therewith have secured their guarantee obligations through a pledge of certain of their affiliate's shares plus loans receivable from the affiliates to the financial institutions in the event that the guaranteed obligations are enforced. Based on the amounts drawn under such debt facilities at September 30, 2020, Bunge's potential liability was $218 million, and it has recorded a $13 million obligation related to these guarantees, inclusive of expected lifetime credit losses, which are determined based on historical financial information and are not expected to be material.
(2)    As of September 30, 2020, Bunge has issued guarantees to certain third parties related to performance of its unconsolidated affiliates. The terms of the guarantees are equal to the completion date of a port terminal that was substantially complete at September 30, 2020. There are no recourse provisions or collateral that would enable Bunge to recover any amounts paid under these guarantees. At September 30, 2020, Bunge's maximum potential future payments under these guarantees was $37 million, and no obligation has been recorded related to these guarantees.
(3)    Bunge has issued guarantees to certain financial institutions that are party to certain operating lease arrangements for railcars, barges, and buildings. These guarantees provide for a minimum residual value to be received by the lessor at the conclusion of the lease term. These leases expire at various dates from 2020 through 2026. At September 30, 2020, no obligation has been recorded related to these guarantees. Any obligation recorded would be recognized in Current operating lease obligations or Non-current operating lease obligations (see Note 4 - Leases).