FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

6 Months Ended

Jun. 30, 2023

Fair Value Measurement [Abstract]

Financial assets classification

The following table provides the details of financial instruments and their associated financial instrument classifications as at June 30, 2023:

(US$ MILLIONS)
MEASUREMENT BASIS	FVTPL		FVOCI		Amortized cost		Total
Financial assets
Cash and cash equivalents	$	—	$	—	$	3,022	$	3,022
Accounts and other receivable, net (current and non-current)	—		—		7,188		7,188
Other assets (current and non-current) (1)	—		—		548		548
Financial assets (current and non-current) (2)	906		5,646		6,877		13,429
Total	$	906	$	5,646	$	17,635	$	24,187
Financial liabilities
Accounts payable and other (current and non-current) (2) (3)	$	778	$	347	$	11,596	$	12,721
Borrowings (current and non-current)	—		—		46,898		46,898
Total	$	778	$	347	$	58,494	$	59,619

____________________________________

(1)Excludes prepayments, assets held for sale and other non-financial assets of $2,770 million.

(2)FVOCI includes $534 million of derivative assets and $347 million of derivative liabilities designated in hedge accounting relationships. Refer to Hedging Activities in Note 4 (a) below.

(3)Includes derivative liabilities, and excludes liabilities associated with assets held for sale, provisions, decommissioning liabilities, deferred revenue, insurance contract liabilities, work in progress, post-employment benefits and other liabilities of $8,242 million.

The following table provides the details of financial instruments and their associated financial instrument classifications as at December 31, 2022:

(US$ MILLIONS)
MEASUREMENT BASIS	FVTPL		FVOCI		Amortized cost		Total
Financial assets
Cash and cash equivalents	$	—	$	—	$	2,870	$	2,870
Accounts and other receivable, net (current and non-current)	—		—		7,278		7,278
Other assets (current and non-current) (1)	—		—		469		469
Financial assets (current and non-current) (2)	960		5,585		6,363		12,908
Total	$	960	$	5,585	$	16,980	$	23,525
Financial liabilities
Accounts payable and other (2)(3)	$	818	$	223	$	11,700	$	12,741
Borrowings (current and non-current)	—		—		46,693		46,693
Total	$	818	$	223	$	58,393	$	59,434

____________________________________

(1)Excludes prepayments, assets held for sale and other non-financial assets of $1,904 million.

(2)FVOCI includes $418 million of derivative assets and $223 million of derivative liabilities designated in hedge accounting relationships. Refer to Hedging Activities in Note 4(a) below.

(3)Includes derivative liabilities and excludes provisions, decommissioning liabilities, deferred revenues, insurance liabilities, work in progress, post-employment benefits, liabilities associated with assets held for sale and various taxes and duties of $7,689 million.

(US$ MILLIONS)	June 30, 2023		December 31, 2022
Current
Marketable securities	$	1,139	$	1,227
Restricted cash	184		214
Derivative assets	153		133
Loans and notes receivable	324		257
Other financial assets (1)	57		148
Total current	$	1,857	$	1,979
Non-current
Marketable securities	$	2,743	$	2,682
Restricted cash	245		245
Derivative assets	606		507
Loans and notes receivable	6,010		5,500
Other financial assets (1)	1,968		1,995
Total non-current	$	11,572	$	10,929

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(1)Other financial assets include secured debentures, asset-backed securities and convertible preferred shares.

(US$ MILLIONS)	June 30, 2023		December 31, 2022
Current, net	$	6,207	$	6,401
Non-current, net
Accounts receivable	134		126
Retainer on customer contract	84		70
Billing rights	763		681
Total non-current, net	$	981	$	877
Total	$	7,188	$	7,278

Financial liabilities classification

The following table provides the details of financial instruments and their associated financial instrument classifications as at June 30, 2023:

(US$ MILLIONS)
MEASUREMENT BASIS	FVTPL		FVOCI		Amortized cost		Total
Financial assets
Cash and cash equivalents	$	—	$	—	$	3,022	$	3,022
Accounts and other receivable, net (current and non-current)	—		—		7,188		7,188
Other assets (current and non-current) (1)	—		—		548		548
Financial assets (current and non-current) (2)	906		5,646		6,877		13,429
Total	$	906	$	5,646	$	17,635	$	24,187
Financial liabilities
Accounts payable and other (current and non-current) (2) (3)	$	778	$	347	$	11,596	$	12,721
Borrowings (current and non-current)	—		—		46,898		46,898
Total	$	778	$	347	$	58,494	$	59,619

____________________________________

(1)Excludes prepayments, assets held for sale and other non-financial assets of $2,770 million.

(2)FVOCI includes $534 million of derivative assets and $347 million of derivative liabilities designated in hedge accounting relationships. Refer to Hedging Activities in Note 4 (a) below.

(3)Includes derivative liabilities, and excludes liabilities associated with assets held for sale, provisions, decommissioning liabilities, deferred revenue, insurance contract liabilities, work in progress, post-employment benefits and other liabilities of $8,242 million.

The following table provides the details of financial instruments and their associated financial instrument classifications as at December 31, 2022:

(US$ MILLIONS)
MEASUREMENT BASIS	FVTPL		FVOCI		Amortized cost		Total
Financial assets
Cash and cash equivalents	$	—	$	—	$	2,870	$	2,870
Accounts and other receivable, net (current and non-current)	—		—		7,278		7,278
Other assets (current and non-current) (1)	—		—		469		469
Financial assets (current and non-current) (2)	960		5,585		6,363		12,908
Total	$	960	$	5,585	$	16,980	$	23,525
Financial liabilities
Accounts payable and other (2)(3)	$	818	$	223	$	11,700	$	12,741
Borrowings (current and non-current)	—		—		46,693		46,693
Total	$	818	$	223	$	58,393	$	59,434

____________________________________

(1)Excludes prepayments, assets held for sale and other non-financial assets of $1,904 million.

(2)FVOCI includes $418 million of derivative assets and $223 million of derivative liabilities designated in hedge accounting relationships. Refer to Hedging Activities in Note 4(a) below.

(3)Includes derivative liabilities and excludes provisions, decommissioning liabilities, deferred revenues, insurance liabilities, work in progress, post-employment benefits, liabilities associated with assets held for sale and various taxes and duties of $7,689 million.

Carrying and fair values of financial assets

The following table categorizes financial assets and liabilities, which are carried at fair value, based upon the level of input as at June 30, 2023 and December 31, 2022:

	June 30, 2023						December 31, 2022
(US$ MILLIONS)	Level 1		Level 2		Level 3		Level 1		Level 2		Level 3
Financial assets
Common shares	$	502	$	—	$	—	$	736	$	—	$	—
Corporate and government bonds	49		3,520		—		91		3,266		—
Derivative assets	3		756		—		12		628		—
Other financial assets (1)	365		699		658		429		691		692
	$	919	$	4,975	$	658	$	1,268	$	4,585	$	692
Financial liabilities
Derivative liabilities	$	4	$	598	$	10	$	7	$	445	$	17
Other financial liabilities (2)	—		—		513		—		—		572
	$	4	$	598	$	523	$	7	$	445	$	589

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(1)Other financial assets include secured debentures, asset-backed securities and preferred shares. Level 1 other financial assets are primarily publicly traded preferred shares and mutual funds. Level 2 other financial assets are primarily asset-backed securities and Level 3 financial assets are primarily secured debentures and non-listed debt instruments.

(2)Includes $483 million (December 31, 2022: $544 million) of contingent consideration payable between 2023 and 2024 in relation to the acquisition of subsidiaries. Refer to Note 3 for further information.

Carrying and fair values of financial liabilities

The following table categorizes financial assets and liabilities, which are carried at fair value, based upon the level of input as at June 30, 2023 and December 31, 2022:

	June 30, 2023						December 31, 2022
(US$ MILLIONS)	Level 1		Level 2		Level 3		Level 1		Level 2		Level 3
Financial assets
Common shares	$	502	$	—	$	—	$	736	$	—	$	—
Corporate and government bonds	49		3,520		—		91		3,266		—
Derivative assets	3		756		—		12		628		—
Other financial assets (1)	365		699		658		429		691		692
	$	919	$	4,975	$	658	$	1,268	$	4,585	$	692
Financial liabilities
Derivative liabilities	$	4	$	598	$	10	$	7	$	445	$	17
Other financial liabilities (2)	—		—		513		—		—		572
	$	4	$	598	$	523	$	7	$	445	$	589

____________________________________

(1)Other financial assets include secured debentures, asset-backed securities and preferred shares. Level 1 other financial assets are primarily publicly traded preferred shares and mutual funds. Level 2 other financial assets are primarily asset-backed securities and Level 3 financial assets are primarily secured debentures and non-listed debt instruments.

(2)Includes $483 million (December 31, 2022: $544 million) of contingent consideration payable between 2023 and 2024 in relation to the acquisition of subsidiaries. Refer to Note 3 for further information.

Schedule of significant unobservable inputs used and change in balance of financial assets

The following table presents the change in the balance of financial assets classified as Level 3 for the six-month period ended June 30, 2023 and the twelve-month period ended December 31, 2022:

(US$ MILLIONS)	June 30, 2023		December 31, 2022
Balance at beginning of period	$	692	$	297
Fair value change recorded in net income	33		(9)
Fair value change recorded in other comprehensive income	(5)		(5)
Additions	—		523
Dispositions	(65)		(111)
Foreign currency translation and other	3		(3)
Balance at end of period	$	658	$	692

Schedule of significant unobservable inputs used and change in balance of financial liabilities

The following table presents the change in the balance of financial liabilities classified as Level 3 for the six-month period ended June 30, 2023 and the twelve-month period ended December 31, 2022:

(US$ MILLIONS)	June 30, 2023		December 31, 2022
Balance at beginning of period	$	589	$	498
Fair value change recorded in net income	(53)		12
Fair value change recorded in other comprehensive income	(1)		—
Additions	21		408
Dispositions/settlements	(49)		(356)
Foreign currency translation and other	16		27
Balance at end of period	$	523	$	589