UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS OF

BROOKFIELD BUSINESS PARTNERS L.P.

As at June 30, 2024 and December 31, 2023 and for the
three and six months ended June 30, 2024 and 2023
1

INDEX TO THE UNAUDITED INTERIM CONDENSED CONSOLIDATED
FINANCIAL STATEMENTS OF BROOKFIELD BUSINESS PARTNERS L.P.

Unaudited Interim Condensed Consolidated Statements of Financial Position3 
Unaudited Interim Condensed Consolidated Statements of Operating Results4 
Unaudited Interim Condensed Consolidated Statements of Comprehensive Income (Loss)5 
Unaudited Interim Condensed Consolidated Statements of Changes in Equity6 
Unaudited Interim Condensed Consolidated Statements of Cash Flow7 
Notes to Unaudited Interim Condensed Consolidated Financial Statements8 
2

BROOKFIELD BUSINESS PARTNERS L.P.
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS
OF FINANCIAL POSITION
(US$ MILLIONS)NotesJune 30, 2024December 31, 2023
Assets
Current Assets 
Cash and cash equivalents4$2,959 $3,252 
Financial assets5893 1,139 
Accounts and other receivable, net65,709 5,558 
Inventory, net73,894 3,665 
Other assets91,360 1,271 
14,815 14,885 
Non-Current Assets
Financial assets512,929 12,037 
Accounts and other receivable, net6898 1,005 
Other assets9373 385 
Property, plant and equipment1015,430 15,724 
Deferred income tax assets1,388 1,220 
Intangible assets1119,674 20,846 
Equity accounted investments132,104 2,154 
Goodwill1213,910 14,129 
$81,521 $82,385 
Liabilities and Equity 
Current Liabilities 
Accounts payable and other14$11,820 $11,598 
Non-recourse borrowings in subsidiaries of the partnership162,965 2,757 
14,785 14,355 
Non-Current Liabilities
Accounts payable and other146,396 6,780 
Corporate borrowings161,882 1,440 
Non-recourse borrowings in subsidiaries of the partnership1637,275 38,052 
Deferred income tax liabilities2,979 3,226 
$63,317 $63,853 
Equity  
Limited partners19$1,868 $1,909 
Non-controlling interests attributable to: 
Redemption-exchange units191,752 1,792 
Special limited partner19— — 
BBUC exchangeable shares191,834 1,875 
Preferred securities19740 740 
Interest of others in operating subsidiaries12,010 12,216 
18,204 18,532 
$81,521 $82,385 
The accompanying notes are an integral part of the unaudited interim condensed consolidated financial statements.
3

BROOKFIELD BUSINESS PARTNERS L.P.
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS
OF OPERATING RESULTS
Three Months Ended
June 30,		Six Months Ended
June 30,
(US$ MILLIONS, except per unit amounts)Notes2024202320242023
Revenues22$11,946 $13,506 $23,961 $27,264 
Direct operating costs21(10,928)(12,330)(21,806)(24,796)
General and administrative expenses(307)(398)(624)(799)
Interest income (expense), net(778)(932)(1,574)(1,797)
Equity accounted income (loss)1331 28 54 53 
Impairment reversal (expense), net
10, 12
— (7)10 (7)
Gain (loss) on acquisitions/dispositions, net884 87 99 168 
Other income (expense), net(100)138 16 267 
Income (loss) before income tax(52)92 136 353 
Income tax (expense) recovery
Current(122)(267)(212)(393)
Deferred239 216 344 284 
Net income (loss)$65 $41 $268 $244 
Attributable to: 
Limited partners19$(7)$(16)$10 $9 
Non-controlling interests attributable to:
Redemption-exchange units19(6)(16)9 8 
Special limited partner19— — — — 
BBUC exchangeable shares19(7)(16)9 9 
Preferred securities1913 22 26 44 
Interest of others in operating subsidiaries72 67 214 174 
$65 $41 $268 $244 
Basic and diluted earnings (loss) per limited partner unit19$(0.10)$(0.22)$0.13 $0.12 
The accompanying notes are an integral part of the unaudited interim condensed consolidated financial statements.
4

BROOKFIELD BUSINESS PARTNERS L.P.
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS
OF COMPREHENSIVE INCOME (LOSS)
Three Months Ended
June 30,		Six Months Ended
June 30,
(US$ MILLIONS)Notes2024202320242023
Net income (loss)$65 $41 $268 $244 
Other comprehensive income (loss):
Items that may be reclassified subsequently to profit or loss:
Fair value through other comprehensive income40 (10)31 56 
Insurance finance reserve(10)(4)(5)— 
Foreign currency translation(258)142 (612)238 
Net investment and cash flow hedges4211 79 386 (52)
Equity accounted investments13(5)(1)(8)(1)
Taxes on the above items(25)(19)(44)(12)
Reclassification to profit or loss(82)(13)(139)(26)
(129)174 (391)203 
Items that will not be reclassified subsequently to profit or loss:
Revaluation of pension obligations(1)— (3)— 
Fair value through other comprehensive income2 37 9 91 
Taxes on the above items2 1 — (1)
3 38 6 90 
Total other comprehensive income (loss)(126)212 (385)293 
Comprehensive income (loss)$(61)$253 $(117)$537 
Attributable to:
Limited partners$(14)$(1)$(31)$31 
Non-controlling interests attributable to:
Redemption-exchange units (14)(2)(30)29 
Special limited partner— — — — 
BBUC exchangeable shares(15)(2)(32)30 
Preferred securities13 22 26 44 
Interest of others in operating subsidiaries(31)236 (50)403 
$(61)$253 $(117)$537 
The accompanying notes are an integral part of the unaudited interim condensed consolidated financial statements.
5

BROOKFIELD BUSINESS PARTNERS L.P.
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
 Limited partnersNon-controlling interests 
(US$ MILLIONS)CapitalRetained
earnings		Ownership
changes
Accumulated
other
comprehensive
income (loss) (1)
Total limited partnersRedemption-
exchange
units		Special limited partner unitsBBUC exchangeable sharesPreferred securitiesInterest of
others in
operating
subsidiaries		Total
equity
Balance as at January 1, 2024
$2,109 $549 $(619)$(130)$1,909 $1,792 $— $1,875 $740 $12,216 $18,532 
Net income (loss)— 10 — — 10 9 — 9 26 214 268 
Other comprehensive income (loss)— — — (41)(41)(39)— (41)— (264)(385)
Total comprehensive income (loss)— 10 — (41)(31)(30)— (32)26 (50)(117)
Contributions— — — — — — — — — 124 124 
Distributions and capital paid (2)
— (10)— — (10)(8)— (9)(26)(282)(335)
Ownership changes and other— — — — — (2)— — — 2 — 
Balance as at June 30, 2024$2,109 $549 $(619)$(171)$1,868 $1,752 $— $1,834 $740 $12,010 $18,204 
Balance as at January 1, 2023
2,114 97 (660)(143)1,408 1,318 — 1,378 1,490 12,835 18,429 
Net income (loss)— 9 — — 9 8 — 9 44 174 244 
Other comprehensive income (loss)— — — 22 22 21 — 21 — 229 293 
Total comprehensive income (loss)— 9 — 22 31 29 — 30 44 403 537 
Contributions— — — — — — — — — 1,002 1,002 
Distributions and capital paid (2)
— (10)— — (10)(8)— (9)(44)(1,219)(1,290)
Ownership changes (3)
— (11)38 — 27 21 — 25 — 141 214 
Balance as at June 30, 2023
$2,114 $85 $(622)$(121)$1,456 $1,360 $— $1,424 $1,490 $13,162 $18,892 
____________________________________
(1)See Note 20 for additional information.
(2)See Note 19 for additional information on distributions.
(3)Includes gains or losses on changes in ownership interests of consolidated subsidiaries.

The accompanying notes are an integral part of the unaudited interim condensed consolidated financial statements.
6

BROOKFIELD BUSINESS PARTNERS L.P.
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOW
  Six Months Ended June 30,
(US$ MILLIONS)Notes20242023
Operating Activities
Net income (loss)$268 $244 
Adjusted for the following items:
Equity accounted earnings, net of distributions1371 36 
Impairment expense (reversal), net(10)7 
Depreciation and amortization expense211,617 1,807 
Gain on acquisitions/dispositions, net8(99)(168)
Provisions and other items(231)(608)
Deferred income tax expense (recovery)(344)(284)
Changes in non-cash working capital, net24(849)(474)
Cash from (used in) operating activities423 560 
Financing Activities
Proceeds from non-recourse subsidiary borrowings of the partnership5,057 7,376 
Repayment of non-recourse subsidiary borrowings of the partnership(4,561)(7,065)
Proceeds from corporate borrowings665 270 
Repayment of corporate borrowings(215)(380)
Proceeds from other financing155 53 
Repayment of other financing(71)(73)
Proceeds from (repayment of) other credit facilities, net(50)(63)
Lease liability repayment(166)(194)
Capital provided by others who have interests in operating subsidiaries1996 1,439 
Distributions to limited partners, Redemption-Exchange unitholders and BBUC exchangeable shareholders19(27)(28)
Distributions to preferred securities holders19(26)(48)
Distributions and capital paid to others who have interests in operating subsidiaries19(327)(1,389)
Cash from (used in) financing activities530 (102)
Investing Activities
Acquisitions
Subsidiaries, net of cash acquired(84)(517)
Property, plant and equipment and intangible assets(1,257)(991)
Equity accounted investments(21)(8)
Financial assets and other(1,548)(1,332)
Dispositions
Subsidiaries, net of cash disposed8168 771 
Property, plant and equipment and intangible assets13 45 
Financial assets and other1,631 1,689 
Net settlement of derivative assets and liabilities7 (33)
Restricted cash and deposits7 39 
Cash from (used in) investing activities(1,084)(337)
Cash and cash equivalents
Change during the period(131)121 
Impact of foreign exchange(162)70 
Net change in cash classified within assets held for sale— (39)
Balance, beginning of year3,252 2,870 
Balance, end of period$2,959 $3,022 
Supplemental cash flow information is presented in Note 24.
The accompanying notes are an integral part of the unaudited interim condensed consolidated financial statements.
7
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023

NOTE 1. NATURE AND DESCRIPTION OF THE PARTNERSHIP
Brookfield Business Partners L.P. and its subsidiaries (collectively, the “partnership”) is an owner and operator of business services and industrials operations on a global basis. Brookfield Business Partners L.P. was established as a limited partnership under the laws of Bermuda, and organized pursuant to a limited partnership agreement as amended on May 31, 2016, and as thereafter amended. Brookfield Corporation (or together with its controlled subsidiaries, excluding the partnership, “Brookfield”) is the ultimate parent of the partnership. Brookfield Business Partners L.P.’s limited partnership units are listed on the New York Stock Exchange (“NYSE”) and the Toronto Stock Exchange (“TSX”) under the symbols “BBU” and “BBU.UN”, respectively. The registered head office of Brookfield Business Partners L.P. is 73 Front Street, 5th Floor, Hamilton HM 12, Bermuda.
Brookfield Business Partners L.P.’s sole direct investment is the managing general partnership units (“Managing General Partner Units”) of Brookfield Business L.P. (the “Holding LP”), which holds the partnership’s interests in its operating businesses. The partnership’s consolidated equity interests include the non-voting publicly traded limited partnership units (“LP Units”) held by public unitholders and Brookfield, general partner units held by Brookfield (“GP Units”), redemption-exchange partnership units (“Redemption-Exchange Units”) in the Holding LP held by Brookfield, special limited partnership units (“Special LP Units”) in the Holding LP held by Brookfield and class A exchangeable subordinate voting shares (“BBUC exchangeable shares”) of Brookfield Business Corporation (“BBUC”), a consolidated subsidiary of the partnership, held by the public and Brookfield. Holders of the LP Units, GP Units, Redemption-Exchange Units, Special LP Units and BBUC exchangeable shares will be collectively referred to throughout as “Unitholders” unless the context indicates or requires otherwise. LP Units, GP Units, Redemption-Exchange Units, Special LP Units and BBUC exchangeable shares will be collectively referred to throughout as “Units” unless the context indicates or requires otherwise.
The partnership’s principal operations include business services operations such as a residential mortgage insurer, healthcare services, a construction operation and a dealer software and technology services operation. The partnership’s industrials operations include an advanced energy storage operation and an engineered components manufacturing operation, among others. The partnership’s infrastructure services operations include offshore oil services, modular building leasing services, work access services, and a lottery services operation. The partnership’s operations are primarily located in the United States, the United Kingdom, Europe, Australia, Canada and Brazil.
NOTE 2. MATERIAL ACCOUNTING POLICY INFORMATION
(a)Basis of presentation
These unaudited interim condensed consolidated financial statements of the partnership have been prepared in accordance with IAS 34, Interim Financial Reporting (“IAS 34”), as issued by the International Accounting Standards Board (“IASB”) and using the accounting policies the partnership applied in its annual consolidated financial statements as at and for the year ended December 31, 2023, except for the adoption of the new accounting policies and standards described below. The accounting policies the partnership applied in its annual consolidated financial statements as at and for the year ended December 31, 2023 are disclosed in Note 2 of such consolidated financial statements, with which reference should be made in reading these unaudited interim condensed consolidated financial statements. All defined terms are also described in the annual consolidated financial statements. The unaudited interim condensed consolidated financial statements are prepared on a going concern basis and have been presented in U.S. dollars rounded to the nearest million unless otherwise indicated.
These unaudited interim condensed consolidated financial statements were approved by the Board of Directors of the partnership’s general partner, Brookfield Business Partners Limited (the “General Partner”), on behalf of the partnership, and authorized for issue on August 7, 2024.
8
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS 

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023
(i)Critical accounting judgments and measurement uncertainty
The preparation of financial statements in accordance with IAS 34 requires management to make critical judgments, estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period of the financial statements that are not readily apparent from other sources. The critical accounting estimates and judgments have been set out in Note 2 to the partnership’s annual consolidated financial statements as at and for the year ended December 31, 2023. These estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. There have been no significant changes to the method of determining critical accounting estimates and judgments relative to those described in the annual consolidated financial statements as at and for the year ended December 31, 2023.
(ii)Global minimum top-up tax
The partnership operates in countries, including Canada, which have enacted new legislation to implement the global minimum top-up tax, effective from January 1, 2024. The partnership has applied a temporary mandatory relief from recognizing and disclosing deferred taxes in connection with the global minimum top-up tax and will account for it as a current tax when it is incurred. There is no material current tax impact for the six months ended June 30, 2024. The global minimum top-up tax is not anticipated to have a material impact on the financial position of the partnership.
(b)New accounting policies adopted
The partnership has applied new and revised standards issued by the IASB that are effective for the period beginning on or after January 1, 2024.
(i)Amendments to IAS 1 Presentation of financial statements (“IAS 1”)
The amendments clarify how to classify debt and other liabilities as current or non-current. The partnership adopted these amendments on January 1, 2024 and the adoption did not have a material impact on the partnership’s unaudited interim condensed consolidated financial statements.
(c)Future changes in accounting policies
There are currently no other future changes to IFRS with expected material impacts on the partnership.
NOTE 3. ACQUISITION OF BUSINESSES
When determining the basis of accounting for the partnership’s investees, the partnership evaluates the degree of influence that the partnership exerts directly or through an arrangement over the investees’ relevant activities. Control is obtained when the partnership has power over the acquired entities and an ability to use its power to affect the returns of these entities.
The partnership accounts for business combinations using the acquisition method of accounting, pursuant to which identifiable tangible and intangible assets and liabilities are recognized and measured on the basis of their estimated fair values at the date of acquisition.
(a)Acquisitions completed in the six months ended June 30, 2024
There were no significant acquisitions during the three and six months ended June 30, 2024.
(b)Acquisitions completed in 2023
Infrastructure services
Mobile Mini Solutions (“Mobile Mini”)
On January 31, 2023, the partnership’s modular building leasing services acquired a 100% economic interest in Mobile Mini, a provider of portable storage solutions in the United Kingdom for total consideration of $419 million, funded with debt and equity. The partnership received 100% of the voting rights in Mobile Mini, which provided the partnership with control, and accordingly, the partnership has consolidated the business for financial reporting purposes.
9
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS 

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023
Goodwill of $176 million was recognized and represents growth the partnership expects to experience from the operations. The goodwill recognized was not deductible for income tax purposes. Customer relationship intangible assets of $58 million, property, plant and equipment of $236 million and other net liabilities of $51 million were acquired as part of the transaction. Transaction costs of approximately $10 million were recorded as other expenses in the 2023 consolidated statements of operating results.
NOTE 4. FAIR VALUE OF FINANCIAL INSTRUMENTS
The fair value of a financial instrument is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair values are determined by reference to quoted bid or ask prices, as appropriate. Where bid and ask prices are unavailable, the closing price of the most recent transaction of that instrument is used. In the absence of an active market, fair values are determined based on prevailing market rates such as bid and ask prices, as appropriate, for instruments with similar characteristics and risk profiles or internal or external valuation models, such as option pricing models and discounted cash flow analysis, using observable market inputs when available.
Fair values determined using valuation models require the use of assumptions concerning the amount and timing of estimated future cash flows and discount rates. In determining those assumptions, the partnership looks primarily to external readily observable market inputs such as interest rate yield curves, currency rates and price and rate volatility, as applicable.
The following table provides the details of financial instruments and their associated financial instrument classifications as at June 30, 2024:
(US$ MILLIONS)
MEASUREMENT BASISFVTPLFVOCIAmortized costTotal
Financial assets    
Cash and cash equivalents$— $— $2,959 $2,959 
Accounts and other receivable, net (current and non-current)— — 6,607 6,607 
Financial assets (current and non-current) (1)
924 4,937 7,961 13,822 
Total$924 $4,937 $17,527 $23,388 
Financial liabilities    
Accounts payable and other (current and non-current) (1) (2)
$243 $196 $10,623 $11,062 
Borrowings (current and non-current)— — 42,122 42,122 
Total$243 $196 $52,745 $53,184 
____________________________________
(1)FVOCI and FVTPL include derivative assets and liabilities designated in hedge accounting relationships. Refer to Hedging Activities in Note 4 (a) below.
(2)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 $7,154 million.
Included in cash and cash equivalents as at June 30, 2024 was $2,060 million of cash (December 31, 2023: $2,062 million) and $899 million of cash equivalents (December 31, 2023: $1,190 million).
Included in financial assets (current and non-current) as at June 30, 2024 was $494 million (December 31, 2023: $527 million) of equity instruments and $4,050 million (December 31, 2023: $4,105 million) of debt instruments designated and measured at fair value through other comprehensive income.
10
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS 

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023
The following table provides the details of financial instruments and their associated financial instrument classifications as at December 31, 2023:
(US$ MILLIONS)
MEASUREMENT BASISFVTPLFVOCIAmortized costTotal
Financial assets    
Cash and cash equivalents$— $— $3,252 $3,252 
Accounts and other receivable, net (current and non-current)— — 6,563 6,563 
Financial assets (current and non-current) (1)
964 4,841 7,371 13,176 
Total$964 $4,841 $17,186 $22,991 
Financial liabilities    
Accounts payable and other (1)(2)
$460 $331 $11,054 $11,845 
Borrowings (current and non-current)— — 42,249 42,249 
Total$460 $331 $53,303 $54,094 
____________________________________
(1)FVOCI and FVTPL include of derivative assets and liabilities designated in hedge accounting relationships. Refer to Hedging Activities in Note 4(a) below.
(2)Includes derivative liabilities and excludes liabilities associated with assets held for sale, provisions, decommissioning liabilities, deferred revenues, insurance contract liabilities, work in progress, post-employment benefits and other liabilities of $6,533 million.
(a)Hedging activities
Derivative instruments not designated in a hedging relationship are classified as FVTPL, with changes in fair value recognized in the unaudited interim condensed consolidated statements of operating results.
Net investment hedges
The partnership uses foreign exchange derivative contracts and foreign currency denominated debt instruments to manage foreign currency exposures arising from net investments in foreign operations. For the three and six months ended June 30, 2024, a pre-tax net gain of $110 million and $145 million, respectively (June 30, 2023: pre-tax net loss of $81 million and $154 million, respectively) was recorded in other comprehensive income for the effective portion of hedges of net investments in foreign operations. As at June 30, 2024, there was a derivative asset balance of $74 million (December 31, 2023: $4 million) and a derivative liability balance of $160 million (December 31, 2023: $259 million) relating to derivative contracts designated as net investment hedges.
Cash flow hedges
The partnership uses commodity swap contracts to hedge the sale price of natural gas contracts, purchase price of oil, lead, polypropylene, and tin, foreign exchange contracts and option contracts to hedge highly probable future transactions, and interest rate contracts to hedge the cash flows on its floating rate borrowings. A number of these contracts are designated as cash flow hedges. For the three and six months ended June 30, 2024, a pre-tax net gain of $101 million and $241 million, respectively (June 30, 2023: pre-tax net gain of $160 million and $102 million, respectively) was recorded in other comprehensive income for the effective portion of cash flow hedges. As at June 30, 2024, there was a derivative asset balance of $319 million (December 31, 2023: $205 million) and derivative liability balance of $33 million (December 31, 2023: $72 million) relating to the derivative contracts designated as cash flow hedges.
Fair value hedge
The partnership uses cross currency interest rate swap contracts to hedge its fair value exposure on certain foreign currency borrowings resulting from changes in foreign currency. As at June 30, 2024, there was a derivative asset balance of $28 million (December 31, 2023: $10 million) and derivative liability balance of $16 million (December 31, 2023: $31 million) relating to derivative contracts designated as fair value hedges.
11
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS 

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023
(b)Fair value hierarchical levels – financial instruments
Level 3 assets and liabilities measured at fair value on a recurring basis include $877 million (December 31, 2023: $828 million) of financial assets and $110 million (December 31, 2023: $284 million) of financial liabilities, which are measured at fair value using valuation inputs based on management’s best estimates.
The following table categorizes financial assets and liabilities, which are carried at fair value, based upon the level of input as at June 30, 2024 and December 31, 2023:
 June 30, 2024December 31, 2023
(US$ MILLIONS)Level 1Level 2Level 3Level 1Level 2Level 3
Financial assets      
Common shares$67 $— $— $117 $— $— 
Corporate and government bonds80 3,136 138 25 3,307 85 
Derivative assets4 526 — 6 404 — 
Other financial assets (1)
440 731 739 399 719 743 
$591 $4,393 $877 $547 $4,430 $828 
Financial liabilities      
Derivative liabilities$6 $323 $— $7 $500 $1 
Other financial liabilities (2)
— — 110 — — 283 
$6 $323 $110 $7 $500 $284 
____________________________________
(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 convertible preferred securities in the partnership’s audience measurement operation and secured debentures.
(2)Includes $75 million (December 31, 2023: $258 million) of contingent consideration payable in relation to the acquisition of subsidiaries.
There were no transfers between levels during the six months ended June 30, 2024.
The following table presents the change in the balance of financial assets classified as Level 3 for the six-month period ended June 30, 2024 and the twelve-month period ended December 31, 2023:
(US$ MILLIONS)June 30, 2024December 31, 2023
Balance at beginning of period$828 $692 
Fair value change recorded in net income(1)57 
Fair value change recorded in other comprehensive income11 (6)
Additions64 150 
Dispositions(23)(70)
Foreign currency translation and other(2)5 
Balance at end of period$877 $828 
12
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS 

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023
The following table presents the change in the balance of financial liabilities classified as Level 3 for the six-month period ended June 30, 2024 and the twelve-month period ended December 31, 2023:
(US$ MILLIONS)June 30, 2024December 31, 2023
Balance at beginning of period$284 $589 
Fair value change recorded in net income(153)(62)
Fair value change recorded in other comprehensive income2 (21)
Additions8 25 
Dispositions/settlements(29)(262)
Foreign currency translation and other(2)15 
Balance at end of period$110 $284 
NOTE 5. FINANCIAL ASSETS
(US$ MILLIONS)June 30, 2024December 31, 2023
Current  
Marketable securities$154 $498 
Restricted cash183 189 
Derivative assets122 120 
Loans and notes receivable302 243 
Other financial assets (1)
132 89 
Total current$893 $1,139 
Non-current  
Marketable securities$2,924 $2,748 
Restricted cash66 54 
Derivative assets408 290 
Loans and notes receivable (2)
7,199 6,702 
Other financial assets (1)
2,332 2,243 
Total non-current$12,929 $12,037 
____________________________________
(1)Other financial assets primarily consist of asset-backed securities and high yield bonds at the partnership’s residential mortgage insurer and convertible preferred shares held in the partnership’s audience measurement operation.
(2)Loans and notes receivable includes $6,216 million (December 31, 2023: $5,844 million) of mortgage receivables related to the partnership’s Australian asset manager and lender.
NOTE 6. ACCOUNTS AND OTHER RECEIVABLE, NET
(US$ MILLIONS)June 30, 2024December 31, 2023
Current, net$5,709 $5,558 
Non-current, net
Accounts receivable153 202 
Retainer on customer contract77 70 
Billing rights668 733 
Total non-current, net$898 $1,005 
Total$6,607 $6,563 
Non-current billing rights represent unbilled rights from the partnership’s water and wastewater operation in Brazil from revenues earned from the construction on public concession contracts classified as financial assets, which are recognized when there is an unconditional right to receive cash or other financial assets from the concession authority for the construction services.
13
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS 

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023
The partnership’s construction operation has a retention balance, which comprises amounts that have been earned but held back until the satisfaction of certain conditions specified in the contract. The retention balance included in the current accounts and other receivable, net as at June 30, 2024 was $53 million (December 31, 2023: $120 million).
NOTE 7. INVENTORY, NET
(US$ MILLIONS)June 30, 2024December 31, 2023
Raw materials and consumables$964 $1,066 
Fuel products (1)
596 596 
Work in progress607 564 
RTFO certificates391 367 
Finished goods and other (2)
1,336 1,072 
Carrying amount of inventories$3,894 $3,665 
____________________________________
(1)Fuel products that are traded in active markets are purchased with a view to resell in the near future. As a result, inventories of fuel products are recorded at fair value based on quoted market prices.
(2)Finished goods and other primarily comprises finished goods inventory at our advanced energy storage operation and our engineered components manufacturing operation.
NOTE 8. DISPOSITIONS
(a)Dispositions completed in the six months ended June 30, 2024
Industrials
Canadian aggregates production operation
On June 11, 2024, the partnership completed the sale of its Canadian aggregates production operation for total consideration of $140 million, resulting in a pre-tax net gain of $84 million recorded in the unaudited interim condensed consolidated statements of operating results, included in gain (loss) on acquisitions/dispositions, net.
Business services
Real estate services operation
On March 31, 2024, the partnership completed the sale of its general partner interest and residential real estate brokerage portfolio to Bridgemarq, a publicly listed real estate services operation and brokerage business in which the partnership has an equity accounted investment. As consideration, the partnership received limited partnership units in the Bridgemarq public entity, increasing the partnership’s ownership interest from 28% to approximately 42%. This resulted in a pre-tax gain of $15 million recorded in the unaudited interim condensed consolidated statements of operating results, included in gain (loss) on acquisitions/dispositions, net.
Infrastructure services
Offshore oil services
On February 29, 2024, the partnership’s offshore oil services completed the sale of its non-core towage business. The proceeds realized from the sale were equal to the carrying value of the business disposed, resulting in no gain or loss.
14
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS 

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023
(b)Dispositions completed in the six months ended June 30, 2023
Business services
Dealer software and technology services operations
On May 1, 2023, the partnership’s dealer software and technology services operations completed the sale of its non-core division servicing the heavy equipment sector for total consideration of approximately $490 million, resulting in a gain of $87 million recorded in the unaudited interim condensed consolidated statements of operating results, included in gain (loss) on acquisitions/dispositions, net.
Residential property management operation
On March 31, 2023, the partnership completed the sale of its residential property management operation, resulting in a gain of $67 million recorded in the unaudited interim condensed consolidated statements of operating results, included in gain (loss) on acquisitions/dispositions, net.
Infrastructure services
Power delivery business
During February 2023, the nuclear technology services operation, which the partnership sold in November 2023, completed the sale of its power delivery business for gross proceeds of approximately $275 million, resulting in a net pre-tax gain of $14 million recorded in the unaudited interim condensed consolidated statements of operating results, included in gain (loss) on acquisitions/dispositions, net.
NOTE 9. OTHER ASSETS
(US$ MILLIONS)June 30, 2024December 31, 2023
Current
Work in progress (1)
$193 $200 
Prepayments and other assets1,055 956 
Assets held for sale 112 115 
Total current$1,360 $1,271 
Non-current
Prepayments and other assets$373 $385 
Total non-current$373 $385 
____________________________________
(1)See Note 15 for additional information.
15
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS 

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023
NOTE 10. PROPERTY, PLANT AND EQUIPMENT
The following table presents the change in the balance of property, plant and equipment for the six-month period ended June 30, 2024 and the twelve-month period ended December 31, 2023:
(US$ MILLIONS)June 30, 2024December 31, 2023
Gross carrying amount  
Balance at beginning of period$22,392 $21,980 
Additions (cash and non-cash)1,603 3,433 
Dispositions(978)(3,589)
Acquisitions through business combinations (1)
7 236 
Foreign currency translation and other(601)332 
Balance at end of period$22,423 $22,392 
Accumulated depreciation and impairment  
Balance at beginning of period$(6,668)$(6,087)
Depreciation/depletion/impairment expense(829)(2,049)
Dispositions397 1,568 
Foreign currency translation and other107 (100)
Balance at end of period$(6,993)$(6,668)
Net book value (2)
$15,430 $15,724 
____________________________________
(1)See Note 3 for additional information.
(2)Includes right-of-use assets of $1,193 million as at June 30, 2024 (December 31, 2023: $1,296 million).
NOTE 11. INTANGIBLE ASSETS
The following table presents the change in the balance of intangible assets for the six-month period ended June 30, 2024 and twelve-month period ended December 31, 2023:
(US$ MILLIONS)June 30, 2024December 31, 2023
Gross carrying amount  
Balance at beginning of period$25,242 $27,568 
Additions182 588 
Acquisitions through business combinations11 74 
Dispositions(12)(3,485)
Foreign currency translation(703)497 
Balance at end of period$24,720 $25,242 
Accumulated amortization and impairment
Balance at beginning of period$(4,396)$(3,615)
Amortization and impairment expense(793)(1,730)
Dispositions8 1,038 
Foreign currency translation135 (89)
Balance at end of period$(5,046)$(4,396)
Net book value$19,674 $20,846 
16
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS 

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023
NOTE 12. GOODWILL
The following table presents the change in the balance of goodwill for the six-month period ended June 30, 2024 and the twelve-month period ended December 31, 2023:
(US$ MILLIONS)June 30, 2024December 31, 2023
Balance at beginning of period$14,129 $15,479 
Acquisitions through business combinations (1)
46 189 
Impairment — (605)
Dispositions(5)(1,091)
Foreign currency translation(260)157 
Balance at end of period$13,910 $14,129 
____________________________________
(1)See Note 3 for additional information.
NOTE 13. EQUITY ACCOUNTED INVESTMENTS
The following table presents the change in the balance of equity accounted investments for the six-month period ended June 30, 2024 and twelve-month period ended December 31, 2023:
(US$ MILLIONS)June 30, 2024December 31, 2023
Balance at beginning of period$2,154 $2,065 
Additions53 464 
Dispositions— (354)
Share of net income (loss)54 132 
Share of other comprehensive income (loss)(8)1 
Distributions received(125)(172)
Foreign currency translation(24)18 
Balance at end of period$2,104 $2,154 
17
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS 

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023
NOTE 14. ACCOUNTS PAYABLE AND OTHER
(US$ MILLIONS)June 30, 2024December 31, 2023
Current  
Accounts payable$4,120 $4,234 
Accrued and other liabilities (1) (2)
5,601 5,194 
Lease liabilities249 266 
Financial liabilities (3)
278 278 
Insurance liabilities389 433 
Work in progress (4)
514 481 
Provisions and decommissioning liabilities661 689 
Liabilities associated with assets held for sale8 23 
Total current$11,820 $11,598 
Non-current  
Accounts payable$92 $94 
Accrued and other liabilities (2)
1,634 1,692 
Lease liabilities1,033 1,104 
Financial liabilities (3)
1,701 1,894 
Insurance liabilities1,473 1,501 
Work in progress (4)
27 20 
Provisions and decommissioning liabilities436 475 
Total non-current$6,396 $6,780 
____________________________________
(1)Includes bank overdrafts of $476 million as at June 30, 2024 (December 31, 2023: $558 million).
(2)Includes post-employment benefits of $248 million ($7 million current and $241 million non-current) as at June 30, 2024 and $250 million ($7 million current and $243 million non-current) as at December 31, 2023.
(3)Includes financial liabilities of $1,341 million ($65 million current and $1,276 million non-current) as at June 30, 2024 and $1,345 million ($64 million current and $1,281 million non-current) as at December 31, 2023 related to a failed sale and leaseback of hospitals.
(4)See Note 15 for additional information.
NOTE 15. CONTRACTS IN PROGRESS
(US$ MILLIONS)June 30, 2024December 31, 2023
Contract costs incurred to date$12,189 $13,519 
Profit recognized to date (less recognized losses)(46)170 
$12,143 $13,689 
Less: progress billings(12,491)(13,990)
Contract work in progress (liability)$(348)$(301)
Comprising:  
Amounts due from customers – work in progress$193 $200 
Amounts due to customers – creditors (541)(501)
Net work in progress$(348)$(301)
18
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS 

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023
NOTE 16. BORROWINGS
(a)Corporate borrowings
The partnership has bilateral credit facilities backed by large global banks. The credit facilities are available in Euros, British pounds, Australian dollars, U.S. dollars and Canadian dollars. Advances under the credit facilities bear interest at the specified SOFR, SONIA, EURIBOR, CORRA (which replaced CDOR on July 1, 2024), BBSY or bankers’ acceptance rate plus 2.50%, or the specified base rate or prime rate plus 1.50%. The credit facilities require the partnership to maintain a minimum tangible net worth and deconsolidated debt to capitalization ratio at the corporate level. The total capacity on the bilateral credit facilities is $2,350 million with a maturity date of June 29, 2029. The balance drawn on the bilateral credit facility, net of deferred financing costs, was $1,882 million as at June 30, 2024 (December 31, 2023: $1,440 million).
The partnership had $1 billion available on its revolving credit facility with Brookfield (the “Brookfield Credit Agreement”) as at June 30, 2024. The credit facility is guaranteed by the partnership, the Holding LP and certain of the partnership’s subsidiaries. The credit facility is available in U.S. dollars or Canadian dollars and advances are made by way of SOFR, base rate, bankers’ acceptance rate or prime rate loans. The credit facility bears interest at the specified SOFR or bankers’ acceptance rate plus 3.45%, or the specified base rate or prime rate plus 2.45%. The credit facility requires the partnership to maintain a minimum deconsolidated net worth and contains restrictions on the ability of the borrowers and the guarantors to, among other things, incur certain liens or enter into speculative hedging arrangements. Net proceeds above a specified threshold that are received by the borrowers from asset dispositions, debt incurrences or equity issuances by the borrowers or their subsidiaries must be used to pay down the credit facility (which can then be redrawn to fund future investments). The maturity date of the credit facility is April 27, 2028, which date will automatically extend for a one-year period on April 27 of each year unless Brookfield provides written notice of its intention not to further extend the then prevailing maturity date. The total available amount on the credit facility will decrease to $500 million on April 27, 2025. As at June 30, 2024, the credit facility remained undrawn.
The partnership is currently in compliance with covenant requirements of its corporate borrowings and continues to monitor performance against such covenant requirements.
As at June 30, 2024, there were no funds on deposit from Brookfield (December 31, 2023: $nil). Refer to Note 17 for further details on the Deposit Agreements (defined herein) with Brookfield.
(b)Non-recourse subsidiary borrowings of the partnership
Current and non-current non-recourse subsidiary borrowings in subsidiaries of the partnership as at June 30, 2024, net of deferred financing costs, premiums and discounts, were $2,965 million and $37,275 million, respectively (December 31, 2023: $2,757 million and $38,052 million, respectively). Non-recourse borrowings in subsidiaries of the partnership include borrowings made under subscription facilities of Brookfield-sponsored private equity funds.
Some of the partnership’s operations have credit facilities in which they borrow and repay on a short-term basis. This movement has been shown on a net basis in the partnership’s unaudited interim condensed consolidated statements of cash flow.
The partnership has financing arrangements within its operating businesses that trade in public markets or are held at major financial institutions. The financing arrangements are primarily composed of term loans, securitization programs, credit facilities and notes and debentures which are subject to fixed or floating interest rates. The majority of borrowings drawn are not subject to financial maintenance covenants, however, some are subject to fixed charge coverage, leverage ratios and minimum equity or liquidity covenants.
The partnership principally finances assets at the subsidiary level with debt that is non-recourse to both the partnership and to its other subsidiaries and is generally secured against assets within the respective subsidiaries. Moreover, debt instruments at the partnership’s subsidiaries do not cross-accelerate or cross-default to debt at other subsidiaries. The partnership’s subsidiaries are currently in compliance with all material covenant requirements and the partnership continues to work with its businesses to monitor performance against such covenant requirements.
19
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS 

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023
NOTE 17. RELATED PARTY TRANSACTIONS
In the normal course of operations, the partnership entered into the transactions below with related parties. These transactions have been measured at fair value and are recognized in the unaudited interim condensed consolidated financial statements.
(a)Transactions with Brookfield
The partnership is a party to the Brookfield Credit Agreement, which permits borrowings of up to $1 billion. As at June 30, 2024, $nil was drawn on the credit facilities under the Brookfield Credit Agreement (December 31, 2023: $nil). Refer to Note 16 for further details.
From time to time, each of Brookfield and the partnership may place funds on deposit with the other, on terms approved by the independent directors of the partnership’s General Partner, pursuant to deposit agreements entered into between Brookfield and the partnership (the “Deposit Agreements”). Interest earned or incurred on such deposits is at market terms. As at June 30, 2024, the net deposit from Brookfield was $nil (December 31, 2023: $nil) and the partnership incurred interest income (expense) of $nil for the three and six months ended June 30, 2024 (June 30, 2023: $nil) on these deposits.
Pursuant to the Master Services Agreement (“Master Services Agreement”), Brookfield Business Partners L.P. and other service recipients (the “Service Recipients” as defined in the Master Services Agreement) pay a base management fee, referred to as the Base Management Fee, to certain service providers (the “Service Providers” as defined in the Master Services Agreement) equal to 0.3125% per quarter (1.25% annually) of the total capitalization of the partnership, which is reflected within general and administrative expenses. For purposes of calculating the base management fee, the total capitalization of the partnership is equal to the quarterly volume-weighted average trading price of an LP Unit on the principal stock exchange for the LP Units (based on trading volumes) multiplied by the number of LP Units outstanding at the end of the quarter (assuming full conversion of the Redemption-Exchange Units into LP Units of Brookfield Business Partners L.P.), plus the value of securities of the other Service Recipients (including the BBUC exchangeable shares) that are not held by the partnership, plus all outstanding debt with recourse to a Service Recipient, less all cash held by such entities. The base management fee for the three and six months ended June 30, 2024 was $21 million and $44 million, respectively (June 30, 2023: $23 million and $46 million, respectively).
In its capacity as the holder of the Special LP Units, Brookfield is entitled to incentive distribution rights. The incentive distribution for the three and six months ended June 30, 2024 was $nil (June 30, 2023: $nil).
An integral part of the partnership’s strategy is to participate with institutional investors in Brookfield-sponsored private equity funds that target acquisitions that suit the partnership’s investment mandate. In the normal course of business, the partnership and institutional investors have made commitments to Brookfield-sponsored private equity funds, and in connection therewith, the partnership, together with institutional investors, has access to short-term financing using the private equity funds’ credit facilities to facilitate investments that Brookfield has determined to be in the partnership’s best interests.
In addition, at the time of spin-off of the partnership from Brookfield in 2016, the partnership entered into indemnity agreements with Brookfield that relate to certain contracts that were in place prior to the spin-off. Under these indemnity agreements, Brookfield has agreed to indemnify the partnership for payments relating to such contracts.
(b)Other
Inclusive of those described above, the following table summarizes the transactions the partnership has entered into with related parties for the three and six month periods ended June 30, 2024 and 2023:
Three Months Ended
June 30,		Six Months Ended
June 30,
(US$ MILLIONS)2024202320242023
Transactions during the period
Business services revenues (1)
$74 $15 $110 $73 
____________________________________
(1) Within the business services segment, the partnership provides construction services and fuel products to affiliates of Brookfield.
20
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS 

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023
Inclusive of those described above, the following table summarizes balances with related parties as at June 30, 2024 and December 31, 2023:
(US$ MILLIONS)June 30, 2024December 31, 2023
Balances at end of period
Accounts and other receivable, net$447 $182 
Accounts payable and other (1)
341 346 
Non-recourse borrowings in subsidiaries of the partnership150 146 
Interest of others in operating subsidiaries4 4 
____________________________________
(1)Includes $258 million related to a tax receivable agreement payable to related parties by the partnership’s advanced energy storage operation (December 31, 2023: $245 million).
NOTE 18. DERIVATIVE FINANCIAL INSTRUMENTS
The partnership’s activities expose it to a variety of financial risks, including market risk (currency risk, interest rate risk, commodity risk and other price risks), credit risk and liquidity risk. The partnership selectively uses derivative financial instruments principally to manage these risks.
The aggregate fair values of the partnership’s derivative financial instrument positions as at June 30, 2024 and December 31, 2023 were as follows:
June 30, 2024December 31, 2023
(US$ MILLIONS)Financial AssetsFinancial LiabilitiesFinancial AssetsFinancial Liabilities
Foreign exchange contracts$90 $(190)$75 $(291)
Cross currency swaps52 (44)12 (58)
Interest rate derivatives313 (83)248 (123)
Commodities contracts75 (12)75 (36)
Total$530 $(329)$410 $(508)
Total current$122 $(134)$120 $(139)
Total non-current$408 $(195)$290 $(369)
NOTE 19. EQUITY
The partnership’s consolidated equity interests include LP Units held by the public and Brookfield, GP Units held by Brookfield, Redemption-Exchange Units held by Brookfield, Special LP Units held by Brookfield and BBUC exchangeable shares held by the public and Brookfield, collectively, “Units” or “Unitholders” as described in Note 1, and $740 million of preferred securities held by Brookfield. As at June 30, 2024, Brookfield owned approximately 65.5% of the partnership on a fully exchanged basis, assuming the exchange of all of the Redemption-Exchange Units and BBUC exchangeable shares. The partnership’s sole direct investment consists of 74,281,770 Managing General Partner Units of Holding LP (December 31, 2023: 74,281,767), through which the partnership holds all of its interests in its operating businesses.
For the three and six months ended June 30, 2024, the partnership made distributions on the LP Units, GP Units, Redemption-Exchange Units and BBUC exchangeable shares of $13 million and $27 million, respectively or $0.0625 per Unit (June 30, 2023: $13 million and $27 million, respectively or $0.0625 per Unit). For the three months and six months ended June 30, 2024, the partnership declared distributions on the perpetual preferred equity securities held by Brookfield of $13 million and $26 million, respectively (June 30, 2023: $22 million and $44 million, respectively). For the three and six months ended June 30, 2024, the partnership made distributions to others who have interests in operating subsidiaries of $181 million and $282 million, respectively (June 30, 2023: $968 million and $1,219 million, respectively). Distributions to others who have interests in operating subsidiaries were primarily related to distributions from the partnership’s Australian asset manager and lender and residential mortgage insurer.
21
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS 

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023
(a)GP Units and LP Units
LP Units entitle the holder to their proportionate share of distributions. GP Units entitle the holder the right to govern the financial and operating policies of Brookfield Business Partners L.P. The GP Units are not quantitatively material to the financial statements and therefore have not been separately presented on the unaudited interim condensed consolidated statements of financial position.
The following table provides a continuity of GP Units and LP Units outstanding for the six-month period ended June 30, 2024:
UNITSGP UnitsLP UnitsTotal
Authorized and issued
Opening balance474,281,76374,281,767
Conversion from BBUC exchangeable shares—33
Issued as at June 30, 2024474,281,76674,281,770
The weighted average number of LP Units outstanding for the three and six months ended June 30, 2024 was 74.3 million (June 30, 2023: 74.6 million).
During the six months ended June 30, 2024, the partnership did not repurchase any of its LP Units (June 30, 2023: nil LP Units).
During the six months ended June 30, 2024, Brookfield purchased 15,211 LP Units under our NCIB (June 30, 2023: 374,533 LP Units).
Managing General Partner Units of the Holding LP are repurchased and canceled in connection with the repurchase and cancellation of LP Units. During the six months ended June 30, 2024, nil Managing General Partner Units (June 30, 2023: nil) were repurchased and canceled as no LP Units were repurchased by the partnership.
Net income (loss) attributable to limited partnership unitholders for the three and six months ended June 30, 2024 was $(7) million and $10 million, respectively (June 30, 2023: net income (loss) of $(16) million and $9 million, respectively).
(b)Redemption-Exchange Units held by Brookfield
UNITSRedemption-Exchange Units
Authorized and issued
Opening balance69,705,497
Issued as at June 30, 202469,705,497
The weighted average number of Redemption-Exchange Units outstanding for the three and six months ended June 30, 2024 was 69.7 million (June 30, 2023: 69.7 million).
As at June 30, 2024, the Holding LP had issued 69.7 million Redemption-Exchange Units to Brookfield (June 30, 2023: 69.7 million). Both the LP Units and GP Units issued by Brookfield Business Partners L.P. and the Redemption-Exchange Units issued by the Holding LP have the same economic attributes in all respects, except as noted below.
The Redemption-Exchange Units may, at the request of Brookfield, be redeemed in whole or in part, for cash in an amount equal to the market value of one of the partnership’s LP Units multiplied by the number of units to be redeemed (subject to certain customary adjustments). This right is subject to the partnership’s right, at its sole discretion, to elect to acquire any unit presented for redemption in exchange for one of the partnership’s LP Units (subject to certain customary adjustments). If the partnership elects not to exchange the Redemption-Exchange Units for LP Units, the Redemption-Exchange Units are required to be redeemed for cash. The Redemption-Exchange Units are presented as non-controlling interests since they relate to equity in a subsidiary that is not attributable, directly or indirectly, to Brookfield Business Partners L.P. Since this redemption right is subject to the partnership’s right, at its sole discretion, to satisfy the redemption request with LP Units of Brookfield Business Partners L.P. on a one-for-one basis, the Redemption-Exchange Units are classified as equity instruments in accordance with IAS 32, Financial instruments: presentation (“IAS 32”).
22
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS 

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023
(c)BBUC exchangeable shares
The table below provides a continuity of BBUC exchangeable shares outstanding for the six-month period ended June 30, 2024:
SHARESBBUC exchangeable shares
Balance as at January 1, 202472,954,450 
Converted to LP Units(3)
Issued as at June 30, 202472,954,447 
During the six months ended June 30, 2024, 3 BBUC exchangeable shares were exchanged into LP Units (June 30, 2023: 622).
An additional Managing General Partner Unit is issued to the partnership each time an LP Unit is issued, including when a BBUC exchangeable share is exchanged by the holder thereof for an LP Unit. During the six months ended June 30, 2024, 3 Managing General Partner Units (June 30, 2023: 622) were issued to the partnership in connection with the exchange of 3 BBUC exchangeable shares into LP Units (June 30, 2023: 622).
(d)Special limited partner units held by Brookfield
UNITSSpecial limited partner units held by Brookfield
Authorized and issued
Opening balance4 
Issued as at June 30, 20244 
The weighted average number of special limited partner units outstanding for the three and six months ended June 30, 2024 was 4 (June 30, 2023: 4).
In its capacity as the holder of the Special LP Units, the special limited partner is entitled to incentive distributions which are calculated as 20% of the increase in the market value of the LP Units on a fully exchanged basis (assuming the exchange of all of the Redemption-Exchange Units and BBUC exchangeable shares) over an initial threshold based on the volume-weighted average price of the LP Units, subject to a high-water mark.
During the three months ended June 30, 2024, the volume-weighted average price was $19.30 per LP Unit, which was below the current incentive distribution threshold of $31.53 per LP Unit, resulting in no incentive distribution declared during the period (June 30, 2023: $nil).
(e)Preferred securities held by Brookfield
($US MILLIONS)Preferred securities held by Brookfield
Authorized and issued
Opening balance$740 
Balance as at June 30, 2024$740 
Brookfield has subscribed for an aggregate of $15 million of preferred shares of three subsidiaries of the partnership. The preferred shares are entitled to receive a cumulative preferential cash dividend equal to 5% of their redemption value per annum as and when declared by the board of directors of the applicable entity and are redeemable at the option of the applicable entity at any time after the twentieth anniversary of their issuance. The partnership is not obligated to redeem the preferred shares and accordingly, the preferred shares have been determined to be equity instruments of the applicable entities in accordance with IAS 32 and are reflected as a component of non-controlling interests in the unaudited interim condensed consolidated statements of financial position.
23
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS 

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023
The partnership has an agreement with Brookfield to subscribe for up to $1.5 billion of perpetual preferred equity securities of subsidiaries of the partnership. The preferred securities are redeemable at the option of Brookfield to the extent the partnership completes asset sales, financings or equity issuances. These perpetual preferred securities are presented as equity instruments in accordance with IAS 32, and accordingly the partnership has classified them as a component of non-controlling interests in the unaudited interim condensed consolidated statements of financial position and changes in equity. As of June 30, 2024, the amount subscribed from subsidiaries of the partnership was $725 million with an annual dividend of 7% (December 31, 2023: $725 million). The remaining capacity available on the commitment agreement with Brookfield is $25 million.
NOTE 20. ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS)
Attributable to Limited Partners
The following tables present the changes in accumulated other comprehensive income (loss) reserves attributable to limited partners for the six months ended June 30, 2024 and 2023:
(US$ MILLIONS)Foreign currency
translation		FVOCI
Other (1)
Accumulated other comprehensive income (loss)
Balance as at January 1, 2024$(189)$5 $54 $(130)
Other comprehensive income (loss)(74)4 29 (41)
Balance as at June 30, 2024$(263)$9 $83 $(171)
____________________________________
(1)Represents net investment hedges, cash flow hedges and other reserves.
(US$ MILLIONS)Foreign currency
translation		FVOCI
Other (1)
Accumulated other comprehensive income (loss)
Balance as at January 1, 2023$(247)$(8)$112 $(143)
Other comprehensive income (loss)28 13 (19)22 
Balance as at June 30, 2023$(219)$5 $93 $(121)
____________________________________
(1)Represents net investment hedges, cash flow hedges and other reserves.
24
NOTES TO UNAUDITED INTERIM CONDENSED
CONSOLIDATED FINANCIAL STATEMENTS 

As at June 30, 2024 and December 31, 2023 and
for the three and six months ended June 30, 2024 and 2023
NOTE 21. DIRECT OPERATING COSTS
The partnership has no key employees or directors and does not remunerate key management personnel. Key decision makers of the partnership are all employees of Brookfield or its subsidiaries, which provide management services under the Master Services Agreement with Brookfield. Refer to Note 17.
Direct operating costs are costs incurred to earn revenues and include all attributable expenses. The following table presents direct operating costs by nature for the three and six months ended June 30, 2024 and 2023.
Three Months Ended
June 30,		Six Months Ended
June 30,
(US$ MILLIONS)2024202320242023
Inventory costs$7,283 $8,030 $14,769 $16,421 
Subcontractor and consultant costs861 765 1,533 1,465 
Concession construction materials and labor costs38 85 78 160 
Depreciation and amortization expense809 907 1,617 1,807 
Compensation985 1,591 1,961 3,109 
Other direct costs952 952 1,848 1,834 
Total$10,928 $12,330 $21,806 $