AB InBev Financial Results
28. Collateral and contractual commitments for the acquisition of property, plant and
equipment, loans to customers and other
Million US dollar
Collateral given for own liabilities
Contractual commitments to purchase property, plant and equipment
Contractual commitments to acquire loans to associates/customers
Other commitments
31 December 2022
31 December 2021
310
449
142
1 943
306
538
72
1 800
The collateral given for own liabilities of 306m US dollar as at 31 December 2022 contains 189m US dollar cash guarantees
(31 December 2021: 310m US dollar collateral given for own liabilities contained 168m US dollar of cash guarantees).
Such cash deposits are a customary feature associated with litigations in Brazil: in accordance with Brazilian laws and
regulations a company may or must (depending on the circumstances) place a deposit with a bank designated by the court
or provide other security such as collateral on property, plant and equipment, insurance guarantees or letters of
guarantees. With regard to judicial cases, AB InBev has made the appropriate provisions in accordance with IAS 37
Provisions, Contingent Liabilities and Contingent Assets - see also Note 25 Provisions. In the company's statement of
financial position, the cash guarantees are presented as part of other receivables see Note 19 Trade and other
receivables. The legal proceedings covered by insurance guarantees and letters of guarantee issued by the company are
disclosed in Note 29 Contingencies. The remaining part of collateral given for own liabilities of 117m US dollar as at 31
December 2022 (31 December 2021: 142m US dollar) contains collateral on AB InBev's property in favor of the excise tax
authorities, the amount of which is determined by the level of the monthly excise taxes due, inventory levels and
transportation risk, and collateral on its property, plant and equipment with regard to outstanding loans. To the extent that
AB InBev would not respect its obligations under the related outstanding contracts or would lose the pending judicial cases,
the collateralized assets would be used to settle AB InBev's obligations.
AB InBev has entered into commitments to purchase property, plant and equipment for 538m US dollar at 31 December
2022 (31 December 2021: 449m US dollar).
In a limited number of countries AB InBev has committed itself to acquire loans to associates/customers from banks at
their notional amount if the associates/customers do not respect their reimbursement commitments towards the banks.
The total outstanding amount of such loans is 72m US dollar at 31 December 2022 (31 December 2021: 142m US dollar).
Other commitments amount to 1 800m US dollar at 31 December 2022 and mainly cover guarantees given to pension
funds, rental and other guarantees (31 December 2021: 1 943m US dollar).
In order to fulfil AB InBev's commitments under various outstanding stock option plans, AB InBev entered into stock lending
arrangements for up to 30 million of its own ordinary shares. AB InBev will pay any dividend equivalent, after tax in respect
of the loaned securities. This payment will be reported through equity as dividend. As of 31 December 2022, 30 million
loaned securities were used to fulfil stock option plan commitments.
As at 31 December 2022, the M&A related commitments existed as discussed below.
Cervecería Nacional Dominicana S.A. ("CND")
As part of the 2012 shareholders agreement between Ambev and E. León Jimenes S.A. ("ELJ"), following the acquisition
of Cervecería Nacional Dominicana S.A. ("CND"), a put and call option is in place which may result in Ambev acquiring
additional shares in CND. In January 2018 Ambev increased its participation in CND from 55% to 85%. As of 31 December
2022, the put option for the remaining shares held by ELJ was valued 0.6 billion US dollar (31 December 2021: 0.6 billion
US dollar). The corresponding liability is presented as a non-current liability and recognized as a deferred consideration
on acquisitions at fair value in "level 3" category. See also note 27 Risks arising from financial instruments.
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