G27 Contingent liabilities and pledged assets
On occasion, Sandvik is party to litigation and administrative proceedings related to its operations, including responsibility for products, the environment, health and safety. However, Sandvik does not deem that any of these ongoing proceedings and processes will significantly affect the Group.
Contingent liabilities |
2019 |
2020 |
|---|---|---|
Bills discounted |
5 |
4 |
Other surety undertakings and contingent liabilities |
1,826 |
2,297 |
Total |
1,831 |
2,301 |
The Group’s surety undertakings and contingent liabilities amounted to SEK 2,301 million (1,831) and mainly comprised of bank guarantees and ongoing proceedings.
Pledged assets
Pledged assets for own liabilities and provisions.
Pledged assets |
2019 |
2020 |
|---|---|---|
Property mortgages |
234 |
225 |
Total |
234 |
225 |
Accounting principles
Contingent liabilities
A contingent liability is recognized when there is a possible obligation that arises from past events and whose existence will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events.
A contingent liability is also recognized when there is a present obligation that cannot be recognized as a liability because it is not probable that an outflow of resources will be required, alternatively because the amount of the obligation cannot be measured with sufficient reliability.