PROPERTY AND DEPRECIATION

12 Months Ended

Oct. 31, 2015

16. PROPERTY AND DEPRECIATION

A summary of property and equipment at October 31 in millions of dollars follows:


	Useful Lives*
	(Years)	2015		2014

Equipment Operations
Land		$	114	$	120
Buildings and building equipment	23		3,016		3,037
Machinery and equipment	11		5,055		5,089
Dies, patterns, tools, etc.	8		1,567		1,552
All other	5		875		889
Construction in progress			345		530
Total at cost			10,972		11,217
Less accumulated depreciation			5,846		5,694
Total			5,126		5,523
Financial Services
Land			4		4
Buildings and building equipment	27		73		71
All other	6		36		37
Total at cost			113		112
Less accumulated depreciation			58		57
Total			55		55
Property and equipment-net		$	5,181	$	5,578

*Weighted-averages

Total property and equipment additions in 2015, 2014 and 2013 were $666 million, $1,016 million and $1,158 million and depreciation was $692 million, $696 million and $637 million, respectively. Capitalized interest was $6 million, $6 million and $13 million in the same periods, respectively. The cost of leased property and equipment under capital leases of $27 million and $36 million and accumulated depreciation of $14 million and $15 million at October 31, 2015 and 2014, respectively, is included in property and equipment.

Capitalized software has an estimated useful life of three years. The amounts of total capitalized software costs, including purchased and internally developed software, classified as “Other Assets” at October 31, 2015 and 2014 were $934 million and $912 million, less accumulated amortization of $681 million and $656 million, respectively. Capitalized interest on software was $2 million at October 31, 2015. Amortization of these software costs was $103 million in 2015, $106 million in 2014 and $93 million in 2013. The cost of leased software assets under capital leases amounting to $86 million and $77 million at October 31, 2015 and 2014, respectively, is included in other assets.

The cost of compliance with foreseeable environmental requirements has been accrued and did not have a material effect on the company’s consolidated financial statements.