RECEIVABLES (Tables)

12 Months Ended

Oct. 31, 2016

Accounts, Notes, Loans and Financing Receivable

Schedule of Financing Receivable Installments

Financing receivable installments, including unearned finance income, at October 31 are scheduled as follows in millions of dollars:


	2016				2015
	Unrestricted/Securitized				Unrestricted/Securitized
Due in months:
0 – 12	$	12,835	$	2,269	$	13,006	$	2,057
13 – 24		4,760		1,536		4,987		1,418
25 – 36		3,386		931		3,719		921
37 – 48		2,219		408		2,444		426
49 – 60		1,181		84		1,283		95
Thereafter		404		7		348		5
Total	$	24,785	$	5,235	$	25,787	$	4,922

Age Analysis of Past Due Financing Receivables Still Accruing Interest and Non-Performing Financing Receivables

An age analysis of past due financing receivables that are still accruing interest and non-performing financing receivables at October 31 follows in millions of dollars:


	30-59		60-89		90 Days
	Days		Days		or Greater		Total
	Past Due		Past Due		Past Due		Past Due
2016
Retail Notes:
Agriculture and turf	$	115	$	57	$	65	$	237
Construction and forestry		78		32		25		135
Other:
Agriculture and turf		26		11		6		43
Construction and forestry		10		5		4		19
Total	$	229	$	105	$	100	$	434


			Total				Total
	Total		Non-				Financing
	Past Due		Performing		Current		Receivables
Retail Notes:
Agriculture and turf	$	237	$	191	$	17,526	$	17,954
Construction and forestry		135		35		2,558		2,728
Other:
Agriculture and turf		43		9		7,286		7,338
Construction and forestry		19		9		957		985
Total	$	434	$	244	$	28,327		29,005
Less allowance for credit losses								176
Total financing receivables – net							$	28,829


	30-59		60-89		90 Days
	Days		Days		or Greater		Total
	Past Due		Past Due		Past Due		Past Due
2015
Retail Notes:
Agriculture and turf	$	112	$	54	$	47	$	213
Construction and forestry		64		29		12		105
Other:
Agriculture and turf		26		12		4		42
Construction and forestry		13		5		3		21
Total	$	215	$	100	$	66	$	381


			Total				Total
	Total		Non-				Financing
	Past Due		Performing		Current		Receivables
Retail Notes:
Agriculture and turf	$	213	$	98	$	18,574	$	18,885
Construction and forestry		105		21		2,556		2,682
Other:
Agriculture and turf		42		13		7,175		7,230
Construction and forestry		21		10		973		1,004
Total	$	381	$	142	$	29,278		29,801
Less allowance for credit losses								157
Total financing receivables – net							$	29,644

Analysis of the Allowance for Credit Losses and Investment in Financing Receivables

An analysis of the allowance for credit losses and investment in financing receivables follows in millions of dollars:


			Revolving
	Retail		Charge
	Notes		Accounts		Other		Total
2016
Allowance:
Beginning of year balance	$	95	$	40	$	22	$	157
Provision		43		36		5		84
Write-offs		(43)		(55)		(5)		(103)
Recoveries		11		19		1		31
Translation adjustments		7						7
End of year balance*	$	113	$	40	$	23	$	176

Financing receivables:
End of year balance	$	20,682	$	3,135	$	5,188	$	29,005

Balance individually evaluated	$	108	$	8	$	20	$	136


2015
Allowance:
Beginning of year balance	$	109	$	41	$	25	$	175
Provision		22		21		3		46
Write-offs		(26)		(37)		(4)		(67)
Recoveries		10		15		1		26
Translation adjustments		(20)				(3)		(23)
End of year balance*	$	95	$	40	$	22	$	157

Financing receivables:
End of year balance	$	21,567	$	2,740	$	5,494	$	29,801

Balance individually evaluated	$	40			$	6	$	46


2014
Allowance:
Beginning of year balance	$	101	$	41	$	31	$	173
Provision		18		11		2		31
Write-offs		(16)		(26)		(7)		(49)
Recoveries		11		15				26
Translation adjustments		(5)				(1)		(6)
End of year balance*	$	109	$	41	$	25	$	175

Financing receivables:
End of year balance	$	22,784	$	2,603	$	6,812	$	32,199

Balance individually evaluated	$	26			$	1	$	27

* Individual allowances were not significant.

Analysis of the Impaired Financing Receivables

An analysis of the impaired financing receivables at October 31 follows in millions of dollars:


			Unpaid				Average
	Recorded		Principal		Specific		Recorded
	Investment		Balance		Allowance		Investment
2016*
Receivables with specific allowance**	$	31	$	28	$	9	$	29
Receivables without a specific allowance***		29		27				26
Total	$	60	$	55	$	9	$	55
Agriculture and turf	$	33	$	30	$	8	$	27
Construction and forestry	$	27	$	25	$	1	$	28


2015*
Receivables with specific allowance**	$	14	$	13	$	2	$	13
Receivables without a specific allowance***		14		14				20
Total	$	28	$	27	$	2	$	33
Agriculture and turf	$	19	$	18	$	2	$	20
Construction and forestry	$	9	$	9			$	13

* Finance income recognized was not material.

** Primarily retail notes.

*** Primarily retail notes and wholesale receivables.

Schedule of Other Receivables

Other receivables at October 31 consisted of the following in millions of dollars:


	2016		2015
Taxes receivable	$	702	$	720
Other		317		271
Other receivables	$	1,019	$	991

Trade Accounts and Notes Receivable

Accounts, Notes, Loans and Financing Receivable

Schedule of Trade Accounts and Notes Receivable, Financing Receivables, and Financing Receivables Related to the Sale of Equipment

Trade accounts and notes receivable at October 31 consisted of the following in millions of dollars:


	2016		2015
Trade accounts and notes:
Agriculture and turf	$	2,438	$	2,278
Construction and forestry		573		773
Trade accounts and notes receivable – net	$	3,011	$	3,051

Financing Receivables

Accounts, Notes, Loans and Financing Receivable

Schedule of Trade Accounts and Notes Receivable, Financing Receivables, and Financing Receivables Related to the Sale of Equipment

Financing receivables at October 31 consisted of the following in millions of dollars:


	2016				2015
	Unrestricted/Securitized				Unrestricted/Securitized
Retail notes:
Agriculture and turf	$	14,152	$	4,615	$	15,359	$	4,236
Construction and forestry		2,201		620		2,086		686
Total		16,353		5,235		17,445		4,922
Wholesale notes		3,971				4,269
Revolving charge accounts		3,135				2,740
Financing leases (direct and sales-type)		1,326				1,333
Total financing receivables		24,785		5,235		25,787		4,922
Less:
Unearned finance income:
Retail notes		812		94		726		74
Financing leases		109				108
Total		921		94		834		74
Allowance for credit losses		162		14		144		13
Financing receivables – net	$	23,702	$	5,127	$	24,809	$	4,835

Financing Receivables | Related to Sales of Equipment

Accounts, Notes, Loans and Financing Receivable

Schedule of Trade Accounts and Notes Receivable, Financing Receivables, and Financing Receivables Related to the Sale of Equipment

Financing receivables at October 31 related to the company’s sales of equipment that were included in the table above consisted of the following in millions of dollars:


	2016		2015
	Unrestricted		Unrestricted
Retail notes*:
Agriculture and turf	$	1,896	$	1,792
Construction and forestry		336		356
Total		2,232		2,148
Wholesale notes		3,971		4,269
Sales-type leases		648		690
Total		6,851		7,107
Less:
Unearned finance income:
Retail notes		202		178
Sales-type leases		42		45
Total		244		223
Financing receivables related to the company’s sales of equipment	$	6,607	$	6,884

* These retail notes generally arise from sales of equipment by company-owned dealers or through direct sales.