FINANCING RECEIVABLES (Tables)

3 Months Ended

Jan. 29, 2017

FINANCING RECEIVABLES

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 in millions of dollars follows:

	January 29, 2017
					90 Days
	30-59 Days		60-89 Days		or Greater		Total
	Past Due		Past Due		Past Due		Past Due
Retail Notes:
Agriculture and turf	$	135	$	71	$	80	$	286
Construction and forestry		70		41		28		139
Other:
Agriculture and turf		44		19		5		68
Construction and forestry		9		4		4		17
Total	$	258	$	135	$	117	$	510
							Total
	Total		Total				Financing
	Past Due		Non-Performing		Current		Receivables
Retail Notes:
Agriculture and turf	$	286	$	175	$	16,878	$	17,339
Construction and forestry		139		36		2,546		2,721
Other:
Agriculture and turf		68		12		6,374		6,454
Construction and forestry		17		6		919		942
Total	$	510	$	229	$	26,717		27,456
Less allowance for credit losses								175
Total financing receivables – net							$	27,281

	October 30, 2016
					90 Days
	30-59 Days		60-89 Days		or Greater		Total
	Past Due		Past Due		Past Due		Past Due
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				Financing
	Past Due		Non-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

	January 31, 2016
					90 Days
	30-59 Days		60-89 Days		or Greater		Total
	Past Due		Past Due		Past Due		Past Due
Retail Notes:
Agriculture and turf	$	143	$	67	$	70	$	280
Construction and forestry		70		31		28		129
Other:
Agriculture and turf		35		17		4		56
Construction and forestry		9		6		3		18
Total	$	257	$	121	$	105	$	483
							Total
	Total		Total				Financing
	Past Due		Non-Performing		Current		Receivables
Retail Notes:
Agriculture and turf	$	280	$	115	$	17,549	$	17,944
Construction and forestry		129		21		2,543		2,693
Other:
Agriculture and turf		56		12		6,171		6,239
Construction and forestry		18		6		889		913
Total	$	483	$	154	$	27,152		27,789
Less allowance for credit losses								155
Total financing receivables – net							$	27,634

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 in millions of dollars during the periods follows:

	Three Months Ended January 29, 2017
			Revolving
	Retail		Charge
	Notes		Accounts		Other		Total
Allowance:
Beginning of period balance	$	113	$	40	$	23	$	176
Provision (credit)		8		(2)		1		7
Write-offs		(12)		(3)		(1)		(16)
Recoveries		2		6				8
End of period balance *	$	111	$	41	$	23	$	175
Financing receivables:
End of period balance	$	20,060	$	2,460	$	4,936	$	27,456
Balance individually evaluated **	$	109	$	5	$	18	$	132

	Three Months Ended January 31, 2016
			Revolving
	Retail		Charge
	Notes		Accounts		Other		Total
Allowance:
Beginning of period balance	$	95	$	40	$	22	$	157
Provision		5		2				7
Write-offs		(7)		(7)				(14)
Recoveries		2		5				7
Translation adjustments		(2)						(2)
End of period balance *	$	93	$	40	$	22	$	155
Financing receivables:
End of period balance	$	20,637	$	2,151	$	5,001	$	27,789
Balance individually evaluated **	$	55	$	3	$	7	$	65

* Individual allowances were not significant.

** Remainder is collectively evaluated.

Analysis of the Impaired Financing Receivables

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

			Unpaid				Average
	Recorded		Principal		Specific		Recorded
	Investment		Balance		Allowance		Investment
January 29, 2017*
Receivables with specific allowance **	$	24	$	22	$	7	$	26
Receivables without a specific allowance ***		27		26				27
Total	$	51	$	48	$	7	$	53
Agriculture and turf	$	28	$	27	$	6	$	30
Construction and forestry	$	23	$	21	$	1	$	23
October 30, 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
January 31, 2016*
Receivables with specific allowance **	$	13	$	12	$	2	$	13
Receivables without a specific allowance ***		15		14				14
Total	$	28	$	26	$	2	$	27
Agriculture and turf	$	18	$	16	$	2	$	18
Construction and forestry	$	10	$	10			$	9

*   Finance income recognized was not material.

**  Primarily retail notes.

***   Primarily retail notes and wholesale receivables.