LEASES

3 Months Ended

Jan. 31, 2021

LEASES

LEASES

(15)  Leases

Lessee

Lessee operating and finance lease right of use assets and liabilities follow in millions of dollars:

	January 31		November 1		February 2
	2021		2020		2020
Operating leases:
Other assets	$	327	$	324	$	376
Accounts payable and accrued expenses		315		305		361
Finance leases:
Property and equipment – net	$	57	$	63	$	37
Short-term borrowings		20		21		12
Long-term borrowings		36		39		23
Total finance lease liabilities	$	56	$	60	$	35

Right of use assets obtained in exchange for lease liabilities follow in millions of dollars:

	Three Months Ended
	January 31, 2021		February 2, 2020
Operating leases	$	22	$	16
Finance leases		2		9

Lessor

The Company leases equipment manufactured or sold by the Company and a limited amount of non-Deere equipment to retail customers through sales-type, direct financing, and operating leases. Sales-type and direct financing leases are reported in “Financing receivables – net” on the consolidated balance sheet, while operating leases are reported in “Equipment on operating leases – net.”

Lease revenues earned by the Company were as follows in millions of dollars:

	Three Months Ended
	January 31, 2021		February 2, 2020
Sales-type and direct finance lease revenues	$	36	$	36
Operating lease revenues		363		374
Variable lease revenues		6		5
Total lease revenues	$	405	$	415

Due to the significant, negative effects of COVID, the Company provided short-term relief to lessees during 2020, and to a much lesser extent in 2021. The relief, which included payment deferrals of three months or less, was provided in regional programs and on a case-by-case basis with customers that were generally current in their payment obligations. The operating leases granted relief represented approximately 3 percent of the Company’s operating lease portfolio at January 31, 2021.