FINANCING RECEIVABLES (Tables)

9 Months Ended

Jul. 30, 2023

Financing Receivables

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:

	Retail Notes		Revolving
	& Financing		Charge		Wholesale
	Leases		Accounts		Receivables		Total
Three Months Ended July 30, 2023
Allowance:
Beginning of period balance	$	157	$	19	$	4	$	180
Provision		14		11				25
Write-offs		(23)		(18)				(41)
Recoveries		5		6				11
Translation adjustments		1						1
End of period balance	$	154	$	18	$	4	$	176
Nine Months Ended July 30, 2023
Allowance:
Beginning of period balance	$	299	$	22	$	4	$	325
Provision		59		15		1		75
Provision transferred to held for sale		(142)						(142)
Provision (credit) subtotal		(83)		15		1		(67)
Write-offs		(60)		(36)				(96)
Recoveries		15		17				32
Translation adjustments		(17)				(1)		(18)
End of period balance	$	154	$	18	$	4	$	176
Financing receivables:
End of period balance	$	37,566	$	4,544	$	6,369	$	48,479

	Retail Notes		Revolving
	& Financing		Charge		Wholesale
	Leases		Accounts		Receivables		Total
Three Months Ended July 31, 2022
Allowance:
Beginning of period balance	$	168	$	17	$	5	$	190
Provision (credit)		14		3		(1)		16
Write-offs		(12)		(10)				(22)
Recoveries		8		7				15
Translation adjustments		3						3
End of period balance	$	181	$	17	$	4	$	202
Nine Months Ended July 31, 2022
Allowance:
Beginning of period balance	$	138	$	21	$	7	$	166
Provision (credit)		66		(4)		(3)		59
Write-offs		(47)		(22)				(69)
Recoveries		17		22				39
Translation adjustments		7						7
End of period balance	$	181	$	17	$	4	$	202
Financing receivables:
End of period balance	$	33,515	$	4,099	$	2,785	$	40,399

Retail Customer Receivables

Financing Receivables

Credit Quality Analysis

The credit quality analysis of retail notes, financing leases, and revolving charge accounts (collectively, retail customer receivables) by year of origination was as follows in millions of dollars:

	July 30, 2023
	2023		2022		2021		2020		2019		Prior Years		Revolving Charge Accounts		Total
Retail customer receivables:
Agriculture and turf
Current	$	10,554	$	9,701	$	5,792	$	2,779	$	1,080	$	402	$	4,388	$	34,696
30-59 days past due		59		85		53		26		13		4		21		261
60-89 days past due		19		30		17		10		5		1		7		89
90+ days past due				1												1
Non-performing		19		80		71		36		24		27		8		265
Construction and forestry
Current		2,167		2,200		1,284		449		124		39		114		6,377
30-59 days past due		39		46		38		13		5		2		4		147
60-89 days past due		12		23		16		8		2		1		1		63
90+ days past due				2		1		1								4
Non-performing		20		83		61		26		11		5		1		207
Total	$	12,889	$	12,251	$	7,333	$	3,348	$	1,264	$	481	$	4,544	$	42,110

	October 30, 2022
	2022		2021		2020		2019		2018		Prior Years		Revolving Charge Accounts		Total
Retail customer receivables:
Agriculture and turf
Current	$	13,500	$	7,984	$	4,091	$	1,875	$	785	$	200	$	4,111	$	32,546
30-59 days past due		46		63		36		17		7		3		19		191
60-89 days past due		14		25		13		6		2		1		5		66
90+ days past due		1														1
Non-performing		27		60		44		28		18		19		8		204
Construction and forestry
Current		2,964		1,974		842		292		73		12		108		6,265
30-59 days past due		53		52		23		9		2		1		3		143
60-89 days past due		19		16		7		3		1				1		47
90+ days past due		1		4		1		3				1				10
Non-performing		25		61		34		19		7		3				149
Total	$	16,650	$	10,239	$	5,091	$	2,252	$	895	$	240	$	4,255	$	39,622

	July 31, 2022
	2022		2021		2020		2019		2018		Prior Years		Revolving Charge Accounts		Total
Retail customer receivables:
Agriculture and turf
Current	$	9,161	$	9,169	$	4,713	$	2,234	$	935	$	378	$	3,962	$	30,552
30-59 days past due		40		70		38		23		8		4		18		201
60-89 days past due		15		24		15		7		3		1		5		70
90+ days past due
Non-performing		17		62		48		37		19		27		7		217
Construction and forestry
Current		2,336		2,249		1,004		382		106		20		102		6,199
30-59 days past due		47		54		26		12		4		1		3		147
60-89 days past due		14		14		12		4		1				1		46
90+ days past due				11		3		1				3				18
Non-performing		13		63		49		25		9		4		1		164
Total	$	11,643	$	11,716	$	5,908	$	2,725	$	1,085	$	438	$	4,099	$	37,614

Wholesale Receivables

Financing Receivables

Credit Quality Analysis

The credit quality analysis of wholesale receivables by year of origination was as follows in millions of dollars:

	July 30, 2023
	2023		2022		2021		2020		2019		Prior Years		Revolving		Total
Wholesale receivables:
Agriculture and turf
Current	$	449	$	139	$	28	$	7	$	1	$	1	$	4,940	$	5,565
30+ days past due
Non-performing										1						1
Construction and forestry
Current		20		6		23		1				1		752		803
30+ days past due
Non-performing
Total	$	469	$	145	$	51	$	8	$	2	$	2	$	5,692	$	6,369

	October 30, 2022
	2022		2021		2020		2019		2018	Prior Years		Revolving		Total
Wholesale receivables:
Agriculture and turf
Current	$	387	$	64	$	27	$	4		$	2	$	2,371	$	2,855
30+ days past due
Non-performing								1							1
Construction and forestry
Current		7		29		2		1			1		377		417
30+ days past due
Non-performing
Total	$	394	$	93	$	29	$	6		$	3	$	2,748	$	3,273

	July 31, 2022
	2022		2021		2020		2019		2018		Prior Years		Revolving		Total
Wholesale receivables:
Agriculture and turf
Current	$	289	$	99	$	34	$	6	$	1	$	1	$	2,022	$	2,452
30+ days past due
Non-performing								1								1
Construction and forestry
Current		11		32		3		1				1		283		331
30+ days past due												1				1
Non-performing
Total	$	300	$	131	$	37	$	8	$	1	$	3	$	2,305	$	2,785