Supplemental Consolidating Data (Tables)

9 Months Ended

Sep. 27, 2015

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Operations

	Three months ended September 27, 2015
	Motorcycles & Related Products Operations		Financial Services Operations		Eliminations			Consolidated
Revenue:
Motorcycles and Related Products	$	1,142,948	$	—	$	(2,627	)	$	1,140,321
Financial Services			177,487		(378		)	177,109
Total revenue	1,142,948		177,487		(3,005		)	1,317,430
Costs and expenses:
Motorcycles and Related Products cost of goods sold	746,282		—		—			746,282
Financial Services interest expense	—		41,214		—			41,214
Financial Services provision for credit losses	—		27,233		—			27,233
Selling, administrative and engineering expense	251,352		38,518		(3,005		)	286,865
Total costs and expenses	997,634		106,965		(3,005		)	1,101,594
Operating income	145,314		70,522		—			215,836
Investment income	3,211		—		—			3,211
Interest expense	4,879		—		—			4,879
Income before provision for income taxes	143,646		70,522		—			214,168
Provision for income taxes	47,703		26,118		—			73,821
Net income	$	95,943	$	44,404	$	—		$	140,347
	Nine months ended September 27, 2015
	Motorcycles & Related Products Operations		Financial Services Operations		Eliminations			Consolidated
Revenue:
Motorcycles and Related Products	$	4,309,589	$	—	$	(7,915	)	$	4,301,674
Financial Services	—		514,324		(1,231		)	513,093
Total revenue	4,309,589		514,324		(9,146		)	4,814,767
Costs and expenses:
Motorcycles and Related Products cost of goods sold	2,670,146		—		—			2,670,146
Financial Services interest expense	—		120,938		—			120,938
Financial Services provision for credit losses	—		68,655		—			68,655
Selling, administrative and engineering expense	763,637		112,067		(9,146		)	866,558
Total costs and expenses	3,433,783		301,660		(9,146		)	3,726,297
Operating income	875,806		212,664		—			1,088,470
Investment income	105,983		—		(100,000		)	5,983
Interest expense	4,897		—		—			4,897
Income before provision for income taxes	976,892		212,664		(100,000		)	1,089,556
Provision for income taxes	303,852		75,693		—			379,545
Net income	$	673,040	$	136,971	$	(100,000	)	$	710,011

	Three months ended September 28, 2014
	Motorcycles & Related Products Operations		Financial Services Operations		Eliminations			Consolidated
Revenue:
Motorcycles and Related Products	$	1,133,369	$	—	$	(2,811	)	$	1,130,558
Financial Services	—		171,429		(383		)	171,046
Total revenue	1,133,369		171,429		(3,194		)	1,301,604
Costs and expenses:
Motorcycles and Related Products cost of goods sold	735,958		—		—			735,958
Financial Services interest expense	—		40,141		—			40,141
Financial Services provision for credit losses	—		21,497		—			21,497
Selling, administrative and engineering expense	248,669		34,460		(3,194		)	279,935
Total costs and expenses	984,627		96,098		(3,194		)	1,077,531
Operating income	148,742		75,331		—			224,073
Investment income	1,509		—		—			1,509
Interest expense	77		—		—			77
Income before provision for income taxes	150,174		75,331		—			225,505
Provision for income taxes	47,801		27,638		—			75,439
Net income	$	102,373	$	47,693	$	—		$	150,066
	Nine months ended September 28, 2014
	Motorcycles & Related Products Operations		Financial Services Operations		Eliminations			Consolidated
Revenue:
Motorcycles and Related Products	$	4,544,310	$	—	$	(7,779	)	$	4,536,531
Financial Services	—		493,078		(1,258		)	491,820
Total revenue	4,544,310		493,078		(9,037		)	5,028,351
Costs and expenses:
Motorcycles and Related Products cost of goods sold	2,825,661		—		—			2,825,661
Financial Services interest expense	—		119,739		—			119,739
Financial Services provision for credit losses	—		57,789		—			57,789
Selling, administrative and engineering expense	744,866		106,683		(9,037		)	842,512
Total costs and expenses	3,570,527		284,211		(9,037		)	3,845,701
Operating income	973,783		208,867		—			1,182,650
Investment income	124,940		—		(120,000		)	4,940
Interest expense	4,147		—		—			4,147
Income before provision for income taxes	1,094,576		208,867		(120,000		)	1,183,443
Provision for income taxes	336,677		76,630		—			413,307
Net income	$	757,899	$	132,237	$	(120,000	)	$	770,136

Balance Sheet

	September 27, 2015
	Motorcycles & Related Products Operations		Financial Services Operations		Eliminations			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	963,360	$	405,194	$	—		$	1,368,554
Marketable securities	47,358		—		—			47,358
Accounts receivable, net	725,828		—		(431,774		)	294,054
Finance receivables, net	—		2,068,873		—			2,068,873
Inventories	466,657		—		—			466,657
Restricted cash	—		113,499		—			113,499
Deferred income taxes	53,218		47,340		—			100,558
Other current assets	121,953		43,714		(9,179		)	156,488
Total current assets	2,378,374		2,678,620		(440,953		)	4,616,041
Finance receivables, net	—		5,009,473		—			5,009,473
Property, plant and equipment, net	845,297		32,490		—			877,787
Goodwill	54,267		—		—			54,267
Deferred income taxes	59,649		14,232		(1,929		)	71,952
Other long-term assets	141,588		40,403		(79,953		)	102,038
	$	3,479,175	$	7,775,218	$	(522,835	)	$	10,731,558
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	290,154	$	458,514	$	(431,774	)	$	316,894
Accrued liabilities	382,292		93,168		(11,108		)	464,352
Short-term debt	—		990,049		—			990,049
Current portion of long-term debt	—		891,710		—			891,710
Total current liabilities	672,446		2,433,441		(442,882		)	2,663,005
Long-term debt	746,879		4,307,468		—			5,054,347
Pension liability	61,458		—		—			61,458
Postretirement healthcare benefits	193,406		—		—			193,406
Other long-term liabilities	172,038		27,631		—			199,669
Shareholders’ equity	1,632,948		1,006,678		(79,953		)	2,559,673
	$	3,479,175	$	7,775,218	$	(522,835	)	$	10,731,558

	December 31, 2014
	Motorcycles & Related Products Operations		Financial Services Operations		Eliminations			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	573,895	$	332,785	$	—		$	906,680
Marketable securities	57,325		—		—			57,325
Accounts receivable, net	658,735		—		(411,114		)	247,621
Finance receivables, net	—		1,916,635		—			1,916,635
Inventories	448,871		—		—			448,871
Restricted cash	—		98,627		—			98,627
Deferred income taxes	50,015		39,901		—			89,916
Other current assets	142,278		43,125		(2,983		)	182,420
Total current assets	1,931,119		2,431,073		(414,097		)	3,948,095
Finance receivables, net	—		4,516,246		—			4,516,246
Property, plant and equipment, net	848,661		34,416		—			883,077
Goodwill	27,752		—		—			27,752
Deferred income taxes	75,121		4,863		(2,149		)	77,835
Other long-term assets	113,727		39,309		(77,944		)	75,092
	$	2,996,380	$	7,025,907	$	(494,190	)	$	9,528,097
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	171,098	$	436,884	$	(411,114	)	$	196,868
Accrued liabilities	370,652		83,797		(5,132		)	449,317
Short-term debt	—		731,786		—			731,786
Current portion of long-term debt	—		1,011,315		—			1,011,315
Total current liabilities	541,750		2,263,782		(416,246		)	2,389,286
Long-term debt	—		3,761,528		—			3,761,528
Pension liability	76,186		—		—			76,186
Postretirement healthcare benefits	203,006		—		—			203,006
Other long-term liabilities	164,060		24,745		—			188,805
Shareholders’ equity	2,011,378		975,852		(77,944		)	2,909,286
	$	2,996,380	$	7,025,907	$	(494,190	)	$	9,528,097

	September 28, 2014
	Motorcycles & Related Products Operations		Financial Services Operations		Eliminations			Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	630,134	$	349,732	$	—		$	979,866
Marketable securities	57,579		—		—			57,579
Accounts receivable, net	967,140		—		(680,884		)	286,256
Finance receivables, net	—		2,012,466		—			2,012,466
Inventories	460,958		—		—			460,958
Restricted cash	—		142,286		—			142,286
Deferred income taxes	43,900		46,724		(35,662		)	54,962
Other current assets	172,483		35,622		—			208,105
Total current assets	2,332,194		2,586,830		(716,546		)	4,202,478
Finance receivables, net	—		4,653,034		—			4,653,034
Property, plant and equipment, net	793,256		33,508		—			826,764
Prepaid pension costs	261,983		—		—			261,983
Goodwill	28,638		—		—			28,638
Deferred income taxes	2,559		—		—			2,559
Other long-term assets	111,249		15,972		(77,171		)	50,050
	$	3,529,879	$	7,289,344	$	(793,717	)	$	10,025,506
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	265,764	$	744,408	$	(680,884	)	$	329,288
Accrued liabilities	411,953		132,717		(37,664		)	507,006
Short-term debt	—		352,430		—			352,430
Current portion of long-term debt	—		1,518,320		—			1,518,320
Total current liabilities	677,717		2,747,875		(718,548		)	2,707,044
Long-term debt	—		3,573,118		—			3,573,118
Pension liability	38,594		—		—			38,594
Postretirement healthcare liability	204,890		—		—			204,890
Deferred income taxes	36,381		3,943		2,002			42,326
Other long-term liabilities	151,367		23,804		—			175,171
Shareholders’ equity	2,420,930		940,604		(77,171		)	3,284,363
	$	3,529,879	$	7,289,344	$	(793,717	)	$	10,025,506

Cash Flows

	Nine months ended September 27, 2015
	Motorcycles & Related Products Operations			Financial Services Operations			Eliminations & Adjustments			Consolidated
Cash flows from operating activities:
Net income	$	673,040		$	136,971		$	(100,000	)	$	710,011
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation	135,232			6,792			—			142,024
Amortization of deferred loan origination costs	—			71,012			—			71,012
Amortization of financing origination fees	107			7,224			—			7,331
Provision for employee long-term benefits	36,954			—			—			36,954
Contributions to pension and postretirement plans	(19,358		)	—			—			(19,358		)
Stock compensation expense	21,723			2,009			—			23,732
Net change in wholesale finance receivables related to sales	—			—			(157,532		)	(157,532		)
Provision for credit losses	—			68,655			—			68,655
Deferred income taxes	2,951			(12,223		)	—			(9,272		)
Foreign currency adjustments	22,010			—			—			22,010
Other, net	3,778			1,222			—			5,000
Change in current assets and current liabilities:
Accounts receivable	(331,347		)	—			270,660			(60,687		)
Finance receivables—accrued interest and other	—			(98		)	—			(98		)
Inventories	(36,109		)	—			—			(36,109		)
Accounts payable and accrued liabilities	141,577			319,734			(250,266		)	211,045
Derivative instruments	(6,734		)	—			—			(6,734		)
Other	11,293			1,680			—			12,973
Total adjustments	(17,923		)	466,007			(137,138		)	310,946
Net cash provided by operating activities	655,117			602,978			(237,138		)	1,020,957

	Nine months ended September 27, 2015
	Motorcycles & Related Products Operations			Financial Services Operations			Eliminations & Adjustments			Consolidated
Cash flows from investing activities:
Capital expenditures	(134,164		)	(4,890		)	—			(139,054		)
Origination of finance receivables	—			(6,512,799		)	3,399,972			(3,112,827		)
Collections of finance receivables	—			5,656,189			(3,262,834		)	2,393,355
Sales and redemptions of marketable securities	9,500			—			—			9,500
Acquisition of business	(59,910		)	—			—			(59,910		)
Other	5,172			—			—			5,172
Net cash used by investing activities	(179,402		)	(861,500		)	137,138			(903,764		)
Cash flows from financing activities:
Proceeds from issuance of senior unsecured notes	740,949			—			—			740,949
Proceeds from issuance of medium-term notes	—			595,386			—			595,386
Repayments of medium-term notes	—			(600,000		)	—			(600,000		)
Intercompany borrowing activity	250,000			(250,000		)	—			—
Proceeds from securitization debt	—			1,195,668			—			1,195,668
Repayments of securitization debt	—			(764,909		)	—			(764,909		)
Net increase in credit facilities and unsecured commercial paper	—			258,734			—			258,734
Borrowings of asset-backed commercial paper	—			69,191			—			69,191
Repayments of asset-backed commercial paper	—			(55,124		)	—			(55,124		)
Net change in restricted cash	—			(15,165		)	—			(15,165		)
Dividends paid	(191,451		)	(100,000		)	100,000			(191,451		)
Purchase of common stock for treasury	(894,565		)	—			—			(894,565		)
Excess tax benefits from share-based payments	2,878			—			—			2,878
Issuance of common stock under employee stock option plans	16,755			—			—			16,755
Net cash (used by) provided by financing activities	(75,434		)	333,781			100,000			358,347
Effect of exchange rate changes on cash and cash equivalents	(10,816		)	(2,850		)	—			(13,666		)
Net increase in cash and cash equivalents	$	389,465		$	72,409		$	—		$	461,874
Cash and cash equivalents:
Cash and cash equivalents—beginning of period	$	573,895		$	332,785		$	—		$	906,680
Net increase in cash and cash equivalents	389,465			72,409			—			461,874
Cash and cash equivalents—end of period	$	963,360		$	405,194		$	—		$	1,368,554

	Nine months ended September 28, 2014
	Motorcycles & Related Products Operations			Financial Services Operations			Eliminations & Adjustments			Consolidated
Cash flows from operating activities:
Net income	$	757,899		$	132,237		$	(120,000	)	$	770,136
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation	125,005			5,683			—			130,688
Amortization of deferred loan origination costs	—			70,330			—			70,330
Amortization of financing origination fees	59			6,346			—			6,405
Provision for employee long-term benefits	25,281			—			—			25,281
Contributions to pension and postretirement plans	(22,528		)	—			—			(22,528		)
Stock compensation expense	25,770			2,092			—			27,862
Net change in wholesale finance receivables related to sales	—			—			(194,711		)	(194,711		)
Provision for credit losses	—			57,789			—			57,789
Loss on extinguishment of debt	—			1,145			—			1,145
Deferred income taxes	(1,317		)	(10,713		)	—			(12,030		)
Foreign currency adjustments	12,948			—			—			12,948
Other, net	6,246			5,289			—			11,535
Change in current assets and current liabilities:
Accounts receivable	(231,716		)	—			191,701			(40,015		)
Finance receivables—accrued interest and other	—			(2,077		)	—			(2,077		)
Inventories	(48,095		)	—			—			(48,095		)
Accounts payable and accrued liabilities	104,795			275,994			(189,435		)	191,354
Derivative instruments	(1,813		)	—			—			(1,813		)
Other	(15,341		)	(1,995		)	—			(17,336		)
Total adjustments	(20,706		)	409,883			(192,445		)	196,732
Net cash provided by operating activities	737,193			542,120			(312,445		)	966,868

	Nine months ended September 28, 2014
	Motorcycles & Related Products Operations			Financial Services Operations			Eliminations & Adjustments			Consolidated
Cash flows from investing activities:
Capital expenditures	(115,596		)	(4,720		)	—			(120,316		)
Origination of finance receivables	—			(6,417,038		)	3,498,157			(2,918,881		)
Collections of finance receivables	—			5,613,949			(3,305,712		)	2,308,237
Sales and redemptions of marketable securities	41,010			—			—			41,010
Other	275			—			—			275
Net cash used by investing activities	(74,311		)	(807,809		)	192,445			(689,675		)
Cash flows from financing activities:
Repayments of senior unsecured notes	(303,000		)	—			—			(303,000		)
Proceeds from issuance of medium-term notes	—			594,431			—			594,431
Repayments of medium-term notes	—			(7,220		)	—			(7,220		)
Intercompany borrowing activity	100,000			(100,000		)	—			—
Proceeds from securitization debt	—			847,126			—			847,126
Repayments of securitization debt	—			(631,302		)	—			(631,302		)
Net decrease in credit facilities and unsecured commercial paper	—			(315,278		)	—			(315,278		)
Borrowings of asset-backed commercial paper	—			57,669			—			57,669
Repayments of asset-backed commercial paper	—			(58,717		)	—			(58,717		)
Net change in restricted cash	—			2,521			—			2,521
Dividends paid	(179,860		)	(120,000		)	120,000			(179,860		)
Purchase of common stock for treasury	(393,459		)	—			—			(393,459		)
Excess tax benefits from share-based payments	8,873			—			—			8,873
Issuance of common stock under employee stock option plans	28,850			—			—			28,850
Net cash (used by) provided by financing activities	(738,596		)	269,230			120,000			(349,366		)
Effect of exchange rate changes on cash and cash equivalents	(13,064		)	(1,509		)	—			(14,573		)
Net (decrease) increase in cash and cash equivalents	$	(88,778	)	$	2,032		$	—		$	(86,746	)
Cash and cash equivalents:
Cash and cash equivalents—beginning of period	$	718,912		$	347,700		$	—		$	1,066,612
Net (decrease) increase in cash and cash equivalents	(88,778		)	2,032			—			(86,746		)
Cash and cash equivalents—end of period	$	630,134		$	349,732		$	—		$	979,866