Consolidated Valuation And Qualifying Accounts

12 Months Ended

Dec. 31, 2011

Consolidated Valuation And Qualifying Accounts [Abstract]

Consolidated Valuation And Qualifying Accounts

HARLEY-DAVIDSON, INC.

CONSOLIDATED VALUATION AND QUALIFYING ACCOUNTS

Years ended December 31, 2011, 2010 and 2009

(In thousands)

	2011			2010			2009
Accounts receivable – allowance for doubtful accounts
Balance at beginning of period	$	10,357		$	11,409		$	6,240
Provision charged to expense		1,408			3,216			7,715
Reserve adjustments		(6,633	)		(3,837	)		(674	)
Write-offs, net of recoveries		(180	)		(431	)		(1,872	)
Balance at end of period	$	4,952		$	10,357		$	11,409
Finance receivables – allowance for credit losses
Balance at beginning of period	$	173,589		$	150,082		$	40,068
Allowance related to newly consolidated finance receivables(a)		—			49,424			—
Provision for finance credit losses		17,031			93,118			169,206
Charge-offs, net of recoveries		(65,171	)		(119,035	)		(59,192	)
Balance, end of period	$	125,449		$	173,589		$	150,082
Inventories – allowance for obsolescence(b)
Balance at beginning of period	$	34,180		$	34,745		$	24,091
Provision charged to expense		4,885			17,142			36,476
Reserve adjustments		(466	)		636			(206	)
Write-offs, net of recoveries		(15,395	)		(18,343	)		(25,616	)
Balance at end of period	$	23,204		$	34,180		$	34,745
Deferred tax assets – valuation allowance
Balance at beginning of period	$	27,048		$	22,170		$	—
Allowance for operating loss and credit carryforwards		(12,134	)		4,878			22,170
Balance at end of period	$	14,914		$	27,048		$	22,170

(a) As part of the required consolidation of formerly off-balance sheet securitization trusts, the Company consolidated a $49.4 million allowance for credit losses related to the newly consolidated finance receivables.

(b) Inventory obsolescence reserves deducted from cost determined on first-in first-out (FIFO) basis, before deductions for last-in, first-out (LIFO) valuation reserves.