Finance Receivables (Tables)

6 Months Ended

Jul. 01, 2012

Finance receivables, net, including finance receivables held by VIEs, consisted of the following (in thousands):


	July 1,			December 31,			June 26,
	2012			2011			2011
Retail	$	5,225,779		$	5,087,490		$	5,374,055
Wholesale		905,038			824,640			733,789

		6,130,817			5,912,130			6,107,844
Allowance for credit losses		(114,248	)		(125,449	)		(144,404	)

	$	6,016,569		$	5,786,681		$	5,963,440

Changes In The Allowance For Credit Losses On Finance Receivables

Changes in the allowance for credit losses on finance receivables by portfolio were as follows (in thousands):


	Three months ended July 1, 2012
	Retail			Wholesale			Total
Balance, beginning of period	$	112,857		$	9,646		$	122,503
Provision for credit losses		(3,681	)		(1,578	)		(5,259	)
Charge-offs		(17,054	)		—			(17,054	)
Recoveries		14,058			—			14,058

Balance, end of period	$	106,180		$	8,068		$	114,248


	Three months ended June 26, 2011
	Retail			Wholesale			Total
Balance, beginning of period	$	141,704		$	17,980		$	159,684
Provision for credit losses		(2,596	)		(4,194	)		(6,790	)
Charge-offs		(22,903	)		(330	)		(23,233	)
Recoveries		14,743			—			14,743

Balance, end of period	$	130,948		$	13,456		$	144,404


	Six months ended July 1, 2012
	Retail			Wholesale			Total
Balance, beginning of period	$	116,112		$	9,337		$	125,449
Provision for credit losses		5,023			(1,269	)		3,754
Charge-offs		(42,906	)		—			(42,906	)
Recoveries		27,951			—			27,951

Balance, end of period	$	106,180		$	8,068		$	114,248


	Six months ended June 26, 2011
	Retail			Wholesale			Total
Balance, beginning of period	$	157,791		$	15,798		$	173,589
Provision for credit losses		843			(2,027	)		(1,184	)
Charge-offs		(58,094	)		(330	)		(58,424	)
Recoveries		30,408			15			30,423

Balance, end of period	$	130,948		$	13,456		$	144,404

Allowance For Credit Losses And Finance Receivables By Portfolio Individually And Collectively Evaluated For Impairment

The allowance for credit losses and finance receivables by portfolio, segregated by those amounts that are individually evaluated for impairment and those that are collectively evaluated for impairment was, as follows (in thousands):


	July 1, 2012
	Retail		Wholesale		Total
Allowance for credit losses, ending balance:
Individually evaluated for impairment	$	—	$	—	$	—
Collectively evaluated for impairment		106,180		8,068		114,248

Total allowance for credit losses	$	106,180	$	8,068	$	114,248

Finance receivables, ending balance:
Individually evaluated for impairment	$	—	$	—	$	—
Collectively evaluated for impairment		5,225,779		905,038		6,130,817

Total finance receivables	$	5,225,779	$	905,038	$	6,130,817


	December 31, 2011
	Retail		Wholesale		Total
Allowance for credit losses, ending balance:
Individually evaluated for impairment	$	—	$	—	$	—
Collectively evaluated for impairment		116,112		9,337		125,449

Total allowance for credit losses	$	116,112	$	9,337	$	125,449

Finance receivables, ending balance:
Individually evaluated for impairment	$	—	$	—	$	—
Collectively evaluated for impairment		5,087,490		824,640		5,912,130

Total finance receivables	$	5,087,490	$	824,640	$	5,912,130


	June 26, 2011
	Retail		Wholesale		Total
Allowance for credit losses, ending balance:
Individually evaluated for impairment	$	—	$	3,031	$	3,031
Collectively evaluated for impairment		130,948		10,425		141,373

Total allowance for credit losses	$	130,948	$	13,456	$	144,404

Finance receivables, ending balance:
Individually evaluated for impairment	$	—	$	4,676	$	4,676
Collectively evaluated for impairment		5,374,055		729,113		6,103,168

Total finance receivables	$	5,374,055	$	733,789	$	6,107,844

Finance Receivables That Are Individually Deemed To Be Impaired

Additional information related to the wholesale finance receivables that were individually deemed to be impaired under ASC Topic 310, “Receivables,” at June 26, 2011 includes (in thousands):


	June 26, 2011
							Three months ended				Six months ended
			Unpaid				Average		Interest		Average		Interest
	Recorded		Principal		Related		Recorded		Income		Recorded		Income
	Investment		Balance		Allowance		Investment		Recognized		Investment		Recognized
Wholesale:
No related allowance recorded	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Related allowance recorded		4,676		4,441		3,031		4,932		—		5,050		—

Total impaired wholesale finance receivables	$	4,676	$	4,441	$	3,031	$	4,932	$	—	$	5,050	$	—

Aging Of Past Due Finance Receivables Including Non-Accrual Status Finance Receivables

An analysis of the aging of past due finance receivables, which includes non-accrual status finance receivables was as follows (in thousands):


	July 1, 2012
							Greater than				Total
			31-60 Days		61-90 Days		90 Days		Total		Finance
	Current		Past Due		Past Due		Past Due		Past Due		Receivables
Retail	$	5,101,847	$	84,858	$	24,247	$	14,827	$	123,932	$	5,225,779
Wholesale		902,891		1,125		468		554		2,147		905,038

Total	$	6,004,738	$	85,983	$	24,715	$	15,381	$	126,079	$	6,130,817


	December 31, 2011
							Greater than				Total
			31-60 Days		61-90 Days		90 Days		Total		Finance
	Current		Past Due		Past Due		Past Due		Past Due		Receivables
Retail	$	4,915,711	$	107,373	$	36,937	$	27,469	$	171,779	$	5,087,490
Wholesale		822,610		777		344		909		2,030		824,640

Total	$	5,738,321	$	108,150	$	37,281	$	28,378	$	173,809	$	5,912,130


	June 26, 2011
							Greater than				Total
			31-60 Days		61-90 Days		90 Days		Total		Finance
	Current		Past Due		Past Due		Past Due		Past Due		Receivables
Retail	$	5,205,300	$	115,163	$	34,860	$	18,732	$	168,755	$	5,374,055
Wholesale		730,476		816		387		2,110		3,313		733,789

Total	$	5,935,776	$	115,979	$	35,247	$	20,842	$	172,068	$	6,107,844

Recorded Investment Of Retail Finance Receivables By Credit Quality Indicator

The recorded investment of retail finance receivables, by credit quality indicator, was as follows (in thousands):


	July 1, 2012		December 31, 2011		June 26, 2011
Prime	$	4,181,527	$	4,097,048	$	4,313,863
Sub-prime		1,044,252		990,442		1,060,192

Total	$	5,225,779	$	5,087,490	$	5,374,055

Recorded Investment Of Wholesale Finance Receivables By Internal Credit Quality Indicator

The recorded investment of wholesale finance receivables, by internal credit quality indicator, was as follows (in thousands):


	July 1, 2012		December 31, 2011		June 26, 2011
Doubtful	$	9,467	$	13,048	$	12,386
Substandard		5,902		5,052		21,088
Special Mention		7,897		14,361		12,887
Medium Risk		808		3,032		12,861
Low Risk		880,964		789,147		674,567

Total	$	905,038	$	824,640	$	733,789