Receivables (Tables)

9 Months Ended

Oct. 03, 2015

Components of Trade and Other Accounts Receivable

The components of Snap-on’s trade and other accounts receivable as of October 3, 2015, and January 3, 2015, are as follows:


(Amounts in millions)	October 3, 2015			January 3, 2015
Trade and other accounts receivable	$	588.1		$	567.0
Allowances for doubtful accounts		(16.9	)		(16.2	)

Total trade and other accounts receivable – net	$	571.2		$	550.8

Components of Current Finance and Contract Receivables

The components of Snap-on’s current finance and contract receivables as of October 3, 2015, and January 3, 2015, are as follows:


	October 3,			January 3,
(Amounts in millions)	2015			2015
Finance receivables, net of unearned finance charges of $16.6 million and $15.6 million, respectively	$	443.5		$	414.6
Contract receivables, net of unearned finance charges of $12.9 million and $13.9 million, respectively		87.4			75.5

Total		530.9			490.1

Allowances for doubtful accounts:
Finance receivables		(13.1	)		(12.2	)
Contract receivables		(1.3	)		(1.0	)

Total		(14.4	)		(13.2	)

Total current finance and contract receivables – net	$	516.5		$	476.9


Finance receivables – net	$	430.4		$	402.4
Contract receivables – net		86.1			74.5

Total current finance and contract receivables – net	$	516.5		$	476.9

Components of Finance and Contract Receivables Beyond One Year

The components of Snap-on’s finance and contract receivables with payment terms beyond one year as of October 3, 2015, and January 3, 2015, are as follows:


	October 3,			January 3,
(Amounts in millions)	2015			2015
Finance receivables, net of unearned finance charges of $10.7 million and $9.9 million, respectively	$	757.9		$	671.0
Contract receivables, net of unearned finance charges of $20.7 million and $19.4 million, respectively		264.0			244.5

Total		1,021.9			915.5

Allowances for doubtful accounts:
Finance receivables		(23.7	)		(20.5	)
Contract receivables		(3.0	)		(2.5	)

Total		(26.7	)		(23.0	)

Total long-term finance and contract receivables – net	$	995.2		$	892.5


Finance receivables – net	$	734.2		$	650.5
Contract receivables – net		261.0			242.0

Total long-term finance and contract receivables – net	$	995.2		$	892.5

Aging of Finance and Contract Receivables

The aging of finance and contract receivables as of October 3, 2015, and January 3, 2015, is as follows:


(Amounts in millions)	30-59 Days Past Due		60-90 Days Past Due		Greater Than 90 Days Past Due		Total Past Due		Total Not Past Due		Total		Greater Than 90 Days Past Due and Accruing
October 3, 2015:
Finance receivables	$	11.0	$	6.9	$	10.7	$	28.6	$	1,172.8	$	1,201.4	$	8.0
Contract receivables		1.2		0.8		1.3		3.3		348.1		351.4		0.3

January 3, 2015:
Finance receivables	$	9.8	$	6.7	$	10.4	$	26.9	$	1,058.7	$	1,085.6	$	7.7
Contract receivables		0.9		0.7		1.1		2.7		317.3		320.0		0.1

Schedule of Performing and Nonperforming Finance and Contract Receivables

The amount of performing and nonperforming finance and contract receivables based on payment activity as of October 3, 2015, and January 3, 2015, is as follows:


	October 3, 2015				January 3, 2015
(Amounts in millions)	Finance Receivables		Contract Receivables		Finance Receivables		Contract Receivables
Performing	$	1,184.2	$	349.9	$	1,070.1	$	318.5
Nonperforming		17.2		1.5		15.5		1.5

Total	$	1,201.4	$	351.4	$	1,085.6	$	320.0

Schedule of Finance and Contract Receivables on Nonaccrual Status

The amount of finance and contract receivables on nonaccrual status as of October 3, 2015, and January 3, 2015, is as follows:


	October 3,		January 3,
(Amounts in millions)	2015		2015
Finance receivables	$	9.3	$	7.9
Contract receivables		1.5		1.5

Rollforward of Allowances for Credit Losses for Finance and Contract Receivables

The following is a rollforward of the allowances for credit losses for finance and contract receivables for the three and nine month periods ended October 3, 2015:


	Three Months Ended October 3, 2015						Nine Months Ended October 3, 2015
(Amounts in millions)	Finance Receivables			Contract Receivables			Finance Receivables			Contract Receivables
Allowances for doubtful accounts:
Beginning of period	$	34.9		$	4.2		$	32.7		$	3.5
Provision for bad debt expense		8.0			0.5			22.4			2.1
Charge-offs		(7.4	)		(0.5	)		(22.5	)		(1.5	)
Recoveries		1.4			0.1			4.4			0.3
Currency translation		(0.1	)		—			(0.2	)		(0.1	)

End of period	$	36.8		$	4.3		$	36.8		$	4.3

The following is a rollforward of the allowances for credit losses for finance and contract receivables for the three and nine month periods ended September 27, 2014:


	Three Months Ended September 27, 2014						Nine Months Ended September 27, 2014
(Amounts in millions)	Finance Receivables			Contract Receivables			Finance Receivables			Contract Receivables
Allowances for doubtful accounts:
Beginning of period	$	30.4		$	3.8		$	27.8		$	3.3
Provision for bad debt expense		6.4			0.5			19.8			1.8
Charge-offs		(6.6	)		(0.5	)		(20.1	)		(1.5	)
Recoveries		1.2			0.1			3.8			0.3
Currency translation		(0.1	)		—			—			—

End of period	$	31.3		$	3.9		$	31.3		$	3.9