RECEIVABLES (Tables)

12 Months Ended

Oct. 28, 2018

Accounts, Notes, Loans and Financing Receivable

Schedule of Financing Receivable Installments

Financing receivable installments, including unearned finance income, at October 28, 2018 and October 29, 2017 are scheduled as follows in millions of dollars:


	2018				2017
	Unrestricted/Securitized				Unrestricted/Securitized
Due in months:
0 – 12	$	14,658	$	1,922	$	13,293	$	2,027
13 – 24		5,355		1,160		5,059		1,256
25 – 36		3,911		652		3,708		672
37 – 48		2,663		315		2,518		243
49 – 60		1,480		65		1,398		50
Thereafter		458		2		475		2
Total	$	28,525	$	4,116	$	26,451	$	4,250

Age Analysis of Past Due Financing Receivables Still Accruing Interest and Non-Performing Financing Receivables

An age analysis of past due financing receivables that are still accruing interest and non-performing financing receivables at October 28, 2018 and October 29, 2017 follows in millions of dollars:


	30-59		60-89		90 Days
	Days		Days		or Greater		Total
	Past Due		Past Due		Past Due		Past Due
2018
Retail Notes:
Agriculture and turf	$	133	$	74	$	63	$	270
Construction and forestry		79		45		52		176
Other:
Agriculture and turf		36		16		8		60
Construction and forestry		18		5		3		26
Total	$	266	$	140	$	126	$	532


			Total				Total
	Total		Non-				Financing
	Past Due		Performing		Current		Receivables
Retail Notes:
Agriculture and turf	$	270	$	201	$	17,836	$	18,307
Construction and forestry		176		40		3,101		3,317
Other:
Agriculture and turf		60		15		8,274		8,349
Construction and forestry		26		3		1,252		1,281
Total	$	532	$	259	$	30,463		31,254
Less allowance for credit losses								178
Total financing receivables - net							$	31,076


	30-59		60-89		90 Days
	Days		Days		or Greater		Total
	Past Due		Past Due		Past Due		Past Due
2017
Retail Notes:
Agriculture and turf	$	118	$	54	$	49	$	221
Construction and forestry		75		33		39		147
Other:
Agriculture and turf		27		14		7		48
Construction and forestry		11		6		2		19
Total	$	231	$	107	$	97	$	435


			Total				Total
	Total		Non-				Financing
	Past Due		Performing		Current		Receivables
Retail Notes:
Agriculture and turf	$	221	$	173	$	17,508	$	17,902
Construction and forestry		147		30		2,618		2,795
Other:
Agriculture and turf		48		12		7,610		7,670
Construction and forestry		19		5		1,059		1,083
Total	$	435	$	220	$	28,795		29,450
Less allowance for credit losses								187
Total financing receivables - net							$	29,263

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 follows in millions of dollars:


			Revolving
	Retail		Charge
	Notes		Accounts		Other		Total
2018
Allowance:
Beginning of year balance	$	121	$	40	$	26	$	187
Provision		14		38		2		54
Write-offs		(33)		(55)		(6)		(94)
Recoveries		17		20		1		38
Translation adjustments		(6)				(1)		(7)
End of year balance*	$	113	$	43	$	22	$	178

Financing receivables:
End of year balance	$	21,624	$	3,862	$	5,768	$	31,254

Balance individually evaluated	$	122	$	2	$	12	$	136


2017
Allowance:
Beginning of year balance	$	113	$	40	$	23	$	176
Provision		46		33		9		88
Write-offs		(56)		(53)		(7)		(116)
Recoveries		20		20		1		41
Translation adjustments		(2)						(2)
End of year balance*	$	121	$	40	$	26	$	187

Financing receivables:
End of year balance	$	20,697	$	3,629	$	5,124	$	29,450

Balance individually evaluated	$	86	$	3	$	20	$	109


2016
Allowance:
Beginning of year balance	$	95	$	40	$	22	$	157
Provision		43		36		5		84
Write-offs		(43)		(55)		(5)		(103)
Recoveries		11		19		1		31
Translation adjustments		7						7
End of year balance*	$	113	$	40	$	23	$	176

Financing receivables:
End of year balance	$	20,682	$	3,135	$	5,188	$	29,005

Balance individually evaluated	$	108	$	8	$	20	$	136

* Individual allowances were not significant.

Analysis of the Impaired Financing Receivables

An analysis of the impaired financing receivables at October 28, 2018 and October 29, 2017 follows in millions of dollars:


			Unpaid				Average
	Recorded		Principal		Specific		Recorded
	Investment		Balance		Allowance		Investment
2018*
Receivables with specific allowance**	$	28	$	27	$	10	$	30
Receivables without a specific allowance**		37		35				41
Total	$	65	$	62	$	10	$	71
Agriculture and turf	$	50	$	48	$	9	$	54
Construction and forestry	$	15	$	14	$	1	$	17


2017*
Receivables with specific allowance**	$	36	$	33	$	10	$	30
Receivables without a specific allowance***		28		27				24
Total	$	64	$	60	$	10	$	54
Agriculture and turf	$	49	$	46	$	10	$	38
Construction and forestry	$	15	$	14			$	16

* Finance income recognized was not material.

** Primarily retail notes.

*** Primarily retail notes and wholesale receivables.

Schedule of Other Receivables

Other receivables at October 28, 2018 and October 29, 2017 consisted of the following in millions of dollars:


	2018		2017
Taxes receivable	$	1,370	$	876
Other		366		324
Other receivables	$	1,736	$	1,200

Trade Accounts and Notes Receivable

Accounts, Notes, Loans and Financing Receivable

Schedule of Trade Accounts and Notes Receivable, Financing Receivables, and Financing Receivables Related to the Sale of Equipment

Trade accounts and notes receivable at October 28, 2018 and October 29, 2017 in millions of dollars follows:


	2018		2017
Trade accounts and notes:
Agriculture and turf	$	3,210	$	2,991
Construction and forestry		1,794		934
Trade accounts and notes receivable – net	$	5,004	$	3,925

Financing Receivables

Accounts, Notes, Loans and Financing Receivable

Schedule of Trade Accounts and Notes Receivable, Financing Receivables, and Financing Receivables Related to the Sale of Equipment

Financing receivables at October 28, 2018 and October 29, 2017 in millions of dollars follow:


	2018				2017
	Unrestricted/Securitized				Unrestricted/Securitized
Retail notes:
Agriculture and turf	$	15,885	$	3,441	$	15,200	$	3,651
Construction and forestry		2,776		675		2,297		599
Total		18,661		4,116		17,497		4,250
Wholesale notes		4,009				3,665
Revolving charge accounts		3,907				3,676
Financing leases (direct and sales-type)		1,948				1,613
Total financing receivables		28,525		4,116		26,451		4,250
Less:
Unearned finance income:
Retail notes		1,069		84		972		78
Wholesale notes		10				12
Revolving charge accounts		45				47
Financing leases		179				142
Total		1,303		84		1,173		78
Allowance for credit losses		168		10		174		13
Financing receivables – net	$	27,054	$	4,022	$	25,104	$	4,159

Financing Receivables | Related to Sales of Equipment

Accounts, Notes, Loans and Financing Receivable

Schedule of Trade Accounts and Notes Receivable, Financing Receivables, and Financing Receivables Related to the Sale of Equipment

Financing receivables at October 28, 2018 and October 29, 2017 related to the company’s sales of equipment that were included in the table above consisted of the following in millions of dollars:


	2018				2017
	Unrestricted/Securitized				Unrestricted
Retail notes*:
Agriculture and turf	$	2,312			$	2,099
Construction and forestry		441	$	77		368
Total		2,753		77		2,467
Wholesale notes		4,009				3,665
Sales-type leases		878				763
Total		7,640		77		6,895
Less:
Unearned finance income:
Retail notes		261		1		231
Wholesale notes		10				12
Sales-type leases		68				53
Total		339		1		296
Financing receivables related to the company’s sales of equipment	$	7,301	$	76	$	6,599

* These retail notes generally arise from sales of equipment by company-owned dealers or through direct sales.