Receivables (Tables)

9 Months Ended

Sep. 30, 2017

Components of Trade and Other Accounts Receivable

The components of Snap-on’s trade and other accounts receivable as of September 30, 2017, and December 31, 2016, are as follows:


(Amounts in millions)	September 30, 2017		December 31, 2016
Trade and other accounts receivable	$	689.6	$	612.8
Allowances for doubtful accounts		(14.4)		(14.0)

Total trade and other accounts receivable – net	$	675.2	$	598.8

Components of Current Finance and Contract Receivables

The components of Snap-on’s current finance and contract receivables as of September 30, 2017, and December 31, 2016, are as follows:


(Amounts in millions)	September 30, 2017		December 31, 2016
Finance receivables, net of unearned finance charges of $20.7 million and $17.0 million, respectively	$	522.8	$	488.1
Contract receivables, net of unearned finance charges of $17.0 million and $15.6 million, respectively		101.4		89.3

Total		624.2		577.4

Allowances for doubtful accounts:
Finance receivables		(17.0)		(15.6)
Contract receivables		(1.6)		(1.2)

Total		(18.6)		(16.8)

Total current finance and contract receivables – net	$	605.6	$	560.6


Finance receivables – net	$	505.8	$	472.5
Contract receivables – net		99.8		88.1

Total current finance and contract receivables – net	$	605.6	$	560.6

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 September 30, 2017, and December 31, 2016, are as follows:


(Amounts in millions)	September 30, 2017		December 31, 2016
Finance receivables, net of unearned finance charges of $16.4 million and $13.0 million, respectively	$	1,055.8	$	967.5
Contract receivables, net of unearned finance charges of $24.3 million and $21.5 million, respectively		313.9		289.4

Total		1,369.7		1,256.9

Allowances for doubtful accounts:
Finance receivables		(37.2)		(33.0)
Contract receivables		(3.5)		(2.7)

Total		(40.7)		(35.7)

Total long-term finance and contract receivables – net	$	1,329.0	$	1,221.2


Finance receivables – net	$	1,018.6	$	934.5
Contract receivables – net		310.4		286.7

Total long-term finance and contract receivables – net	$	1,329.0	$	1,221.2

Aging of Finance and Contract Receivables

The aging of finance and contract receivables as of September 30, 2017, and December 31, 2016, 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
September 30, 2017:
Finance receivables	$	16.0	$	11.6	$	19.3	$	46.9	$	1,531.6	$	1,578.5	$	15.1
Contract receivables		1.4		0.7		1.7		3.8		411.6		415.4		0.8

December 31, 2016:
Finance receivables	$	15.1	$	9.8	$	17.0	$	41.9	$	1,413.7	$	1,455.6	$	13.2
Contract receivables		1.4		0.9		1.4		3.7		375.0		378.7		0.5

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 September 30, 2017, and December 31, 2016, is as follows:


	September 30, 2017				December 31, 2016
(Amounts in millions)	Finance Receivables		Contract Receivables		Finance Receivables		Contract Receivables
Performing	$	1,550.7	$	413.2	$	1,430.7	$	376.7
Nonperforming		27.8		2.2		24.9		2.0

Total	$	1,578.5	$	415.4	$	1,455.6	$	378.7

Schedule of Finance and Contract Receivables on Nonaccrual Status

The amount of finance and contract receivables on nonaccrual status as of September 30, 2017, and December 31, 2016, is as follows:


(Amounts in millions)	September 30, 2017		December 31, 2016
Finance receivables	$	12.7	$	11.7
Contract receivables		1.5		1.5

Rollforward of Allowances for Doubtful Accounts for Finance and Contract Receivables

The following is a rollforward of the allowances for doubtful accounts for finance and contract receivables for the three and nine months ended September 30, 2017:


	Three Months Ended September 30, 2017				Nine Months Ended September 30, 2017
(Amounts in millions)	Finance Receivables		Contract Receivables		Finance Receivables		Contract Receivables
Allowances for doubtful accounts:
Beginning of period	$	52.5	$	4.8	$	48.6	$	3.9
Provision		12.8		0.8		38.6		2.7
Charge-offs		(12.6)		(0.7)		(38.0)		(1.9)
Recoveries		1.5		0.2		4.9		0.3
Currency translation		–		–		0.1		0.1

End of period	$	54.2	$	5.1	$	54.2	$	5.1

The following is a rollforward of the allowances for doubtful accounts for finance and contract receivables for the three and nine months ended October 1, 2016:


	Three Months Ended October 1, 2016				Nine Months Ended October 1, 2016
(Amounts in millions)	Finance Receivables		Contract Receivables		Finance Receivables		Contract Receivables
Allowances for doubtful accounts:
Beginning of period	$	42.6	$	4.5	$	38.2	$	4.4
Provision		10.8		0.5		30.4		1.1
Charge-offs		(9.2)		(0.6)		(28.0)		(1.3)
Recoveries		1.4		0.1		5.0		0.3

End of period	$	45.6	$	4.5	$	45.6	$	4.5