CNH Industrial Capital 10-Q 8 May 18 2018 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information	3 Months Ended
	Mar. 31, 2018shares
Document and Entity Information
Entity Registrant Name	CNH INDUSTRIAL CAPITAL LLC
Entity Central Index Key	1,552,493
Document Type	10-Q
Document Period End Date	Mar. 31, 2018
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding	0
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q1

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
REVENUES
Interest income on retail notes and finance leases	$ 48,630	$ 50,813
Interest income on wholesale notes	15,569	16,016
Interest and other income from affiliates	95,015	96,463
Rental income on operating leases	61,116	63,194
Other income	6,041	6,348
Total revenues	226,371	232,834
Interest expense:
Interest expense to third parties	76,836	70,255
Interest expense to affiliates	1,592	4,473
Total interest expense	78,428	74,728
Administrative and operating expenses:
Fees charged by affiliates	11,955	11,699
Provision for credit losses	11,815	12,481	$ 40,898
Depreciation of equipment on operating leases	61,685	68,169
Other expenses	10,565	9,327
Total administrative and operating expenses	96,020	101,676
Total expenses	174,448	176,404
INCOME BEFORE TAXES	51,923	56,430
Income tax provision	12,120	18,037
NET INCOME	$ 39,803	$ 38,393

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
NET INCOME	$ 39,803	$ 38,393
Other comprehensive income (loss):
Foreign currency translation adjustment	(18,000)	4,494
Pension liability adjustment	106	107
Change in derivative financial instruments	78	(84)
Total other comprehensive income (loss)	(17,816)	4,517
COMPREHENSIVE INCOME	$ 21,987	$ 42,910

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
ASSETS
Cash and cash equivalents	$ 180,150	$ 226,946
Restricted cash	593,305	648,612
Receivables, less allowance for credit losses of $81,080 and $79,196, respectively	10,041,102	10,421,545
Affiliated accounts and notes receivable	38,214	73,133
Equipment on operating leases, net	1,710,859	1,781,489
Equipment held for sale	214,897	208,516
Goodwill	109,822	110,588
Other intangible assets, net	7,473	6,868
Other assets	41,537	34,381
TOTAL	12,937,359	13,512,078
Liabilities:
Short-term debt (including current maturities of long-term debt)	4,373,559	4,617,464
Accounts payable and other accrued liabilities	850,584	740,410
Affiliated debt	67,437	445,802
Long-term debt	6,267,986	6,332,763
Total liabilities	11,559,566	12,136,439
Commitments and contingent liabilities (Note 10)
Stockholder's equity:
Member's capital
Paid-in capital	843,726	843,559
Accumulated other comprehensive loss	(117,979)	(100,163)
Retained earnings	652,046	632,243
Total stockholder's equity	1,377,793	1,375,639
TOTAL	$ 12,937,359	$ 13,512,078

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Allowance for credit losses	$ 81,080	$ 79,196
Restricted cash	593,305	648,612
Receivables, less allowance for credit losses of $60,330 and $59,268, respectively	10,041,102	10,421,545
TOTAL	12,937,359	13,512,078
Short-term debt (including current maturities of long-term debt)	4,373,559	4,617,464
Long-term debt	6,267,986	6,332,763
Total liabilities	11,559,566	12,136,439
Consolidated variable interest entities ("VIEs")
Allowance for credit losses	60,330	59,268
Restricted cash	593,305	648,612
Receivables, less allowance for credit losses of $60,330 and $59,268, respectively	6,954,223	7,159,290
TOTAL	7,547,528	7,807,902
Short-term debt (including current maturities of long-term debt)	3,344,751	3,556,007
Long-term debt	3,558,393	3,692,963
Total liabilities	$ 6,903,144	$ 7,248,970

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$ 39,803	$ 38,393
Adjustments to reconcile net income to net cash from (used in) operating activities:
Depreciation on property and equipment and equipment on operating leases	61,688	68,177
Amortization of intangibles	526	511
Provision for credit losses	11,815	12,481
Deferred income tax benefit	(22,304)	(4,152)
Stock compensation expense (income)		(137)
Changes in components of working capital:
Change in affiliated accounts and notes receivables	34,742	95,112
Change in other assets and equipment held for sale	(19,193)	(6,227)
Change in accounts payable and other accrued liabilities	139,176	(58,596)
Net cash from (used in) operating activities	246,253	145,562
CASH FLOWS FROM INVESTING ACTIVITIES
Cost of receivables acquired	(2,381,960)	(2,264,414)
Collections of receivables	2,688,430	2,535,707
Purchase of equipment on operating leases	(102,605)	(160,783)
Proceeds from disposal of equipment on operating leases	104,914	123,261
Change in property and equipment and software, net	(1,131)	(29)
Net cash from (used in) investing activities	307,648	233,742
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issuance of affiliated debt	67,437	499,214
Payment of affiliated debt	(444,560)	(160,999)
Proceeds from issuance of long-term debt	78,293	1,250,281
Payment of long-term debt	(319,635)	(2,092,920)
Change in short-term borrowings, net	(17,539)
Dividend paid to CNH Industrial America LLC	(20,000)	(75,000)
Net cash from (used in) financing activities	(656,004)	(579,424)
DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH	(102,103)	(200,120)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of period	875,558	877,092
End of period	773,455	676,972
CASH PAID DURING THE PERIOD FOR INTEREST	54,266	69,244
CASH PAID DURING THE PERIOD FOR TAXES	$ 2,123	$ 12,907

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDER'S EQUITY - USD ($) $ in Thousands	Paid-in Capital	Accumulated Other Comprehensive Income (Loss)	Retained Earnings	Total
BALANCE at Dec. 31, 2016	$ 844,100	$ (144,136)	$ 666,754	$ 1,366,718
Increase (Decrease) in Stockholder's Equity
Net income			38,393	38,393
Dividend paid to CNH Industrial America LLC			(75,000)	(75,000)
Foreign currency translation adjustment		4,494		4,494
Stock compensation	(137)			(137)
Pension liability adjustment, net of tax		107		107
Change in derivative financial instruments, net of tax		(84)		(84)
BALANCE at Mar. 31, 2017	843,963	(139,619)	630,147	1,334,491
BALANCE at Dec. 31, 2017	843,559	(100,163)	632,243	1,375,639
Increase (Decrease) in Stockholder's Equity
Net income			39,803	39,803
Dividend paid to CNH Industrial America LLC			(20,000)	(20,000)
Foreign currency translation adjustment		(18,000)		(18,000)
Stock compensation	167			167
Pension liability adjustment, net of tax		106		106
Change in derivative financial instruments, net of tax		78		78
BALANCE at Mar. 31, 2018	$ 843,726	$ (117,979)	$ 652,046	$ 1,377,793

BASIS OF PRESENTATION

BASIS OF PRESENTATION	3 Months Ended
	Mar. 31, 2018
BASIS OF PRESENTATION
BASIS OF PRESENTATION	NOTE 1: BASIS OF PRESENTATION CNH Industrial Capital LLC and its primary operating subsidiaries, including New Holland Credit Company, LLC (“New Holland Credit”), CNH Industrial Capital America LLC (“CNH Industrial Capital America”), and CNH Industrial Capital Canada Ltd. (“CNH Industrial Capital Canada”) (collectively, “CNH Industrial Capital” or the “Company”), are each a subsidiary of CNH Industrial America LLC (“CNH Industrial America”), which is an indirect wholly-owned subsidiary of CNH Industrial N.V. (“CNHI” and, together with its consolidated subsidiaries, “CNH Industrial”). CNH Industrial America and CNH Industrial Canada Ltd. (collectively, “CNH Industrial North America”) design, manufacture, and sell agricultural and construction equipment. CNH Industrial Capital provides financial services for CNH Industrial North America dealers and end-use customers primarily located in the United States and Canada. CNHI is incorporated in and under the laws of The Netherlands. CNHI has its corporate seat in Amsterdam, The Netherlands, and its principal office in London, England. The common shares of CNHI are listed on the New York Stock Exchange under the symbol “CNHI,” as well as on the Mercato Telematico Azionario managed by Borsa Italiana S.p.A. The Company has prepared the accompanying consolidated financial statements in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”) for interim financial information, which should be read in conjunction with the audited financial statements in its Annual Report on Form 10-K for the year ended December 31, 2017. Certain financial information that is normally included in annual financial statements prepared in conformity with U.S. GAAP, which is not required for interim reporting purposes, has been condensed or omitted. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of our interim unaudited financial statements have been reflected. The consolidated financial statements include the Company and its consolidated subsidiaries. The consolidated financial statements are expressed in U.S. dollars. The consolidated financial statements include the accounts of the Company’s subsidiaries in which the Company has a controlling financial interest and reflect the noncontrolling interests of the minority owners of the subsidiaries that are not fully owned for the periods presented, as applicable. A controlling financial interest may exist based on ownership of a majority of the voting interest of a subsidiary, or based on the Company’s determination that it is the primary beneficiary of a variable interest entity (“VIE”). The primary beneficiary of a VIE is the party that has the power to direct the activities that most significantly impact the economic performance of the entity and the obligation to absorb losses or the right to receive benefits that could potentially be significant to the entity. The Company assesses whether it is the primary beneficiary on an ongoing basis, as prescribed by the accounting guidance on the consolidation of VIEs. The consolidated status of the VIEs with which the Company is involved may change as a result of such reassessments. The preparation of consolidated financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities and reported amounts of revenues and expenses. Significant estimates in these consolidated financial statements include the allowance for credit losses and residual values of equipment on operating leases. Actual results could differ from those estimates.

NEW ACCOUNTING PRONOUNCEMENTS

NEW ACCOUNTING PRONOUNCEMENTS	3 Months Ended
	Mar. 31, 2018
NEW ACCOUNTING PRONOUNCEMENTS
NEW ACCOUNTING PRONOUNCEMENTS	NOTE 2: NEW ACCOUNTING PRONOUNCEMENTS New Accounting Pronouncements Adopted in 2018 In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers (ASC 606) (“ASU 2014-09”), which supersedes existing revenue recognition guidance under current U.S. GAAP. The new standard requires an entity to recognize revenue upon transfer of control of goods or services to a customer at an amount that reflects the consideration that the entity expects to receive. This new revenue recognition model defines a five-step process to achieve this objective. The new standard also requires additional disclosures to enable users to understand the nature, amount, timing and uncertainty of revenue and cash flow arising from contracts with customers. In August 2015, the FASB amended the effective date to be the first quarter of fiscal year 2018 with early adoption permitted in 2017. The FASB subsequently issued several amendments in 2016 clarifying various aspects of ASU 2014-09, including revenue transactions that involve a third party, goods or services that are immaterial in the context of the contract, licensing arrangements, certain transition practical expedients, disclosure of performance obligation and provisions for losses on construction-type and production-type contracts. Entities have the option to apply the new guidance under a retrospective approach to each prior reporting period presented, or a modified retrospective approach with the cumulative effect of initially applying the new guidance recognized at the date of initial application within the consolidated statement of changes in equity. The Company has adopted the new standard effective January 1, 2018. The adoption did not impact the timing or measurement of the Company’s revenue recognition as it is consistent with its current accounting treatment for contracts within the scope of the new ASU. The adoption did impact the timing of payments due from CNH Industrial North America. The impact to the consolidated balance sheet at December 31, 2017 was to decrease receivables and increase affiliated accounts receivable by $40,188, respectively. The impact to consolidated statement of cash flows for the three months ended March 31, 2017 is noted below. In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (“ASU 2016-18”) that changes the presentation of restricted cash and cash equivalents on the statement of cash flows. Restricted cash and restricted cash equivalents will be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period amounts shown on the statement of cash flows. ASU 2016-18 is effective for annual reporting periods beginning after December 15, 2017, and early adoption is permitted. The Company adopted ASU 2016-18 on a retrospective basis as of January 1, 2018. The unaudited impact of the adoption of ASU 2014-09 and ASU 2016-18 on the Company’s consolidated statement of cash flows for the three months ended March 31, 2017 is as follows: As Reported Adjustment Due to Adoption of ASC 606 Adjustment Due to Adoption of ASU 2016-18 As Recast (Dollars in thousands) CASH FLOWS FROM OPERATING ACTIVITIES Net income $ 38,393 $ — $ — $ 38,393 Adjustments to reconcile net income to net cash from (used in) operating activities: Depreciation on property and equipment and equipment on operating leases 68,177 — — 68,177 Amortization of intangibles 511 — — 511 Provision for credit losses 12,481 — — 12,481 Deferred income tax benefit (4,152) — — (4,152) Stock compensation expense (income) (137) — — (137) Changes in components of working capital: Change in affiliated accounts and notes receivables 53,873 41,239 — 95,112 Change in other assets and equipment held for sale (6,227) — — (6,227) Change in accounts payable and other accrued liabilities (59,513) — 917 (58,596) Net cash from (used in) operating activities 103,406 41,239 917 145,562 CASH FLOWS FROM INVESTING ACTIVITIES Cost of receivables acquired (2,223,175) (41,239) — (2,264,414) Collections of receivables 2,535,707 — — 2,535,707 Change in restricted cash 168,419 — (168,419) — Purchase of equipment on operating leases (160,783) — — (160,783) Proceeds from disposal of equipment on operating leases 123,261 — — 123,261 Change in property and equipment and software, net (29) — — (29) Net cash from (used in) investing activities 443,400 (41,239) (168,419) 233,742 CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from issuance of affiliated debt 499,214 — — 499,214 Payment of affiliated debt (160,999) — — (160,999) Proceeds from issuance of long-term debt 1,250,281 — — 1,250,281 Payment of long-term debt (2,092,920) — — (2,092,920) Change in short-term borrowings, net — — — — Dividends paid to CNH Industrial America LLC (75,000) — — (75,000) Net cash from (used in) financing activities (579,424) — — (579,424) DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH (32,618) — (167,502) (200,120) CASH AND CASH EQUIVALENTS AND RESTRICTED CASH Beginning of period 164,247 — 712,845 877,092 End of period 131,629 — 545,343 676,972 In March 2017, the FASB issued ASU 2017-07, Compensation-Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost (“ASU 2017-07”). The amendment in this update requires that an employer disaggregate the service cost component from other components of net benefit cost. The amendments also provide explicit guidance on how to present the service cost component and the other components of net benefit cost in the income statement and allow only service cost component of net benefit cost to be eligible for capitalization. ASU 2017-07 is effective for annual reporting periods beginning after December 15, 2017. The Company adopted this standard on January 1, 2018, which did not have a material impact on its consolidated financial statements. In January 2016, the FASB issued ASU No. 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities (“ASU 2016-01”), which amends ASC 825-10, Financial Instruments – Overall . This ASU changes the treatment for available-for-sale equity investments by recognizing unrealized fair value changes directly in net income, and no longer in other comprehensive income. The ASU is effective January 1, 2018, with the cumulative-effect adjustment from initially applying the new standard recognized in the consolidated statement of financial position as of January 1, 2018. The Company adopted this standard on January 1, 2018, which did not have a material impact on its consolidated financial statements. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (“ASU 2016-15”). This standard provides guidance clarification to reduce diversity in classification of certain cash flow payments and receipts in the statement of cash flows. ASU 2016-15 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017 on a retrospective transition basis to each period presented, and may be early adopted. The Company adopted this standard on January 1, 2018, which did not have a material impact on its consolidated financial statements. New Accounting Pronouncements Not Yet Adopted In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) (“ASU 2016-02”), which supersedes ASC 840, Leases . The ASU’s most prominent change is the requirement for lessees to recognize leased assets and liabilities classified as operating leases under previous GAAP. The ASU does not significantly change the lessee’s recognition, measurement and presentation of expenses and cash flows from the previous accounting standard. Lessors’ accounting under the ASC is largely unchanged from the previous accounting standard. ASU 2016-02 also will require disclosures designed to give financial statement users information on the amount, timing, and uncertainty of cash flows arising from leases. It is effective for annual reporting periods beginning after December 15, 2018 including interim periods within those fiscal years, but early adoption is permitted. The ASU requires a modified retrospective transition approach and provides certain optional transition relief. The Company is currently evaluating the impact the adoption of this standard will have on its consolidated financial statements. In June 2016, the FASB issued ASU No. 2016-13, Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”), which establishes ASC 326, Financial Instruments – Credit Losses . The ASU introduced a new model for recognizing credit losses on financial instruments based on an estimate of current expected credit losses. Additional disclosures about significant estimates and credit quality are also required. The ASU is effective for annual periods beginning after December 15, 2019, with early adoption permitted for annual periods beginning after December 15, 2018. The Company is currently evaluating the impact the adoption of this standard will have on its consolidated financial statements. In August 2017, the FASB issued ASU No. 2017-12, Targeted Improvements to Accounting for Hedging Activities (“ASU 2017-12”), which amends ASC 815, Derivatives and Hedging . The purpose of this ASU is to better align a company’s risk management activities and financial reporting for hedging relationships, simplify the hedge accounting requirements and improve the disclosures of hedging arrangements. ASU 2017-12 is effective for fiscal years beginning after December 15, 2018, including interim periods within these years. Early adoption is permitted in any interim period or fiscal year before the effective date. The Company is currently evaluating the impact the adoption of this standard will have on its consolidated financial statements. In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (“ASU 2018-02”), which amends ASC 202, Income Statement – Reporting Comprehensive Income . In December 2017, the U.S. Government enacted new tax legislation (tax reform). Included in the provisions of tax reform is a reduction of the corporate tax rate from 35 percent to 21 percent. Accounting principles generally accepted in the U.S. require that deferred taxes are remeasured to the new corporate tax rate in the period the legislation is enacted. The deferred tax adjustment is recorded in the provision for income taxes, including items for which the tax effects were originally recorded in other comprehensive income (“OCI”). This treatment results in the items in OCI reflecting a disproportionate tax rate, a result often referred to as stranded tax effects. This ASU allows a reclassification from accumulated OCI to retained earnings for stranded tax effects resulting from tax reform. The ASU is effective for annual reporting periods beginning after December 15, 2018 including interim periods within those fiscal years, but early adoption is permitted. The ASU can be adopted at the beginning of an interim or annual period or retrospectively to each period affected by tax reform. The Company is currently evaluating the impact the adoption of this standard will have on its consolidated financial statements.

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE INCOME	3 Months Ended
	Mar. 31, 2018
ACCUMULATED OTHER COMPREHENSIVE INCOME
ACCUMULATED OTHER COMPREHENSIVE INCOME	NOTE 3: ACCUMULATED OTHER COMPREHENSIVE INCOME Accumulated other comprehensive income (“AOCI”) includes net income plus other comprehensive income, which includes foreign currency translation gains and losses, certain changes in pension plans and changes in fair value of certain derivatives designated as cash flow hedges. The following table summarizes the change in the components of the Company’s AOCI balance and related tax effects for the three months ended March 31, 2018: Currency Unrealized Translation Pension (Losses) Gains Adjustment Liability on Derivatives Total Beginning balance, gross $ (98,717) $ (4,952) $ 2,333 $ (101,336) Tax asset — 1,790 (617) 1,173 Beginning balance, net of tax (98,717) (3,162) 1,716 (100,163) Other comprehensive income (loss) before reclassifications (18,000) (35) (50) (18,085) Amounts reclassified from accumulated other comprehensive income (loss) — 176 156 332 Tax effects — (35) (28) (63) Net current-period other comprehensive income (loss) (18,000) 106 78 (17,816) Total $ (116,717) $ (3,056) $ 1,794 $ (117,979) The following table summarizes the change in the components of the Company’s AOCI balance and related tax effects for the three months ended March 31, 2017: Currency Unrealized Translation Pension (Losses) Gains Adjustment Liability on Derivatives Total Beginning balance, gross $ $ (5,768) $ (1,213) $ Tax asset — 2,107 323 2,430 Beginning balance, net of tax (3,661) (890) Other comprehensive income (loss) before reclassifications 4,494 (61) (281) 4,152 Amounts reclassified from accumulated other comprehensive income (loss) — 231 167 398 Tax effects — (63) 30 (33) Net current-period other comprehensive income (loss) 4,494 107 (84) 4,517 Total $ (135,091) $ (3,554) $ (974) $ (139,619) The reclassifications out of AOCI and the location on the consolidated statements of income for the three months ended March 31, 2018 and 2017 are as follows: 2018 2017 Affected Line Item Amortization of defined benefit pension items: $ (176) $ (231) Various line items individually insignificant (176) (231) Income before taxes 86 Income tax benefit $ (132) $ (145) Net of tax Unrealized losses on derivatives: $ (156) $ (167) Interest expense to third parties Income before taxes 41 45 Income tax benefit $ (115) $ (122) Net of tax

RECEIVABLES

RECEIVABLES	3 Months Ended
	Mar. 31, 2018
RECEIVABLES
RECEIVABLES	NOTE 4: RECEIVABLES A summary of receivables included in the consolidated balance sheets as of March 31, 2018 and December 31, 2017 is as follows: March 31, December 31, 2018 2017 Retail $ 653,775 $ 768,502 Wholesale 635,264 671,740 Wholesale factoring 201,005 235,834 Finance lease 59,242 58,198 Restricted receivables 8,572,896 8,766,467 Gross receivables 10,122,182 10,500,741 Less: Allowance for credit losses (81,080) (79,196) Total receivables, net $ 10,041,102 $ 10,421,545 Restricted Receivables and Securitization As part of its overall funding strategy, the Company periodically transfers certain receivables into VIEs that are special purpose entities (“SPEs”) as part of its asset-backed securitization (“ABS”) programs. SPEs utilized in the securitization programs differ from other entities included in the Company’s consolidated financial statements because the assets they hold are legally isolated from the Company’s assets. For bankruptcy analysis purposes, the Company has sold the receivables to the SPEs in a true sale and the SPEs are separate legal entities. Upon transfer of the receivables to the SPEs, the receivables and certain cash flows derived from them become restricted for use in meeting obligations to the SPEs’ creditors. The SPEs have ownership of cash balances that also have restrictions for the benefit of the SPEs’ investors. The Company’s interests in the SPEs’ receivables are subordinate to the interests of third-party investors. None of the receivables that are directly or indirectly sold or transferred in any of these transactions are available to pay the Company’s creditors until all obligations of the SPE have been fulfilled or the receivables are repurchased from the SPE. The secured borrowings related to the restricted receivables are obligations that are payable as the receivables are collected. The following table summarizes the restricted receivables as of March 31, 2018 and December 31, 2017: March 31, December 31, 2018 2017 Retail $ 5,845,152 $ 6,042,186 Wholesale 2,727,744 2,724,281 Total restricted receivables $ 8,572,896 $ 8,766,467 Within the U.S. retail receivables securitization programs, qualifying retail receivables are sold to limited purpose, bankruptcy remote SPEs. In turn, these SPEs either establish separate trusts to which the receivables are transferred in exchange for proceeds from asset-backed securities issued by the trusts or pledge the receivables as collateral in exchange for proceeds from a committed asset-backed facility. In Canada, the receivables are transferred directly to the trusts. These trusts were determined to be VIEs. In its role as servicer, the Company has the power to direct the trusts’ activities. Through its retained interests, the Company has an obligation to absorb certain losses, or the right to receive certain benefits, that could potentially be significant to the trusts. Consequently, the Company has consolidated these retail trusts. With regard to the wholesale receivable securitization programs, the Company sells eligible receivables on a revolving basis to structured master trust facilities, which are limited-purpose, bankruptcy-remote SPEs. These trusts were determined to be VIEs. In its role as servicer, CNH Industrial Capital has the power to direct the trusts’ activities. Through its retained interests, the Company provides security to investors in the event that cash collections from the receivables are not sufficient to make principal and interest payments on the securities. Consequently, CNH Industrial Capital has consolidated these wholesale trusts. Allowance for Credit Losses The allowance for credit losses is the Company’s estimate of losses for receivables owned by the Company and consists of two components, depending on whether the receivable has been individually identified as being impaired. The first component of the allowance for credit losses covers the receivables specifically reviewed by management for which the Company has determined it is probable that it will not collect all the principal and interest payments as per the terms of the contract. Receivables are individually reviewed for impairment based on, among other items, amounts outstanding, days past due and prior collection history. These receivables are subject to impairment measurement at the loan level based either on the fair value of the collateral for collateral-dependent receivables or on the present value of expected future cash flows discounted at the receivables’ effective interest rate. The second component of the allowance for credit losses covers all receivables that have not been individually reviewed for impairment. The allowance for these receivables is based on aggregated portfolio evaluations, generally by financial product. The allowance for retail and wholesale credit losses is based on loss forecast models that consider a variety of factors that include, but are not limited to, historical loss experience, collateral value, portfolio balance and delinquency. The loss forecast models are updated on a quarterly basis. In addition, qualitative factors that are not fully captured in the loss forecast models, including industry trends, and macroeconomic factors are considered in the evaluation of the adequacy of the allowance for credit losses. These qualitative factors are subjective and require a degree of management judgment. Charge offs of principal amounts of receivables outstanding are deducted from the allowance at the point when it is estimated that amounts due are deemed uncollectible. The Company’s allowance for credit losses is segregated into three portfolio segments: retail, wholesale and wholesale factoring. A portfolio segment is the level at which the Company develops a systematic methodology for determining its allowance for credit losses. The retail segment includes retail notes and finance lease receivables. The wholesale segment includes wholesale financing to CNH Industrial North America dealers and the wholesale factoring segment represents the short-term receivables purchased from Iveco Argentina S.A. (“Iveco Argentina”). Further, the Company evaluates its retail and wholesale portfolio segments by class of receivable: United States and Canada. Typically, the Company’s receivables within a geographic area have similar risk profiles and methods for assessing and monitoring risk. These classes align with management reporting. Allowance for credit losses activity for the three months ended March 31, 2018 is as follows: Retail Wholesale Wholesale Total Allowance for credit losses: Beginning balance $ 73,610 $ 5,444 $ 142 $ 79,196 Charge-offs (10,510) (187) — (10,697) Recoveries 1,009 58 — 1,067 Provision (benefit) 11,895 (63) (17) 11,815 Foreign currency translation and other (283) (14) (4) (301) Ending balance $ 75,721 $ 5,238 $ 121 $ 81,080 Ending balance: individually evaluated for impairment $ 20,544 $ 2,734 $ — $ 23,278 Ending balance: collectively evaluated for impairment $ 55,177 $ 2,504 $ 121 $ 57,802 Receivables: Ending balance $ 6,558,169 $ 3,363,008 $ 201,005 $ 10,122,182 Ending balance: individually evaluated for impairment $ 41,233 $ 39,942 $ — $ 81,175 Ending balance: collectively evaluated for impairment $ 6,516,936 $ 3,323,066 $ 201,005 $ 10,041,007 Allowance for credit losses activity for the three months ended March 31, 2017 is as follows: Retail Wholesale Total Allowance for credit losses: Beginning balance $ 78,047 $ 6,848 $ 84,895 Charge-offs (12,091) (788) (12,879) Recoveries 1,034 7 1,041 Provision (benefit) 13,235 (754) 12,481 Foreign currency translation and other (366) 4 (362) Ending balance $ 79,859 $ 5,317 $ 85,176 Ending balance: individually evaluated for impairment $ 20,618 $ 2,700 $ 23,318 Ending balance: collectively evaluated for impairment $ 59,241 $ 2,617 $ 61,858 Receivables: Ending balance $ 7,121,875 $ 3,500,513 $ 10,622,388 Ending balance: individually evaluated for impairment $ 30,834 $ 24,144 $ 54,978 Ending balance: collectively evaluated for impairment $ 7,091,041 $ 3,476,369 $ 10,567,410 Allowance for credit losses activity for the year ended December 31, 2017 is as follows: Retail Wholesale Wholesale Total Allowance for credit losses: Beginning balance $ 78,047 $ 6,848 $ — $ 84,895 Charge-offs (46,460) (2,374) — (48,834) Recoveries 4,045 20 — 4,065 Provision 39,842 919 137 40,898 Foreign currency translation and other (1,864) 31 5 (1,828) Ending balance $ 73,610 $ 5,444 $ 142 $ 79,196 Ending balance: individually evaluated for impairment $ 18,018 $ 2,920 $ — $ 20,938 Ending balance: collectively evaluated for impairment $ 55,592 $ 2,524 $ 142 $ 58,258 Receivables: Ending balance $ 6,868,886 $ 3,396,021 $ 235,834 $ 10,500,741 Ending balance: individually evaluated for impairment $ 38,807 $ 43,912 $ — $ 82,719 Ending balance: collectively evaluated for impairment $ 6,830,079 $ 3,352,109 $ 235,834 $ 10,418,022 Utilizing an internal credit scoring model, which considers customers’ attributes, prior credit history and each retail transaction’s attributes, the Company assigns a credit quality rating to each retail customer, by specific transaction, as part of the retail underwriting process. This rating is used in setting the terms on the transaction, including the interest rate. A description of the general characteristics of the customers’ risk grades is as follows: Titanium — Customers from whom the Company expects no loss or collection effort. Platinum — Customers from whom the Company expects minimal, if any, loss or collection effort. Gold, Silver, Bronze — Customers defined as those with the potential for loss and collection effort. A breakdown of the retail portfolio by the customer’s risk grade at the time of origination as of March 31, 2018 and December 31, 2017 is as follows: March 31, December 31, 2018 2017 Titanium $ 3,537,883 $ 3,734,313 Platinum 1,935,204 2,002,791 Gold 910,314 952,404 Silver 142,806 146,051 Bronze 31,962 33,327 Total $ 6,558,169 $ 6,868,886 As part of the ongoing monitoring of the credit quality of the wholesale portfolio, the Company utilizes an internal credit scoring model that assigns a risk grade for each dealer. The scoring model considers the strength of the dealer’s financial condition and payment history. The Company considers the dealers’ ratings in the quarterly credit allowance analysis. A description of the general characteristics of the dealer risk grades is as follows: Grades A and B — Includes receivables due from dealers that have significant capital strength, moderate leverage, stable earnings and growth, and excellent payment performance. Grade C — Includes receivables due from dealers with moderate credit risk. Dealers of this grade are differentiated from higher grades on a basis of leverage or payment performance. Grade D — Includes receivables due from dealers with additional credit risk. These dealers require additional monitoring due to their weaker financial condition or payment performance. A breakdown of the wholesale portfolio by its credit quality indicators as of March 31, 2018 and December 31, 2017 is as follows: March 31, December 31, 2018 2017 A $ 1,206,451 $ 1,222,813 B 1,421,090 1,425,591 C 502,518 439,353 D 232,949 308,264 Total $ 3,363,008 $ 3,396,021 The following tables present information at the level at which management assesses and monitors its credit risk. Receivables are considered past due if the required principal and interest payments have not been received as of the date such payments were due. Delinquency is reported on receivables greater than 30 days past due. The aging of receivables as of March 31, 2018 is as follows: Recorded Investment Greater > 90 Days 31 – 60 Days 61 – 90 Days Than Total Total and Past Due Past Due 90 Days Past Due Current Receivables Accruing Retail United States $ 29,130 $ 10,601 $ 32,520 $ 72,251 $ 5,302,306 $ 5,374,557 $ 8,944 Canada $ 2,571 $ 870 $ 1,535 $ 4,976 $ 1,178,636 $ 1,183,612 $ 154 Wholesale United States $ 919 $ 321 $ 558 $ 1,798 $ 2,582,728 $ 2,584,526 $ 261 Canada $ 9 $ 5 $ 17 $ 31 $ 778,451 $ 778,482 $ 102 Wholesale Factoring $ 5,801 $ 6 $ 567 $ 6,374 $ 194,631 $ 201,005 $ — Total Retail $ 31,701 $ 11,471 $ 34,055 $ 77,227 $ 6,480,942 $ 6,558,169 $ 9,098 Wholesale $ 928 $ 326 $ 575 $ 1,829 $ 3,361,179 $ 3,363,008 $ 363 Wholesale factoring $ 5,801 $ 6 $ 567 $ 6,374 $ 194,631 $ 201,005 $ — The aging of receivables as of December 31, 2017 is as follows: Recorded Investment Greater > 90 Days 31 – 60 Days 61 – 90 Days Than Total Total and Past Due Past Due 90 Days Past Due Current Receivables Accruing Retail United States $ 27,590 $ 8,412 $ 37,004 $ 73,006 $ 5,532,329 $ 5,605,335 $ 6,232 Canada $ 2,010 $ 585 $ 2,837 $ 5,432 $ 1,258,119 $ 1,263,551 $ 665 Wholesale United States $ 802 $ 1 $ 236 $ 1,039 $ 2,658,716 $ 2,659,755 $ 179 Canada $ 22 $ — $ 6 $ 28 $ 736,238 $ 736,266 $ 6 Wholesale Factoring $ 5,652 $ 1,390 $ — $ 7,042 $ 228,792 $ 235,834 $ — Total Retail $ 29,600 $ 8,997 $ 39,841 $ 78,438 $ 6,790,448 $ 6,868,886 $ 6,897 Wholesale $ 824 $ 1 $ 242 $ 1,067 $ 3,394,954 $ 3,396,021 $ 185 Wholesale factoring $ 5,652 $ 1,390 $ — $ 7,042 $ 228,792 $ 235,834 $ — Impaired receivables are receivables for which the Company has determined it will not collect all the principal and interest payments as per the terms of the contract. As of March 31, 2018 and December 31, 2017, the Company’s recorded investment in impaired receivables individually evaluated for impairment and the related unpaid principal balances, allowances and average recorded investment (based on a four-month average and thirteen-month average, respectively) are as follows: March 31, 2018 Unpaid Average Recorded Principal Related Recorded Investment Balance Allowance Investment Retail United States $ 41,002 $ 39,176 $ 20,308 $ 43,560 Canada $ 231 $ 197 $ 236 $ 259 Wholesale United States $ 39,942 $ 39,119 $ 2,734 $ 42,482 Total Retail $ 41,233 $ 39,373 $ 20,544 $ 43,819 Wholesale $ 39,942 $ 39,119 $ 2,734 $ 42,482 December 31, 2017 Unpaid Average Recorded Principal Related Recorded Investment Balance Allowance Investment Retail United States $ 38,035 $ 36,187 $ 17,518 $ 39,917 Canada $ 772 $ 716 $ 500 $ 1,084 Wholesale United States $ 43,912 $ 43,531 $ 2,920 $ 49,469 Total Retail $ 38,807 $ 36,903 $ 18,018 $ 41,001 Wholesale $ 43,912 $ 43,531 $ 2,920 $ 49,469 As of March 31, 2018 and December 31, 2017, the Company’s impaired receivables individually evaluated for impairment without an allowance were immaterial. Interest income recognized for the three months ended March 31, 2018 and for the year ended December 31, 2017 was immaterial. Recognition of income is generally suspended when management determines that collection of future finance income is not probable or when an account becomes 120 days delinquent, whichever occurs first. Interest accrual is resumed if the receivable becomes contractually current and collection becomes probable. Previously suspended income is recognized at that time. The receivables on nonaccrual status as of March 31, 2018 and December 31, 2017 are as follows: March 31, 2018 December 31, 2017 Retail Wholesale Total Retail Wholesale Total United States $ 39,355 $ 39,119 $ 78,474 $ 40,968 $ 43,531 $ 84,499 Canada $ 1,612 $ — $ 1,612 $ 2,538 $ — $ 2,538 Troubled Debt Restructurings A restructuring of a receivable constitutes a troubled debt restructuring (“TDR”) when the lender grants a concession it would not otherwise consider to a borrower experiencing financial difficulties. As a collateral-based lender, the Company typically will repossess collateral in lieu of restructuring receivables. As such, for retail receivables, concessions are typically provided based on bankruptcy court proceedings. For wholesale receivables, concessions granted may include extended contract maturities, inclusion of interest-only periods, modification of a contractual interest rate to a below market interest rate and waiving of interest and principal. TDRs are reviewed along with other receivables as part of management’s ongoing evaluation of the adequacy of the allowance for credit losses. The allowance for credit losses attributable to TDRs is based on the most probable source of repayment, which is normally the liquidation of collateral. In determining collateral value, the Company estimates the current fair market value of the equipment collateral and considers credit enhancements such as additional collateral and third-party guarantees. Before removing a receivable from TDR classification, a review of the borrower is conducted. If concerns exist about the future ability of the borrower to meet its obligations based on a credit review, the TDR classification is not removed from the receivable. As of March 31, 2018, the Company had 279 retail and finance lease contracts classified as TDRs where a court has determined the concession. The pre-modification value of these contracts was $8,740 and the post-modification value was $7,921. Additionally, the Company had 393 accounts with a balance of $21,325 undergoing bankruptcy proceedings where a concession has not yet been determined. As of March 31, 2017, the Company had 247 retail and finance lease contracts classified as TDRs where a court has determined the concession. The pre-modification value of these contracts was $5,200 and the post-modification value was $4,542. Additionally, the Company had 433 accounts with a balance of $20,781 undergoing bankruptcy proceedings where a concession has not yet been determined. As the outcome of the bankruptcy cases is determined by a court based on available assets, subsequent re-defaults are unusual and were not material for retail and finance lease contracts that were modified in a TDR during the previous 12 months ended March 31, 2018 and 2017. As of March 31, 2018 and 2017, the Company’s wholesale TDRs were immaterial.

CREDIT FACILITIES AND DEBT

CREDIT FACILITIES AND DEBT	3 Months Ended
	Mar. 31, 2018
CREDIT FACILITIES AND DEBT
CREDIT FACILITIES AND DEBT	NOTE 5: CREDIT FACILITIES AND DEBT On February 27, 2018, the Company amended one of its unsecured revolving credit facilities, increasing the total commitment amount from C$200,000 ($156,586) to C$300,000 ($234,879).

INCOME TAXES

INCOME TAXES	3 Months Ended
	Mar. 31, 2018
INCOME TAXES
INCOME TAXES	NOTE 6: INCOME TAXES The effective tax rates for the three months ended March 31, 2018 and 2017 were 23.3% and 32.0%, respectively. The decrease in the effective tax rate is primarily due to the passage of the Tax Cuts and Jobs Act (the “U.S. Tax Act”), passed on December 22, 2017, which reduced the U.S. corporate tax rate from 35% to 21%. The Company’s provision for income taxes is based on an estimated tax rate for the year applied to the year-to-date federal, state and foreign income. The 2018 estimated annual tax rate is expected to be higher than the U.S. federal corporate income tax rate of 21% as Canadian profits are subjected to a higher tax rate. The U.S. Tax Act changed many aspects of U.S. corporate income taxation, including reducing the corporate tax rate, implementing a quasi-territorial tax system and imposing a tax on deemed repatriated earnings of certain foreign subsidiaries. The Company reasonably estimated the effects of the U.S. Tax Act in the three months ended December 31, 2017. Those provisional estimates were not changed during the three months ended March 31, 2018. During 2018, however, the Company will continue assessing its previously recorded impacts of U.S. Tax Act. Any revisions to the Company’s prior estimates will be treated in accordance with the measurement period guidance outlined in Staff Accounting Bulletin No. 118.

FINANCIAL INSTRUMENTS

FINANCIAL INSTRUMENTS	3 Months Ended
	Mar. 31, 2018
FINANCIAL INSTRUMENTS
FINANCIAL INSTRUMENTS	NOTE 7: FINANCIAL INSTRUMENTS The Company may elect to measure many financial instruments and certain other items at fair value. This fair value option must be applied on an instrument-by-instrument basis with changes in fair value reported in earnings. The election can be made at the acquisition of an eligible financial asset, financial liability, or firm commitment or when certain specified reconsideration events occur. The fair value election may not be revoked once made. The Company did not elect the fair value measurement option for eligible items. Fair-Value Hierarchy U.S. GAAP specifies a hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company’s internally-developed market assumptions. These two types of inputs have created the following fair-value hierarchy: Level 1 — Quoted prices for identical instruments in active markets. Level 2 — Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets. Level 3 — This hierarchy requires the use of observable market data when available. Determination of Fair Value When available, the Company uses quoted market prices to determine fair value and classifies such items in Level 1. In some cases where a market price is not available, the Company will make use of observable market-based inputs to calculate fair value, in which case the items are classified in Level 2. If quoted or observable market prices are not available, fair value is based upon internally developed valuation techniques that use, where possible, current market-based or independently sourced market parameters such as interest rates, currency rates, or yield curves. Items valued using such internally generated valuation techniques are classified according to the lowest level input or value driver that is significant to the valuation. Thus, an item may be classified in Level 3 even though there may be some significant inputs that are readily observable. The following section describes the valuation methodologies used by the Company to measure various financial instruments at fair value, including an indication of the level in the fair value hierarchy in which each instrument is generally classified. Where appropriate, the description includes details of the valuation models and the key inputs to those models, as well as any significant assumptions. Derivatives The Company utilizes derivative instruments to mitigate its exposure to interest rate and foreign currency exposures. Derivatives used as hedges are effective at reducing the risk associated with the exposure being hedged and are designated as a hedge at the inception of the derivative contract. The Company does not hold or issue derivative or other financial instruments for speculative purposes. The credit risk for the interest rate hedges is reduced through diversification among counterparties, utilizing mandatory termination clauses and/or collateral support agreements. Derivative instruments are generally classified in Level 2 or 3 of the fair value hierarchy. The cash flows underlying all derivative contracts were recorded in operating activities in the consolidated statements of cash flows. Interest Rate Derivatives The Company has entered into interest rate derivatives in order to manage interest rate exposures arising in the normal course of business. Interest rate derivatives that have been designated in cash flow hedging relationships are being used by the Company to mitigate the risk of rising interest rates related to debt and anticipated issuance of fixed-rate debt in future periods. Gains and losses on these instruments, to the extent that the hedge relationship has been effective, are deferred in accumulated other comprehensive income (loss) and recognized in interest expense over the period in which the Company recognizes interest expense on the related debt. Ineffectiveness recognized related to these hedging relationships was not significant for the three months ended March 31, 2018 and 2017. These amounts are recorded in “Other expenses” in the consolidated statements of income. As of March 31, 2018, the maximum length of time over which the Company is hedging its interest rate exposure through the use of derivative instruments designated in cash flow hedge relationships is 50 months. As of March 31, 2018, the after-tax losses deferred in accumulated other comprehensive income (loss) that will be recognized in interest expense over the next 12 months are approximately $424. The Company also enters into interest rate derivatives with substantially similar economic terms that are not designated as hedging instruments to mitigate interest rate risk related to the Company’s committed asset-backed facilities. These facilities require the Company to enter into interest rate derivatives. To ensure that these transactions do not result in the Company being exposed to this risk, the Company enters into an offsetting position. Unrealized and realized gains and losses resulting from fair value changes in these instruments are recognized directly in income and were insignificant for the three months ended March 31, 2018 and 2017. Most of the Company’s interest rate derivatives are considered Level 2. The fair market value of these derivatives is calculated using market data input for forecasted benchmark interest rates and can be compared to actively traded derivatives. If the future notional amount of the Company’s interest rate derivatives is not known in advance, the derivatives are considered Level 3 derivatives. The fair market value of these derivatives is calculated using market data input and a forecasted future notional balance. The total notional amount of the Company’s interest rate derivatives was approximately $2,852,088 and $3,143,737 at March 31, 2018 and December 31, 2017, respectively. The four-month average notional amounts for the three months ended March 31, 2018 and 2017 were $2,985,203 and $3,048,008, respectively. Foreign Exchange Contracts The Company uses forward contracts to hedge certain assets and liabilities denominated in foreign currencies. Such derivatives are considered economic hedges and are not designated as hedging instruments. The changes in the fair value of these instruments are recognized directly as income in “Other expenses” and are expected to offset the foreign exchange gains or losses on the exposures being managed. All of the Company’s foreign exchange derivatives are considered Level 2 as the fair value is calculated using market data input and can be compared to actively traded derivatives. Financial Statement Impact of the Company’s Derivatives The fair values of the Company’s derivatives as of March 31, 2018 and December 31, 2017 in the consolidated balance sheets are recorded as follows: March 31, December 31, 2018 2017 Derivatives Designated as Hedging Instruments Other assets: Interest rate derivatives $ 5,378 $ 4,113 Accounts payable and other accrued liabilities: Interest rate derivatives $ 7,042 $ 6,698 Derivatives Not Designated as Hedging Instruments Other assets: Interest rate derivatives $ 6,430 $ 4,638 Foreign exchange contracts 213 1,393 Total $ 6,643 $ 6,031 Accounts payable and other accrued liabilities: Interest rate derivatives $ 6,430 $ 4,638 Foreign exchange contracts 315 325 Total $ 6,745 $ 4,963 Pre-tax gains (losses) on the consolidated statements of income and comprehensive income related to the Company’s derivatives for the three months ended March 31, 2018 and 2017 are recorded in the following accounts: 2018 2017 Cash Flow Hedges Recognized in accumulated other comprehensive income (loss) (effective portion): Interest rate derivatives $ (50) $ (281) Reclassified from accumulated other comprehensive income (loss) (effective portion): Interest rate derivatives—Interest expense to third parties (156) (167) Not Designated as Hedges Foreign exchange contracts—Other expenses $ (2,594) $ 354 Items Measured at Fair Value on a Recurring Basis The following table presents the Company’s assets and liabilities that are measured at fair value on a recurring basis as of March 31, 2018 and December 31, 2017, all of which are classified as Level 2: March 31, December 31, 2018 2017 Assets Interest rate derivatives $ 11,808 $ 8,751 Foreign exchange contracts 213 1,393 Total assets $ 12,021 $ 10,144 Liabilities Interest rate derivatives $ 13,472 $ 11,336 Foreign exchange contracts 315 325 Total liabilities $ 13,787 $ 11,661 There were no transfers between Level 1, Level 2 and Level 3 hierarchy levels during the periods presented. Fair Value of Other Financial Instruments The carrying amount of cash and cash equivalents, restricted cash, floating-rate affiliated accounts and notes receivable, floating-rate short-term debt, interest payable and short-term affiliated debt was assumed to approximate its fair value. Under the fair value hierarchy, cash and cash equivalents and restricted cash are classified as Level 1 and the remainder of the financial instruments listed is classified as Level 2. Financial Instruments Not Carried at Fair Value The carrying amount and estimated fair value of assets and liabilities considered financial instruments as of March 31, 2018 and December 31, 2017 are as follows: March 31, 2018 December 31, 2017 Carrying Estimated Carrying Estimated Amount Fair Value * Amount Fair Value * Receivables $ 10,041,102 $ 9,947,779 $ 10,421,545 $ 10,379,020 Long-term debt $ 6,267,986 $ 6,177,645 $ 6,332,763 $ 6,314,182 ______________ * Under the fair value hierarchy, receivables measurements are classified as Level 3 and long‑term debt measurements are classified as Level 2. Financial Assets The fair value of receivables was determined by discounting the estimated future payments using a discount rate that includes an estimate for credit risk. Financial Liabilities The fair values of long-term debt were based on current market quotes for identical or similar borrowings and credit risk.

SEGMENT AND GEOGRAPHICAL INFORM

SEGMENT AND GEOGRAPHICAL INFORMATION	3 Months Ended
	Mar. 31, 2018
SEGMENT AND GEOGRAPHICAL INFORMATION
SEGMENT AND GEOGRAPHICAL INFORMATION	NOTE 8: SEGMENT AND GEOGRAPHICAL INFORMATION The Company’s segment data is based on disclosure requirements of accounting guidance on segment reporting, which requires financial information be reported on the basis that is used internally for measuring segment performance. The Company’s reportable segments are strategic business units that are organized around differences in geographic areas. Each segment is managed separately as they require different knowledge of regulatory environments and marketing strategies. The operating segments offer primarily the same services within each of the respective segments. A summary of the Company’s reportable segment information is as follows: Three Months Ended March 31, 2018 2017 Revenues United States $ 176,503 $ 189,988 Canada 51,729 43,888 Eliminations (1,861) (1,042) Total $ 226,371 $ 232,834 Interest expense United States $ 66,844 $ 64,434 Canada 13,445 11,336 Eliminations (1,861) (1,042) Total $ 78,428 $ 74,728 Segment net income United States $ 22,934 $ 24,230 Canada 16,869 14,163 Total $ 39,803 $ 38,393 Depreciation and amortization United States $ 50,714 $ 57,716 Canada 11,500 10,972 Total $ 62,214 $ 68,688 Expenditures for equipment on operating leases United States $ 77,145 $ 136,005 Canada 25,460 24,778 Total $ 102,605 $ 160,783 Provision for credit losses United States $ 11,305 $ 11,925 Canada 510 556 Total $ 11,815 $ 12,481 As of As of March 31, December 31, 2018 2017 Segment assets United States $ 10,416,739 $ 10,738,403 Canada 2,723,743 2,838,754 Eliminations (203,123) (65,079) Total $ 12,937,359 $ 13,512,078 Managed receivables United States $ 7,959,083 $ 8,265,090 Canada 2,163,099 2,235,651 Total $ 10,122,182 $ 10,500,741

RELATED - PARTY TRANSACTIONS

RELATED - PARTY TRANSACTIONS	3 Months Ended
	Mar. 31, 2018
RELATED-PARTY TRANSACTIONS
RELATED-PARTY TRANSACTIONS	NOTE 9: RELATED-PARTY TRANSACTIONS The Company receives compensation from CNH Industrial North America for retail, wholesale and operating lease sales programs offered by CNH Industrial North America on which finance charges are waived or below market rate financing programs are offered. The Company receives compensation from CNH Industrial North America based on the Company’s estimated costs and a targeted return on equity. The Company is also compensated for lending funds to CNH Industrial North America. In addition, the Company receives income from Iveco Argentina for wholesale factoring receivables purchased at a discount. The summary of sources included in “Interest and other income from affiliates” in the accompanying consolidated statements of income for the three months ended March 31, 2018 and 2017 is as follows: 2018 2017 Subsidy from CNH Industrial North America Retail $ 39,416 $ 38,874 Wholesale 34,083 40,286 Operating lease 15,595 17,261 Income from Iveco Argentina Wholesale factoring 5,309 — Income from affiliated receivables CNH Industrial North America 612 42 Total interest and other income from affiliates $ 95,015 $ 96,463 Interest expense to affiliates was $1,592 and $4,473, respectively, for the three months ended March 31, 2018 and 2017. Fees charged by affiliates were $11,955 and $11,699 for the three months ended March 31, 2018 and 2017, respectively, and represents payroll and other human resource services CNH Industrial America performs on behalf of the Company. As of March 31, 2018 and December 31, 2017, the Company had various accounts and notes receivable and debt with the following affiliates: March 31, December 31, 2018 2017 Affiliated receivables CNH Industrial America $ 19,506 $ 49,311 CNH Industrial Canada Ltd. 6,144 11,282 Other affiliates 12,564 Total affiliated receivables $ 38,214 $ 73,133 Affiliated debt CNH Industrial America $ 24,269 $ CNH Industrial Canada Ltd. 43,168 118,642 Total affiliated debt $ 67,437 $ Included in “Other Assets” in the accompanying balance sheet were tax receivables due from related parties of $3,513 as of December 31, 2017. Accounts payable and other accrued liabilities, including tax payables, of $218,585 and $60,070, respectively, as of March 31, 2018 and December 31, 2017, were payable to related parties.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Mar. 31, 2018
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	NOTE 10: COMMITMENTS AND CONTINGENCIES Legal Matters The Company is party to various litigation matters and claims arising from its operations. Management believes that the outcome of these proceedings, individually and in the aggregate, will not have a material adverse effect on the Company’s financial position or results of operations. Commitments The Company has various agreements to extend credit for the wholesale managed portfolio. At March 31, 2018, the total credit limit available was $6,254,082, of which $3,324,980 was utilized.

SUPPLEMENTAL CONDENSED CONSOLID

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION	3 Months Ended
	Mar. 31, 2018
SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION
SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION	NOTE 11: SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION CNH Industrial Capital America and New Holland Credit, which are 100%-owned subsidiaries of CNH Industrial Capital LLC (the “Guarantor Entities”), guarantee certain indebtedness of CNH Industrial Capital LLC. As the guarantees are full, unconditional, and joint and several and because the Guarantor Entities are 100%-owned by CNH Industrial Capital LLC, the Company has included the following condensed consolidating financial information as of March 31, 2018 and December 31, 2017 and for the three months ended March 31, 2018 and 2017. The condensed consolidating financial information reflects investments in consolidated subsidiaries under the equity method of accounting. Condensed Statements of Comprehensive Income for the Three Months Ended March 31, 2018 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 4,054 $ 44,576 $ — $ 48,630 Interest income on wholesale notes — (259) 15,828 — 15,569 Interest and other income from affiliates 19,075 52,686 77,134 (53,880) 95,015 Rental income on operating leases — 47,078 14,038 — 61,116 Other income — 22,628 609 (17,196) 6,041 Total revenues 19,075 126,187 152,185 (71,076) 226,371 EXPENSES Interest expense: Interest expense to third parties 38,190 (631) 39,277 — 76,836 Interest expense to affiliates — 47,608 7,864 (53,880) 1,592 Total interest expense 38,190 46,977 47,141 (53,880) 78,428 Administrative and operating expenses: Fees charged by affiliates — 11,484 17,667 (17,196) 11,955 Provision for credit losses — 2,888 8,927 — 11,815 Depreciation of equipment on operating leases — 50,186 11,499 — 61,685 Other expenses — 6,147 4,418 — 10,565 Total administrative and operating expenses — 70,705 42,511 (17,196) 96,020 Total expenses 38,190 117,682 89,652 (71,076) 174,448 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (19,115) 8,505 62,533 — 51,923 Income tax provision (benefit) (4,630) 2,087 14,663 — 12,120 Equity in income of consolidated subsidiaries accounted for under the equity method 54,288 47,870 — (102,158) — NET INCOME $ 39,803 $ 54,288 $ 47,870 $ (102,158) $ 39,803 COMPREHENSIVE INCOME $ 21,987 $ 36,472 $ 32,418 $ (68,890) $ 21,987 Condensed Balance Sheets as of March 31, 2018 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated ASSETS Cash and cash equivalents $ — $ 157,554 $ 22,596 $ — $ 180,150 Restricted cash — — 593,305 — 593,305 Receivables, less allowance for credit losses — 1,278,469 8,762,633 — 10,041,102 Affiliated accounts and notes receivable 2,489,894 2,045,780 2,063,293 (6,560,753) 38,214 Equipment on operating leases, net — 1,343,565 367,294 — 1,710,859 Equipment held for sale — 194,041 20,856 — 214,897 Investments in consolidated subsidiaries accounted for under the equity method 2,657,610 2,558,023 — (5,215,633) — Goodwill and intangible assets, net — 89,046 28,249 — 117,295 Other assets 4,631 (5,259) 45,577 (3,412) 41,537 TOTAL $ 5,152,135 $ 7,661,219 $ 11,903,803 $ (11,779,798) $ 12,937,359 LIABILITIES AND STOCKHOLDER’S EQUITY Liabilities: Short-term debt, including current maturities of long-term debt $ 993,231 $ 35,577 $ 3,344,751 $ — $ 4,373,559 Accounts payable and other accrued liabilities 307,169 2,810,916 1,182,646 (3,450,147) 850,584 Affiliated debt — 2,153,952 1,027,503 (3,114,018) 67,437 Long-term debt 2,473,942 3,164 3,790,880 — 6,267,986 Total liabilities 3,774,342 5,003,609 9,345,780 (6,564,165) 11,559,566 Stockholder’s equity 1,377,793 2,657,610 2,558,023 (5,215,633) 1,377,793 TOTAL $ 5,152,135 $ 7,661,219 $ 11,903,803 $ (11,779,798) $ 12,937,359 Condensed Statements of Cash Flows for the Three Months Ended March 31, 2018 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated CASH FLOWS FROM OPERATING ACTIVITIES: Net cash from (used in) operating activities $ 40,383 $ 10,012 $ 78,935 $ 116,923 $ 246,253 CASH FLOWS FROM INVESTING ACTIVITIES: Cost of receivables acquired — (1,715,533) (2,205,726) 1,539,299 (2,381,960) Collections of receivables — 1,802,782 2,425,600 (1,539,952) 2,688,430 Change in restricted cash — — — — — Purchase of equipment on operating leases, net — 15,915 (13,606) — 2,309 Change in property and equipment and software, net — (1,131) — — (1,131) Net cash from (used in) investing activities — 102,033 206,268 (653) 307,648 CASH FLOWS FROM FINANCING ACTIVITIES: Intercompany activity — (99,296) (161,557) (116,270) (377,123) Net change in indebtedness (20,383) (15,534) (222,964) — (258,881) Dividends paid to CNH Industrial America LLC (20,000) — — — (20,000) Net cash from (used in) financing activities (40,383) (114,830) (384,521) (116,270) (656,004) DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH — (2,785) (99,318) — (102,103) CASH AND CASH EQUIVALENTS AND RESTRICTED CASH: Beginning of period — 160,339 715,219 — 875,558 End of period $ — $ 157,554 $ 615,901 $ — $ 773,455 Condensed Statements of Comprehensive Income for the Three Months Ended March 31, 2017 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 3,700 $ 47,113 $ — $ 50,813 Interest income on wholesale notes — (296) 16,312 — 16,016 Interest and other income from affiliates 22,667 59,754 78,595 (64,553) 96,463 Rental income on operating leases — 50,224 12,970 — 63,194 Other income — 25,272 282 (19,206) 6,348 Total revenues 22,667 138,654 155,272 (83,759) 232,834 EXPENSES Interest expense: Interest expense to third parties 39,728 (2,532) 33,059 — 70,255 Interest expense to affiliates — 57,690 11,336 (64,553) 4,473 Total interest expense 39,728 55,158 44,395 (64,553) 74,728 Administrative and operating expenses: Fees charged by affiliates — 11,172 19,733 (19,206) 11,699 Provision for credit losses — 4,777 7,704 — 12,481 Depreciation of equipment on operating leases — 57,200 10,969 — 68,169 Other expenses — 7,876 1,451 — 9,327 Total administrative and operating expenses — 81,025 39,857 (19,206) 101,676 Total expenses 39,728 136,183 84,252 (83,759) 176,404 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (17,061) 2,471 71,020 — 56,430 Income tax provision (benefit) (6,367) 980 23,424 — 18,037 Equity in income of consolidated subsidiaries accounted for under the equity method 49,087 47,596 — (96,683) — NET INCOME $ 38,393 $ 49,087 $ 47,596 $ (96,683) $ 38,393 COMPREHENSIVE INCOME $ 42,910 $ 53,604 $ 51,292 $ (104,896) $ 42,910 Condensed Balance Sheets as of December 31, 2017 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated ASSETS Cash and cash equivalents $ — $ 160,339 $ 66,607 $ — $ 226,946 Restricted cash — — 648,612 — 648,612 Receivables, less allowance for credit losses — 1,367,951 9,053,594 — 10,421,545 Affiliated accounts and notes receivable 2,518,121 1,991,481 2,068,016 (6,504,485) 73,133 Equipment on operating leases, net — 1,405,731 375,758 — 1,781,489 Equipment held for sale — 191,710 16,806 — 208,516 Investments in consolidated subsidiaries accounted for under the equity method 2,620,971 2,525,605 — (5,146,576) — Goodwill and intangible assets, net — 88,440 29,016 — 117,456 Other assets 7,548 4,432 26,466 (4,065) 34,381 TOTAL $ 5,146,640 $ 7,735,689 $ 12,284,875 $ (11,655,126) $ 13,512,078 LIABILITIES AND STOCKHOLDER’S EQUITY Liabilities: Short-term debt, including current maturities of long-term debt $ 1,015,520 $ 45,937 $ 3,556,007 $ — $ 4,617,464 Accounts payable and other accrued liabilities 283,445 2,807,195 1,160,573 (3,510,803) 740,410 Affiliated debt — 2,253,248 1,190,301 (2,997,747) 445,802 Long-term debt 2,472,036 8,338 3,852,389 — 6,332,763 Total liabilities 3,771,001 5,114,718 9,759,270 (6,508,550) 12,136,439 Stockholder’s equity 1,375,639 2,620,971 2,525,605 (5,146,576) 1,375,639 TOTAL $ 5,146,640 $ 7,735,689 $ 12,284,875 $ (11,655,126) $ 13,512,078 Condensed Statements of Cash Flows for the Three Months Ended March 31, 2017 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated CASH FLOWS FROM OPERATING ACTIVITIES: Net cash from (used in) operating activities $ 469,853 $ 346,469 $ 118,072 $ (788,832) $ 145,562 CASH FLOWS FROM INVESTING ACTIVITIES: Cost of receivables acquired — (1,744,921) (2,046,083) 1,526,590 (2,264,414) Collections of receivables — 1,821,668 2,240,710 (1,526,671) 2,535,707 Change in restricted cash — — — — — Purchase of equipment on operating leases, net — (22,020) (15,502) — (37,522) Change in property and equipment and software, net — (29) — — (29) Net cash from (used in) investing activities — 54,698 179,125 (81) 233,742 CASH FLOWS FROM FINANCING ACTIVITIES: Intercompany activity — (448,940) (1,758) 788,913 338,215 Net change in indebtedness (394,853) (13,431) (434,355) — (842,639) Dividends paid to CNH Industrial America LLC (75,000) — — — (75,000) Net cash from (used in) financing activities (469,853) (462,371) (436,113) 788,913 (579,424) DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH — (61,204) (138,916) — (200,120) CASH AND CASH EQUIVALENTS AND RESTRICTED CASH: Beginning of period — 151,654 725,438 — 877,092 End of period $ — $ 90,450 $ 586,522 $ — $ 676,972

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	3 Months Ended
	Mar. 31, 2018
SUBSEQUENT EVENTS
Subsequent Events [Text Block]	NOTE 12: SUBSEQUENT EVENTS On April 16, 2018, the Company repaid $600,000 of its 3.625% unsecured notes due 2018. On April 17, 2018, the Company, through a trust, issued C$390,467 ($311,093) of amortizing asset-backed notes secured by Canadian retail loan receivables. On April 27, 2018, Moody’s Investor Service, Inc. affirmed the Ba1 senior long-term rating of CNH Industrial Capital LLC and improved the outlook to positive from stable.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	3 Months Ended
	Mar. 31, 2018
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
New Accounting Pronouncements	New Accounting Pronouncements Adopted in 2018 In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers (ASC 606) (“ASU 2014-09”), which supersedes existing revenue recognition guidance under current U.S. GAAP. The new standard requires an entity to recognize revenue upon transfer of control of goods or services to a customer at an amount that reflects the consideration that the entity expects to receive. This new revenue recognition model defines a five-step process to achieve this objective. The new standard also requires additional disclosures to enable users to understand the nature, amount, timing and uncertainty of revenue and cash flow arising from contracts with customers. In August 2015, the FASB amended the effective date to be the first quarter of fiscal year 2018 with early adoption permitted in 2017. The FASB subsequently issued several amendments in 2016 clarifying various aspects of ASU 2014-09, including revenue transactions that involve a third party, goods or services that are immaterial in the context of the contract, licensing arrangements, certain transition practical expedients, disclosure of performance obligation and provisions for losses on construction-type and production-type contracts. Entities have the option to apply the new guidance under a retrospective approach to each prior reporting period presented, or a modified retrospective approach with the cumulative effect of initially applying the new guidance recognized at the date of initial application within the consolidated statement of changes in equity. The Company has adopted the new standard effective January 1, 2018. The adoption did not impact the timing or measurement of the Company’s revenue recognition as it is consistent with its current accounting treatment for contracts within the scope of the new ASU. The adoption did impact the timing of payments due from CNH Industrial North America. The impact to the consolidated balance sheet at December 31, 2017 was to decrease receivables and increase affiliated accounts receivable by $40,188, respectively. The impact to consolidated statement of cash flows for the three months ended March 31, 2017 is noted below. In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (“ASU 2016-18”) that changes the presentation of restricted cash and cash equivalents on the statement of cash flows. Restricted cash and restricted cash equivalents will be included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period amounts shown on the statement of cash flows. ASU 2016-18 is effective for annual reporting periods beginning after December 15, 2017, and early adoption is permitted. The Company adopted ASU 2016-18 on a retrospective basis as of January 1, 2018. The unaudited impact of the adoption of ASU 2014-09 and ASU 2016-18 on the Company’s consolidated statement of cash flows for the three months ended March 31, 2017 is as follows: As Reported Adjustment Due to Adoption of ASC 606 Adjustment Due to Adoption of ASU 2016-18 As Recast (Dollars in thousands) CASH FLOWS FROM OPERATING ACTIVITIES Net income $ 38,393 $ — $ — $ 38,393 Adjustments to reconcile net income to net cash from (used in) operating activities: Depreciation on property and equipment and equipment on operating leases 68,177 — — 68,177 Amortization of intangibles 511 — — 511 Provision for credit losses 12,481 — — 12,481 Deferred income tax benefit (4,152) — — (4,152) Stock compensation expense (income) (137) — — (137) Changes in components of working capital: Change in affiliated accounts and notes receivables 53,873 41,239 — 95,112 Change in other assets and equipment held for sale (6,227) — — (6,227) Change in accounts payable and other accrued liabilities (59,513) — 917 (58,596) Net cash from (used in) operating activities 103,406 41,239 917 145,562 CASH FLOWS FROM INVESTING ACTIVITIES Cost of receivables acquired (2,223,175) (41,239) — (2,264,414) Collections of receivables 2,535,707 — — 2,535,707 Change in restricted cash 168,419 — (168,419) — Purchase of equipment on operating leases (160,783) — — (160,783) Proceeds from disposal of equipment on operating leases 123,261 — — 123,261 Change in property and equipment and software, net (29) — — (29) Net cash from (used in) investing activities 443,400 (41,239) (168,419) 233,742 CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from issuance of affiliated debt 499,214 — — 499,214 Payment of affiliated debt (160,999) — — (160,999) Proceeds from issuance of long-term debt 1,250,281 — — 1,250,281 Payment of long-term debt (2,092,920) — — (2,092,920) Change in short-term borrowings, net — — — — Dividends paid to CNH Industrial America LLC (75,000) — — (75,000) Net cash from (used in) financing activities (579,424) — — (579,424) DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH (32,618) — (167,502) (200,120) CASH AND CASH EQUIVALENTS AND RESTRICTED CASH Beginning of period 164,247 — 712,845 877,092 End of period 131,629 — 545,343 676,972 In March 2017, the FASB issued ASU 2017-07, Compensation-Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost (“ASU 2017-07”). The amendment in this update requires that an employer disaggregate the service cost component from other components of net benefit cost. The amendments also provide explicit guidance on how to present the service cost component and the other components of net benefit cost in the income statement and allow only service cost component of net benefit cost to be eligible for capitalization. ASU 2017-07 is effective for annual reporting periods beginning after December 15, 2017. The Company adopted this standard on January 1, 2018, which did not have a material impact on its consolidated financial statements. In January 2016, the FASB issued ASU No. 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities (“ASU 2016-01”), which amends ASC 825-10, Financial Instruments – Overall . This ASU changes the treatment for available-for-sale equity investments by recognizing unrealized fair value changes directly in net income, and no longer in other comprehensive income. The ASU is effective January 1, 2018, with the cumulative-effect adjustment from initially applying the new standard recognized in the consolidated statement of financial position as of January 1, 2018. The Company adopted this standard on January 1, 2018, which did not have a material impact on its consolidated financial statements. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (“ASU 2016-15”). This standard provides guidance clarification to reduce diversity in classification of certain cash flow payments and receipts in the statement of cash flows. ASU 2016-15 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017 on a retrospective transition basis to each period presented, and may be early adopted. The Company adopted this standard on January 1, 2018, which did not have a material impact on its consolidated financial statements. New Accounting Pronouncements Not Yet Adopted In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) (“ASU 2016-02”), which supersedes ASC 840, Leases . The ASU’s most prominent change is the requirement for lessees to recognize leased assets and liabilities classified as operating leases under previous GAAP. The ASU does not significantly change the lessee’s recognition, measurement and presentation of expenses and cash flows from the previous accounting standard. Lessors’ accounting under the ASC is largely unchanged from the previous accounting standard. ASU 2016-02 also will require disclosures designed to give financial statement users information on the amount, timing, and uncertainty of cash flows arising from leases. It is effective for annual reporting periods beginning after December 15, 2018 including interim periods within those fiscal years, but early adoption is permitted. The ASU requires a modified retrospective transition approach and provides certain optional transition relief. The Company is currently evaluating the impact the adoption of this standard will have on its consolidated financial statements. In June 2016, the FASB issued ASU No. 2016-13, Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”), which establishes ASC 326, Financial Instruments – Credit Losses . The ASU introduced a new model for recognizing credit losses on financial instruments based on an estimate of current expected credit losses. Additional disclosures about significant estimates and credit quality are also required. The ASU is effective for annual periods beginning after December 15, 2019, with early adoption permitted for annual periods beginning after December 15, 2018. The Company is currently evaluating the impact the adoption of this standard will have on its consolidated financial statements. In August 2017, the FASB issued ASU No. 2017-12, Targeted Improvements to Accounting for Hedging Activities (“ASU 2017-12”), which amends ASC 815, Derivatives and Hedging . The purpose of this ASU is to better align a company’s risk management activities and financial reporting for hedging relationships, simplify the hedge accounting requirements and improve the disclosures of hedging arrangements. ASU 2017-12 is effective for fiscal years beginning after December 15, 2018, including interim periods within these years. Early adoption is permitted in any interim period or fiscal year before the effective date. The Company is currently evaluating the impact the adoption of this standard will have on its consolidated financial statements. In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (“ASU 2018-02”), which amends ASC 202, Income Statement – Reporting Comprehensive Income . In December 2017, the U.S. Government enacted new tax legislation (tax reform). Included in the provisions of tax reform is a reduction of the corporate tax rate from 35 percent to 21 percent. Accounting principles generally accepted in the U.S. require that deferred taxes are remeasured to the new corporate tax rate in the period the legislation is enacted. The deferred tax adjustment is recorded in the provision for income taxes, including items for which the tax effects were originally recorded in other comprehensive income (“OCI”). This treatment results in the items in OCI reflecting a disproportionate tax rate, a result often referred to as stranded tax effects. This ASU allows a reclassification from accumulated OCI to retained earnings for stranded tax effects resulting from tax reform. The ASU is effective for annual reporting periods beginning after December 15, 2018 including interim periods within those fiscal years, but early adoption is permitted. The ASU can be adopted at the beginning of an interim or annual period or retrospectively to each period affected by tax reform. The Company is currently evaluating the impact the adoption of this standard will have on its consolidated financial statements.

NEW ACCOUNTING PRONOUNCEMENTS (

NEW ACCOUNTING PRONOUNCEMENTS (Tables)	3 Months Ended
	Mar. 31, 2018
NEW ACCOUNTING PRONOUNCEMENTS
Schedule of unaudited impact of adoption of new standards on cash flows	As Reported Adjustment Due to Adoption of ASC 606 Adjustment Due to Adoption of ASU 2016-18 As Recast (Dollars in thousands) CASH FLOWS FROM OPERATING ACTIVITIES Net income $ 38,393 $ — $ — $ 38,393 Adjustments to reconcile net income to net cash from (used in) operating activities: Depreciation on property and equipment and equipment on operating leases 68,177 — — 68,177 Amortization of intangibles 511 — — 511 Provision for credit losses 12,481 — — 12,481 Deferred income tax benefit (4,152) — — (4,152) Stock compensation expense (income) (137) — — (137) Changes in components of working capital: Change in affiliated accounts and notes receivables 53,873 41,239 — 95,112 Change in other assets and equipment held for sale (6,227) — — (6,227) Change in accounts payable and other accrued liabilities (59,513) — 917 (58,596) Net cash from (used in) operating activities 103,406 41,239 917 145,562 CASH FLOWS FROM INVESTING ACTIVITIES Cost of receivables acquired (2,223,175) (41,239) — (2,264,414) Collections of receivables 2,535,707 — — 2,535,707 Change in restricted cash 168,419 — (168,419) — Purchase of equipment on operating leases (160,783) — — (160,783) Proceeds from disposal of equipment on operating leases 123,261 — — 123,261 Change in property and equipment and software, net (29) — — (29) Net cash from (used in) investing activities 443,400 (41,239) (168,419) 233,742 CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from issuance of affiliated debt 499,214 — — 499,214 Payment of affiliated debt (160,999) — — (160,999) Proceeds from issuance of long-term debt 1,250,281 — — 1,250,281 Payment of long-term debt (2,092,920) — — (2,092,920) Change in short-term borrowings, net — — — — Dividends paid to CNH Industrial America LLC (75,000) — — (75,000) Net cash from (used in) financing activities (579,424) — — (579,424) DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH (32,618) — (167,502) (200,120) CASH AND CASH EQUIVALENTS AND RESTRICTED CASH Beginning of period 164,247 — 712,845 877,092 End of period 131,629 — 545,343 676,972

ACCUMULATED OTHER COMPREHENSI22

ACCUMULATED OTHER COMPREHENSIVE INCOME (Tables)	3 Months Ended
	Mar. 31, 2018
ACCUMULATED OTHER COMPREHENSIVE INCOME
Schedule of changes in the components of AOCI and related tax effects	The following table summarizes the change in the components of the Company’s AOCI balance and related tax effects for the three months ended March 31, 2018: Currency Unrealized Translation Pension (Losses) Gains Adjustment Liability on Derivatives Total Beginning balance, gross $ (98,717) $ (4,952) $ 2,333 $ (101,336) Tax asset — 1,790 (617) 1,173 Beginning balance, net of tax (98,717) (3,162) 1,716 (100,163) Other comprehensive income (loss) before reclassifications (18,000) (35) (50) (18,085) Amounts reclassified from accumulated other comprehensive income (loss) — 176 156 332 Tax effects — (35) (28) (63) Net current-period other comprehensive income (loss) (18,000) 106 78 (17,816) Total $ (116,717) $ (3,056) $ 1,794 $ (117,979) The following table summarizes the change in the components of the Company’s AOCI balance and related tax effects for the three months ended March 31, 2017: Currency Unrealized Translation Pension (Losses) Gains Adjustment Liability on Derivatives Total Beginning balance, gross $ $ (5,768) $ (1,213) $ Tax asset — 2,107 323 2,430 Beginning balance, net of tax (3,661) (890) Other comprehensive income (loss) before reclassifications 4,494 (61) (281) 4,152 Amounts reclassified from accumulated other comprehensive income (loss) — 231 167 398 Tax effects — (63) 30 (33) Net current-period other comprehensive income (loss) 4,494 107 (84) 4,517 Total $ (135,091) $ (3,554) $ (974) $ (139,619)
Schedule of reclassifications out of AOCI and the location on the consolidated statements of income	2018 2017 Affected Line Item Amortization of defined benefit pension items: $ (176) $ (231) Various line items individually insignificant (176) (231) Income before taxes 86 Income tax benefit $ (132) $ (145) Net of tax Unrealized losses on derivatives: $ (156) $ (167) Interest expense to third parties Income before taxes 41 45 Income tax benefit $ (115) $ (122) Net of tax

RECEIVABLES (Tables)

RECEIVABLES (Tables)	3 Months Ended
	Mar. 31, 2018
Receivables
Summary of receivables	March 31, December 31, 2018 2017 Retail $ 653,775 $ 768,502 Wholesale 635,264 671,740 Wholesale factoring 201,005 235,834 Finance lease 59,242 58,198 Restricted receivables 8,572,896 8,766,467 Gross receivables 10,122,182 10,500,741 Less: Allowance for credit losses (81,080) (79,196) Total receivables, net $ 10,041,102 $ 10,421,545
Summary of restricted receivables	March 31, December 31, 2018 2017 Retail $ 5,845,152 $ 6,042,186 Wholesale 2,727,744 2,724,281 Total restricted receivables $ 8,572,896 $ 8,766,467
Schedule of allowance for credit losses activity	Allowance for credit losses activity for the three months ended March 31, 2018 is as follows: Retail Wholesale Wholesale Total Allowance for credit losses: Beginning balance $ 73,610 $ 5,444 $ 142 $ 79,196 Charge-offs (10,510) (187) — (10,697) Recoveries 1,009 58 — 1,067 Provision (benefit) 11,895 (63) (17) 11,815 Foreign currency translation and other (283) (14) (4) (301) Ending balance $ 75,721 $ 5,238 $ 121 $ 81,080 Ending balance: individually evaluated for impairment $ 20,544 $ 2,734 $ — $ 23,278 Ending balance: collectively evaluated for impairment $ 55,177 $ 2,504 $ 121 $ 57,802 Receivables: Ending balance $ 6,558,169 $ 3,363,008 $ 201,005 $ 10,122,182 Ending balance: individually evaluated for impairment $ 41,233 $ 39,942 $ — $ 81,175 Ending balance: collectively evaluated for impairment $ 6,516,936 $ 3,323,066 $ 201,005 $ 10,041,007 Allowance for credit losses activity for the three months ended March 31, 2017 is as follows: Retail Wholesale Total Allowance for credit losses: Beginning balance $ 78,047 $ 6,848 $ 84,895 Charge-offs (12,091) (788) (12,879) Recoveries 1,034 7 1,041 Provision (benefit) 13,235 (754) 12,481 Foreign currency translation and other (366) 4 (362) Ending balance $ 79,859 $ 5,317 $ 85,176 Ending balance: individually evaluated for impairment $ 20,618 $ 2,700 $ 23,318 Ending balance: collectively evaluated for impairment $ 59,241 $ 2,617 $ 61,858 Receivables: Ending balance $ 7,121,875 $ 3,500,513 $ 10,622,388 Ending balance: individually evaluated for impairment $ 30,834 $ 24,144 $ 54,978 Ending balance: collectively evaluated for impairment $ 7,091,041 $ 3,476,369 $ 10,567,410 Allowance for credit losses activity for the year ended December 31, 2017 is as follows: Retail Wholesale Wholesale Total Allowance for credit losses: Beginning balance $ 78,047 $ 6,848 $ — $ 84,895 Charge-offs (46,460) (2,374) — (48,834) Recoveries 4,045 20 — 4,065 Provision 39,842 919 137 40,898 Foreign currency translation and other (1,864) 31 5 (1,828) Ending balance $ 73,610 $ 5,444 $ 142 $ 79,196 Ending balance: individually evaluated for impairment $ 18,018 $ 2,920 $ — $ 20,938 Ending balance: collectively evaluated for impairment $ 55,592 $ 2,524 $ 142 $ 58,258 Receivables: Ending balance $ 6,868,886 $ 3,396,021 $ 235,834 $ 10,500,741 Ending balance: individually evaluated for impairment $ 38,807 $ 43,912 $ — $ 82,719 Ending balance: collectively evaluated for impairment $ 6,830,079 $ 3,352,109 $ 235,834 $ 10,418,022
Schedule of aging of financing receivables	The aging of receivables as of March 31, 2018 is as follows: Recorded Investment Greater > 90 Days 31 – 60 Days 61 – 90 Days Than Total Total and Past Due Past Due 90 Days Past Due Current Receivables Accruing Retail United States $ 29,130 $ 10,601 $ 32,520 $ 72,251 $ 5,302,306 $ 5,374,557 $ 8,944 Canada $ 2,571 $ 870 $ 1,535 $ 4,976 $ 1,178,636 $ 1,183,612 $ 154 Wholesale United States $ 919 $ 321 $ 558 $ 1,798 $ 2,582,728 $ 2,584,526 $ 261 Canada $ 9 $ 5 $ 17 $ 31 $ 778,451 $ 778,482 $ 102 Wholesale Factoring $ 5,801 $ 6 $ 567 $ 6,374 $ 194,631 $ 201,005 $ — Total Retail $ 31,701 $ 11,471 $ 34,055 $ 77,227 $ 6,480,942 $ 6,558,169 $ 9,098 Wholesale $ 928 $ 326 $ 575 $ 1,829 $ 3,361,179 $ 3,363,008 $ 363 Wholesale factoring $ 5,801 $ 6 $ 567 $ 6,374 $ 194,631 $ 201,005 $ — The aging of receivables as of December 31, 2017 is as follows: Recorded Investment Greater > 90 Days 31 – 60 Days 61 – 90 Days Than Total Total and Past Due Past Due 90 Days Past Due Current Receivables Accruing Retail United States $ 27,590 $ 8,412 $ 37,004 $ 73,006 $ 5,532,329 $ 5,605,335 $ 6,232 Canada $ 2,010 $ 585 $ 2,837 $ 5,432 $ 1,258,119 $ 1,263,551 $ 665 Wholesale United States $ 802 $ 1 $ 236 $ 1,039 $ 2,658,716 $ 2,659,755 $ 179 Canada $ 22 $ — $ 6 $ 28 $ 736,238 $ 736,266 $ 6 Wholesale Factoring $ 5,652 $ 1,390 $ — $ 7,042 $ 228,792 $ 235,834 $ — Total Retail $ 29,600 $ 8,997 $ 39,841 $ 78,438 $ 6,790,448 $ 6,868,886 $ 6,897 Wholesale $ 824 $ 1 $ 242 $ 1,067 $ 3,394,954 $ 3,396,021 $ 185 Wholesale factoring $ 5,652 $ 1,390 $ — $ 7,042 $ 228,792 $ 235,834 $ —
Schedule of recorded investment in impaired receivables and the related unpaid principal balances, allowances and average recorded investment	March 31, 2018 Unpaid Average Recorded Principal Related Recorded Investment Balance Allowance Investment Retail United States $ 41,002 $ 39,176 $ 20,308 $ 43,560 Canada $ 231 $ 197 $ 236 $ 259 Wholesale United States $ 39,942 $ 39,119 $ 2,734 $ 42,482 Total Retail $ 41,233 $ 39,373 $ 20,544 $ 43,819 Wholesale $ 39,942 $ 39,119 $ 2,734 $ 42,482 December 31, 2017 Unpaid Average Recorded Principal Related Recorded Investment Balance Allowance Investment Retail United States $ 38,035 $ 36,187 $ 17,518 $ 39,917 Canada $ 772 $ 716 $ 500 $ 1,084 Wholesale United States $ 43,912 $ 43,531 $ 2,920 $ 49,469 Total Retail $ 38,807 $ 36,903 $ 18,018 $ 41,001 Wholesale $ 43,912 $ 43,531 $ 2,920 $ 49,469
Schedule of receivables on nonaccrual status	March 31, 2018 December 31, 2017 Retail Wholesale Total Retail Wholesale Total United States $ 39,355 $ 39,119 $ 78,474 $ 40,968 $ 43,531 $ 84,499 Canada $ 1,612 $ — $ 1,612 $ 2,538 $ — $ 2,538
Retail
Receivables
Schedule of breakdown of the portfolio by its credit quality indicators	March 31, December 31, 2018 2017 Titanium $ 3,537,883 $ 3,734,313 Platinum 1,935,204 2,002,791 Gold 910,314 952,404 Silver 142,806 146,051 Bronze 31,962 33,327 Total $ 6,558,169 $ 6,868,886
Wholesale
Receivables
Schedule of breakdown of the portfolio by its credit quality indicators	March 31, December 31, 2018 2017 A $ 1,206,451 $ 1,222,813 B 1,421,090 1,425,591 C 502,518 439,353 D 232,949 308,264 Total $ 3,363,008 $ 3,396,021

FINANCIAL INSTRUMENTS (Tables)

FINANCIAL INSTRUMENTS (Tables)	3 Months Ended
	Mar. 31, 2018
FINANCIAL INSTRUMENTS
Schedule of fair values of derivatives in the consolidated balance sheets	March 31, December 31, 2018 2017 Derivatives Designated as Hedging Instruments Other assets: Interest rate derivatives $ 5,378 $ 4,113 Accounts payable and other accrued liabilities: Interest rate derivatives $ 7,042 $ 6,698 Derivatives Not Designated as Hedging Instruments Other assets: Interest rate derivatives $ 6,430 $ 4,638 Foreign exchange contracts 213 1,393 Total $ 6,643 $ 6,031 Accounts payable and other accrued liabilities: Interest rate derivatives $ 6,430 $ 4,638 Foreign exchange contracts 315 325 Total $ 6,745 $ 4,963
Schedule of pre-tax gains (losses) on the consolidated statements of income related to the Company's derivatives	2018 2017 Cash Flow Hedges Recognized in accumulated other comprehensive income (loss) (effective portion): Interest rate derivatives $ (50) $ (281) Reclassified from accumulated other comprehensive income (loss) (effective portion): Interest rate derivatives—Interest expense to third parties (156) (167) Not Designated as Hedges Foreign exchange contracts—Other expenses $ (2,594) $ 354
Schedule of assets and liabilities measured at fair value on a recurring basis	March 31, December 31, 2018 2017 Assets Interest rate derivatives $ 11,808 $ 8,751 Foreign exchange contracts 213 1,393 Total assets $ 12,021 $ 10,144 Liabilities Interest rate derivatives $ 13,472 $ 11,336 Foreign exchange contracts 315 325 Total liabilities $ 13,787 $ 11,661
Schedule of carrying amount and estimated fair value of assets and liabilities considered financial instruments	March 31, 2018 December 31, 2017 Carrying Estimated Carrying Estimated Amount Fair Value * Amount Fair Value * Receivables $ 10,041,102 $ 9,947,779 $ 10,421,545 $ 10,379,020 Long-term debt $ 6,267,986 $ 6,177,645 $ 6,332,763 $ 6,314,182 ______________ * Under the fair value hierarchy, receivables measurements are classified as Level 3 and long‑term debt measurements are classified as Level 2.

SEGMENT AND GEOGRAPHICAL INFO25

SEGMENT AND GEOGRAPHICAL INFORMATION (Tables)	3 Months Ended
	Mar. 31, 2018
SEGMENT AND GEOGRAPHICAL INFORMATION
Summary of reportable segment information	Three Months Ended March 31, 2018 2017 Revenues United States $ 176,503 $ 189,988 Canada 51,729 43,888 Eliminations (1,861) (1,042) Total $ 226,371 $ 232,834 Interest expense United States $ 66,844 $ 64,434 Canada 13,445 11,336 Eliminations (1,861) (1,042) Total $ 78,428 $ 74,728 Segment net income United States $ 22,934 $ 24,230 Canada 16,869 14,163 Total $ 39,803 $ 38,393 Depreciation and amortization United States $ 50,714 $ 57,716 Canada 11,500 10,972 Total $ 62,214 $ 68,688 Expenditures for equipment on operating leases United States $ 77,145 $ 136,005 Canada 25,460 24,778 Total $ 102,605 $ 160,783 Provision for credit losses United States $ 11,305 $ 11,925 Canada 510 556 Total $ 11,815 $ 12,481 As of As of March 31, December 31, 2018 2017 Segment assets United States $ 10,416,739 $ 10,738,403 Canada 2,723,743 2,838,754 Eliminations (203,123) (65,079) Total $ 12,937,359 $ 13,512,078 Managed receivables United States $ 7,959,083 $ 8,265,090 Canada 2,163,099 2,235,651 Total $ 10,122,182 $ 10,500,741

RELATED-PARTY TRANSACTIONS (Tab

RELATED-PARTY TRANSACTIONS (Tables)	3 Months Ended
	Mar. 31, 2018
RELATED-PARTY TRANSACTIONS
Summary of the sources included in "Interest and other income from affiliates" in the accompanying consolidated statements of income	2018 2017 Subsidy from CNH Industrial North America Retail $ 39,416 $ 38,874 Wholesale 34,083 40,286 Operating lease 15,595 17,261 Income from Iveco Argentina Wholesale factoring 5,309 — Income from affiliated receivables CNH Industrial North America 612 42 Total interest and other income from affiliates $ 95,015 $ 96,463
Schedule of various accounts and notes receivable and debt with the affiliates	March 31, December 31, 2018 2017 Affiliated receivables CNH Industrial America $ 19,506 $ 49,311 CNH Industrial Canada Ltd. 6,144 11,282 Other affiliates 12,564 Total affiliated receivables $ 38,214 $ 73,133 Affiliated debt CNH Industrial America $ 24,269 $ CNH Industrial Canada Ltd. 43,168 118,642 Total affiliated debt $ 67,437 $

SUPPLEMENTAL CONDENSED CONSOL27

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION (Tables)	3 Months Ended
	Mar. 31, 2018
SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION
Schedule of condensed statements of comprehensive income	Condensed Statements of Comprehensive Income for the Three Months Ended March 31, 2018 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 4,054 $ 44,576 $ — $ 48,630 Interest income on wholesale notes — (259) 15,828 — 15,569 Interest and other income from affiliates 19,075 52,686 77,134 (53,880) 95,015 Rental income on operating leases — 47,078 14,038 — 61,116 Other income — 22,628 609 (17,196) 6,041 Total revenues 19,075 126,187 152,185 (71,076) 226,371 EXPENSES Interest expense: Interest expense to third parties 38,190 (631) 39,277 — 76,836 Interest expense to affiliates — 47,608 7,864 (53,880) 1,592 Total interest expense 38,190 46,977 47,141 (53,880) 78,428 Administrative and operating expenses: Fees charged by affiliates — 11,484 17,667 (17,196) 11,955 Provision for credit losses — 2,888 8,927 — 11,815 Depreciation of equipment on operating leases — 50,186 11,499 — 61,685 Other expenses — 6,147 4,418 — 10,565 Total administrative and operating expenses — 70,705 42,511 (17,196) 96,020 Total expenses 38,190 117,682 89,652 (71,076) 174,448 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (19,115) 8,505 62,533 — 51,923 Income tax provision (benefit) (4,630) 2,087 14,663 — 12,120 Equity in income of consolidated subsidiaries accounted for under the equity method 54,288 47,870 — (102,158) — NET INCOME $ 39,803 $ 54,288 $ 47,870 $ (102,158) $ 39,803 COMPREHENSIVE INCOME $ 21,987 $ 36,472 $ 32,418 $ (68,890) $ 21,987 Condensed Statements of Comprehensive Income for the Three Months Ended March 31, 2017 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 3,700 $ 47,113 $ — $ 50,813 Interest income on wholesale notes — (296) 16,312 — 16,016 Interest and other income from affiliates 22,667 59,754 78,595 (64,553) 96,463 Rental income on operating leases — 50,224 12,970 — 63,194 Other income — 25,272 282 (19,206) 6,348 Total revenues 22,667 138,654 155,272 (83,759) 232,834 EXPENSES Interest expense: Interest expense to third parties 39,728 (2,532) 33,059 — 70,255 Interest expense to affiliates — 57,690 11,336 (64,553) 4,473 Total interest expense 39,728 55,158 44,395 (64,553) 74,728 Administrative and operating expenses: Fees charged by affiliates — 11,172 19,733 (19,206) 11,699 Provision for credit losses — 4,777 7,704 — 12,481 Depreciation of equipment on operating leases — 57,200 10,969 — 68,169 Other expenses — 7,876 1,451 — 9,327 Total administrative and operating expenses — 81,025 39,857 (19,206) 101,676 Total expenses 39,728 136,183 84,252 (83,759) 176,404 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (17,061) 2,471 71,020 — 56,430 Income tax provision (benefit) (6,367) 980 23,424 — 18,037 Equity in income of consolidated subsidiaries accounted for under the equity method 49,087 47,596 — (96,683) — NET INCOME $ 38,393 $ 49,087 $ 47,596 $ (96,683) $ 38,393 COMPREHENSIVE INCOME $ 42,910 $ 53,604 $ 51,292 $ (104,896) $ 42,910
Schedule of condensed balance sheets	Condensed Balance Sheets as of March 31, 2018 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated ASSETS Cash and cash equivalents $ — $ 157,554 $ 22,596 $ — $ 180,150 Restricted cash — — 593,305 — 593,305 Receivables, less allowance for credit losses — 1,278,469 8,762,633 — 10,041,102 Affiliated accounts and notes receivable 2,489,894 2,045,780 2,063,293 (6,560,753) 38,214 Equipment on operating leases, net — 1,343,565 367,294 — 1,710,859 Equipment held for sale — 194,041 20,856 — 214,897 Investments in consolidated subsidiaries accounted for under the equity method 2,657,610 2,558,023 — (5,215,633) — Goodwill and intangible assets, net — 89,046 28,249 — 117,295 Other assets 4,631 (5,259) 45,577 (3,412) 41,537 TOTAL $ 5,152,135 $ 7,661,219 $ 11,903,803 $ (11,779,798) $ 12,937,359 LIABILITIES AND STOCKHOLDER’S EQUITY Liabilities: Short-term debt, including current maturities of long-term debt $ 993,231 $ 35,577 $ 3,344,751 $ — $ 4,373,559 Accounts payable and other accrued liabilities 307,169 2,810,916 1,182,646 (3,450,147) 850,584 Affiliated debt — 2,153,952 1,027,503 (3,114,018) 67,437 Long-term debt 2,473,942 3,164 3,790,880 — 6,267,986 Total liabilities 3,774,342 5,003,609 9,345,780 (6,564,165) 11,559,566 Stockholder’s equity 1,377,793 2,657,610 2,558,023 (5,215,633) 1,377,793 TOTAL $ 5,152,135 $ 7,661,219 $ 11,903,803 $ (11,779,798) $ 12,937,359 Condensed Balance Sheets as of December 31, 2017 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated ASSETS Cash and cash equivalents $ — $ 160,339 $ 66,607 $ — $ 226,946 Restricted cash — — 648,612 — 648,612 Receivables, less allowance for credit losses — 1,367,951 9,053,594 — 10,421,545 Affiliated accounts and notes receivable 2,518,121 1,991,481 2,068,016 (6,504,485) 73,133 Equipment on operating leases, net — 1,405,731 375,758 — 1,781,489 Equipment held for sale — 191,710 16,806 — 208,516 Investments in consolidated subsidiaries accounted for under the equity method 2,620,971 2,525,605 — (5,146,576) — Goodwill and intangible assets, net — 88,440 29,016 — 117,456 Other assets 7,548 4,432 26,466 (4,065) 34,381 TOTAL $ 5,146,640 $ 7,735,689 $ 12,284,875 $ (11,655,126) $ 13,512,078 LIABILITIES AND STOCKHOLDER’S EQUITY Liabilities: Short-term debt, including current maturities of long-term debt $ 1,015,520 $ 45,937 $ 3,556,007 $ — $ 4,617,464 Accounts payable and other accrued liabilities 283,445 2,807,195 1,160,573 (3,510,803) 740,410 Affiliated debt — 2,253,248 1,190,301 (2,997,747) 445,802 Long-term debt 2,472,036 8,338 3,852,389 — 6,332,763 Total liabilities 3,771,001 5,114,718 9,759,270 (6,508,550) 12,136,439 Stockholder’s equity 1,375,639 2,620,971 2,525,605 (5,146,576) 1,375,639 TOTAL $ 5,146,640 $ 7,735,689 $ 12,284,875 $ (11,655,126) $ 13,512,078
Schedule of condensed statements of cash flows	Condensed Statements of Cash Flows for the Three Months Ended March 31, 2018 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated CASH FLOWS FROM OPERATING ACTIVITIES: Net cash from (used in) operating activities $ 40,383 $ 10,012 $ 78,935 $ 116,923 $ 246,253 CASH FLOWS FROM INVESTING ACTIVITIES: Cost of receivables acquired — (1,715,533) (2,205,726) 1,539,299 (2,381,960) Collections of receivables — 1,802,782 2,425,600 (1,539,952) 2,688,430 Change in restricted cash — — — — — Purchase of equipment on operating leases, net — 15,915 (13,606) — 2,309 Change in property and equipment and software, net — (1,131) — — (1,131) Net cash from (used in) investing activities — 102,033 206,268 (653) 307,648 CASH FLOWS FROM FINANCING ACTIVITIES: Intercompany activity — (99,296) (161,557) (116,270) (377,123) Net change in indebtedness (20,383) (15,534) (222,964) — (258,881) Dividends paid to CNH Industrial America LLC (20,000) — — — (20,000) Net cash from (used in) financing activities (40,383) (114,830) (384,521) (116,270) (656,004) DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH — (2,785) (99,318) — (102,103) CASH AND CASH EQUIVALENTS AND RESTRICTED CASH: Beginning of period — 160,339 715,219 — 875,558 End of period $ — $ 157,554 $ 615,901 $ — $ 773,455 Condensed Statements of Cash Flows for the Three Months Ended March 31, 2017 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated CASH FLOWS FROM OPERATING ACTIVITIES: Net cash from (used in) operating activities $ 469,853 $ 346,469 $ 118,072 $ (788,832) $ 145,562 CASH FLOWS FROM INVESTING ACTIVITIES: Cost of receivables acquired — (1,744,921) (2,046,083) 1,526,590 (2,264,414) Collections of receivables — 1,821,668 2,240,710 (1,526,671) 2,535,707 Change in restricted cash — — — — — Purchase of equipment on operating leases, net — (22,020) (15,502) — (37,522) Change in property and equipment and software, net — (29) — — (29) Net cash from (used in) investing activities — 54,698 179,125 (81) 233,742 CASH FLOWS FROM FINANCING ACTIVITIES: Intercompany activity — (448,940) (1,758) 788,913 338,215 Net change in indebtedness (394,853) (13,431) (434,355) — (842,639) Dividends paid to CNH Industrial America LLC (75,000) — — — (75,000) Net cash from (used in) financing activities (469,853) (462,371) (436,113) 788,913 (579,424) DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH — (61,204) (138,916) — (200,120) CASH AND CASH EQUIVALENTS AND RESTRICTED CASH: Beginning of period — 151,654 725,438 — 877,092 End of period $ — $ 90,450 $ 586,522 $ — $ 676,972

NEW ACCOUNTING PRONOUNCMENTS (D

NEW ACCOUNTING PRONOUNCMENTS (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$ 39,803	$ 38,393
Adjustments to reconcile net income to net cash from (used in) operating activities:
Depreciation on property and equipment and equipment on operating leases	61,688	68,177
Amortization of intangibles	526	511
Provision for credit losses	11,815	12,481	$ 40,898
Deferred income tax benefit	(22,304)	(4,152)
Stock compensation expense (income)		(137)
Changes in components of working capital:
Change in affiliated accounts and notes receivables	34,742	95,112
Change in other assets and equipment held for sale	(19,193)	(6,227)
Change in accounts payable and other accrued liabilities	139,176	(58,596)
Net cash from (used in) operating activities	246,253	145,562
CASH FLOWS FROM INVESTING ACTIVITIES
Cost of receivables acquired	(2,381,960)	(2,264,414)
Collections of receivables	2,688,430	2,535,707
Purchase of equipment on operating leases	(102,605)	(160,783)
Proceeds from disposal of equipment on operating leases	104,914	123,261
Change in property and equipment and software, net	(1,131)	(29)
Net cash from (used in) investing activities	307,648	233,742
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issuance of affiliated debt	67,437	499,214
Payment of affiliated debt	(444,560)	(160,999)
Proceeds from issuance of long-term debt	78,293	1,250,281
Payment of long-term debt	(319,635)	(2,092,920)
Change in short-term borrowings, net	(17,539)
Dividend paid to CNH Industrial America LLC	(20,000)	(75,000)
Net cash from (used in) financing activities	(656,004)	(579,424)
DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH	(102,103)	(200,120)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of period	875,558	877,092	877,092
End of period	$ 773,455	676,972	$ 875,558
Effective Income Tax Rate Reconciliation, Percent [Abstract]
Tax provision at statutory rate (as a percent)	21.00%		35.00%
As Reported
CASH FLOWS FROM OPERATING ACTIVITIES
Net income		38,393
Adjustments to reconcile net income to net cash from (used in) operating activities:
Depreciation on property and equipment and equipment on operating leases		68,177
Amortization of intangibles		511
Provision for credit losses		12,481
Deferred income tax benefit		(4,152)
Stock compensation expense (income)		(137)
Changes in components of working capital:
Change in affiliated accounts and notes receivables		53,873
Change in other assets and equipment held for sale		(6,227)
Change in accounts payable and other accrued liabilities		(59,513)
Net cash from (used in) operating activities		103,406
CASH FLOWS FROM INVESTING ACTIVITIES
Cost of receivables acquired		(2,223,175)
Collections of receivables		2,535,707
Change in restricted cash		168,419
Purchase of equipment on operating leases		(160,783)
Proceeds from disposal of equipment on operating leases		123,261
Change in property and equipment and software, net		(29)
Net cash from (used in) investing activities		443,400
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issuance of affiliated debt		499,214
Payment of affiliated debt		(160,999)
Proceeds from issuance of long-term debt		1,250,281
Payment of long-term debt		(2,092,920)
Dividend paid to CNH Industrial America LLC		(75,000)
Net cash from (used in) financing activities		(579,424)
DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH		(32,618)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of period		164,247	$ 164,247
End of period		131,629
Accounting Standards Update 2014-09 | Adjustment Due to Adoption of Standard
Changes in components of working capital:
Change in affiliated accounts and notes receivables		41,239
Net cash from (used in) operating activities		41,239
CASH FLOWS FROM INVESTING ACTIVITIES
Cost of receivables acquired		(41,239)
Net cash from (used in) investing activities		(41,239)
Accounting Standards Update 2016-18 | Adjustment Due to Adoption of Standard
Changes in components of working capital:
Change in accounts payable and other accrued liabilities		917
Net cash from (used in) operating activities		917
CASH FLOWS FROM INVESTING ACTIVITIES
Change in restricted cash		(168,419)
Net cash from (used in) investing activities		(168,419)
CASH FLOWS FROM FINANCING ACTIVITIES
DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH		(167,502)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of period		712,845	$ 712,845
End of period		$ 545,343

ACCUMULATED OTHER COMPREHENSI29

ACCUMULATED OTHER COMPREHENSIVE INCOME - Change in Components of AOCI (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017	Dec. 31, 2016
Changes in accumulated other comprehensive income by component
Beginning balance, gross			$ (101,336)	$ (146,566)
Tax asset (liability)			1,173	2,430
Beginning balance, net of tax	$ (100,163)	$ (144,136)
Other comprehensive income (loss) before reclassifications	(18,085)	4,152
Amounts reclassified from accumulated other comprehensive income (loss)	332	398
Tax effects	(63)	(33)
Total other comprehensive income (loss)	(17,816)	4,517
Ending balance	(117,979)	(139,619)
Currency Translation Adjustment
Changes in accumulated other comprehensive income by component
Beginning balance, gross			(98,717)	(139,585)
Beginning balance, net of tax	(98,717)	(139,585)
Other comprehensive income (loss) before reclassifications	(18,000)	4,494
Total other comprehensive income (loss)	(18,000)	4,494
Ending balance	(116,717)	(135,091)
Pension Liability
Changes in accumulated other comprehensive income by component
Beginning balance, gross			(4,952)	(5,768)
Tax asset (liability)			1,790	2,107
Beginning balance, net of tax	(3,162)	(3,661)
Other comprehensive income (loss) before reclassifications	(35)	(61)
Amounts reclassified from accumulated other comprehensive income (loss)	176	231
Tax effects	(35)	(63)
Total other comprehensive income (loss)	106	107
Ending balance	(3,056)	(3,554)
Unrealized (Losses) Gains on Derivatives
Changes in accumulated other comprehensive income by component
Beginning balance, gross			2,333	(1,213)
Tax asset (liability)			$ (617)	$ 323
Beginning balance, net of tax	1,716	(890)
Other comprehensive income (loss) before reclassifications	(50)	(281)
Amounts reclassified from accumulated other comprehensive income (loss)	156	167
Tax effects	(28)	30
Total other comprehensive income (loss)	78	(84)
Ending balance	$ 1,794	$ (974)

ACCUMULATED OTHER COMPREHENSI30

ACCUMULATED OTHER COMPREHENSIVE INCOME - Reclassifications out of AOCI (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
Reclassifications out of accumulated other comprehensive income and the location on the consolidated statements of income
Interest expense to third parties	$ (76,836)	$ (70,255)
Income before taxes	51,923	56,430
Income tax benefit	(12,120)	(18,037)
Net income	39,803	38,393
Pension Liability | Amounts Reclassified from AOCI
Reclassifications out of accumulated other comprehensive income and the location on the consolidated statements of income
Various line items individually insignificant	(176)	(231)
Income before taxes	(176)	(231)
Income tax benefit	44	86
Net income	(132)	(145)
Unrealized (Losses) Gains on Derivatives | Amounts Reclassified from AOCI
Reclassifications out of accumulated other comprehensive income and the location on the consolidated statements of income
Interest expense to third parties	(156)	(167)
Income before taxes	(156)	(167)
Income tax benefit	41	45
Net income	$ (115)	$ (122)

RECEIVABLES - Summary of Receiv

RECEIVABLES - Summary of Receivables (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2018USD ($)item	Dec. 31, 2017USD ($)	Mar. 31, 2017USD ($)	Dec. 31, 2016USD ($)
Receivables
Gross receivables	$ 10,122,182	$ 10,500,741	$ 10,622,388
Less: Allowance for credit losses	(81,080)	(79,196)	$ (85,176)	$ (84,895)
Total receivables, net	10,041,102	10,421,545
Restricted Receivables	8,572,896	8,766,467
Receivables directly or indirectly sold or transferred and available to pay the entity's creditors prior to all obligations of the SPE having been fulfilled	$ 0
Number of components of allowance for credit losses | item	2
Retail
Receivables
Gross receivables	$ 653,775	768,502
Restricted Receivables	5,845,152	6,042,186
Wholesale
Receivables
Gross receivables	635,264	671,740
Restricted Receivables	2,727,744	2,724,281
Wholesale factoring
Receivables
Gross receivables	201,005	235,834
Finance lease receivables
Receivables
Gross receivables	$ 59,242	$ 58,198

RECEIVABLES - Allowance for Cre

RECEIVABLES - Allowance for Credit Losses Activity (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Allowance for credit losses:
Beginning balance	$ 79,196	$ 84,895	$ 84,895
Charge-offs	(10,697)	(12,879)	(48,834)
Recoveries	1,067	1,041	4,065
Provision (benefit)	11,815	12,481	40,898
Foreign currency translation and other	(301)	(362)	(1,828)
Ending balance	81,080	85,176	79,196
Ending balance: individually evaluated for impairment	23,278	23,318	20,938
Ending balance: collectively evaluated for impairment	57,802	61,858	58,258
Receivables:
Ending balance	10,122,182	10,622,388	10,500,741
Ending balance: individually evaluated for impairment	81,175	54,978	82,719
Ending balance: collectively evaluated for impairment	10,041,007	10,567,410	10,418,022
Retail
Allowance for credit losses:
Beginning balance	73,610	78,047	78,047
Charge-offs	(10,510)	(12,091)	(46,460)
Recoveries	1,009	1,034	4,045
Provision (benefit)	11,895	13,235	39,842
Foreign currency translation and other	(283)	(366)	(1,864)
Ending balance	75,721	79,859	73,610
Ending balance: individually evaluated for impairment	20,544	20,618	18,018
Ending balance: collectively evaluated for impairment	55,177	59,241	55,592
Receivables:
Ending balance	6,558,169	7,121,875	6,868,886
Ending balance: individually evaluated for impairment	41,233	30,834	38,807
Ending balance: collectively evaluated for impairment	6,516,936	7,091,041	6,830,079
Wholesale
Allowance for credit losses:
Beginning balance	5,444	6,848	6,848
Charge-offs	(187)	(788)	(2,374)
Recoveries	58	7	20
Provision (benefit)	(63)	(754)	919
Foreign currency translation and other	(14)	4	31
Ending balance	5,238	5,317	5,444
Ending balance: individually evaluated for impairment	2,734	2,700	2,920
Ending balance: collectively evaluated for impairment	2,504	2,617	2,524
Receivables:
Ending balance	3,363,008	3,500,513	3,396,021
Ending balance: individually evaluated for impairment	39,942	24,144	43,912
Ending balance: collectively evaluated for impairment	3,323,066	$ 3,476,369	3,352,109
Wholesale factoring
Allowance for credit losses:
Beginning balance	142
Provision (benefit)	(17)		137
Foreign currency translation and other	(4)		5
Ending balance	121		142
Ending balance: collectively evaluated for impairment	121		142
Receivables:
Ending balance	201,005		235,834
Ending balance: collectively evaluated for impairment	$ 201,005		$ 235,834

RECEIVABLES - Breakdown of Rece

RECEIVABLES - Breakdown of Receivables by Credit Quality Indicators (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017	Mar. 31, 2017
Financing receivable, recorded investment
Gross receivables	$ 10,122,182	$ 10,500,741	$ 10,622,388
Retail
Financing receivable, recorded investment
Gross receivables	6,558,169	6,868,886	7,121,875
Retail | Titanium
Financing receivable, recorded investment
Gross receivables	3,537,883	3,734,313
Retail | Platinum
Financing receivable, recorded investment
Gross receivables	1,935,204	2,002,791
Retail | Gold
Financing receivable, recorded investment
Gross receivables	910,314	952,404
Retail | Silver
Financing receivable, recorded investment
Gross receivables	142,806	146,051
Retail | Bronze
Financing receivable, recorded investment
Gross receivables	31,962	33,327
Wholesale
Financing receivable, recorded investment
Gross receivables	3,363,008	3,396,021	$ 3,500,513
Wholesale | Grade A
Financing receivable, recorded investment
Gross receivables	1,206,451	1,222,813
Wholesale | Grade B
Financing receivable, recorded investment
Gross receivables	1,421,090	1,425,591
Wholesale | Grade C
Financing receivable, recorded investment
Gross receivables	502,518	439,353
Wholesale | Grade D
Financing receivable, recorded investment
Gross receivables	$ 232,949	$ 308,264

RECEIVABLES - Aging of Receivab

RECEIVABLES - Aging of Receivables (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2018	Dec. 31, 2017	Mar. 31, 2017
Financing receivable, recorded investment
Total Receivables	$ 10,122,182	$ 10,500,741	$ 10,622,388
Minimum account delinquency period for an account to be classified as past due	30 days	30 days
Retail
Financing receivable, recorded investment
Total Past Due	$ 77,227	$ 78,438
Current	6,480,942	6,790,448
Total Receivables	6,558,169	6,868,886	7,121,875
Recorded Investment > 90 Days and Accruing	9,098	6,897
Retail | 31-60 Days Past Due
Financing receivable, recorded investment
Total Past Due	31,701	29,600
Retail | 61-90 Days Past Due
Financing receivable, recorded investment
Total Past Due	11,471	8,997
Retail | Greater than 90 Days
Financing receivable, recorded investment
Total Past Due	34,055	39,841
Retail | United States
Financing receivable, recorded investment
Total Past Due	72,251	73,006
Current	5,302,306	5,532,329
Total Receivables	5,374,557	5,605,335
Recorded Investment > 90 Days and Accruing	8,944	6,232
Retail | United States | 31-60 Days Past Due
Financing receivable, recorded investment
Total Past Due	29,130	27,590
Retail | United States | 61-90 Days Past Due
Financing receivable, recorded investment
Total Past Due	10,601	8,412
Retail | United States | Greater than 90 Days
Financing receivable, recorded investment
Total Past Due	32,520	37,004
Retail | Canada
Financing receivable, recorded investment
Total Past Due	4,976	5,432
Current	1,178,636	1,258,119
Total Receivables	1,183,612	1,263,551
Recorded Investment > 90 Days and Accruing	154	665
Retail | Canada | 31-60 Days Past Due
Financing receivable, recorded investment
Total Past Due	2,571	2,010
Retail | Canada | 61-90 Days Past Due
Financing receivable, recorded investment
Total Past Due	870	585
Retail | Canada | Greater than 90 Days
Financing receivable, recorded investment
Total Past Due	1,535	2,837
Wholesale
Financing receivable, recorded investment
Total Past Due	1,829	1,067
Current	3,361,179	3,394,954
Total Receivables	3,363,008	3,396,021	$ 3,500,513
Recorded Investment > 90 Days and Accruing	363	185
Wholesale | 31-60 Days Past Due
Financing receivable, recorded investment
Total Past Due	928	824
Wholesale | 61-90 Days Past Due
Financing receivable, recorded investment
Total Past Due	326	1
Wholesale | Greater than 90 Days
Financing receivable, recorded investment
Total Past Due	575	242
Wholesale | United States
Financing receivable, recorded investment
Total Past Due	1,798	1,039
Current	2,582,728	2,658,716
Total Receivables	2,584,526	2,659,755
Recorded Investment > 90 Days and Accruing	261	179
Wholesale | United States | 31-60 Days Past Due
Financing receivable, recorded investment
Total Past Due	919	802
Wholesale | United States | 61-90 Days Past Due
Financing receivable, recorded investment
Total Past Due	321	1
Wholesale | United States | Greater than 90 Days
Financing receivable, recorded investment
Total Past Due	558	236
Wholesale | Canada
Financing receivable, recorded investment
Total Past Due	31	28
Current	778,451	736,238
Total Receivables	778,482	736,266
Recorded Investment > 90 Days and Accruing	102	6
Wholesale | Canada | 31-60 Days Past Due
Financing receivable, recorded investment
Total Past Due	9	22
Wholesale | Canada | 61-90 Days Past Due
Financing receivable, recorded investment
Total Past Due	5
Wholesale | Canada | Greater than 90 Days
Financing receivable, recorded investment
Total Past Due	17	6
Wholesale factoring
Financing receivable, recorded investment
Total Past Due	6,374	7,042
Current	194,631	228,792
Total Receivables	201,005	235,834
Wholesale factoring | 31-60 Days Past Due
Financing receivable, recorded investment
Total Past Due	5,801	5,652
Wholesale factoring | 61-90 Days Past Due
Financing receivable, recorded investment
Total Past Due	6	$ 1,390
Wholesale factoring | Greater than 90 Days
Financing receivable, recorded investment
Total Past Due	$ 567

RECEIVABLES - Impaired Receivab

RECEIVABLES - Impaired Receivables (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2018	Dec. 31, 2017
Average Recorded Investment
Delinquency period of accounts considered for recognition of income	120 days	120 days
United States
Average Recorded Investment
Receivables on nonaccrual status	$ 78,474	$ 84,499
Canada
Average Recorded Investment
Receivables on nonaccrual status	1,612	2,538
Retail | United States
Average Recorded Investment
Receivables on nonaccrual status	39,355	40,968
Retail | Canada
Average Recorded Investment
Receivables on nonaccrual status	1,612	2,538
Wholesale | United States
Average Recorded Investment
Receivables on nonaccrual status	$ 39,119	$ 43,531
Individually evaluated for impairment
Unpaid Principal Balance
Period considered for average recorded investment	4 months	13 months
Individually evaluated for impairment | Retail
Recorded Investment
With an allowance recorded	$ 41,233	$ 38,807
Unpaid Principal Balance
With an allowance recorded	39,373	36,903
Related Allowance	20,544	18,018
Average Recorded Investment
With an allowance recorded	43,819	41,001
Individually evaluated for impairment | Retail | United States
Recorded Investment
With an allowance recorded	41,002	38,035
Unpaid Principal Balance
With an allowance recorded	39,176	36,187
Related Allowance	20,308	17,518
Average Recorded Investment
With an allowance recorded	43,560	39,917
Individually evaluated for impairment | Retail | Canada
Recorded Investment
With an allowance recorded	231	772
Unpaid Principal Balance
With an allowance recorded	197	716
Related Allowance	236	500
Average Recorded Investment
With an allowance recorded	259	1,084
Individually evaluated for impairment | Wholesale
Recorded Investment
With an allowance recorded	39,942	43,912
Unpaid Principal Balance
With an allowance recorded	39,119	43,531
Related Allowance	2,734	2,920
Average Recorded Investment
With an allowance recorded	42,482	49,469
Individually evaluated for impairment | Wholesale | United States
Recorded Investment
With an allowance recorded	39,942	43,912
Unpaid Principal Balance
With an allowance recorded	39,119	43,531
Related Allowance	2,734	2,920
Average Recorded Investment
With an allowance recorded	$ 42,482	$ 49,469

RECEIVABLES - Troubled Debt Res

RECEIVABLES - Troubled Debt Restructuring of Receivables (Details) - Retail $ in Thousands	3 Months Ended
	Mar. 31, 2018USD ($)item	Mar. 31, 2017USD ($)item
Troubled Debt Restructurings
Number of contracts classified as TDRs | item	279	247
Pre-modification value	$ 8,740	$ 5,200
Post-modification value	$ 7,921	$ 4,542
Number of cases in which the court has not yet determined the concession | item	393	433
Pre-modification value for cases in which the court has not yet determined the concession	$ 21,325	$ 20,781

CREDIT FACILITIES AND DEBT (Det

CREDIT FACILITIES AND DEBT (Details) $ in Thousands, $ in Thousands	Mar. 31, 2018USD ($)	Feb. 27, 2018CAD ($)	Feb. 27, 2018USD ($)	Feb. 26, 2018CAD ($)	Feb. 26, 2018USD ($)	Dec. 31, 2017USD ($)
Debt
Long-term debt	$ 6,267,986					$ 6,332,763
Revolving credit facilities
Debt
Maximum borrowing capacity		$ 300,000	$ 234,879	$ 200,000	$ 156,586

INCOME TAXES (Details)

INCOME TAXES (Details)	3 Months Ended		12 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Reconciliation of statutory and effective income tax rate
Effective tax rate (as a percent)	23.30%	32.00%
Tax provision at statutory rate (as a percent)	21.00%		35.00%

FINANCIAL INSTRUMENTS - Generia

FINANCIAL INSTRUMENTS - Generial Information (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2018USD ($)
Interest Rate Derivatives
Maximum length of time of interest rate derivative instruments designated in cash flow hedge relationships	50 months
After-tax losses deferred in accumulated other comprehensive income that will be recognized in interest expense over the next 12 months	$ 424

FINANCIAL INSTRUMENTS - Fair Ma

FINANCIAL INSTRUMENTS - Fair Market Value of Derivatives (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Fair market value of derivatives
Derivative assets designated as hedging instruments, classified in other assets	$ 5,378		$ 4,113
Derivative liabilities designated as hedging instruments, classified in accounts payable and other accrued liabilities	7,042		6,698
Interest rate derivatives, derivative assets not designated as hedging instruments, classified in other assets	6,430		4,638
Foreign exchange contracts, derivatives not designated as hedging instruments, classified in other assets	213		1,393
Derivative assets not designated as hedging instruments, classified in other assets	6,643		6,031
Interest rate derivatives, derivative not designated as hedging instruments, classified in accounts payable and other accrued liabilities	6,430		4,638
Foreign exchange contracts, derivatives not designated as hedging instruments, classified in accounts payable and other accrued liabilities	315		325
Derivative liabilities not designated as hedging instruments, classified in accounts payable and other accrued liabilities	6,745		4,963
Cash Flow Hedges, Recognized in accumulated other comprehensive income (loss) (effective portion), Interest rate derivatives	(50)	$ (281)
Cash Flow Hedges, Reclassified from accumulated other comprehensive Income (loss) (effective portion), Interest rate derivatives - Interest expense to third parties	(156)	(167)
Foreign exchange contracts, other expenses, not designated as hedges	(2,594)	354
Interest Rate Derivatives
Fair market value of derivatives
Total notional amount of interest rate derivatives	2,852,088		$ 3,143,737
Four-month average notional amounts of interest rate derivatives	$ 2,985,203	$ 3,048,008

FINANCIAL INSTRUMENTS - Items M

FINANCIAL INSTRUMENTS - Items Measured at Fair Value (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Assets
Foreign exchange contracts	$ 213	$ 1,393
Liabilities
Foreign exchange contracts	315	325
Assets transferred between Level 1, Level 2 and Level 3	0	0
Liabilities transferred between Level 1, Level 2 and Level 3	0	0
Recurring | Level 2
Assets
Interest rate derivatives	11,808	8,751
Foreign exchange contracts	213	1,393
Total assets	12,021	10,144
Liabilities
Interest rate derivatives	13,472	11,336
Foreign exchange contracts	315	325
Total liabilities	$ 13,787	$ 11,661

FINANCIAL INSTRUMENTS - Carryin

FINANCIAL INSTRUMENTS - Carrying Amount and Estimated Fair Value (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017
Financial Instruments Not Carried at Fair Value
Receivables	$ 10,041,102	$ 10,421,545
Long-term debt	6,267,986	6,332,763
Carrying Amount
Financial Instruments Not Carried at Fair Value
Receivables	10,041,102	10,421,545
Long-term debt	6,267,986	6,332,763
Estimated Fair Value
Financial Instruments Not Carried at Fair Value
Receivables	9,947,779	10,379,020
Long-term debt	$ 6,177,645	$ 6,314,182

SEGMENT AND GEOGRAPHICAL INFO43

SEGMENT AND GEOGRAPHICAL INFORMATION (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
Segment And Geographical Information
Revenues	$ 226,371	$ 232,834
Interest expense	78,428	74,728
Segment net income	39,803	38,393
Net income	39,803	38,393
Depreciation and amortization	62,214	68,688
Expenditures for equipment on operating leases	102,605	160,783
Provision (benefit) for credit losses	11,815	12,481	$ 40,898
Additional disclosures
Segment assets	12,937,359		13,512,078
Managed receivables	10,122,182		10,500,741
Eliminations.
Segment And Geographical Information
Revenues	(1,861)	(1,042)
Interest expense	(1,861)	(1,042)
Additional disclosures
Segment assets	(203,123)		(65,079)
United States
Segment And Geographical Information
Net income	22,934	24,230
Depreciation and amortization	50,714	57,716
Expenditures for equipment on operating leases	77,145	136,005
Provision (benefit) for credit losses	11,305	11,925
Additional disclosures
Managed receivables	7,959,083		8,265,090
United States | Operating segment
Segment And Geographical Information
Revenues	176,503	189,988
Interest expense	66,844	64,434
Additional disclosures
Segment assets	10,416,739		10,738,403
Canada
Segment And Geographical Information
Net income	16,869	14,163
Depreciation and amortization	11,500	10,972
Expenditures for equipment on operating leases	25,460	24,778
Provision (benefit) for credit losses	510	556
Additional disclosures
Managed receivables	2,163,099		2,235,651
Canada | Operating segment
Segment And Geographical Information
Revenues	51,729	43,888
Interest expense	13,445	$ 11,336
Additional disclosures
Segment assets	$ 2,723,743		$ 2,838,754

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
RELATED-PARTY TRANSACTIONS
Total interest and other income from affiliates	$ 95,015	$ 96,463
Affiliated receivables	38,214		$ 73,133
Affiliated debt	67,437		445,802
Other information
Tax receivable due from related party			3,513
Accounts payable and other accrued liabilities payable to related parties	218,585		60,070
Interest expense to related affiliates	1,592	4,473
Fees charged by affiliates	11,955	11,699
Gross receivables	10,122,182	10,622,388	10,500,741
Wholesale
Other information
Gross receivables	635,264		671,740
CNH Industrial North America
RELATED-PARTY TRANSACTIONS
Retail	39,416	38,874
Wholesale	34,083	40,286
Operating lease	15,595	17,261
Lending funds	612	$ 42
CNH Industrial America
RELATED-PARTY TRANSACTIONS
Affiliated receivables	19,506		49,311
Affiliated debt	24,269		327,160
CNH Industrial Canada Ltd.
RELATED-PARTY TRANSACTIONS
Affiliated receivables	6,144		11,282
Affiliated debt	43,168		118,642
Iveco Argentina
RELATED-PARTY TRANSACTIONS
Wholesale factoring	5,309
Other affiliates
RELATED-PARTY TRANSACTIONS
Affiliated receivables	$ 12,564		$ 12,540

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details) $ in Thousands	Mar. 31, 2018USD ($)
COMMITMENTS AND CONTINGENCIES
Total credit limit	$ 6,254,082
Utilized	$ 3,324,980

SUPPLEMENTAL CONDENSED CONSOL46

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION - Statements of Comprehensive Income (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2018	Mar. 31, 2017	Dec. 31, 2017
REVENUES
Interest income on retail notes and finance leases	$ 48,630	$ 50,813
Interest income on wholesale notes	15,569	16,016
Interest and other income from affiliates	95,015	96,463
Rental income on operating leases	61,116	63,194
Other income	6,041	6,348
Total revenues	226,371	232,834
Interest expense:
Interest expense to third parties	76,836	70,255
Interest expense to affiliates	1,592	4,473
Total interest expense	78,428	74,728
Administrative and operating expenses:
Fees charged by affiliates	11,955	11,699
Provision (benefit) for credit losses	11,815	12,481	$ 40,898
Depreciation of equipment on operating leases	61,685	68,169
Other expenses	10,565	9,327
Total administrative and operating expenses	96,020	101,676
Total expenses	174,448	176,404
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method	51,923	56,430
Income tax provision (benefit)	12,120	18,037
NET INCOME	39,803	38,393
COMPREHENSIVE INCOME	21,987	42,910
Reportable Legal Entities | CNH Industrial Capital LLC
REVENUES
Interest and other income from affiliates	19,075	22,667
Total revenues	19,075	22,667
Interest expense:
Interest expense to third parties	38,190	39,728
Total interest expense	38,190	39,728
Administrative and operating expenses:
Total expenses	38,190	39,728
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method	(19,115)	(17,061)
Income tax provision (benefit)	(4,630)	(6,367)
Equity in income of consolidated subsidiaries accounted for under the equity method	54,288	49,087
NET INCOME	39,803	38,393
COMPREHENSIVE INCOME	21,987	42,910
Reportable Legal Entities | Guarantor Entities
REVENUES
Interest income on retail notes and finance leases	4,054	3,700
Interest income on wholesale notes	(259)	(296)
Interest and other income from affiliates	52,686	59,754
Rental income on operating leases	47,078	50,224
Other income	22,628	25,272
Total revenues	126,187	138,654
Interest expense:
Interest expense to third parties	(631)	(2,532)
Interest expense to affiliates	47,608	57,690
Total interest expense	46,977	55,158
Administrative and operating expenses:
Fees charged by affiliates	11,484	11,172
Provision (benefit) for credit losses	2,888	4,777
Depreciation of equipment on operating leases	50,186	57,200
Other expenses	6,147	7,876
Total administrative and operating expenses	70,705	81,025
Total expenses	117,682	136,183
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method	8,505	2,471
Income tax provision (benefit)	2,087	980
Equity in income of consolidated subsidiaries accounted for under the equity method	47,870	47,596
NET INCOME	54,288	49,087
COMPREHENSIVE INCOME	$ 36,472	53,604
Reportable Legal Entities | CNH Industrial Capital America LLC
Condensed Statements of Comprehensive Income
Ownership percentage	100.00%
Reportable Legal Entities | New Holland Credit Company LLC
Condensed Statements of Comprehensive Income
Ownership percentage	100.00%
Reportable Legal Entities | All Other Subsidiaries
REVENUES
Interest income on retail notes and finance leases	$ 44,576	47,113
Interest income on wholesale notes	15,828	16,312
Interest and other income from affiliates	77,134	78,595
Rental income on operating leases	14,038	12,970
Other income	609	282
Total revenues	152,185	155,272
Interest expense:
Interest expense to third parties	39,277	33,059
Interest expense to affiliates	7,864	11,336
Total interest expense	47,141	44,395
Administrative and operating expenses:
Fees charged by affiliates	17,667	19,733
Provision (benefit) for credit losses	8,927	7,704
Depreciation of equipment on operating leases	11,499	10,969
Other expenses	4,418	1,451
Total administrative and operating expenses	42,511	39,857
Total expenses	89,652	84,252
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method	62,533	71,020
Income tax provision (benefit)	14,663	23,424
NET INCOME	47,870	47,596
COMPREHENSIVE INCOME	32,418	51,292
Eliminations
REVENUES
Interest and other income from affiliates	(53,880)	(64,553)
Other income	(17,196)	(19,206)
Total revenues	(71,076)	(83,759)
Interest expense:
Interest expense to affiliates	(53,880)	(64,553)
Total interest expense	(53,880)	(64,553)
Administrative and operating expenses:
Fees charged by affiliates	(17,196)	(19,206)
Total administrative and operating expenses	(17,196)	(19,206)
Total expenses	(71,076)	(83,759)
Equity in income of consolidated subsidiaries accounted for under the equity method	(102,158)	(96,683)
NET INCOME	(102,158)	(96,683)
COMPREHENSIVE INCOME	$ (68,890)	$ (104,896)

SUPPLEMENTAL CONDENSED CONSOL47

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION - Balance Sheets (Details) - USD ($) $ in Thousands	Mar. 31, 2018	Dec. 31, 2017	Mar. 31, 2017	Dec. 31, 2016
ASSETS
Cash and cash equivalents	$ 180,150	$ 226,946
Restricted cash	593,305	648,612
Receivables, less allowance for credit losses	10,041,102	10,421,545
Affiliated accounts and notes receivable	38,214	73,133
Equipment on operating leases, net	1,710,859	1,781,489
Equipment held for sale	214,897	208,516
Goodwill and intangible assets, net	117,295	117,456
Other assets	41,537	34,381
TOTAL	12,937,359	13,512,078
Liabilities:
Short-term debt, including current maturities of long-term debt	4,373,559	4,617,464
Accounts payable and other accrued liabilities	850,584	740,410
Affiliated debt	67,437	445,802
Long-term debt	6,267,986	6,332,763
Total liabilities	11,559,566	12,136,439
Stockholder's equity	1,377,793	1,375,639	$ 1,334,491	$ 1,366,718
TOTAL	12,937,359	13,512,078
Eliminations
ASSETS
Affiliated accounts and notes receivable	(6,560,753)	(6,504,485)
Investments in consolidated subsidiaries accounted for under the equity method	(5,215,633)	(5,146,576)
Other assets	(3,412)	(4,065)
TOTAL	(11,779,798)	(11,655,126)
Liabilities:
Accounts payable and other accrued liabilities	(3,450,147)	(3,510,803)
Affiliated debt	(3,114,018)	(2,997,747)
Total liabilities	(6,564,165)	(6,508,550)
Stockholder's equity	(5,215,633)	(5,146,576)
TOTAL	(11,779,798)	(11,655,126)
CNH Industrial Capital LLC | Reportable Legal Entities
ASSETS
Affiliated accounts and notes receivable	2,489,894	2,518,121
Investments in consolidated subsidiaries accounted for under the equity method	2,657,610	2,620,971
Other assets	4,631	7,548
TOTAL	5,152,135	5,146,640
Liabilities:
Short-term debt, including current maturities of long-term debt	993,231	1,015,520
Accounts payable and other accrued liabilities	307,169	283,445
Long-term debt	2,473,942	2,472,036
Total liabilities	3,774,342	3,771,001
Stockholder's equity	1,377,793	1,375,639
TOTAL	5,152,135	5,146,640
Guarantor Entities | Reportable Legal Entities
ASSETS
Cash and cash equivalents	157,554	160,339
Receivables, less allowance for credit losses	1,278,469	1,367,951
Affiliated accounts and notes receivable	2,045,780	1,991,481
Equipment on operating leases, net	1,343,565	1,405,731
Equipment held for sale	194,041	191,710
Investments in consolidated subsidiaries accounted for under the equity method	2,558,023	2,525,605
Goodwill and intangible assets, net	89,046	88,440
Other assets	(5,259)	4,432
TOTAL	7,661,219	7,735,689
Liabilities:
Short-term debt, including current maturities of long-term debt	35,577	45,937
Accounts payable and other accrued liabilities	2,810,916	2,807,195
Affiliated debt	2,153,952	2,253,248
Long-term debt	3,164	8,338
Total liabilities	5,003,609	5,114,718
Stockholder's equity	2,657,610	2,620,971
TOTAL	7,661,219	7,735,689
All Other Subsidiaries | Reportable Legal Entities
ASSETS
Cash and cash equivalents	22,596	66,607
Restricted cash	593,305	648,612
Receivables, less allowance for credit losses	8,762,633	9,053,594
Affiliated accounts and notes receivable	2,063,293	2,068,016
Equipment on operating leases, net	367,294	375,758
Equipment held for sale	20,856	16,806
Goodwill and intangible assets, net	28,249	29,016
Other assets	45,577	26,466
TOTAL	11,903,803	12,284,875
Liabilities:
Short-term debt, including current maturities of long-term debt	3,344,751	3,556,007
Accounts payable and other accrued liabilities	1,182,646	1,160,573
Affiliated debt	1,027,503	1,190,301
Long-term debt	3,790,880	3,852,389
Total liabilities	9,345,780	9,759,270
Stockholder's equity	2,558,023	2,525,605
TOTAL	$ 11,903,803	$ 12,284,875

SUPPLEMENTAL CONDENSED CONSOL48

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION - Statements of Cash Flows (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2018	Mar. 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	$ 246,253	$ 145,562
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired	(2,381,960)	(2,264,414)
Collections of receivables	2,688,430	2,535,707
Purchase of equipment on operating leases, net	2,309	(37,522)
Change in property and equipment and software, net	(1,131)	(29)
Net cash from (used in) investing activities	307,648	233,742
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity	(377,123)	338,215
Net change in indebtedness	(258,881)	(842,639)
Dividend paid to CNH Industrial America LLC	(20,000)	(75,000)
Net cash from (used in) financing activities	(656,004)	(579,424)
DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH	(102,103)	(200,120)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of period	875,558	877,092
End of period	773,455	676,972
Eliminations
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	116,923	(788,832)
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired	1,539,299	1,526,590
Collections of receivables	(1,539,952)	(1,526,671)
Net cash from (used in) investing activities	(653)	(81)
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity	(116,270)	788,913
Net cash from (used in) financing activities	(116,270)	788,913
CNH Industrial Capital LLC | Reportable Legal Entities
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	40,383	469,853
CASH FLOWS FROM FINANCING ACTIVITIES:
Net change in indebtedness	(20,383)	(394,853)
Dividend paid to CNH Industrial America LLC	(20,000)	(75,000)
Net cash from (used in) financing activities	(40,383)	(469,853)
Guarantor Entities | Reportable Legal Entities
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	10,012	346,469
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired	(1,715,533)	(1,744,921)
Collections of receivables	1,802,782	1,821,668
Purchase of equipment on operating leases, net	15,915	(22,020)
Change in property and equipment and software, net	(1,131)	(29)
Net cash from (used in) investing activities	102,033	54,698
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity	(99,296)	(448,940)
Net change in indebtedness	(15,534)	(13,431)
Net cash from (used in) financing activities	(114,830)	(462,371)
DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH	(2,785)	(61,204)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of period	160,339	151,654
End of period	157,554	90,450
All Other Subsidiaries | Reportable Legal Entities
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	78,935	118,072
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired	(2,205,726)	(2,046,083)
Collections of receivables	2,425,600	2,240,710
Purchase of equipment on operating leases, net	(13,606)	(15,502)
Net cash from (used in) investing activities	206,268	179,125
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity	(161,557)	(1,758)
Net change in indebtedness	(222,964)	(434,355)
Net cash from (used in) financing activities	(384,521)	(436,113)
DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH	(99,318)	(138,916)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of period	715,219	725,438
End of period	$ 615,901	$ 586,522

SUBSEQUENT EVENTS (Details)

SUBSEQUENT EVENTS (Details) $ in Thousands, $ in Thousands	Apr. 16, 2018USD ($)	Apr. 17, 2018CAD ($)	Apr. 17, 2018USD ($)	Mar. 31, 2018USD ($)	Dec. 31, 2017USD ($)
Subsequent Events
Due to Related Parties				$ 67,437	$ 445,802
Subsequent event | 3.625% unsecured notes due 2018
Subsequent Events
Repayment of debt	$ 600,000
Interest rate (as a percent)	3.625%
Subsequent event | Amortizing Retail Term ABS
Subsequent Events
Debt issued		$ 390,467	$ 311,093