CNH Industrial Capital 10-K 1 Mar 19 2018 FY Annual report Financial data

Document and Entity Information

Document and Entity Information	12 Months Ended
	Dec. 31, 2018USD ($)shares
Document and Entity Information
Entity Registrant Name	CNH INDUSTRIAL CAPITAL LLC
Entity Central Index Key	1,552,493
Document Type	10-K
Document Period End Date	Dec. 31, 2018
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Non-accelerated Filer
Entity Public Float | $	$ 0
Entity Common Stock, Shares Outstanding | shares	0
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	FY

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
REVENUES
Interest income on retail notes and finance leases									$ 201,269	$ 201,533	$ 211,506
Interest income on wholesale notes									66,899	65,721	68,910
Interest and other income from affiliates									345,933	398,258	398,372
Rental income on operating leases									241,582	251,609	243,531
Other income									22,671	21,811	24,402
Total revenues	$ 214,561	$ 211,281	$ 226,141	$ 226,371	$ 241,346	$ 234,889	$ 229,863	$ 232,834	878,354	938,932	946,721
Interest expense:
Interest expense to third parties									317,747	311,128	297,881
Interest expense to affiliates									7,533	11,442	7,218
Total interest expense	86,491	81,557	78,804	78,428	89,273	79,772	78,797	74,728	325,280	322,570	305,099
Administrative and operating expenses:
Fees charged by affiliates									47,475	46,431	45,225
Provision for credit losses									31,699	40,898	30,846
Depreciation of equipment on operating leases									231,805	280,765	247,438
Other expenses									43,778	44,827	36,297
Total administrative and operating expenses	90,118	83,332	85,287	96,020	108,660	106,591	95,994	101,676	354,757	412,921	359,806
Total expenses									680,037	735,491	664,905
INCOME BEFORE TAXES									198,317	203,441	281,816
Income tax provision (benefit)	6,819	8,111	14,422	12,120	(96,357)	14,387	16,885	18,037	41,472	(47,048)	94,304
NET INCOME	$ 31,133	$ 38,281	$ 47,628	$ 39,803	$ 139,770	$ 34,139	$ 38,187	$ 38,393	$ 156,845	$ 250,489	$ 187,512

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
NET INCOME	$ 31,133	$ 38,281	$ 47,628	$ 39,803	$ 139,770	$ 34,139	$ 38,187	$ 38,393	$ 156,845	$ 250,489	$ 187,512
Other comprehensive income (loss):
Foreign currency translation adjustment									(48,009)	40,868	15,756
Pension liability adjustment									665	499	197
Change in derivative financial instruments									508	2,606	1,449
Total other comprehensive income (loss)									(46,836)	43,973	17,402
COMPREHENSIVE INCOME									$ 110,009	$ 294,462	$ 204,914

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
ASSETS
Cash and cash equivalents	$ 160,328	$ 226,946
Restricted cash	639,543	648,612
Receivables, less allowance for credit losses of $74,412 and $79,196, respectively	9,950,926	10,421,545
Affiliated accounts and notes receivable	43,389	73,133
Equipment on operating leases, net	1,724,217	1,781,489
Equipment held for sale	209,991	208,516
Goodwill	108,399	110,588
Other intangible assets, net	10,182	6,868
Other assets	84,937	34,381
TOTAL	12,931,912	13,512,078
Liabilities:
Short-term debt (including current maturities of long-term debt)	4,324,292	4,617,464
Accounts payable and other accrued liabilities	715,778	740,410
Affiliated debt	276,271	445,802
Long-term debt	6,259,839	6,332,763
Total liabilities	11,576,180	12,136,439
Commitments and contingent liabilities (Note 13)
Stockholder's equity:
Member's capital
Paid-in capital	843,643	843,559
Accumulated other comprehensive loss	(146,999)	(100,163)
Retained earnings	659,088	632,243
Total stockholder's equity	1,355,732	1,375,639
TOTAL	$ 12,931,912	$ 13,512,078

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Allowance for credit losses	$ 74,412	$ 79,196
Restricted cash	639,543	648,612
Receivables, less allowance for credit losses of $54,124 and $59,268, respectively	9,950,926	10,421,545
TOTAL	12,931,912	13,512,078
Short-term debt (including current maturities of long-term debt)	4,324,292	4,617,464
Long-term debt	6,259,839	6,332,763
Total liabilities	11,576,180	12,136,439
Consolidated variable interest entities ("VIEs")
Allowance for credit losses	54,124	59,268
Restricted cash	639,543	648,612
Receivables, less allowance for credit losses of $54,124 and $59,268, respectively	6,687,828	7,159,290
TOTAL	7,327,371	7,807,902
Short-term debt (including current maturities of long-term debt)	3,241,347	3,556,007
Long-term debt	3,442,286	3,692,963
Total liabilities	$ 6,683,633	$ 7,248,970

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$ 156,845	$ 250,489	$ 187,512
Adjustments to reconcile net income to net cash from (used in) operating activities:
Depreciation on property and equipment and equipment on operating leases	231,812	280,789	247,472
Amortization of intangibles	2,114	2,112	1,998
Provision for credit losses	31,699	40,898	30,846
Deferred income tax expense (benefit)	28,254	(80,910)	37,767
Changes in components of working capital:
Change in affiliated accounts and notes receivables	29,203	92,400	126,928
Change in other assets and equipment held for sale	(50,798)	9,074	46,403
Change in accounts payable and other accrued liabilities	(66,248)	15,601	6,144
Net cash from (used in) operating activities	362,881	610,453	685,070
CASH FLOWS FROM INVESTING ACTIVITIES
Cost of receivables acquired	(11,802,561)	(10,914,579)	(10,803,971)
Collections of receivables	12,072,940	11,405,857	11,547,142
Purchase of equipment on operating leases	(680,266)	(635,819)	(723,383)
Proceeds from disposal of equipment on operating leases	468,257	435,878	361,952
Change in property and equipment and software, net	(5,427)	(1,614)	(890)
Net cash from (used in) investing activities	52,943	289,723	380,850
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issuance of affiliated debt	1,138,573	1,186,763	1,238,950
Payment of affiliated debt	(1,292,749)	(898,230)	(1,128,741)
Proceeds from issuance of long-term debt	3,240,771	3,740,616	3,911,733
Payment of long-term debt	(3,630,702)	(4,955,232)	(4,682,446)
Change in short-term borrowings, net	182,596	309,373	(336,193)
Dividend paid to CNH Industrial America LLC	(130,000)	(285,000)	(290,000)
Net cash from (used in) financing activities	(491,511)	(901,710)	(1,286,697)
DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH	(75,687)	(1,534)	(220,777)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of year	875,558	877,092	1,097,869
End of year	799,871	875,558	877,092
CASH PAID DURING THE PERIOD FOR INTEREST	316,675	322,469	301,563
CASH PAID DURING THE PERIOD FOR TAXES	$ 47,577	$ 47,726	$ 31,003

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, 2015	$ 843,728	$ (161,538)	$ 769,242	$ 1,451,432
Increase (Decrease) in Stockholder's Equity
Net income			187,512	187,512
Dividend paid to CNH Industrial America LLC			(290,000)	(290,000)
Foreign currency translation adjustment		15,756		15,756
Stock compensation	372			372
Pension liability adjustment, net of tax		197		197
Change in derivative financial instruments, net of tax		1,449		1,449
BALANCE at Dec. 31, 2016	844,100	(144,136)	666,754	1,366,718
Increase (Decrease) in Stockholder's Equity
Net income			250,489	250,489
Dividend paid to CNH Industrial America LLC			(285,000)	(285,000)
Foreign currency translation adjustment		40,868		40,868
Stock compensation	(541)			(541)
Pension liability adjustment, net of tax		499		499
Change in derivative financial instruments, net of tax		2,606		2,606
BALANCE at Dec. 31, 2017	843,559	(100,163)	632,243	1,375,639
Increase (Decrease) in Stockholder's Equity
Net income			156,845	156,845
Dividend paid to CNH Industrial America LLC			(130,000)	(130,000)
Foreign currency translation adjustment		(48,009)		(48,009)
Stock compensation	84			84
Pension liability adjustment, net of tax		665		665
Change in derivative financial instruments, net of tax		508		508
BALANCE at Dec. 31, 2018	$ 843,643	$ (146,999)	$ 659,088	$ 1,355,732

NATURE OF OPERATIONS

NATURE OF OPERATIONS	12 Months Ended
	Dec. 31, 2018
BASIS OF PRESENTATION
NATURE OF OPERATIONS	NOTE 1: NATURE OF OPERATIONS 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. To support CNH Industrial North America’s sales of agricultural and construction equipment products, the Company offers retail financing to end-use customers and wholesale financing to CNH Industrial North America equipment dealers, all of which are independently owned. The Company provides and administers retail financing, primarily retail installment sales contracts, finance leases and operating leases to end-use customers for the purchase or lease of new and used CNH Industrial North America equipment and other agricultural and construction equipment sold primarily through CNH Industrial North America dealers and distributors. In addition, the Company purchases equipment from dealers that is leased to retail customers under operating lease agreements. Wholesale financing consists primarily of dealer floorplan financing, which allows dealers the ability to maintain a representative inventory of products. In addition, the Company provides financing to dealers for equipment used in dealer-owned rental yards, parts inventory, working capital, and other financing needs. CNH Industrial Capital Canada purchases short-term wholesale receivables at a discount (“wholesale factoring”) from Iveco Argentina S.A. (“Iveco Argentina”), an indirect wholly-owned subsidiary of CNHI, from time to time. The purchase is consistent with factoring arrangements between CNHI’s industrial and financial services companies. The Company also finances other products, including insurance and equipment protection products underwritten through a third-party insurer. As a captive finance company, the Company is reliant on the operations of CNH Industrial North America, its dealers and end-use customers.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	12 Months Ended
	Dec. 31, 2018
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 2: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Principles of Consolidation and Basis of Presentation The Company has prepared the accompanying consolidated financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). 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. Certain prior period balances have been reclassified to conform to the current year presentation. Use of Estimates in the Preparation of Financial Statements 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. Revenue Recognition Finance and interest income on retail notes and finance leases and on wholesale notes is recorded using the effective yield method. Deferred costs on the origination of financing receivables are recognized as a reduction in finance revenue over the expected lives of the receivables using the effective yield method. Recognition of income on receivables is suspended when management determines that collection of future income is not probable or when an account becomes 120 days delinquent, whichever occurs earlier. Income accrual is resumed if the receivable becomes contractually current and collection doubts are removed. Previously suspended income is recognized at that time. The Company applies cash received on nonaccrual financing receivables to first reduce any unrecognized interest and then the recorded investment and any other fees. 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. 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. A substantial portion of the Company’s interest income arises from retail sales programs offered by CNH Industrial North America on which finance charges are waived or below-market rate financing programs are offered. When the Company acquires retail installment sales contracts and finance leases subject to below-market interest rates, including waived interest rate financing, the Company receives compensation from CNH Industrial North America based on the Company’s estimated costs and a targeted return on equity. This amount is initially recognized as an unearned finance charge and is recognized as interest income over the term of the retail notes and finance leases, and is included in “Interest and other income from affiliates” in the accompanying consolidated statements of income. For selected wholesale receivables, CNH Industrial North America compensates the Company based on the Company’s estimated costs and a targeted return on equity. These amounts are included in “Interest and other income from affiliates” in the accompanying consolidated statements of income. The Company is also compensated for lending funds to CNH Industrial North America. The amounts earned are included in “Interest and other income from affiliates” in the accompanying consolidated statements of income. Income from operating leases is recognized over the term of the lease on a straight-line basis. For selected operating leases, CNH Industrial North America compensates the Company based on the Company’s estimated costs and a targeted return on equity. The amounts from CNH Industrial North America recognized as rental income on operating leases are included in “Interest and other income from affiliates.” Foreign Currency Translation The Company’s non‑U.S. subsidiaries maintain their books and accounting records using local currency as the functional currency. Assets and liabilities of these non‑U.S. subsidiaries are translated into U.S. dollars at period‑end exchange rates, and net exchange gains or losses resulting from such translation are included in “Accumulated other comprehensive income” in the accompanying consolidated balance sheets. Income and expense accounts of these non‑U.S. subsidiaries are translated at the average exchange rates for the period, and gains and losses from foreign currency transactions are included in net income in the period that they arise. Cash and Cash Equivalents Cash equivalents are highly liquid investments with an original maturity of three months or less. The carrying value of cash equivalents approximates fair value because of the short maturity of these investments. Restricted Cash Restricted cash includes principal and interest payments from retail notes and wholesale receivables owned by the consolidated VIEs that are payable to the VIEs’ investors, and cash pledged as a credit enhancement to the same investors. These amounts are held by depository banks in order to comply with contractual agreements. Receivables Receivables are recorded at amortized cost, net of allowances for credit losses and deferred fees and costs. Periodically, the Company sells or transfers retail and wholesale receivables to funding facilities or in securitization transactions. In accordance with the accounting guidance regarding transfers of financial assets and the consolidation of VIEs, the majority of the retail and wholesale receivables sold in securitizations do not qualify as sales and are recorded as secured borrowings with no gains or losses recognized at the time of securitization. Receivables associated with these securitization transactions and receivables that the Company has the ability and intent to hold for the foreseeable future are classified as held for investment. The substantial majority of the Company’s receivables, which include unrestricted receivables and restricted receivables for securitization investors, are classified as held for investment. Allowance for Credit Losses The allowance for credit losses is the Company’s estimate of losses on 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. Equipment on Operating Leases The Company purchases leases and equipment from CNH Industrial North America dealers and other independent third parties that have leased equipment to retail customers under operating leases. The Company’s investment in operating leases is based on the purchase price paid for the equipment. Income from these operating leases is recognized over the term of the lease. The equipment is depreciated on a straight-line basis over the term of the lease to the estimated residual value at lease termination. Residual values are estimated at the inception of the lease and are reviewed quarterly. Realization of the residual values is dependent on the Company’s future ability to re-market the equipment under then prevailing market conditions. Equipment model changes and updates, as well as market strength and product acceptance, are monitored and adjustments are made to residual values in accordance with the significance of any such changes. Management believes that the estimated residual values are realizable. Expenditures for maintenance and repairs are the responsibility of the lessee. The Company evaluates the carrying amount of equipment on operating leases for potential impairment when it determines a triggering event has occurred. When a triggering event occurs, a test for recoverability is performed comparing projected undiscounted future cash flows to the carrying amount of the asset. If the test for recoverability identifies a possible impairment, the asset’s fair value is measured in accordance with the fair value measurement framework. An impairment charge would be recognized for the amount by which the carrying amount of the asset exceeds its estimated fair value. Equipment returned to the Company upon termination of leases and held for subsequent sale or lease is recorded at the lower of net book value or estimated fair value of the equipment, less cost to sell, and is not depreciated. Goodwill and Intangible Assets Goodwill represents the excess of the aggregate purchase price over the fair value of the net assets acquired. Goodwill is deemed to have an indefinite useful life and is reviewed for impairment at least annually. During 2018 and 2017, the Company performed its annual impairment review as of December 31, and concluded that there was no impairment in either year. Other intangible assets consist of software and are being amortized on a straight‑line basis over five years. Income Taxes The provision for income taxes is determined using the asset and liability method. The Company recognizes a current tax liability or asset for the estimated taxes payable or refundable on tax returns for the current year and tax contingencies estimated to be settled with taxing authorities within one year. A deferred tax liability or asset is recognized for the estimated future tax effects attributable to temporary differences and tax loss carryforwards. The measurement of current and deferred tax liabilities and assets is based on provisions of enacted tax law. Valuation allowances are recorded to reduce deferred tax assets when it is more likely than not that a tax benefit will not be realized based on available evidence. Derivatives The Company’s policy is to enter into derivative transactions to manage exposures that arise in the normal course of business and not for trading or speculative purposes. The Company records derivative financial instruments in the consolidated balance sheets as either an asset or liability measured at fair value. The fair value of the Company’s interest rate derivatives is based on discounting expected cash flows, using market interest rates, over the remaining term of the instrument. The fair value of the Company’s foreign exchange derivatives is based on market exchange rates, adjusted for the respective interest rate differentials (premiums or discounts). Changes in the fair value of derivative financial instruments are recognized in current income unless specific hedge accounting criteria are met. For derivative financial instruments designated to hedge exposure to changes in the fair value of a recognized asset or liability, the gain or loss is recognized in income in the period of change together with the offsetting loss or gain on the related hedged item. For derivative financial instruments designated to hedge exposure to variable cash flows of a forecasted transaction, the effective portion of the derivative financial instrument’s gain or loss is initially reported in accumulated other comprehensive income and is subsequently reclassified into income when the forecasted transaction affects income. The ineffective portion of the gain or loss is recorded in income immediately. For derivative financial instruments that are not designated as hedges but held as economic hedges, the gain or loss is recognized immediately in income. For derivative financial instruments designated as hedges, the Company formally documents the hedging relationship to the hedged item and its risk management strategy. This includes linking all derivatives that are designated as fair value hedges to specific assets and liabilities contained in the consolidated balance sheets and linking cash flow hedges to specific forecasted transactions or variability of cash flow. The Company assesses the effectiveness of its hedging instruments both at inception and on an ongoing basis. If a derivative is determined not to be highly effective as a hedge, or the underlying hedged transaction is no longer probable of occurring, or the derivative is terminated, the hedge accounting described above is discontinued and the derivative is marked to fair value and recorded in income through the remainder of its term. 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. Entities have the option to apply the new guidance under a retrospective approach to each prior reporting period presented, and the cumulative effect of applying the standard would be recognized at the earliest period shown 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 this 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. 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 impact to the consolidated statement of cash flows for the years ended December 31, 2017 and 2016 was to increase cash flows from changes in accounts payable and other accrued liabilities by $7,643 and $3,300, respectively, eliminate cash flows from changes in restricted cash of $71,876 and $86,176, respectively, and to decrease cash, cash equivalents and restricted cash by $64,233 and $82,876, respectively. In March 2017, the FASB issued ASU No. 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 amendments in this update require that an employer disaggregate the service cost component from the 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 the 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, and early adoption is permitted. 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. ASU 2016-01 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 (“ASC 840”) Subsequently, the FASB has issued additional ASUs, which further clarify this guidance. The ASU’s most prominent change is the requirement for lessees to recognize leased assets and liabilities classified as operating leases under the previous standard. 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 and early adoption is permitted. The original transition guidance in ASU 2016-02 required a modified retrospective approach. In July 2018, the FASB issued ASU No. 2018-11, Leases (Topic 842): Targeted Improvements (“ASU 2018-11”), an amendment to ASU 2016-02, which provides entities with an additional transition method to adopt the new leases standard. Under this new transition method, an entity initially applies the new leases standard at the adoption date and recognizes a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. If the transition option in ASU 2018-11 is elected, reporting for the comparative periods presented in the financial statements in which the entity adopts the new leases standard will continue to be in accordance with ASC 840. The Company will adopt the new standard effective January 1, 2019, using the modified retrospective approach which requires it to recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption, without recasting prior periods. The Company will elect certain practical expedients upon transition, including: not to reassess under the new guidance its prior conclusions about lease identification, lease classification and initial direct costs; and, those provided for short-term leases. The Company does not believe the adoption of the standard will have a material impact 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 . In November 2018, the FASB issued ASU No. 2018-19, Codification Improvements to Topic 326, Financial Instruments – Credit Losses (“ASU 2018-19”), which amended ASC 326. 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. ASU 2016-13 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”) and in October 2018, the FASB issued ASU No. 2018-16, Inclusion of the Secured Overnight Financial Rate (SOFR) Overnight Index Swap Rate (OIS) as a Benchmark Interest Rate for Hedge Accounting Purposes (“ASU 2018-16”), which together amend 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 does not believe the adoption of this standard will have a material impact on its consolidated financial statements. In February 2018, the FASB issued ASU No. 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 (the “U.S. Tax Act”). Included in the provisions of U.S. Tax Act is a reduction of the corporate income tax rate from 35 percent to 21 percent. U.S. GAAP requires that remeasurement of deferred taxes to the new corporate tax rate occur in the period in which 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. ASU 2018-02 is effective for annual reporting periods beginning after December 15, 2018 including interim periods within those fiscal years, and 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 does not believe the adoption of this standard will have a material impact on its consolidated financial statements. In August 2018, the FASB issued ASU No. 2018-13, Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”), which amends ASC 820, Fair Value Measurement . This ASU modifies the disclosure requirements for fair value measurements by removing, modifying, or adding certain disclosures. The effective date is the first quarter of fiscal year 2021, with early adoption permitted for the removed disclosures and delayed adoption until fiscal year 2021 permitted for the new disclosures. The removed and modified disclosures will be adopted on a retrospective basis and the new disclosures will be adopted on a prospective basis. The Company is currently evaluating the impact the adoption of this standard will have on its consolidated financial statements. In August 2018, the FASB issued ASU No. 2018-15, Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement (“ASU 2018-15”), which expands upon the guidance set forth in ASU 2015-05, Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement . ASU 2018-15 aligns the requirements for capitalization of implementation costs in a cloud computing service contract with those requirements for capitalization of implementation costs incurred for an internal-use software license. ASU 2018-15 is effective for annual periods beginning after December 15, 2019, including interim periods within those fiscal years, and early adoption is permitted in any interim period for which financial statements have not been issued. ASU 2018-15 may be applied prospectively from the date the guidance is first applied or retrospectively. The Company is currently evaluating the impact the adoption of this standard will have on its consolidated financial statements. In August 2018, the SEC adopted a final rule that amends certain disclosure requirements that have become duplicative, overlapping, or outdated in light of other SEC disclosure requirements, U.S. GAAP, or changes in the information environment. However, the guidance also added requirements for registrants to include in their interim financial statements a reconciliation of changes in stockholders’ equity for each period for which an income statement is required (both year-to-date and quarterly periods). The final rule is effective for all filings made on or after November 5, 2018. However, the SEC staff said it would not object to a registrant waiting to comply with the new interim disclosure requirement until the filing for the quarter that begins after the effective date. As a result, the Company plans to adopt the new interim disclosure requirement in its Form 10-Q for the three months ended March 31, 2019. The Company is currently evaluating the impact compliance with this rule will have on its consolidated financial statements.

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE INCOME	12 Months Ended
	Dec. 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 year ended December 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 (48,009) 419 726 (46,864) Amounts reclassified from accumulated other comprehensive income (loss) — 463 (34) 429 Tax effects — (217) (184) (401) Net current-period other comprehensive income (loss) (48,009) 665 508 (46,836) Total $ (146,726) $ (2,497) $ 2,224 $ (146,999) The following table summarizes the change in the components of the Company’s AOCI balance and related tax effects for the year ended December 31, 2017: Currency Unrealized Translation Pension (Losses) Gains Adjustment Liability on Derivatives Total Beginning balance, gross $ (139,585) $ (5,768) $ (1,213) $ (146,566) Tax asset — 2,107 323 2,430 Beginning balance, net of tax (139,585) (3,661) (890) (144,136) Other comprehensive income (loss) before reclassifications 40,868 114 2,797 43,779 Amounts reclassified from accumulated other comprehensive income (loss) — 702 749 1,451 Tax effects — (317) (940) (1,257) Net current-period other comprehensive income (loss) 40,868 499 2,606 43,973 Total $ (98,717) $ (3,162) $ 1,716 $ (100,163) The reclassifications out of AOCI and the location on the consolidated statements of income for the years ended December 31, 2018 and 2017 are as follows: 2018 2017 Affected Line Item Amortization of defined benefit pension items: $ (463) $ (702) Various line items individually insignificant (463) Income before taxes 114 273 Income tax benefit $ (349) $ (429) Net of tax Unrealized losses on derivatives: $ 34 $ (749) Interest expense to third parties 34 Income before taxes (9) 199 Income tax benefit $ 25 $ (550) Net of tax

RECEIVABLES

RECEIVABLES	12 Months Ended
	Dec. 31, 2018
RECEIVABLES
RECEIVABLES	NOTE 4: RECEIVABLES A summary of receivables included in the consolidated balance sheets as of December 31, 2018 and 2017 is as follows: 2018 2017 Retail $ 753,388 $ 768,502 Wholesale 747,191 671,740 Wholesale factoring — 235,834 Finance lease 63,936 58,198 Restricted receivables 8,460,823 8,766,467 Gross receivables 10,025,338 10,500,741 Less: Allowance for credit losses (74,412) (79,196) Total receivables, net $ 9,950,926 $ 10,421,545 The Company provides and administers financing for retail purchases of new and used equipment sold through CNH Industrial North America’s dealer network. The terms of retail and other notes and finance leases generally range from two to six years, and interest rates vary depending on prevailing market interest rates and certain incentive programs offered by CNH Industrial North America. Wholesale receivables arise primarily from the financing of the sale of goods to dealers and distributors by CNH Industrial North America, and to a lesser extent, the financing of dealer operations. Under the standard terms of the wholesale receivable agreements, these receivables typically have interest-free periods of up to twelve months and stated original maturities of up to twenty‑four months, with repayment accelerated upon the sale of the underlying equipment by the dealer. During the interest‑free period, the Company is compensated by CNH Industrial North America based on market interest rates. After the expiration of any interest‑free period, interest is charged to dealers on outstanding balances until the Company receives payment in full. The interest‑free periods are determined based on the type of equipment sold and the time of year of the sale. Interest rates are set based on market factors and the prime rate or LIBOR. The Company evaluates and assesses dealers on an ongoing basis as to their creditworthiness. CNH Industrial North America may be obligated to repurchase the dealer’s equipment upon cancellation or termination of the dealer’s contract for such causes as change in ownership, closeout of the business, or default. There were no significant losses in 2018, 2017 and 2016 relating to the termination of dealer contracts. Wholesale factoring receivables represent short-term receivables purchased from Iveco Argentina. Maturities of receivables as of December 31, 2018, are as follows: 2019 $ 5,619,826 2020 1,548,323 2021 1,223,685 2022 900,707 2023 and thereafter 732,797 Total receivables $ 10,025,338 It has been the Company’s experience that substantial portions of retail receivables are repaid before their contractual maturity dates. As a result, the above table should not be regarded as a forecast of future cash collections. Retail, finance lease and wholesale receivables have significant concentrations of credit risk in the agricultural and construction business sectors. Short-term receivables purchased from Iveco Argentina have significant concentrations of credit risk in the agricultural and commercial vehicles business sectors in Argentina. On a geographic basis, there is not a disproportionate concentration of credit risk in any area of the United States, Canada or Argentina. The Company typically retains, as collateral, a security interest in the equipment associated with retail notes and wholesale receivables. 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 removed 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 December 31, 2018 and 2017: 2018 2017 Retail $ 5,623,730 $ 6,042,186 Wholesale 2,837,093 2,724,281 Total restricted receivables $ 8,460,823 $ 8,766,467 Retail Receivables Securitizations Within the U.S. retail receivables securitization programs, qualifying retail receivables are sold to limited purpose, bankruptcy‑remote SPEs. In turn, these SPEs establish separate trusts to which the receivables are transferred in exchange for proceeds from asset‑backed securities issued by the trusts. 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. During the years ended December 31, 2018 and 2017, the Company executed $2,250,399 and $2,989,014, respectively, in term retail asset‑backed transactions in the U.S. and Canada. The securities in these transactions are backed by agricultural and construction equipment retail receivable contracts originated through CNH Industrial North America’s dealer network. As of December 31, 2018 and 2017, $4,808,679 and $5,567,786, respectively, of asset‑backed securities issued to investors were outstanding with weighted average remaining maturities of 30 months and 31 months, respectively. The Company believes that it is probable that it will continue to regularly utilize the term ABS markets. The Company may retain all or a portion of the subordinated interests in the SPEs. No recourse provisions exist that allow holders of the asset‑backed securities issued by the trusts to put those securities back to the Company although the Company provides customary representations and warranties that could give rise to an obligation to repurchase from the trusts any receivables for which there is a breach of the representations and warranties. Moreover, the Company does not guarantee any securities issued by the trusts. The trusts have a limited life and generally terminate upon final distribution of amounts owed to investors or upon exercise of a cleanup‑call option by the Company, in its role as servicer. The Company also has $1,566,870 in committed asset‑backed facilities through which it may sell on a monthly basis retail receivables generated in the United States and Canada. The Company has utilized these facilities in the past to fund the origination of receivables and has later repurchased and resold the receivables in the term ABS markets or found alternative financing for the receivables. The U.S. and Canadian facilities had an original funding term of two years and are renewable in September 2020 and December 2020, respectively. To the extent these facilities are not renewed, they will be repaid according to the amortization of the underlying receivables. Wholesale Receivables Securitizations 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. As of December 31, 2018, debt issued through the U.S. master trust facility consists of two short-term facilities renewable at the discretion of the investors: $500,000 and $300,000. The Canadian master trust facility consists of a C$585,750 ($429,788) facility renewable December 2020 at the discretion of the investor. 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. Each of the facilities contains minimum payment rate thresholds that, if breached, could preclude the Company from selling additional receivables originated on a prospective basis and could force an early amortization of the debt. Allowance for Credit Losses 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. 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 year ended December 31, 2018 is as follows: Retail Wholesale Total Allowance for credit losses: Beginning balance $ 73,610 $ 5,586 $ 79,196 Charge-offs (39,375) (1,567) (40,942) Recoveries 4,702 71 4,773 Provision (benefit) 28,277 3,422 31,699 Foreign currency translation and other (270) (44) (314) Ending balance $ 66,944 $ 7,468 $ 74,412 Ending balance: individually evaluated for impairment $ 15,801 $ 4,825 $ 20,626 Ending balance: collectively evaluated for impairment $ 51,143 $ 2,643 $ 53,786 Receivables: Ending balance $ 6,441,054 $ 3,584,284 $ 10,025,338 Ending balance: individually evaluated for impairment $ 31,148 $ 24,513 $ 55,661 Ending balance: collectively evaluated for impairment $ 6,409,906 $ 3,559,771 $ 9,969,677 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 (benefit) 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 Allowance for credit losses activity for the year ended December 31, 2016 is as follows: Retail Wholesale Total Allowance for credit losses: Beginning balance $ 88,405 $ 6,319 $ 94,724 Charge-offs (42,949) (1) (42,950) Recoveries 3,228 522 3,750 Provision (benefit) 30,915 (69) 30,846 Foreign currency translation and other (1,552) 77 (1,475) Ending balance $ 78,047 $ 6,848 $ 84,895 Ending balance: individually evaluated for impairment $ 18,113 $ 4,250 $ 22,363 Ending balance: collectively evaluated for impairment $ 59,934 $ 2,598 $ 62,532 Receivables: Ending balance $ 7,398,017 $ 3,527,709 $ 10,925,726 Ending balance: individually evaluated for impairment $ 31,383 $ 43,659 $ 75,042 Ending balance: collectively evaluated for impairment $ 7,366,634 $ 3,484,050 $ 10,850,684 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 December 31, 2018 and 2017 is as follows: 2018 2017 Titanium $ 3,367,239 $ 3,734,313 Platinum 1,942,784 2,002,791 Gold 943,816 952,404 Silver 152,338 146,051 Bronze 34,877 33,327 Total $ 6,441,054 $ 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 December 31, 2018 and 2017 is as follows: 2018 2017 A $ $ 1,222,813 B 1,425,591 C 527,735 439,353 D 308,264 Total $ $ 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 December 31, 2018 and 2017 is as follows: 2018 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 $ 19,318 $ 6,372 $ 24,772 $ 50,462 $ 5,239,777 $ 5,290,239 $ 4,573 Canada $ 1,398 $ 510 $ 2,326 $ 4,234 $ 1,146,581 $ 1,150,815 $ 911 Wholesale United States $ 484 $ 10 $ 1,368 $ 1,862 $ 2,788,655 $ 2,790,517 $ 387 Canada $ 3 $ — $ 436 $ 439 $ 793,328 $ 793,767 $ 1 Total Retail $ 20,716 $ 6,882 $ 27,098 $ 54,696 $ 6,386,358 $ 6,441,054 $ 5,484 Wholesale $ 487 $ 10 $ 1,804 $ 2,301 $ 3,581,983 $ 3,584,284 $ 388 2017 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 December 31, 2018 and 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 thirteen-month average) are as follows: December 31, 2018 Unpaid Average Recorded Principal Related Recorded Investment Balance Allowance Investment Retail United States $ 30,959 $ 29,783 $ 15,347 $ 32,787 Canada $ 189 $ 180 $ 454 $ 248 Wholesale United States $ 24,513 $ 22,985 $ 4,825 $ 27,269 Total Retail $ 31,148 $ 29,963 $ 15,801 $ 33,035 Wholesale $ 24,513 $ 22,985 $ 4,825 $ 27,269 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 December 31, 2018 and 2017, the Company’s impaired receivables individually evaluated for impairment without an allowance were immaterial. Interest income recognized on impaired receivables for the years ended December 31, 2018 and 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 December 31, 2018 and 2017 are as follows: 2018 2017 Retail Wholesale Total Retail Wholesale Total United States $ 27,069 $ 22,985 $ 50,054 $ 40,968 $ 43,531 $ 84,499 Canada $ 1,428 $ — $ 1,428 $ 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 that is 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 the 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 December 31, 2018, the Company had 254 retail and finance lease contracts classified as TDRs where a court has determined the concession. The pre‑modification value of these contracts was $8,118 and the post‑modification value was $7,272. Additionally, the Company had 371 accounts with a balance of $17,129 undergoing bankruptcy proceedings where a concession has not yet been determined. As of December 31, 2017, the Company had 272 retail and finance lease contracts classified as TDRs where a court has determined the concession. The pre‑modification value of these contracts was $8,583 and the post‑modification value was $7,710. Additionally, the Company had 423 accounts with a balance of $23,750 undergoing bankruptcy proceedings where a concession has not yet been determined. As the outcome of the bankruptcy cases is determined by the 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 December 31, 2018 and 2017. As of December 31, 2018 and 2017, the Company’s wholesale TDRs were immaterial.

EQUIPMENT ON OPERATING LEASES

EQUIPMENT ON OPERATING LEASES	12 Months Ended
	Dec. 31, 2018
EQUIPMENT ON OPERATING LEASES
EQUIPMENT ON OPERATING LEASES	NOTE 5: EQUIPMENT ON OPERATING LEASES A summary of equipment on operating leases as of December 31, 2018 and 2017 is as follows: 2018 2017 Equipment on operating leases $ 2,052,822 $ 2,139,099 Accumulated depreciation (328,605) (357,610) Total equipment on operating leases, net $ 1,724,217 $ Depreciation expense totaled $231,805, $280,765 and $247,438 for the years ended December 31, 2018, 2017 and 2016, respectively. Lease payments owed to the Company for equipment under non‑cancelable operating leases (excluding deferred operating lease subsidy of $106,817) as of December 31, 2018 are as follows: 2019 $ 169,387 2020 128,197 2021 69,883 2022 23,120 2023 and thereafter 5,173 Total lease payments $ 395,760

GOODWILL AND INTANGIBLE ASSETS

GOODWILL AND INTANGIBLE ASSETS	12 Months Ended
	Dec. 31, 2018
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS	NOTE 6: GOODWILL AND INTANGIBLE ASSETS Changes in the carrying amount of goodwill for the years ended December 31, 2018 and 2017 are as follows: 2018 2017 Balance, beginning of year $ 110,588 $ 108,715 Foreign currency translation adjustment (2,189) 1,873 Balance, end of year $ 108,399 $ 110,588 Goodwill is tested for impairment at least annually. During 2018, 2017 and 2016, the Company performed its annual impairment review as of December 31 and concluded that there were no impairments in any year. As of December 31, 2018 and 2017, the Company’s intangible asset and related accumulated amortization for its software is as follows: 2018 2017 Software $ 30,625 $ 25,197 Accumulated amortization (20,443) (18,329) Total software, net $ 10,182 $ 6,868 The Company recorded amortization expense of $2,114, $2,112 and $1,998 during 2018, 2017 and 2016, respectively. Based on the current amount of software subject to amortization, the estimated annual amortization expense for each of the succeeding five years is as follows: $1,722 in 2019; $1,082 in 2020; $516 in 2021; $241 in 2022; and $55 in 2023.

OTHER ASSETS

OTHER ASSETS	12 Months Ended
	Dec. 31, 2018
OTHER ASSETS
OTHER ASSETS	NOTE 7: OTHER ASSETS The components of other assets as of December 31, 2018 and 2017 are as follows: 2018 2017 Tax receivables $ 39,174 $ 6,566 Deferred tax assets 14,955 10,275 Derivative assets 16,665 10,144 Other current assets 14,143 7,396 Total other assets $ 84,937 $ 34,381

CREDIT FACILITIES AND DEBT

CREDIT FACILITIES AND DEBT	12 Months Ended
	Dec. 31, 2018
CREDIT FACILITIES AND DEBT
CREDIT FACILITIES AND DEBT	NOTE 8: CREDIT FACILITIES AND DEBT The following table summarizes the Company’s debt and credit facilities, borrowings thereunder and availability at December 31, 2018: 2018 Current Maturities of Total Short-Term Long-Term Long-Term Maturity (1) Facility/Debt Outstanding Outstanding Outstanding Available Committed Asset-Backed Facilities Retail - U.S. Sep 2020 $ 1,200,000 $ — $ 139,556 $ 474,294 $ 586,150 Retail - Canada Dec 2020 366,870 — 18,095 27,861 320,914 Wholesale VFN - U.S. Various 800,000 800,000 — — — Wholesale VFN - Canada Dec 2020 429,788 429,788 — — — 2,796,658 1,229,788 157,651 502,155 907,064 Secured Debt Amortizing retail term ABS - N.A. Various 4,808,679 — 1,853,908 2,954,771 — Unamortized issuance costs (14,779) — — (14,779) — 4,793,900 — 1,853,908 2,939,992 — Unsecured Credit Lines and Facilities Credit lines Various 195,386 195,386 — — — Revolving credit facilities Various 825,569 — — 330,183 495,386 1,020,955 195,386 — 330,183 495,386 Unsecured Debt Commercial paper Various 389,000 389,000 — — — Notes Various 3,000,000 — 500,000 2,500,000 — Hedging effects, discounts and unamortized issuance costs (13,932) (1,108) (333) (12,491) — 3,375,068 387,892 499,667 2,487,509 — Total credit facilities and debt $ 11,986,581 $ 1,813,066 $ 2,511,226 $ 6,259,839 $ 1,402,450 (1) Maturity dates reflect maturities of the credit facility, which may be different than the maturities of the advances under the facility. A summary of the minimum annual repayments of long‑term debt as of December 31, 2018, for 2020 and thereafter is as follows: 2020 $ 2,367,515 2021 2,023,312 2022 1,219,488 2023 109,084 2024 and thereafter 540,440 Total $ 6,259,839 The following table summarizes the Company’s credit facilities, borrowings thereunder and availability at December 31, 2017: 2017 Current Maturities of Total Short-Term Long-Term Long-Term Maturity (1) Facility/Debt Outstanding Outstanding Outstanding Available Committed Asset-Backed Facilities Retail - U.S. Sep 2019 $ 1,200,000 $ — $ 60,099 $ 160,301 $ 979,600 Retail - Canada Dec 2019 398,730 — 57,814 158,401 182,515 Wholesale VFN - U.S. Various 800,000 800,000 — — — Wholesale VFN - Canada Dec 2019 467,112 461,167 — — 5,945 2,865,842 1,261,167 117,913 318,702 1,168,060 Secured Debt Amortizing retail term ABS - N.A. Various 5,567,786 — 2,176,929 3,390,857 — Other ABS financing - N.A. Various 54,275 — 45,937 8,338 — Unamortized issuance costs (17,507) — — (17,507) — 5,604,554 — 2,222,866 3,381,688 — Unsecured Credit Lines and Facilities Credit lines Various 300,000 300,000 — — — Revolving credit facilities Various 659,492 — — 159,492 500,000 959,492 300,000 — 159,492 500,000 Unsecured Debt Commercial paper Various 115,000 115,000 — — — Notes Various 3,100,000 — 600,000 2,500,000 — Hedging effects, discounts and unamortized issuance costs (26,601) (89) 607 (27,119) — 3,188,399 114,911 600,607 2,472,881 — Total credit facilities and debt $ 12,618,287 $ 1,676,078 $ 2,941,386 $ 6,332,763 $ 1,668,060 (1) Maturity dates reflect maturities of the credit facility, which may be different than the maturities of the advances under the facility. Committed Asset‑Backed Facilities The Company has access to committed asset‑backed facilities with several banks through which it may sell its receivables. The Company utilizes retail facilities to fund the origination of retail receivables and has exercised the option to periodically repurchase receivables and resell them in the term ABS markets (shown as “Amortizing retail term ABS - N.A.”) or found alternative financing for the receivables. Under these facilities, the maximum amount of proceeds that can be accessed at one time is $1,566,870. In addition, if the receivables sold are not repurchased by the Company, the related debt is paid only as the underlying receivables are collected. Such receivables have maturities not exceeding seven years. The Company believes it is probable that a majority of these receivables will be repurchased and resold in the ABS markets. Borrowings against these facilities accrue interest based on prevailing money market rates, plus an applicable margin. The Company finances a portion of its wholesale receivable portfolio with the issue of Variable Funding Notes (“VFNs”) which are privately subscribed by certain banks and asset‑backed commercial paper conduits. These notes accrue interest based on prevailing money market rates, plus an applicable margin. Secured Debt Secured borrowings bear interest at either floating rates of LIBOR plus an applicable margin or fixed rates. Unsecured Facilities and Debt As of December 31, 2018, the Company had fully-drawn uncommitted credit lines totaling $195,386 with final maturities in June 2019 and July 2020. Committed unsecured facilities with banks as of December 31, 2018 totaled $825,569. These credit facilities, which are eligible for renewal at various future dates, are used primarily for working capital and other general corporate purposes. As of December 31, 2018, the Company had $330,183 outstanding under these credit facilities. Included in the remaining available credit commitments is $389,000 maintained primarily to provide backup liquidity for commercial paper borrowings. In 2017, the Company established a commercial paper program to issue short-term, unsecured, unsubordinated commercial paper notes on a private placement basis. As of December 31, 2018, the aggregate principal amount of notes outstanding was $389,000. As of December 31, 2018, the Company’s outstanding unsecured senior notes were as follows: 3.375% notes, due 2019 $ 500,000 4.375% notes, due 2020 600,000 4.875% notes, due 2021 500,000 3.875% notes, due 2021 400,000 4.375% notes, due 2022 500,000 4.200% notes, due 2024 500,000 Hedging effects, discounts and unamortized issuance costs (10,985) Total $ 2,989,015 These notes, which are senior unsecured obligations of CNH Industrial Capital LLC, are guaranteed by CNH Industrial Capital America and New Holland Credit. On April 16, 2018, the Company repaid $600,000 of its 3.625% unsecured notes due 2018. On August 14, 2018, the Company completed an offering of $500,000 in aggregate principal amount of its 4.200% unsecured notes due 2024, issued at a price to the public of 99.701%. Covenants The indentures and credit agreements governing the Company’s unsecured funding transactions contain covenants that restrict the Company’s ability and/or that of its subsidiaries to, among other things, incur additional debt, make certain investments, enter into certain types of transactions with affiliates, use assets as security in other transactions, enter into sale or leaseback transactions and/or sell certain assets or merge with or into other companies. In addition, the Company is required to maintain a certain coverage level for leverage. Interest Rates The weighted‑average interest rate on total short‑term debt outstanding at December 31, 2018 and 2017 was 3.0% and 2.2%, respectively. The weighted‑average interest rate on total long‑term debt (including current maturities of long‑term debt) at December 31, 2018 and 2017 was 3.1% and 2.6%, respectively. The average rate is calculated using the actual rates at December 31, 2018 and 2017, weighted by the amount of outstanding borrowings of each debt instrument. Support Agreement Effective as of September 29, 2013, in connection with the merger of CNH Global N.V., the former indirect parent of CNH Industrial Capital (“CNH Global”), with and into CNHI, CNHI assumed all of CNH Global’s obligations under the support agreement, pursuant to which CNHI has agreed to, among other things, (a) make cash capital contributions to the Company, to the extent necessary to cause the ratio of net earnings available for fixed charges to fixed charges to be not less than 1.05 for each fiscal quarter (with such ratio determined, on a consolidated basis and in accordance with U.S. GAAP, for such fiscal quarter and the immediately preceding three fiscal quarters taken as a whole), (b) generally maintain an ownership of at least 51% of the voting equity interests in the Company and (c) cause the Company to have, as of the end of any fiscal quarter, a consolidated tangible net worth of at least $50,000. The support agreement is not intended to be and is not a guarantee by CNHI of any indebtedness or other obligation of the Company. The obligations of CNHI to the Company pursuant to this support agreement are to the Company only and do not run to, and are not enforceable directly by, any creditor of the Company. The support agreement may be modified, amended or terminated, at CNHI’s election, upon thirty days’ prior written notice to the Company and the rating agencies, if (a) the modification, amendment or termination would not result in a downgrade of the Company’s rated indebtedness; (b) the modification, amendment or notice of termination provides that the support agreement will continue in effect with respect to the Company’s rated indebtedness then outstanding; or (c) the Company has no long‑term rated indebtedness outstanding.

INCOME TAXES

INCOME TAXES	12 Months Ended
	Dec. 31, 2018
INCOME TAXES
INCOME TAXES	NOTE 9: INCOME TAXES The income and expenses of the Company and certain of its domestic subsidiaries are included in the consolidated income tax return of CNH Industrial U.S. Holdings, Inc., a wholly-owned subsidiary of CNHI. CNH Industrial U.S. Holdings, Inc. is the new parent of Case New Holland Inc., who remains the parent of CNH Industrial America. The Company’s Canadian subsidiaries file separate income tax returns, as do certain domestic subsidiaries. The Company and certain of its domestic subsidiaries are LLCs and, as a result, incur no income tax liability on a stand‑alone basis for tax purposes. However, for financial reporting, all tax accounts have been disclosed and the income tax expense is reflective for all of the companies included in the consolidated financial statements. The sources of income before taxes for the years ended December 31, 2018, 2017, and 2016 are as follows, with foreign defined as any income earned outside the United States: 2018 2017 2016 Domestic $ 120,375 $ 121,729 $ 193,765 Foreign 77,942 81,712 88,051 Income before taxes $ 198,317 $ 203,441 $ 281,816 The provision for income taxes for the years ended December 31, 2018, 2017 and 2016 is as follows: 2018 2017 2016 Current income tax expense (benefit): Domestic $ (11,719) $ 16,151 $ 38,845 Foreign 24,937 17,711 17,692 Total current income tax expense 13,218 33,862 56,537 Deferred income tax expense (benefit): Domestic 34,304 (83,647) 33,798 Foreign (6,050) 2,737 3,969 Total deferred income tax expense 28,254 (80,910) 37,767 Total tax provision $ 41,472 $ (47,048) $ 94,304 A reconciliation of CNH’s statutory and effective income tax rate for the years ended December 31, 2018, 2017, and 2016 is as follows: 2018 2017 2016 Tax provision at statutory rate 21.0 % 35.0 % 35.0 % State taxes 1.8 5.9 4.7 Foreign taxes (3.4) (8.5) (5.2) Tax contingencies — — Withholding taxes and credits — — Tax credits and incentives (0.9) (0.6) (0.6) Tax rate and legislative changes (1.4) (54.5) — Other (0.2) (0.4) (0.4) Total tax provision effective rate 20.9 % (23.1) % 33.5 % The components of the Company’s net deferred tax liability as of December 31, 2018 and 2017 are as follows: 2018 2017 Deferred tax assets: Pension, postretirement and post-employment benefits $ 1,918 $ 1,986 Marketing and sales incentive programs 53,259 39,836 Allowance for credit losses 17,534 18,539 Other accrued liabilities 7,825 471 Tax loss and tax credit carry forwards 4,314 1,892 Total deferred tax assets $ 84,850 $ 62,724 Deferred tax liability: Equipment on operating lease $ $ 268,129 Deferred tax liability, net (1) $ $ (205,405) (1) In the accompanying consolidated balance sheets, the US net deferred tax position in 2018 and 2017 is included in “Accounts payable and other accrued liabilities” while the Canadian net deferred tax position in 2018 and 2017 is included in “Other assets”. Deferred taxes are provided to reflect timing differences between the financial and tax basis of assets and liabilities and tax carryforwards using currently enacted tax rates and laws. Management believes it is more likely than not the benefit of the deferred tax assets will be realized. A reconciliation of the gross amounts of tax contingencies at the beginning and end of the year is as follows: 2018 2017 2016 Balance, beginning of year $ — $ — $ — Additions based on tax positions related to prior years 4,274 — — Reductions for tax positions of prior years — — — Settlements — — — Balance, end of year $ 4,274 $ — $ — The total amount of unrecognized tax benefits that, if recognized, would affect the annual effective income tax rate is $4,274. The Company recognizes interest and penalties accrued related to tax contingencies in income tax expense. During the years ended December 31, 2018, 2017 and 2016, the Company recognized approximately $686, $0 and $0, respectively, in interest and penalties. The Company had approximately $686, $0 and $0 for the expected future payment of interest and penalties accrued at December 31, 2018, 2017 and 2016, respectively. The Company has open tax years from 2012 to 2018. The Company does not believe the resolution of any outstanding tax examinations will have a material adverse effect on the Company’s financial position or its results of operations. On December 22, 2017, the U.S. enacted the U.S. Tax Act which included, among other things, a reduction in the corporate tax rate from 35% to 21% and a tax on deemed repatriation of the undistributed earnings of foreign subsidiaries. As a result, in the fourth quarter of 2017, the Company recorded an estimated net tax benefit of $111,000, which included the revaluation of its net deferred tax liability and the tax charge on the deemed repatriation. In the fourth quarter of 2018, the Company filed its 2017 U.S. corporate income tax return and subsequently booked an additional benefit of $2,739 to reflect the final increment of corporate tax reform, thus resulting in an overall benefit of $113,739. In addition, amongst other items, the U.S. Tax Act enacted a tax upon global intangible low tax income (the “GILTI tax”). The Company has made a policy election to account for the GILTI tax as a current period cost, rather than under the deferred tax method. At December 31, 2018, there are no material deferred tax liabilities on undistributed earnings of subsidiaries outside of the U.S.

FINANCIAL INSTRUMENTS

FINANCIAL INSTRUMENTS	12 Months Ended
	Dec. 31, 2018
FINANCIAL INSTRUMENTS
FINANCIAL INSTRUMENTS	NOTE 10: 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 - Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable. 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 years ended December 31, 2018, 2017 and 2016. These amounts are recorded in “Other expenses” in the consolidated statements of income. As of December 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 53 months. As of December 31, 2018, the after‑tax gains deferred in accumulated other comprehensive income (loss) that will be recognized in interest expense over the next 12 months are approximately $712. 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 years ended December 31, 2018, 2017 and 2016. 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 $2,960,191 and $3,143,737 at December 31, 2018 and 2017, respectively. The thirteen‑month average notional amounts as of December 31, 2018 and 2017 were $2,947,318 and $3,246,576, 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 December 31, 2018 and 2017 in the consolidated balance sheets are recorded as follows: 2018 2017 Derivatives Designated as Hedging Instruments Other assets: Interest rate derivatives $ 15,422 $ 4,113 Accounts payable and other accrued liabilities: Interest rate derivatives $ 8,107 $ 6,698 Derivatives Not Designated as Hedging Instruments Other assets: Interest rate derivatives $ 1,157 $ 4,638 Foreign exchange contracts 86 1,393 Total $ 1,243 $ 6,031 Accounts payable and other accrued liabilities: Interest rate derivatives $ 1,157 $ 4,638 Foreign exchange contracts — 325 Total $ 1,157 $ 4,963 Pre‑tax gains (losses) on the consolidated statements of income and comprehensive income related to the Company’s derivatives for the years ended December 31, 2018, 2017 and 2016 are recorded in the following accounts: 2018 2017 2016 Cash Flow Hedges Recognized in accumulated other comprehensive income (loss) (effective portion): Interest rate derivatives $ 726 $ 2,797 $ 1,277 Reclassified from accumulated other comprehensive income (loss) (effective portion): Interest rate derivatives—Interest expense to third parties 34 (749) (694) Not Designated as Hedges Foreign exchange contracts—Other expenses $ $ 1,155 $ 4,128 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 December 31, 2018 and 2017, all of which are classified as Level 2: Level 2 2018 2017 Assets Interest rate derivatives $ 16,579 $ 8,751 Foreign exchange contracts 86 1,393 Total assets $ 16,665 $ 10,144 Liabilities Interest rate derivatives $ 9,264 $ 11,336 Foreign exchange contracts — 325 Total liabilities $ 9,264 $ 11,661 There were no transfers between Level 1, Level 2 and Level 3 hierarchy levels during the periods presented. Items Measured at Fair Value on a Nonrecurring Basis The Company may be required, from time to time, to measure certain other financial assets at fair value on a nonrecurring basis in accordance with U.S. GAAP. These adjustments to fair value usually result from application of lower of cost or market accounting or impairment charges of individual assets. Certain equipment held for sale measured at fair value on a nonrecurring basis at June 30, 2018 and December 31, 2017 was $144,913 and $123,503, respectively. The fair market value of these assets was based on an internal valuation methodology, which used industry guide book values adjusted for recent remarketing history and was classified as Level 3 under the fair value hierarchy. For the years ended December 31, 2018, 2017 and 2016, the Company recorded impairment losses on equipment held for sale of $2,894, $5,646 and $11,400, respectively. In addition, the Company recorded (gains) losses on the sale of the equipment held of $11,018, $9,784 and $(1,690) for the years ended December 31, 2018, 2017 and 2016, respectively. Both the impairment losses and the gains on the sale of equipment held were included in “Other expenses” in the accompanying consolidated statements of income. 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 December 31, 2018 and 2017 are as follows: 2018 2017 Carrying Estimated Carrying Estimated Amount Fair Value * Amount Fair Value * Receivables $ 9,950,926 $ 9,859,920 $ 10,421,545 $ 10,379,020 Long-term debt $ 6,259,839 $ 6,149,778 $ 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 which 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.

GEOGRAPHICAL INFORMATION

GEOGRAPHICAL INFORMATION	12 Months Ended
	Dec. 31, 2018
GEOGRAPHICAL INFORMATION
GEOGRAPHICAL INFORMATION	NOTE 11: GEOGRAPHICAL INFORMATION Based on how its operations are managed and evaluated by management, the Company is viewed as one operating segment. A summary of the Company’s geographical information is as follows: 2018 2017 2016 Revenues United States $ 693,191 $ 756,210 $ 780,071 Canada 192,645 187,107 170,825 Eliminations (7,482) (4,385) (4,175) Total $ 878,354 $ 938,932 $ 946,721 Interest expense United States $ 276,956 $ 279,542 $ 269,560 Canada 55,806 47,413 39,714 Eliminations (7,482) (4,385) (4,175) Total $ 325,280 $ 322,570 $ 305,099 Net income United States $ 97,790 $ 189,225 $ 121,122 Canada 59,055 61,264 66,390 Total $ 156,845 $ 250,489 $ 187,512 Depreciation and amortization United States $ 191,347 $ 238,037 $ 208,942 Canada 42,579 44,864 40,528 Total $ 233,926 $ 282,901 $ 249,470 Expenditures for equipment on operating leases United States $ 533,706 $ 507,349 $ 555,219 Canada 146,560 128,470 168,164 Total $ 680,266 $ 635,819 $ 723,383 Provision for credit losses United States $ 28,932 $ 40,516 $ 35,867 Canada 2,767 382 (5,021) Total $ 31,699 $ 40,898 $ 30,846 2018 2017 2016 Total assets United States $ $ $ Canada 2,838,754 2,400,814 Eliminations (62,732) (65,079) (374,161) Total $ $ $ Managed receivables United States $ 8,080,756 $ 8,265,090 $ 9,048,303 Canada 1,944,582 2,235,651 1,877,423 Total $ $ $

RELATED - PARTY TRANSACTIONS

RELATED - PARTY TRANSACTIONS	12 Months Ended
	Dec. 31, 2018
RELATED-PARTY TRANSACTIONS
RELATED-PARTY TRANSACTIONS	NOTE 12: 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 at December 31, 2018, 2017, and 2016 is as follows: 2018 2017 2016 Subsidy from CNH Industrial North America Retail $ 149,363 $ $ 170,425 Wholesale 123,615 166,426 156,654 Operating lease 60,841 70,138 Income from Iveco Argentina Wholesale factoring 10,881 5,199 — Income from affiliated receivables CNH Industrial North America 1,096 — 1,155 Other affiliates 137 150 — Total interest and other income from affiliates $ 345,933 $ $ 398,372 Interest expense to affiliates was $7,533, $11,442 and $7,218, respectively, for the years ended December 31, 2018, 2017 and 2016. Fees charged by affiliates were $47,475 and $46,431 and $45,225 for the years ended December 31, 2018, 2017 and 2016, respectively, and represents payroll and other human resource services CNH Industrial America performs on behalf of the Company. As of December 31, 2018 and 2017, the Company had various accounts and notes receivable and debt with the following affiliates: 2018 2017 Rate Maturity Amount Rate Maturity Amount Affiliated receivables CNH Industrial America — $ 24,724 — $ CNH Industrial Canada Ltd. — 6,233 — Other affiliates — 12,432 — Total affiliated receivables $ 43,389 $ Affiliated debt CNH Industrial America $ 99,455 $ 327,160 CNH Industrial Canada Ltd. 176,816 118,642 Total affiliated debt $ 276,271 $ 445,802 Included in “Other Assets” in the accompanying balance sheet were tax receivables due from related parties of $39,174 and $3,513 as of December 31, 2018 and 2017, respectively. Accounts payable and other accrued liabilities, including tax payables, of $4,740 and $60,070, respectively, as of December 31, 2018 and 2017, were payable to related parties.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	12 Months Ended
	Dec. 31, 2018
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	NOTE 13: 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. Guarantees The Company provides payment guarantees on the financial debt of various foreign financial services subsidiaries of CNHI for approximately $30,000. The guarantees are in effect for the term of the underlying funding facilities. Commitments The Company has various agreements to extend credit for the wholesale and dealer financing managed portfolio. At December 31, 2018, the total credit limit available was $5,919,819, of which $3,499,835 was utilized.

SUPPLEMENTAL CONDENSED CONSOLID

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION	12 Months Ended
	Dec. 31, 2018
SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION
SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION	NOTE 14: 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 December 31, 2018 and 2017 and for the three years ended December 31, 2018. The condensed consolidating financial information reflects investments in consolidated subsidiaries under the equity method of accounting. Condensed Statements of Comprehensive Income for the Year Ended December 31, 2018 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 9,170 $ 192,099 $ — $ 201,269 Interest income on wholesale notes — (1,030) 67,929 — 66,899 Interest and other income from affiliates 70,880 200,821 297,443 (223,211) 345,933 Rental income on operating leases — 187,089 54,493 — 241,582 Other income — 87,710 2,842 (67,881) 22,671 Total revenues 70,880 483,760 614,806 (291,092) 878,354 EXPENSES Interest expense: Interest expense to third parties 156,839 (8,767) 169,675 — 317,747 Interest expense to affiliates — 199,890 30,854 (223,211) 7,533 Total interest expense 156,839 191,123 200,529 (223,211) 325,280 Administrative and operating expenses: Fees charged by affiliates — 45,545 69,811 (67,881) 47,475 Provision for credit losses — 8,445 23,254 — 31,699 Depreciation of equipment on operating leases — 189,228 42,577 — 231,805 Other expenses 22 18,249 25,507 — 43,778 Total administrative and operating expenses 22 261,467 161,149 (67,881) 354,757 Total expenses 156,861 452,590 361,678 (291,092) 680,037 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (85,981) 31,170 253,128 — 198,317 Income tax provision (benefit) (20,995) 11,010 51,457 — 41,472 Equity in income of consolidated subsidiaries accounted for under the equity method 221,831 201,671 — (423,502) — NET INCOME $ 156,845 $ 221,831 $ 201,671 $ (423,502) $ 156,845 COMPREHENSIVE INCOME $ 110,009 $ 174,995 $ 161,250 $ (336,245) $ 110,009 Condensed Balance Sheets as of December 31, 2018 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated ASSETS Cash and cash equivalents $ — $ 118,508 $ 41,820 $ — $ 160,328 Restricted cash — — 639,543 — 639,543 Receivables, less allowance for credit losses — 1,472,678 8,478,248 — 9,950,926 Affiliated accounts and notes receivable 2,310,137 2,122,129 2,268,477 (6,657,354) 43,389 Equipment on operating leases, net — 1,357,493 366,724 — 1,724,217 Equipment held for sale — 192,772 17,219 — 209,991 Investments in consolidated subsidiaries accounted for under the equity method 2,796,050 2,461,139 — (5,257,189) — Goodwill and intangible assets, net — 91,754 26,827 — 118,581 Other assets 11,140 56,517 20,681 (3,401) 84,937 TOTAL $ 5,117,327 $ 7,872,990 $ 11,859,539 $ (11,917,944) $ 12,931,912 LIABILITIES AND STOCKHOLDER’S EQUITY Liabilities: Short-term debt, including current maturities of long-term debt $ 987,559 $ — $ 3,336,733 $ — $ 4,324,292 Accounts payable and other accrued liabilities 286,527 3,035,024 1,243,183 (3,848,956) 715,778 Affiliated debt — 2,041,926 1,046,144 (2,811,799) 276,271 Long-term debt 2,487,509 (10) 3,772,340 — 6,259,839 Total liabilities 3,761,595 5,076,940 9,398,400 (6,660,755) 11,576,180 Stockholder’s equity 1,355,732 2,796,050 2,461,139 (5,257,189) 1,355,732 TOTAL $ 5,117,327 $ 7,872,990 $ 11,859,539 $ (11,917,944) $ 12,931,912 Condensed Statements of Cash Flows for the Year Ended December 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 $ 142,488 $ 488,329 $ 143,064 $ (411,000) $ 362,881 CASH FLOWS FROM INVESTING ACTIVITIES: Cost of receivables acquired — (9,080,473) (9,991,699) 7,269,611 (11,802,561) Collections of receivables — 8,967,965 10,375,251 (7,270,276) 12,072,940 Purchase of equipment on operating leases, net — (146,618) (65,391) — (212,009) Change in property and equipment and software, net — (5,427) — — (5,427) Net cash from (used in) investing activities — (264,553) 318,161 (665) 52,943 CASH FLOWS FROM FINANCING ACTIVITIES: Intercompany activity — (211,322) (128,802) 185,948 (154,176) Net change in indebtedness (12,488) (54,285) (140,562) — (207,335) Dividends paid to CNH Industrial America LLC (130,000) — (225,717) 225,717 (130,000) Net cash from (used in) financing activities (142,488) (265,607) (495,081) 411,665 (491,511) DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH — (41,831) (33,856) — (75,687) CASH AND CASH EQUIVALENTS AND RESTRICTED CASH: Beginning of year — 160,339 715,219 — 875,558 End of year $ — $ 118,508 $ 681,363 $ — $ 799,871 Condensed Statements of Comprehensive Income for the Year Ended December 31, 2017 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 16,206 $ 185,327 $ — $ 201,533 Interest income on wholesale notes — (1,107) 66,828 — 65,721 Interest and other income from affiliates 100,033 243,273 326,346 (271,394) 398,258 Rental income on operating leases — 197,859 53,750 — 251,609 Other income — 94,408 1,906 (74,503) 21,811 Total revenues 100,033 550,639 634,157 (345,897) 938,932 EXPENSES Interest expense: Interest expense to third parties 164,836 2,125 144,167 — 311,128 Interest expense to affiliates — 236,267 46,569 (271,394) 11,442 Total interest expense 164,836 238,392 190,736 (271,394) 322,570 Administrative and operating expenses: Fees charged by affiliates — 44,666 76,268 (74,503) 46,431 Provision for credit losses — 11,090 29,808 — 40,898 Depreciation of equipment on operating leases — 235,911 44,854 — 280,765 Other expenses — 33,176 11,651 — 44,827 Total administrative and operating expenses — 324,843 162,581 (74,503) 412,921 Total expenses 164,836 563,235 353,317 (345,897) 735,491 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (64,803) (12,596) 280,840 — 203,441 Income tax provision (benefit) (24,331) (148,033) 125,316 — (47,048) Equity in income of consolidated subsidiaries accounted for under the equity method 290,961 155,524 — (446,485) — NET INCOME $ 250,489 $ 290,961 $ 155,524 $ (446,485) $ 250,489 COMPREHENSIVE INCOME $ 294,462 $ 334,934 $ 192,936 $ (527,870) $ 294,462 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 Year Ended December 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 $ 564,252 $ 838,812 $ 130,049 $ (922,660) $ 610,453 CASH FLOWS FROM INVESTING ACTIVITIES: Cost of receivables acquired — (8,276,424) (9,446,211) 6,808,056 (10,914,579) Collections of receivables — 8,316,852 9,897,291 (6,808,286) 11,405,857 Purchase of equipment on operating leases, net — (136,711) (63,230) — (199,941) Change in property and equipment and software, net — (1,614) — — (1,614) Net cash from (used in) investing activities — (97,897) 387,850 (230) 289,723 CASH FLOWS FROM FINANCING ACTIVITIES: Intercompany activity — (683,231) 48,874 922,890 288,533 Net change in indebtedness (279,252) (48,999) (576,992) — (905,243) Dividends paid to CNH Industrial America LLC (285,000) — — — (285,000) Net cash from (used in) financing activities (564,252) (732,230) (528,118) 922,890 (901,710) INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH — 8,685 (10,219) — (1,534) CASH AND CASH EQUIVALENTS AND RESTRICTED CASH: Beginning of year — 151,654 725,438 — 877,092 End of year $ — $ 160,339 $ 715,219 $ — $ 875,558 Condensed Statements of Comprehensive Income for the Year Ended December 31, 2016 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 15,990 $ 195,516 $ — $ 211,506 Interest income on wholesale notes — (96) 69,006 — 68,910 Interest and other income from affiliates 97,254 232,020 324,262 (255,164) 398,372 Rental income on operating leases — 196,911 46,620 — 243,531 Other income — 103,422 2,837 (81,857) 24,402 Total revenues 97,254 548,247 638,241 (337,021) 946,721 EXPENSES Interest expense: Interest expense to third parties 162,264 6,209 129,408 — 297,881 Interest expense to affiliates — 226,544 35,838 (255,164) 7,218 Total interest expense 162,264 232,753 165,246 (255,164) 305,099 Administrative and operating expenses: Fees charged by affiliates — 43,469 83,613 (81,857) 45,225 Provision for credit losses — 9,879 20,967 — 30,846 Depreciation of equipment on operating leases — 206,924 40,514 — 247,438 Other expenses — 28,035 8,262 — 36,297 Total administrative and operating expenses — (81,857) Total expenses 162,264 521,060 318,602 (337,021) 664,905 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (65,010) 27,187 319,639 — 281,816 Income tax provision (benefit) (24,261) 10,204 108,361 — 94,304 Equity in income of consolidated subsidiaries accounted for under the equity method 228,261 211,278 — (439,539) — NET INCOME $ 187,512 $ 228,261 $ 211,278 $ (439,539) $ 187,512 COMPREHENSIVE INCOME $ 204,914 $ 245,663 $ 225,994 $ (471,657) $ 204,914 Condensed Statements of Cash Flows for the Year Ended December 31, 2016 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated CASH FLOWS FROM OPERATING ACTIVITIES: Net cash from (used in) operating activities $ (102,001) $ (9,907) $ 638,851 $ 158,127 $ 685,070 CASH FLOWS FROM INVESTING ACTIVITIES: Cost of receivables acquired — (8,575,745) (9,116,990) 6,888,764 (10,803,971) Collections of receivables — 8,660,606 9,775,641 (6,889,105) 11,547,142 Purchase of equipment on operating leases, net — (255,439) (105,992) — (361,431) Change in property and equipment and software, net — (887) (3) — (890) Net cash from (used in) investing activities — (171,465) 552,656 (341) 380,850 CASH FLOWS FROM FINANCING ACTIVITIES: Intercompany activity — 172,351 224,700 (286,842) 110,209 Net change in indebtedness 392,001 (21,166) (1,477,741) — (1,106,906) Dividends paid to CNH Industrial America LLC (290,000) — (129,056) 129,056 (290,000) Net cash from (used in) financing activities 102,001 151,185 (1,382,097) (157,786) (1,286,697) DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH — (30,187) (190,590) — (220,777) CASH AND CASH EQUIVALENTS AND RESTRICTED CASH: Beginning of year — 181,841 916,028 — 1,097,869 End of year $ — $ 151,654 $ 725,438 $ — $ 877,092

SUPPLEMENTAL QUARTERLY INFORMAT

SUPPLEMENTAL QUARTERLY INFORMATION (UNAUDITED)	12 Months Ended
	Dec. 31, 2018
SUPPLEMENTAL QUARTERLY INFORMATION (UNAUDITED)
SUPPLEMENTAL QUARTERLY INFORMATION (UNAUDITED)	NOTE 15: SUPPLEMENTAL QUARTERLY INFORMATION (UNAUDITED) For the Year Ended December 31, 2018 First Second Third Fourth Fiscal Quarter Quarter Quarter Quarter Year Revenues $ $ $ $ 214,561 $ 878,354 Interest expense 78,428 78,804 81,557 86,491 325,280 Administrative and operating expenses 96,020 85,287 83,332 90,118 354,757 Income tax provision 12,120 14,422 8,111 6,819 41,472 Net income $ 39,803 $ 47,628 $ 38,281 $ 31,133 $ 156,845 For the Year Ended December 31, 2017 First Second Third Fourth Fiscal Quarter Quarter Quarter Quarter Year Revenues $ 232,834 $ 229,863 $ 234,889 $ 241,346 $ 938,932 Interest expense 74,728 78,797 79,772 89,273 322,570 Administrative and operating expenses 101,676 95,994 106,591 108,660 412,921 Income tax provision 18,037 16,885 14,387 Net income $ 38,393 $ 38,187 $ 34,139 $ 139,770 $ 250,489

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	12 Months Ended
	Dec. 31, 2018
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS	NOTE 16: SUBSEQUENT EVENTS On February 6, 2019, the Company, through a trust, issued $786,040 of amortizing asset-backed notes secured by U.S. retail loan receivables.

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	12 Months Ended
	Dec. 31, 2018
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Principles of Consolidation and Basis of Presentation	Principles of Consolidation and Basis of Presentation The Company has prepared the accompanying consolidated financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). 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. Certain prior period balances have been reclassified to conform to the current year presentation.
Use of Estimates in the Preparation of Financial Statements	Use of Estimates in the Preparation of Financial Statements 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.
Revenue Recognition	Revenue Recognition Finance and interest income on retail notes and finance leases and on wholesale notes is recorded using the effective yield method. Deferred costs on the origination of financing receivables are recognized as a reduction in finance revenue over the expected lives of the receivables using the effective yield method. Recognition of income on receivables is suspended when management determines that collection of future income is not probable or when an account becomes 120 days delinquent, whichever occurs earlier. Income accrual is resumed if the receivable becomes contractually current and collection doubts are removed. Previously suspended income is recognized at that time. The Company applies cash received on nonaccrual financing receivables to first reduce any unrecognized interest and then the recorded investment and any other fees. 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. 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. A substantial portion of the Company’s interest income arises from retail sales programs offered by CNH Industrial North America on which finance charges are waived or below-market rate financing programs are offered. When the Company acquires retail installment sales contracts and finance leases subject to below-market interest rates, including waived interest rate financing, the Company receives compensation from CNH Industrial North America based on the Company’s estimated costs and a targeted return on equity. This amount is initially recognized as an unearned finance charge and is recognized as interest income over the term of the retail notes and finance leases, and is included in “Interest and other income from affiliates” in the accompanying consolidated statements of income. For selected wholesale receivables, CNH Industrial North America compensates the Company based on the Company’s estimated costs and a targeted return on equity. These amounts are included in “Interest and other income from affiliates” in the accompanying consolidated statements of income. The Company is also compensated for lending funds to CNH Industrial North America. The amounts earned are included in “Interest and other income from affiliates” in the accompanying consolidated statements of income. Income from operating leases is recognized over the term of the lease on a straight-line basis. For selected operating leases, CNH Industrial North America compensates the Company based on the Company’s estimated costs and a targeted return on equity. The amounts from CNH Industrial North America recognized as rental income on operating leases are included in “Interest and other income from affiliates.”
Foreign Currency Translation	Foreign Currency Translation The Company’s non‑U.S. subsidiaries maintain their books and accounting records using local currency as the functional currency. Assets and liabilities of these non‑U.S. subsidiaries are translated into U.S. dollars at period‑end exchange rates, and net exchange gains or losses resulting from such translation are included in “Accumulated other comprehensive income” in the accompanying consolidated balance sheets. Income and expense accounts of these non‑U.S. subsidiaries are translated at the average exchange rates for the period, and gains and losses from foreign currency transactions are included in net income in the period that they arise.
Cash and Cash Equivalents	Cash and Cash Equivalents Cash equivalents are highly liquid investments with an original maturity of three months or less. The carrying value of cash equivalents approximates fair value because of the short maturity of these investments.
Restricted Cash	Restricted Cash Restricted cash includes principal and interest payments from retail notes and wholesale receivables owned by the consolidated VIEs that are payable to the VIEs’ investors, and cash pledged as a credit enhancement to the same investors. These amounts are held by depository banks in order to comply with contractual agreements.
Receivables	Receivables Receivables are recorded at amortized cost, net of allowances for credit losses and deferred fees and costs. Periodically, the Company sells or transfers retail and wholesale receivables to funding facilities or in securitization transactions. In accordance with the accounting guidance regarding transfers of financial assets and the consolidation of VIEs, the majority of the retail and wholesale receivables sold in securitizations do not qualify as sales and are recorded as secured borrowings with no gains or losses recognized at the time of securitization. Receivables associated with these securitization transactions and receivables that the Company has the ability and intent to hold for the foreseeable future are classified as held for investment. The substantial majority of the Company’s receivables, which include unrestricted receivables and restricted receivables for securitization investors, are classified as held for investment.
Allowance for Credit Losses	Allowance for Credit Losses The allowance for credit losses is the Company’s estimate of losses on 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.
Equipment on Operating Leases	Equipment on Operating Leases The Company purchases leases and equipment from CNH Industrial North America dealers and other independent third parties that have leased equipment to retail customers under operating leases. The Company’s investment in operating leases is based on the purchase price paid for the equipment. Income from these operating leases is recognized over the term of the lease. The equipment is depreciated on a straight-line basis over the term of the lease to the estimated residual value at lease termination. Residual values are estimated at the inception of the lease and are reviewed quarterly. Realization of the residual values is dependent on the Company’s future ability to re-market the equipment under then prevailing market conditions. Equipment model changes and updates, as well as market strength and product acceptance, are monitored and adjustments are made to residual values in accordance with the significance of any such changes. Management believes that the estimated residual values are realizable. Expenditures for maintenance and repairs are the responsibility of the lessee. The Company evaluates the carrying amount of equipment on operating leases for potential impairment when it determines a triggering event has occurred. When a triggering event occurs, a test for recoverability is performed comparing projected undiscounted future cash flows to the carrying amount of the asset. If the test for recoverability identifies a possible impairment, the asset’s fair value is measured in accordance with the fair value measurement framework. An impairment charge would be recognized for the amount by which the carrying amount of the asset exceeds its estimated fair value. Equipment returned to the Company upon termination of leases and held for subsequent sale or lease is recorded at the lower of net book value or estimated fair value of the equipment, less cost to sell, and is not depreciated.
Goodwill and Intangible Assets	Goodwill and Intangible Assets Goodwill represents the excess of the aggregate purchase price over the fair value of the net assets acquired. Goodwill is deemed to have an indefinite useful life and is reviewed for impairment at least annually. During 2018 and 2017, the Company performed its annual impairment review as of December 31, and concluded that there was no impairment in either year. Other intangible assets consist of software and are being amortized on a straight‑line basis over five years.
Income Taxes	Income Taxes The provision for income taxes is determined using the asset and liability method. The Company recognizes a current tax liability or asset for the estimated taxes payable or refundable on tax returns for the current year and tax contingencies estimated to be settled with taxing authorities within one year. A deferred tax liability or asset is recognized for the estimated future tax effects attributable to temporary differences and tax loss carryforwards. The measurement of current and deferred tax liabilities and assets is based on provisions of enacted tax law. Valuation allowances are recorded to reduce deferred tax assets when it is more likely than not that a tax benefit will not be realized based on available evidence.
Derivatives	Derivatives The Company’s policy is to enter into derivative transactions to manage exposures that arise in the normal course of business and not for trading or speculative purposes. The Company records derivative financial instruments in the consolidated balance sheets as either an asset or liability measured at fair value. The fair value of the Company’s interest rate derivatives is based on discounting expected cash flows, using market interest rates, over the remaining term of the instrument. The fair value of the Company’s foreign exchange derivatives is based on market exchange rates, adjusted for the respective interest rate differentials (premiums or discounts). Changes in the fair value of derivative financial instruments are recognized in current income unless specific hedge accounting criteria are met. For derivative financial instruments designated to hedge exposure to changes in the fair value of a recognized asset or liability, the gain or loss is recognized in income in the period of change together with the offsetting loss or gain on the related hedged item. For derivative financial instruments designated to hedge exposure to variable cash flows of a forecasted transaction, the effective portion of the derivative financial instrument’s gain or loss is initially reported in accumulated other comprehensive income and is subsequently reclassified into income when the forecasted transaction affects income. The ineffective portion of the gain or loss is recorded in income immediately. For derivative financial instruments that are not designated as hedges but held as economic hedges, the gain or loss is recognized immediately in income. For derivative financial instruments designated as hedges, the Company formally documents the hedging relationship to the hedged item and its risk management strategy. This includes linking all derivatives that are designated as fair value hedges to specific assets and liabilities contained in the consolidated balance sheets and linking cash flow hedges to specific forecasted transactions or variability of cash flow. The Company assesses the effectiveness of its hedging instruments both at inception and on an ongoing basis. If a derivative is determined not to be highly effective as a hedge, or the underlying hedged transaction is no longer probable of occurring, or the derivative is terminated, the hedge accounting described above is discontinued and the derivative is marked to fair value and recorded in income through the remainder of its term.
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. Entities have the option to apply the new guidance under a retrospective approach to each prior reporting period presented, and the cumulative effect of applying the standard would be recognized at the earliest period shown 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 this 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. 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 impact to the consolidated statement of cash flows for the years ended December 31, 2017 and 2016 was to increase cash flows from changes in accounts payable and other accrued liabilities by $7,643 and $3,300, respectively, eliminate cash flows from changes in restricted cash of $71,876 and $86,176, respectively, and to decrease cash, cash equivalents and restricted cash by $64,233 and $82,876, respectively. In March 2017, the FASB issued ASU No. 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 amendments in this update require that an employer disaggregate the service cost component from the 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 the 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, and early adoption is permitted. 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. ASU 2016-01 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 (“ASC 840”) Subsequently, the FASB has issued additional ASUs, which further clarify this guidance. The ASU’s most prominent change is the requirement for lessees to recognize leased assets and liabilities classified as operating leases under the previous standard. 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 and early adoption is permitted. The original transition guidance in ASU 2016-02 required a modified retrospective approach. In July 2018, the FASB issued ASU No. 2018-11, Leases (Topic 842): Targeted Improvements (“ASU 2018-11”), an amendment to ASU 2016-02, which provides entities with an additional transition method to adopt the new leases standard. Under this new transition method, an entity initially applies the new leases standard at the adoption date and recognizes a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. If the transition option in ASU 2018-11 is elected, reporting for the comparative periods presented in the financial statements in which the entity adopts the new leases standard will continue to be in accordance with ASC 840. The Company will adopt the new standard effective January 1, 2019, using the modified retrospective approach which requires it to recognize a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption, without recasting prior periods. The Company will elect certain practical expedients upon transition, including: not to reassess under the new guidance its prior conclusions about lease identification, lease classification and initial direct costs; and, those provided for short-term leases. The Company does not believe the adoption of the standard will have a material impact 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 . In November 2018, the FASB issued ASU No. 2018-19, Codification Improvements to Topic 326, Financial Instruments – Credit Losses (“ASU 2018-19”), which amended ASC 326. 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. ASU 2016-13 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”) and in October 2018, the FASB issued ASU No. 2018-16, Inclusion of the Secured Overnight Financial Rate (SOFR) Overnight Index Swap Rate (OIS) as a Benchmark Interest Rate for Hedge Accounting Purposes (“ASU 2018-16”), which together amend 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 does not believe the adoption of this standard will have a material impact on its consolidated financial statements. In February 2018, the FASB issued ASU No. 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 (the “U.S. Tax Act”). Included in the provisions of U.S. Tax Act is a reduction of the corporate income tax rate from 35 percent to 21 percent. U.S. GAAP requires that remeasurement of deferred taxes to the new corporate tax rate occur in the period in which 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. ASU 2018-02 is effective for annual reporting periods beginning after December 15, 2018 including interim periods within those fiscal years, and 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 does not believe the adoption of this standard will have a material impact on its consolidated financial statements. In August 2018, the FASB issued ASU No. 2018-13, Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”), which amends ASC 820, Fair Value Measurement . This ASU modifies the disclosure requirements for fair value measurements by removing, modifying, or adding certain disclosures. The effective date is the first quarter of fiscal year 2021, with early adoption permitted for the removed disclosures and delayed adoption until fiscal year 2021 permitted for the new disclosures. The removed and modified disclosures will be adopted on a retrospective basis and the new disclosures will be adopted on a prospective basis. The Company is currently evaluating the impact the adoption of this standard will have on its consolidated financial statements. In August 2018, the FASB issued ASU No. 2018-15, Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement (“ASU 2018-15”), which expands upon the guidance set forth in ASU 2015-05, Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement . ASU 2018-15 aligns the requirements for capitalization of implementation costs in a cloud computing service contract with those requirements for capitalization of implementation costs incurred for an internal-use software license. ASU 2018-15 is effective for annual periods beginning after December 15, 2019, including interim periods within those fiscal years, and early adoption is permitted in any interim period for which financial statements have not been issued. ASU 2018-15 may be applied prospectively from the date the guidance is first applied or retrospectively. The Company is currently evaluating the impact the adoption of this standard will have on its consolidated financial statements. In August 2018, the SEC adopted a final rule that amends certain disclosure requirements that have become duplicative, overlapping, or outdated in light of other SEC disclosure requirements, U.S. GAAP, or changes in the information environment. However, the guidance also added requirements for registrants to include in their interim financial statements a reconciliation of changes in stockholders’ equity for each period for which an income statement is required (both year-to-date and quarterly periods). The final rule is effective for all filings made on or after November 5, 2018. However, the SEC staff said it would not object to a registrant waiting to comply with the new interim disclosure requirement until the filing for the quarter that begins after the effective date. As a result, the Company plans to adopt the new interim disclosure requirement in its Form 10-Q for the three months ended March 31, 2019. The Company is currently evaluating the impact compliance with this rule will have on its consolidated financial statements.

ACCUMULATED OTHER COMPREHENSI_2

ACCUMULATED OTHER COMPREHENSIVE INCOME (Tables)	12 Months Ended
	Dec. 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 year ended December 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 (48,009) 419 726 (46,864) Amounts reclassified from accumulated other comprehensive income (loss) — 463 (34) 429 Tax effects — (217) (184) (401) Net current-period other comprehensive income (loss) (48,009) 665 508 (46,836) Total $ (146,726) $ (2,497) $ 2,224 $ (146,999) The following table summarizes the change in the components of the Company’s AOCI balance and related tax effects for the year ended December 31, 2017: Currency Unrealized Translation Pension (Losses) Gains Adjustment Liability on Derivatives Total Beginning balance, gross $ (139,585) $ (5,768) $ (1,213) $ (146,566) Tax asset — 2,107 323 2,430 Beginning balance, net of tax (139,585) (3,661) (890) (144,136) Other comprehensive income (loss) before reclassifications 40,868 114 2,797 43,779 Amounts reclassified from accumulated other comprehensive income (loss) — 702 749 1,451 Tax effects — (317) (940) (1,257) Net current-period other comprehensive income (loss) 40,868 499 2,606 43,973 Total $ (98,717) $ (3,162) $ 1,716 $ (100,163)
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: $ (463) $ (702) Various line items individually insignificant (463) Income before taxes 114 273 Income tax benefit $ (349) $ (429) Net of tax Unrealized losses on derivatives: $ 34 $ (749) Interest expense to third parties 34 Income before taxes (9) 199 Income tax benefit $ 25 $ (550) Net of tax

RECEIVABLES (Tables)

RECEIVABLES (Tables)	12 Months Ended
	Dec. 31, 2018
Receivables
Summary of receivables	2018 2017 Retail $ 753,388 $ 768,502 Wholesale 747,191 671,740 Wholesale factoring — 235,834 Finance lease 63,936 58,198 Restricted receivables 8,460,823 8,766,467 Gross receivables 10,025,338 10,500,741 Less: Allowance for credit losses (74,412) (79,196) Total receivables, net $ 9,950,926 $ 10,421,545
Maturities of receivables as of December 31, 2017, are as follows:	2019 $ 5,619,826 2020 1,548,323 2021 1,223,685 2022 900,707 2023 and thereafter 732,797 Total receivables $ 10,025,338
Summary of restricted receivables	2018 2017 Retail $ 5,623,730 $ 6,042,186 Wholesale 2,837,093 2,724,281 Total restricted receivables $ 8,460,823 $ 8,766,467
Schedule of allowance for credit losses activity	Allowance for credit losses activity for the year ended December 31, 2018 is as follows: Retail Wholesale Total Allowance for credit losses: Beginning balance $ 73,610 $ 5,586 $ 79,196 Charge-offs (39,375) (1,567) (40,942) Recoveries 4,702 71 4,773 Provision (benefit) 28,277 3,422 31,699 Foreign currency translation and other (270) (44) (314) Ending balance $ 66,944 $ 7,468 $ 74,412 Ending balance: individually evaluated for impairment $ 15,801 $ 4,825 $ 20,626 Ending balance: collectively evaluated for impairment $ 51,143 $ 2,643 $ 53,786 Receivables: Ending balance $ 6,441,054 $ 3,584,284 $ 10,025,338 Ending balance: individually evaluated for impairment $ 31,148 $ 24,513 $ 55,661 Ending balance: collectively evaluated for impairment $ 6,409,906 $ 3,559,771 $ 9,969,677 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 (benefit) 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 Allowance for credit losses activity for the year ended December 31, 2016 is as follows: Retail Wholesale Total Allowance for credit losses: Beginning balance $ 88,405 $ 6,319 $ 94,724 Charge-offs (42,949) (1) (42,950) Recoveries 3,228 522 3,750 Provision (benefit) 30,915 (69) 30,846 Foreign currency translation and other (1,552) 77 (1,475) Ending balance $ 78,047 $ 6,848 $ 84,895 Ending balance: individually evaluated for impairment $ 18,113 $ 4,250 $ 22,363 Ending balance: collectively evaluated for impairment $ 59,934 $ 2,598 $ 62,532 Receivables: Ending balance $ 7,398,017 $ 3,527,709 $ 10,925,726 Ending balance: individually evaluated for impairment $ 31,383 $ 43,659 $ 75,042 Ending balance: collectively evaluated for impairment $ 7,366,634 $ 3,484,050 $ 10,850,684
Schedule of aging of financing receivables	The aging of receivables as of December 31, 2018 and 2017 is as follows: 2018 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 $ 19,318 $ 6,372 $ 24,772 $ 50,462 $ 5,239,777 $ 5,290,239 $ 4,573 Canada $ 1,398 $ 510 $ 2,326 $ 4,234 $ 1,146,581 $ 1,150,815 $ 911 Wholesale United States $ 484 $ 10 $ 1,368 $ 1,862 $ 2,788,655 $ 2,790,517 $ 387 Canada $ 3 $ — $ 436 $ 439 $ 793,328 $ 793,767 $ 1 Total Retail $ 20,716 $ 6,882 $ 27,098 $ 54,696 $ 6,386,358 $ 6,441,054 $ 5,484 Wholesale $ 487 $ 10 $ 1,804 $ 2,301 $ 3,581,983 $ 3,584,284 $ 388 2017 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	December 31, 2018 Unpaid Average Recorded Principal Related Recorded Investment Balance Allowance Investment Retail United States $ 30,959 $ 29,783 $ 15,347 $ 32,787 Canada $ 189 $ 180 $ 454 $ 248 Wholesale United States $ 24,513 $ 22,985 $ 4,825 $ 27,269 Total Retail $ 31,148 $ 29,963 $ 15,801 $ 33,035 Wholesale $ 24,513 $ 22,985 $ 4,825 $ 27,269 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	2018 2017 Retail Wholesale Total Retail Wholesale Total United States $ 27,069 $ 22,985 $ 50,054 $ 40,968 $ 43,531 $ 84,499 Canada $ 1,428 $ — $ 1,428 $ 2,538 $ — $ 2,538
Retail
Receivables
Schedule of breakdown of the portfolio by its credit quality indicators	2018 2017 Titanium $ 3,367,239 $ 3,734,313 Platinum 1,942,784 2,002,791 Gold 943,816 952,404 Silver 152,338 146,051 Bronze 34,877 33,327 Total $ 6,441,054 $ 6,868,886
Wholesale
Receivables
Schedule of breakdown of the portfolio by its credit quality indicators	2018 2017 A $ $ 1,222,813 B 1,425,591 C 527,735 439,353 D 308,264 Total $ $ 3,396,021

EQUIPMENT ON OPERATING LEASES (

EQUIPMENT ON OPERATING LEASES (Tables)	12 Months Ended
	Dec. 31, 2018
EQUIPMENT ON OPERATING LEASES
Summary of equipment on operating leases	2018 2017 Equipment on operating leases $ 2,052,822 $ 2,139,099 Accumulated depreciation (328,605) (357,610) Total equipment on operating leases, net $ 1,724,217 $
Schedule of lease payments owed to the Company for equipment under non-cancelable operating leases	2019 $ 169,387 2020 128,197 2021 69,883 2022 23,120 2023 and thereafter 5,173 Total lease payments $ 395,760

GOODWILL AND INTANGIBLE ASSETS

GOODWILL AND INTANGIBLE ASSETS (Tables)	12 Months Ended
	Dec. 31, 2018
GOODWILL AND INTANGIBLE ASSETS
Schedule of changes in the carrying amount of goodwill	2018 2017 Balance, beginning of year $ 110,588 $ 108,715 Foreign currency translation adjustment (2,189) 1,873 Balance, end of year $ 108,399 $ 110,588
Schedule of the Company's intangible asset and related accumulated amortization for its software	2018 2017 Software $ 30,625 $ 25,197 Accumulated amortization (20,443) (18,329) Total software, net $ 10,182 $ 6,868

OTHER ASSETS (Tables)

OTHER ASSETS (Tables)	12 Months Ended
	Dec. 31, 2018
OTHER ASSETS
Schedule of components of other assets	2018 2017 Tax receivables $ 39,174 $ 6,566 Deferred tax assets 14,955 10,275 Derivative assets 16,665 10,144 Other current assets 14,143 7,396 Total other assets $ 84,937 $ 34,381

CREDIT FACILITIES AND DEBT (Tab

CREDIT FACILITIES AND DEBT (Tables)	12 Months Ended
	Dec. 31, 2018
Schedule of the Company's debt and credit facilities	2018 Current Maturities of Total Short-Term Long-Term Long-Term Maturity (1) Facility/Debt Outstanding Outstanding Outstanding Available Committed Asset-Backed Facilities Retail - U.S. Sep 2020 $ 1,200,000 $ — $ 139,556 $ 474,294 $ 586,150 Retail - Canada Dec 2020 366,870 — 18,095 27,861 320,914 Wholesale VFN - U.S. Various 800,000 800,000 — — — Wholesale VFN - Canada Dec 2020 429,788 429,788 — — — 2,796,658 1,229,788 157,651 502,155 907,064 Secured Debt Amortizing retail term ABS - N.A. Various 4,808,679 — 1,853,908 2,954,771 — Unamortized issuance costs (14,779) — — (14,779) — 4,793,900 — 1,853,908 2,939,992 — Unsecured Credit Lines and Facilities Credit lines Various 195,386 195,386 — — — Revolving credit facilities Various 825,569 — — 330,183 495,386 1,020,955 195,386 — 330,183 495,386 Unsecured Debt Commercial paper Various 389,000 389,000 — — — Notes Various 3,000,000 — 500,000 2,500,000 — Hedging effects, discounts and unamortized issuance costs (13,932) (1,108) (333) (12,491) — 3,375,068 387,892 499,667 2,487,509 — Total credit facilities and debt $ 11,986,581 $ 1,813,066 $ 2,511,226 $ 6,259,839 $ 1,402,450 (1) Maturity dates reflect maturities of the credit facility, which may be different than the maturities of the advances under the facility. 2017 Current Maturities of Total Short-Term Long-Term Long-Term Maturity (1) Facility/Debt Outstanding Outstanding Outstanding Available Committed Asset-Backed Facilities Retail - U.S. Sep 2019 $ 1,200,000 $ — $ 60,099 $ 160,301 $ 979,600 Retail - Canada Dec 2019 398,730 — 57,814 158,401 182,515 Wholesale VFN - U.S. Various 800,000 800,000 — — — Wholesale VFN - Canada Dec 2019 467,112 461,167 — — 5,945 2,865,842 1,261,167 117,913 318,702 1,168,060 Secured Debt Amortizing retail term ABS - N.A. Various 5,567,786 — 2,176,929 3,390,857 — Other ABS financing - N.A. Various 54,275 — 45,937 8,338 — Unamortized issuance costs (17,507) — — (17,507) — 5,604,554 — 2,222,866 3,381,688 — Unsecured Credit Lines and Facilities Credit lines Various 300,000 300,000 — — — Revolving credit facilities Various 659,492 — — 159,492 500,000 959,492 300,000 — 159,492 500,000 Unsecured Debt Commercial paper Various 115,000 115,000 — — — Notes Various 3,100,000 — 600,000 2,500,000 — Hedging effects, discounts and unamortized issuance costs (26,601) (89) 607 (27,119) — 3,188,399 114,911 600,607 2,472,881 — Total credit facilities and debt $ 12,618,287 $ 1,676,078 $ 2,941,386 $ 6,332,763 $ 1,668,060 (1) Maturity dates reflect maturities of the credit facility, which may be different than the maturities of the advances under the facility
Summary of the minimum annual repayments of long-term debt	2020 $ 2,367,515 2021 2,023,312 2022 1,219,488 2023 109,084 2024 and thereafter 540,440 Total $ 6,259,839
Unsecured Debt
Schedule of the Company's debt and credit facilities	As of December 31, 2018, the Company’s outstanding unsecured senior notes were as follows: 3.375% notes, due 2019 $ 500,000 4.375% notes, due 2020 600,000 4.875% notes, due 2021 500,000 3.875% notes, due 2021 400,000 4.375% notes, due 2022 500,000 4.200% notes, due 2024 500,000 Hedging effects, discounts and unamortized issuance costs (10,985) Total $ 2,989,015

INCOME TAXES (Tables)

INCOME TAXES (Tables)	12 Months Ended
	Dec. 31, 2018
INCOME TAXES
Schedule of sources of income before taxes	2018 2017 2016 Domestic $ 120,375 $ 121,729 $ 193,765 Foreign 77,942 81,712 88,051 Income before taxes $ 198,317 $ 203,441 $ 281,816
Schedule of provision for income taxes	2018 2017 2016 Current income tax expense (benefit): Domestic $ (11,719) $ 16,151 $ 38,845 Foreign 24,937 17,711 17,692 Total current income tax expense 13,218 33,862 56,537 Deferred income tax expense (benefit): Domestic 34,304 (83,647) 33,798 Foreign (6,050) 2,737 3,969 Total deferred income tax expense 28,254 (80,910) 37,767 Total tax provision $ 41,472 $ (47,048) $ 94,304
Schedule of reconciliation of statutory and effective income tax rate	2018 2017 2016 Tax provision at statutory rate 21.0 % 35.0 % 35.0 % State taxes 1.8 5.9 4.7 Foreign taxes (3.4) (8.5) (5.2) Tax contingencies — — Withholding taxes and credits — — Tax credits and incentives (0.9) (0.6) (0.6) Tax rate and legislative changes (1.4) (54.5) — Other (0.2) (0.4) (0.4) Total tax provision effective rate 20.9 % (23.1) % 33.5 %
Schedule of components of net deferred tax liability	2018 2017 Deferred tax assets: Pension, postretirement and post-employment benefits $ 1,918 $ 1,986 Marketing and sales incentive programs 53,259 39,836 Allowance for credit losses 17,534 18,539 Other accrued liabilities 7,825 471 Tax loss and tax credit carry forwards 4,314 1,892 Total deferred tax assets $ 84,850 $ 62,724 Deferred tax liability: Equipment on operating lease $ $ 268,129 Deferred tax liability, net (1) $ $ (205,405) (1) In the accompanying consolidated balance sheets, the US net deferred tax position in 2018 and 2017 is included in “Accounts payable and other accrued liabilities” while the Canadian net deferred tax position in 2018 and 2017 is included in “Other assets”.
Schedule of reconciliation of the gross amounts of tax contingencies at the beginning and end of the year	2018 2017 2016 Balance, beginning of year $ — $ — $ — Additions based on tax positions related to prior years 4,274 — — Reductions for tax positions of prior years — — — Settlements — — — Balance, end of year $ 4,274 $ — $ —

FINANCIAL INSTRUMENTS (Tables)

FINANCIAL INSTRUMENTS (Tables)	12 Months Ended
	Dec. 31, 2018
FINANCIAL INSTRUMENTS
Schedule of fair values of derivatives in the consolidated balance sheets	2018 2017 Derivatives Designated as Hedging Instruments Other assets: Interest rate derivatives $ 15,422 $ 4,113 Accounts payable and other accrued liabilities: Interest rate derivatives $ 8,107 $ 6,698 Derivatives Not Designated as Hedging Instruments Other assets: Interest rate derivatives $ 1,157 $ 4,638 Foreign exchange contracts 86 1,393 Total $ 1,243 $ 6,031 Accounts payable and other accrued liabilities: Interest rate derivatives $ 1,157 $ 4,638 Foreign exchange contracts — 325 Total $ 1,157 $ 4,963
Schedule of pre-tax gains (losses) on the consolidated statements of income related to the Company's derivatives	2018 2017 2016 Cash Flow Hedges Recognized in accumulated other comprehensive income (loss) (effective portion): Interest rate derivatives $ 726 $ 2,797 $ 1,277 Reclassified from accumulated other comprehensive income (loss) (effective portion): Interest rate derivatives—Interest expense to third parties 34 (749) (694) Not Designated as Hedges Foreign exchange contracts—Other expenses $ $ 1,155 $ 4,128
Schedule of assets and liabilities measured at fair value on a recurring basis	Level 2 2018 2017 Assets Interest rate derivatives $ 16,579 $ 8,751 Foreign exchange contracts 86 1,393 Total assets $ 16,665 $ 10,144 Liabilities Interest rate derivatives $ 9,264 $ 11,336 Foreign exchange contracts — 325 Total liabilities $ 9,264 $ 11,661
Schedule of carrying amount and estimated fair value of assets and liabilities considered financial instruments	2018 2017 Carrying Estimated Carrying Estimated Amount Fair Value * Amount Fair Value * Receivables $ 9,950,926 $ 9,859,920 $ 10,421,545 $ 10,379,020 Long-term debt $ 6,259,839 $ 6,149,778 $ 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.

GEOGRAPHICAL INFORMATION (Table

GEOGRAPHICAL INFORMATION (Tables)	12 Months Ended
	Dec. 31, 2018
GEOGRAPHICAL INFORMATION
Summary of geographic information	2018 2017 2016 Revenues United States $ 693,191 $ 756,210 $ 780,071 Canada 192,645 187,107 170,825 Eliminations (7,482) (4,385) (4,175) Total $ 878,354 $ 938,932 $ 946,721 Interest expense United States $ 276,956 $ 279,542 $ 269,560 Canada 55,806 47,413 39,714 Eliminations (7,482) (4,385) (4,175) Total $ 325,280 $ 322,570 $ 305,099 Net income United States $ 97,790 $ 189,225 $ 121,122 Canada 59,055 61,264 66,390 Total $ 156,845 $ 250,489 $ 187,512 Depreciation and amortization United States $ 191,347 $ 238,037 $ 208,942 Canada 42,579 44,864 40,528 Total $ 233,926 $ 282,901 $ 249,470 Expenditures for equipment on operating leases United States $ 533,706 $ 507,349 $ 555,219 Canada 146,560 128,470 168,164 Total $ 680,266 $ 635,819 $ 723,383 Provision for credit losses United States $ 28,932 $ 40,516 $ 35,867 Canada 2,767 382 (5,021) Total $ 31,699 $ 40,898 $ 30,846 2018 2017 2016 Total assets United States $ $ $ Canada 2,838,754 2,400,814 Eliminations (62,732) (65,079) (374,161) Total $ $ $ Managed receivables United States $ 8,080,756 $ 8,265,090 $ 9,048,303 Canada 1,944,582 2,235,651 1,877,423 Total $ $ $

RELATED-PARTY TRANSACTIONS (Tab

RELATED-PARTY TRANSACTIONS (Tables)	12 Months Ended
	Dec. 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 2016 Subsidy from CNH Industrial North America Retail $ 149,363 $ $ 170,425 Wholesale 123,615 166,426 156,654 Operating lease 60,841 70,138 Income from Iveco Argentina Wholesale factoring 10,881 5,199 — Income from affiliated receivables CNH Industrial North America 1,096 — 1,155 Other affiliates 137 150 — Total interest and other income from affiliates $ 345,933 $ $ 398,372
Schedule of various accounts and notes receivable and debt with the affiliates	2018 2017 Rate Maturity Amount Rate Maturity Amount Affiliated receivables CNH Industrial America — $ 24,724 — $ CNH Industrial Canada Ltd. — 6,233 — Other affiliates — 12,432 — Total affiliated receivables $ 43,389 $ Affiliated debt CNH Industrial America $ 99,455 $ 327,160 CNH Industrial Canada Ltd. 176,816 118,642 Total affiliated debt $ 276,271 $ 445,802

SUPPLEMENTAL CONDENSED CONSOL_2

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION (Tables)	12 Months Ended
	Dec. 31, 2018
SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION
Schedule of condensed statements of comprehensive income	Condensed Statements of Comprehensive Income for the Year Ended December 31, 2018 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 9,170 $ 192,099 $ — $ 201,269 Interest income on wholesale notes — (1,030) 67,929 — 66,899 Interest and other income from affiliates 70,880 200,821 297,443 (223,211) 345,933 Rental income on operating leases — 187,089 54,493 — 241,582 Other income — 87,710 2,842 (67,881) 22,671 Total revenues 70,880 483,760 614,806 (291,092) 878,354 EXPENSES Interest expense: Interest expense to third parties 156,839 (8,767) 169,675 — 317,747 Interest expense to affiliates — 199,890 30,854 (223,211) 7,533 Total interest expense 156,839 191,123 200,529 (223,211) 325,280 Administrative and operating expenses: Fees charged by affiliates — 45,545 69,811 (67,881) 47,475 Provision for credit losses — 8,445 23,254 — 31,699 Depreciation of equipment on operating leases — 189,228 42,577 — 231,805 Other expenses 22 18,249 25,507 — 43,778 Total administrative and operating expenses 22 261,467 161,149 (67,881) 354,757 Total expenses 156,861 452,590 361,678 (291,092) 680,037 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (85,981) 31,170 253,128 — 198,317 Income tax provision (benefit) (20,995) 11,010 51,457 — 41,472 Equity in income of consolidated subsidiaries accounted for under the equity method 221,831 201,671 — (423,502) — NET INCOME $ 156,845 $ 221,831 $ 201,671 $ (423,502) $ 156,845 COMPREHENSIVE INCOME $ 110,009 $ 174,995 $ 161,250 $ (336,245) $ 110,009 Condensed Statements of Comprehensive Income for the Year Ended December 31, 2017 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 16,206 $ 185,327 $ — $ 201,533 Interest income on wholesale notes — (1,107) 66,828 — 65,721 Interest and other income from affiliates 100,033 243,273 326,346 (271,394) 398,258 Rental income on operating leases — 197,859 53,750 — 251,609 Other income — 94,408 1,906 (74,503) 21,811 Total revenues 100,033 550,639 634,157 (345,897) 938,932 EXPENSES Interest expense: Interest expense to third parties 164,836 2,125 144,167 — 311,128 Interest expense to affiliates — 236,267 46,569 (271,394) 11,442 Total interest expense 164,836 238,392 190,736 (271,394) 322,570 Administrative and operating expenses: Fees charged by affiliates — 44,666 76,268 (74,503) 46,431 Provision for credit losses — 11,090 29,808 — 40,898 Depreciation of equipment on operating leases — 235,911 44,854 — 280,765 Other expenses — 33,176 11,651 — 44,827 Total administrative and operating expenses — 324,843 162,581 (74,503) 412,921 Total expenses 164,836 563,235 353,317 (345,897) 735,491 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (64,803) (12,596) 280,840 — 203,441 Income tax provision (benefit) (24,331) (148,033) 125,316 — (47,048) Equity in income of consolidated subsidiaries accounted for under the equity method 290,961 155,524 — (446,485) — NET INCOME $ 250,489 $ 290,961 $ 155,524 $ (446,485) $ 250,489 COMPREHENSIVE INCOME $ 294,462 $ 334,934 $ 192,936 $ (527,870) $ 294,462 Condensed Statements of Comprehensive Income for the Year Ended December 31, 2016 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 15,990 $ 195,516 $ — $ 211,506 Interest income on wholesale notes — (96) 69,006 — 68,910 Interest and other income from affiliates 97,254 232,020 324,262 (255,164) 398,372 Rental income on operating leases — 196,911 46,620 — 243,531 Other income — 103,422 2,837 (81,857) 24,402 Total revenues 97,254 548,247 638,241 (337,021) 946,721 EXPENSES Interest expense: Interest expense to third parties 162,264 6,209 129,408 — 297,881 Interest expense to affiliates — 226,544 35,838 (255,164) 7,218 Total interest expense 162,264 232,753 165,246 (255,164) 305,099 Administrative and operating expenses: Fees charged by affiliates — 43,469 83,613 (81,857) 45,225 Provision for credit losses — 9,879 20,967 — 30,846 Depreciation of equipment on operating leases — 206,924 40,514 — 247,438 Other expenses — 28,035 8,262 — 36,297 Total administrative and operating expenses — (81,857) Total expenses 162,264 521,060 318,602 (337,021) 664,905 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (65,010) 27,187 319,639 — 281,816 Income tax provision (benefit) (24,261) 10,204 108,361 — 94,304 Equity in income of consolidated subsidiaries accounted for under the equity method 228,261 211,278 — (439,539) — NET INCOME $ 187,512 $ 228,261 $ 211,278 $ (439,539) $ 187,512 COMPREHENSIVE INCOME $ 204,914 $ 245,663 $ 225,994 $ (471,657) $ 204,914
Schedule of condensed balance sheets	Condensed Balance Sheets as of December 31, 2018 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated ASSETS Cash and cash equivalents $ — $ 118,508 $ 41,820 $ — $ 160,328 Restricted cash — — 639,543 — 639,543 Receivables, less allowance for credit losses — 1,472,678 8,478,248 — 9,950,926 Affiliated accounts and notes receivable 2,310,137 2,122,129 2,268,477 (6,657,354) 43,389 Equipment on operating leases, net — 1,357,493 366,724 — 1,724,217 Equipment held for sale — 192,772 17,219 — 209,991 Investments in consolidated subsidiaries accounted for under the equity method 2,796,050 2,461,139 — (5,257,189) — Goodwill and intangible assets, net — 91,754 26,827 — 118,581 Other assets 11,140 56,517 20,681 (3,401) 84,937 TOTAL $ 5,117,327 $ 7,872,990 $ 11,859,539 $ (11,917,944) $ 12,931,912 LIABILITIES AND STOCKHOLDER’S EQUITY Liabilities: Short-term debt, including current maturities of long-term debt $ 987,559 $ — $ 3,336,733 $ — $ 4,324,292 Accounts payable and other accrued liabilities 286,527 3,035,024 1,243,183 (3,848,956) 715,778 Affiliated debt — 2,041,926 1,046,144 (2,811,799) 276,271 Long-term debt 2,487,509 (10) 3,772,340 — 6,259,839 Total liabilities 3,761,595 5,076,940 9,398,400 (6,660,755) 11,576,180 Stockholder’s equity 1,355,732 2,796,050 2,461,139 (5,257,189) 1,355,732 TOTAL $ 5,117,327 $ 7,872,990 $ 11,859,539 $ (11,917,944) $ 12,931,912
Schedule of condensed statements of cash flows	Condensed Statements of Cash Flows for the Year Ended December 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 $ 142,488 $ 488,329 $ 143,064 $ (411,000) $ 362,881 CASH FLOWS FROM INVESTING ACTIVITIES: Cost of receivables acquired — (9,080,473) (9,991,699) 7,269,611 (11,802,561) Collections of receivables — 8,967,965 10,375,251 (7,270,276) 12,072,940 Purchase of equipment on operating leases, net — (146,618) (65,391) — (212,009) Change in property and equipment and software, net — (5,427) — — (5,427) Net cash from (used in) investing activities — (264,553) 318,161 (665) 52,943 CASH FLOWS FROM FINANCING ACTIVITIES: Intercompany activity — (211,322) (128,802) 185,948 (154,176) Net change in indebtedness (12,488) (54,285) (140,562) — (207,335) Dividends paid to CNH Industrial America LLC (130,000) — (225,717) 225,717 (130,000) Net cash from (used in) financing activities (142,488) (265,607) (495,081) 411,665 (491,511) DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH — (41,831) (33,856) — (75,687) CASH AND CASH EQUIVALENTS AND RESTRICTED CASH: Beginning of year — 160,339 715,219 — 875,558 End of year $ — $ 118,508 $ 681,363 $ — $ 799,871 Condensed Statements of Cash Flows for the Year Ended December 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 $ 564,252 $ 838,812 $ 130,049 $ (922,660) $ 610,453 CASH FLOWS FROM INVESTING ACTIVITIES: Cost of receivables acquired — (8,276,424) (9,446,211) 6,808,056 (10,914,579) Collections of receivables — 8,316,852 9,897,291 (6,808,286) 11,405,857 Purchase of equipment on operating leases, net — (136,711) (63,230) — (199,941) Change in property and equipment and software, net — (1,614) — — (1,614) Net cash from (used in) investing activities — (97,897) 387,850 (230) 289,723 CASH FLOWS FROM FINANCING ACTIVITIES: Intercompany activity — (683,231) 48,874 922,890 288,533 Net change in indebtedness (279,252) (48,999) (576,992) — (905,243) Dividends paid to CNH Industrial America LLC (285,000) — — — (285,000) Net cash from (used in) financing activities (564,252) (732,230) (528,118) 922,890 (901,710) INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH — 8,685 (10,219) — (1,534) CASH AND CASH EQUIVALENTS AND RESTRICTED CASH: Beginning of year — 151,654 725,438 — 877,092 End of year $ — $ 160,339 $ 715,219 $ — $ 875,558 Condensed Statements of Cash Flows for the Year Ended December 31, 2016 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated CASH FLOWS FROM OPERATING ACTIVITIES: Net cash from (used in) operating activities $ (102,001) $ (9,907) $ 638,851 $ 158,127 $ 685,070 CASH FLOWS FROM INVESTING ACTIVITIES: Cost of receivables acquired — (8,575,745) (9,116,990) 6,888,764 (10,803,971) Collections of receivables — 8,660,606 9,775,641 (6,889,105) 11,547,142 Purchase of equipment on operating leases, net — (255,439) (105,992) — (361,431) Change in property and equipment and software, net — (887) (3) — (890) Net cash from (used in) investing activities — (171,465) 552,656 (341) 380,850 CASH FLOWS FROM FINANCING ACTIVITIES: Intercompany activity — 172,351 224,700 (286,842) 110,209 Net change in indebtedness 392,001 (21,166) (1,477,741) — (1,106,906) Dividends paid to CNH Industrial America LLC (290,000) — (129,056) 129,056 (290,000) Net cash from (used in) financing activities 102,001 151,185 (1,382,097) (157,786) (1,286,697) DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH — (30,187) (190,590) — (220,777) CASH AND CASH EQUIVALENTS AND RESTRICTED CASH: Beginning of year — 181,841 916,028 — 1,097,869 End of year $ — $ 151,654 $ 725,438 $ — $ 877,092

SUPPLEMENTAL QUARTERLY INFORM_2

SUPPLEMENTAL QUARTERLY INFORMATION (UNAUDITED) (Tables)	12 Months Ended
	Dec. 31, 2018
SUPPLEMENTAL QUARTERLY INFORMATION (UNAUDITED)
Schedule of supplemental quarterly information (unaudited)	For the Year Ended December 31, 2018 First Second Third Fourth Fiscal Quarter Quarter Quarter Quarter Year Revenues $ $ $ $ 214,561 $ 878,354 Interest expense 78,428 78,804 81,557 86,491 325,280 Administrative and operating expenses 96,020 85,287 83,332 90,118 354,757 Income tax provision 12,120 14,422 8,111 6,819 41,472 Net income $ 39,803 $ 47,628 $ 38,281 $ 31,133 $ 156,845 For the Year Ended December 31, 2017 First Second Third Fourth Fiscal Quarter Quarter Quarter Quarter Year Revenues $ 232,834 $ 229,863 $ 234,889 $ 241,346 $ 938,932 Interest expense 74,728 78,797 79,772 89,273 322,570 Administrative and operating expenses 101,676 95,994 106,591 108,660 412,921 Income tax provision 18,037 16,885 14,387 Net income $ 38,393 $ 38,187 $ 34,139 $ 139,770 $ 250,489

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Revenue Recognition
Delinquency period of accounts considered for recognition of income	120 days	120 days
Minimum account delinquency period for an account to be classified as past due	30 days	30 days	30 days
Goodwill and Intangible Assets
Impairment of goodwill	$ 0	$ 0	$ 0
Amortization period of other intangible assets consisting of software	5 years

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Change in Accounting Principle (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Change in accounts payable and other accrued liabilities	$ (66,248)	$ 15,601	$ 6,144
Increase in cash and cash equivalents and restricted cash	$ (75,687)	(1,534)	(220,777)
Accounting Standards Update 2016-18 | Adjustment Due to Adoption of Standard
Change in accounts payable and other accrued liabilities		7,643	3,300
Change in restricted cash		71,876	86,176
Increase in cash and cash equivalents and restricted cash		$ (64,233)	$ (82,876)

ACCUMULATED OTHER COMPREHENSI_3

ACCUMULATED OTHER COMPREHENSIVE INCOME - Change in Components of AOCI (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	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	(46,864)	43,779
Amounts reclassified from accumulated other comprehensive income (loss)	429	1,451
Tax effects	(401)	(1,257)
Total other comprehensive income (loss)	(46,836)	43,973	17,402
Ending balance	(146,999)	(100,163)	(144,136)
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	(48,009)	40,868
Total other comprehensive income (loss)	(48,009)	40,868
Ending balance	(146,726)	(98,717)	(139,585)
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	419	114
Amounts reclassified from accumulated other comprehensive income (loss)	463	702
Tax effects	(217)	(317)
Total other comprehensive income (loss)	665	499
Ending balance	(2,497)	(3,162)	(3,661)
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	726	2,797
Amounts reclassified from accumulated other comprehensive income (loss)	(34)	749
Tax effects	(184)	(940)
Total other comprehensive income (loss)	508	2,606
Ending balance	$ 2,224	$ 1,716	$ (890)

ACCUMULATED OTHER COMPREHENSI_4

ACCUMULATED OTHER COMPREHENSIVE INCOME - Reclassifications out of AOCI (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Reclassifications out of accumulated other comprehensive income and the location on the consolidated statements of income
Interest expense to third parties									$ (317,747)	$ (311,128)	$ (297,881)
Income before taxes									198,317	203,441	281,816
Income tax benefit	$ (6,819)	$ (8,111)	$ (14,422)	$ (12,120)	$ 96,357	$ (14,387)	$ (16,885)	$ (18,037)	(41,472)	47,048	$ (94,304)
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									(463)	(702)
Income before taxes									(463)	(702)
Income tax benefit									114	273
Net income									(349)	(429)
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									34	(749)
Income before taxes									34	(749)
Income tax benefit									(9)	199
Net income									$ 25	$ (550)

RECEIVABLES - Summary of Receiv

RECEIVABLES - Summary of Receivables (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2018USD ($)item	Dec. 31, 2017USD ($)	Dec. 31, 2016USD ($)	Dec. 31, 2015USD ($)
Receivables
Gross receivables	$ 10,025,338	$ 10,500,741	$ 10,925,726
Less: Allowance for credit losses	(74,412)	(79,196)	$ (84,895)	$ (94,724)
Total receivables, net	9,950,926	10,421,545
Restricted Receivables	8,460,823	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
Maturities of receivables as of December 31, 2018, are as follows:
2,019	5,619,826
2,020	1,548,323
2,021	1,223,685
2,022	900,707
2023 and thereafter	$ 732,797
Number of portfolio segments in which allowance for credit losses is segregated | item	3
Retail
Receivables
Gross receivables	$ 753,388	768,502
Restricted Receivables	$ 5,623,730	6,042,186
Retail | Minimum
Receivables
Stated original maturities	2 years
Retail | Maximum
Receivables
Stated original maturities	6 years
Wholesale
Receivables
Gross receivables	$ 747,191	671,740
Restricted Receivables	$ 2,837,093	2,724,281
Wholesale | Maximum
Receivables
Stated original maturities	24 months
Interest-free periods	12 months
Wholesale factoring
Receivables
Gross receivables		235,834
Finance lease receivables
Receivables
Gross receivables	$ 63,936	$ 58,198

RECEIVABLES - Receivables Secur

RECEIVABLES - Receivables Securitizations (Details) $ in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2018USD ($)item	Dec. 31, 2017USD ($)	Dec. 31, 2018CAD ($)	Dec. 31, 2018USD ($)
Receivables
Maximum borrowing capacity		$ 12,618,287		$ 11,986,581
Number of conduit facilities | item	2
Number of portfolio segments in which allowance for credit losses is segregated | item	3
Retail committed asset-backed facilities
Receivables
Asset-backed transactions securitized	$ 2,250,399	2,989,014
Outstanding amount of transactions securitized		$ 5,567,786		4,808,679
Remaining period of transactions securitized	30 months	31 months
Maximum borrowing capacity				1,566,870
Term of credit agreement	2 years
Conduit facilities, $500 million renewable in 2019
Receivables
Maximum borrowing capacity				500,000
Conduit facilities, $300 million renewable in 2019
Receivables
Maximum borrowing capacity				300,000
Conduit facilities renewable in December 2020 | Canada
Receivables
Maximum borrowing capacity			$ 585,750	$ 429,788

RECEIVABLES - Allowance for Cre

RECEIVABLES - Allowance for Credit Losses Activity (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Allowance for credit losses:
Beginning balance	$ 79,196	$ 84,895	$ 94,724
Charge-offs	(40,942)	(48,834)	(42,950)
Recoveries	4,773	4,065	3,750
Provision (benefit)	31,699	40,898	30,846
Foreign currency translation and other	(314)	(1,828)	(1,475)
Ending balance	74,412	79,196	84,895
Ending balance: individually evaluated for impairment	20,626	20,938	22,363
Ending balance: collectively evaluated for impairment	53,786	58,258	62,532
Receivables:
Ending balance	10,025,338	10,500,741	10,925,726
Ending balance: individually evaluated for impairment	55,661	82,719	75,042
Ending balance: collectively evaluated for impairment	9,969,677	10,418,022	10,850,684
Retail
Allowance for credit losses:
Beginning balance	73,610	78,047	88,405
Charge-offs	(39,375)	(46,460)	(42,949)
Recoveries	4,702	4,045	3,228
Provision (benefit)	28,277	39,842	30,915
Foreign currency translation and other	(270)	(1,864)	(1,552)
Ending balance	66,944	73,610	78,047
Ending balance: individually evaluated for impairment	15,801	18,018	18,113
Ending balance: collectively evaluated for impairment	51,143	55,592	59,934
Receivables:
Ending balance	6,441,054	6,868,886	7,398,017
Ending balance: individually evaluated for impairment	31,148	38,807	31,383
Ending balance: collectively evaluated for impairment	6,409,906	6,830,079	7,366,634
Wholesale
Allowance for credit losses:
Beginning balance	5,444	6,848	6,319
Charge-offs		(2,374)	(1)
Recoveries		20	522
Provision (benefit)		919	(69)
Foreign currency translation and other		31	77
Ending balance		5,444	6,848
Ending balance: individually evaluated for impairment		2,920	4,250
Ending balance: collectively evaluated for impairment		2,524	2,598
Receivables:
Ending balance	3,584,284	3,396,021	3,527,709
Ending balance: individually evaluated for impairment		43,912	43,659
Ending balance: collectively evaluated for impairment		3,352,109	$ 3,484,050
Wholesale factoring
Allowance for credit losses:
Beginning balance	142
Provision (benefit)		137
Foreign currency translation and other		5
Ending balance		142
Ending balance: collectively evaluated for impairment		142
Receivables:
Ending balance		235,834
Ending balance: collectively evaluated for impairment		235,834
Wholesale and wholesale factoring
Allowance for credit losses:
Beginning balance	5,586
Charge-offs	(1,567)
Recoveries	71
Provision (benefit)	3,422
Foreign currency translation and other	(44)
Ending balance	7,468	$ 5,586
Ending balance: individually evaluated for impairment	4,825
Ending balance: collectively evaluated for impairment	2,643
Receivables:
Ending balance	3,584,284
Ending balance: individually evaluated for impairment	24,513
Ending balance: collectively evaluated for impairment	$ 3,559,771

RECEIVABLES - Breakdown of Rece

RECEIVABLES - Breakdown of Receivables by Credit Quality Indicators (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Financing receivable, recorded investment
Gross receivables	$ 10,025,338	$ 10,500,741	$ 10,925,726
Retail
Financing receivable, recorded investment
Gross receivables	6,441,054	6,868,886	7,398,017
Retail | Titanium
Financing receivable, recorded investment
Gross receivables	3,367,239	3,734,313
Retail | Platinum
Financing receivable, recorded investment
Gross receivables	1,942,784	2,002,791
Retail | Gold
Financing receivable, recorded investment
Gross receivables	943,816	952,404
Retail | Silver
Financing receivable, recorded investment
Gross receivables	152,338	146,051
Retail | Bronze
Financing receivable, recorded investment
Gross receivables	34,877	33,327
Wholesale
Financing receivable, recorded investment
Gross receivables	3,584,284	3,396,021	$ 3,527,709
Wholesale | Grade A
Financing receivable, recorded investment
Gross receivables	1,582,179	1,222,813
Wholesale | Grade B
Financing receivable, recorded investment
Gross receivables	1,292,331	1,425,591
Wholesale | Grade C
Financing receivable, recorded investment
Gross receivables	527,735	439,353
Wholesale | Grade D
Financing receivable, recorded investment
Gross receivables	$ 182,039	$ 308,264

RECEIVABLES - Aging of Receivab

RECEIVABLES - Aging of Receivables (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Financing receivable, recorded investment
Total Receivables	$ 10,025,338	$ 10,500,741	$ 10,925,726
Minimum account delinquency period for an account to be classified as past due	30 days	30 days	30 days
Retail
Financing receivable, recorded investment
Total Past Due	$ 54,696	$ 78,438
Current	6,386,358	6,790,448
Total Receivables	6,441,054	6,868,886	$ 7,398,017
Recorded Investment > 90 Days and Accruing	5,484	6,897
Retail | 31-60 Days Past Due
Financing receivable, recorded investment
Total Past Due	20,716	29,600
Retail | 61-90 Days Past Due
Financing receivable, recorded investment
Total Past Due	6,882	8,997
Retail | Greater than 90 Days
Financing receivable, recorded investment
Total Past Due	27,098	39,841
Retail | United States
Financing receivable, recorded investment
Total Past Due	50,462	73,006
Current	5,239,777	5,532,329
Total Receivables	5,290,239	5,605,335
Recorded Investment > 90 Days and Accruing	4,573	6,232
Retail | United States | 31-60 Days Past Due
Financing receivable, recorded investment
Total Past Due	19,318	27,590
Retail | United States | 61-90 Days Past Due
Financing receivable, recorded investment
Total Past Due	6,372	8,412
Retail | United States | Greater than 90 Days
Financing receivable, recorded investment
Total Past Due	24,772	37,004
Retail | Canada
Financing receivable, recorded investment
Total Past Due	4,234	5,432
Current	1,146,581	1,258,119
Total Receivables	1,150,815	1,263,551
Recorded Investment > 90 Days and Accruing	911	665
Retail | Canada | 31-60 Days Past Due
Financing receivable, recorded investment
Total Past Due	1,398	2,010
Retail | Canada | 61-90 Days Past Due
Financing receivable, recorded investment
Total Past Due	510	585
Retail | Canada | Greater than 90 Days
Financing receivable, recorded investment
Total Past Due	2,326	2,837
Wholesale
Financing receivable, recorded investment
Total Past Due	2,301	1,067
Current	3,581,983	3,394,954
Total Receivables	3,584,284	3,396,021	$ 3,527,709
Recorded Investment > 90 Days and Accruing	388	185
Wholesale | 31-60 Days Past Due
Financing receivable, recorded investment
Total Past Due	487	824
Wholesale | 61-90 Days Past Due
Financing receivable, recorded investment
Total Past Due	10	1
Wholesale | Greater than 90 Days
Financing receivable, recorded investment
Total Past Due	1,804	242
Wholesale | United States
Financing receivable, recorded investment
Total Past Due	1,862	1,039
Current	2,788,655	2,658,716
Total Receivables	2,790,517	2,659,755
Recorded Investment > 90 Days and Accruing	387	179
Wholesale | United States | 31-60 Days Past Due
Financing receivable, recorded investment
Total Past Due	484	802
Wholesale | United States | 61-90 Days Past Due
Financing receivable, recorded investment
Total Past Due	10	1
Wholesale | United States | Greater than 90 Days
Financing receivable, recorded investment
Total Past Due	1,368	236
Wholesale | Canada
Financing receivable, recorded investment
Total Past Due	439	28
Current	793,328	736,238
Total Receivables	793,767	736,266
Recorded Investment > 90 Days and Accruing	1	6
Wholesale | Canada | 31-60 Days Past Due
Financing receivable, recorded investment
Total Past Due	3	22
Wholesale | Canada | Greater than 90 Days
Financing receivable, recorded investment
Total Past Due	$ 436	6
Wholesale factoring
Financing receivable, recorded investment
Total Past Due		7,042
Current		228,792
Total Receivables		235,834
Wholesale factoring | 31-60 Days Past Due
Financing receivable, recorded investment
Total Past Due		5,652
Wholesale factoring | 61-90 Days Past Due
Financing receivable, recorded investment
Total Past Due		$ 1,390

RECEIVABLES - Impaired Receivab

RECEIVABLES - Impaired Receivables (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017
Unpaid Principal Balance
Period considered for average recorded investment	13 months
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	$ 50,054	$ 84,499
Canada
Average Recorded Investment
Receivables on nonaccrual status	1,428	2,538
Retail | United States
Average Recorded Investment
Receivables on nonaccrual status	27,069	40,968
Retail | Canada
Average Recorded Investment
Receivables on nonaccrual status	1,428	2,538
Wholesale | United States
Average Recorded Investment
Receivables on nonaccrual status	22,985	43,531
Individually evaluated for impairment | Retail
Recorded Investment
With an allowance recorded	31,148	38,807
Unpaid Principal Balance
With an allowance recorded	29,963	36,903
Related Allowance	15,801	18,018
Average Recorded Investment
With an allowance recorded	33,035	41,001
Individually evaluated for impairment | Retail | United States
Recorded Investment
With an allowance recorded	30,959	38,035
Unpaid Principal Balance
With an allowance recorded	29,783	36,187
Related Allowance	15,347	17,518
Average Recorded Investment
With an allowance recorded	32,787	39,917
Individually evaluated for impairment | Retail | Canada
Recorded Investment
With an allowance recorded	189	772
Unpaid Principal Balance
With an allowance recorded	180	716
Related Allowance	454	500
Average Recorded Investment
With an allowance recorded	248	1,084
Individually evaluated for impairment | Wholesale
Recorded Investment
With an allowance recorded	24,513	43,912
Unpaid Principal Balance
With an allowance recorded	22,985	43,531
Related Allowance	4,825	2,920
Average Recorded Investment
With an allowance recorded	27,269	49,469
Individually evaluated for impairment | Wholesale | United States
Recorded Investment
With an allowance recorded	24,513	43,912
Unpaid Principal Balance
With an allowance recorded	22,985	43,531
Related Allowance	4,825	2,920
Average Recorded Investment
With an allowance recorded	$ 27,269	$ 49,469

RECEIVABLES - Troubled Debt Res

RECEIVABLES - Troubled Debt Restructuring of Receivables (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2018USD ($)item	Dec. 31, 2017USD ($)item
Troubled Debt Restructurings
Number of cases in which the court has not yet determined the concession | item	371	423
Pre-modification value for cases in which the court has not yet determined the concession	$ 17,129	$ 23,750
Retail
Troubled Debt Restructurings
Number of cases in which the court has determined the concession | item	254	272
Pre-modification value for cases in which the court has determined the concession	$ 8,118	$ 8,583
Post-modification value for cases in which the court has determined the concession	$ 7,272	$ 7,710

EQUIPMENT ON OPERATING LEASES_2

EQUIPMENT ON OPERATING LEASES (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
EQUIPMENT ON OPERATING LEASES
Equipment on operating leases	$ 2,052,822	$ 2,139,099
Less accumulated depreciation	(328,605)	(357,610)
Equipment on operating leases, net	1,724,217	1,781,489
Depreciation expense	231,805	$ 280,765	$ 247,438
Lease payments owed to the company for equipment under non-cancelable operating leases
Deferred operating lease subsidy	106,817
2,019	169,387
2,020	128,197
2,021	69,883
2,022	23,120
2023 and thereafter	5,173
Total lease payments	$ 395,760

GOODWILL AND INTANGIBLE ASSET_2

GOODWILL AND INTANGIBLE ASSETS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Changes in the carrying amount of goodwill
Balance, beginning of year	$ 110,588	$ 108,715
Foreign currency translation adjustment	(2,189)	1,873
Balance, end of year	108,399	110,588	$ 108,715
Impairment of goodwill	0	0	0
Company's intangible asset and related accumulated amortization for its software
Software	30,625	25,197
Accumulated amortization	(20,443)	(18,329)
Software, net	10,182	6,868
Amortization expense	2,114	$ 2,112	$ 1,998
Estimated annual amortization expense
2,019	1,722
2,020	1,082
2,021	516
2,022	241
2,023	$ 55

OTHER ASSETS (Details)

OTHER ASSETS (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
OTHER ASSETS
Tax receivables	$ 39,174	$ 6,566
Deferred tax assets	14,955	10,275
Derivative assets	16,665	10,144
Other current assets	14,143	7,396
Total other assets	$ 84,937	$ 34,381

CREDIT FACILITIES AND DEBT (Det

CREDIT FACILITIES AND DEBT (Details) $ in Thousands	Aug. 14, 2018USD ($)	Apr. 16, 2018USD ($)	Dec. 31, 2018USD ($)item	Dec. 31, 2017USD ($)
Debt
Maximum borrowing capacity			$ 11,986,581	$ 12,618,287
Short-Term Outstanding			1,813,066	1,676,078
Current Maturities of Long-Term Outstanding			2,511,226	2,941,386
Long-term debt			6,259,839	6,332,763
Available			1,402,450	$ 1,668,060
Minimum annual repayments of long-term debt
2,020			2,367,515
2,021			2,023,312
2,022			1,219,488
2,023			109,084
2024 and thereafter			$ 540,440
Other disclosure
Weighted-average interest rate on total short-term debt outstanding (as a percent)			3.00%	2.20%
Weighted- average interest rate on total long-term debt (as a percent)			3.10%	2.60%
CNH Global
Support Agreement
Number of preceding fiscal quarters added to the current quarter used in calculating the consolidated fixed charges coverage ratio under support agreement | item			3
Period of prior written notice			30 days
Long-term rated indebtedness outstanding			$ 0
CNH Global | Minimum
Support Agreement
Consolidated fixed charges coverage ratio			1.05
Ownership percentage required to be maintained in the company			51.00%
Consolidated tangible net worth threshold			$ 50,000
Unsecured Facilities
Debt
Maximum borrowing capacity			1,020,955	$ 959,492
Short-Term Outstanding			195,386	300,000
Long-term debt			330,183	159,492
Available			495,386	500,000
Uncommitted credit line
Debt
Maximum borrowing capacity			195,386	300,000
Short-Term Outstanding			195,386	300,000
Revolving credit facilities
Debt
Maximum borrowing capacity			825,569	659,492
Long-term debt			330,183	159,492
Available			495,386	500,000
Committed Asset-Backed Facilities
Debt
Maximum borrowing capacity			2,796,658	2,865,842
Short-Term Outstanding			1,229,788	1,261,167
Current Maturities of Long-Term Outstanding			157,651	117,913
Long-term debt			502,155	318,702
Available			$ 907,064	1,168,060
Committed Asset-Backed Facilities | Maximum
Other disclosure
Maturity period of receivables			7 years
Retail | Maximum
Debt
Maximum borrowing capacity			$ 1,566,870
Retail | United States
Debt
Maximum borrowing capacity			1,200,000	1,200,000
Current Maturities of Long-Term Outstanding			139,556	60,099
Long-term debt			474,294	160,301
Available			586,150	979,600
Retail | Canada
Debt
Maximum borrowing capacity			366,870	398,730
Current Maturities of Long-Term Outstanding			18,095	57,814
Long-term debt			27,861	158,401
Available			320,914	182,515
Wholesale VFN | United States
Debt
Maximum borrowing capacity			800,000	800,000
Short-Term Outstanding			800,000	800,000
Wholesale VFN | Canada
Debt
Maximum borrowing capacity			429,788	467,112
Short-Term Outstanding			429,788	461,167
Available				5,945
Secured Debt
Debt
Maximum borrowing capacity			4,793,900	5,604,554
Current Maturities of Long-Term Outstanding			1,853,908	2,222,866
Long-term debt			2,939,992	3,381,688
Unamortized issuance costs			(14,779)	(17,507)
Amortizing Retail Term ABS
Debt
Maximum borrowing capacity			4,808,679	5,567,786
Current Maturities of Long-Term Outstanding			1,853,908	2,176,929
Long-term debt			2,954,771	3,390,857
Other ABS Financing
Debt
Maximum borrowing capacity				54,275
Current Maturities of Long-Term Outstanding				45,937
Long-term debt				8,338
Unsecured Debt
Debt
Maximum borrowing capacity			3,375,068	3,188,399
Short-Term Outstanding			387,892	114,911
Current Maturities of Long-Term Outstanding			499,667	600,607
Long-term debt			2,487,509	2,472,881
Hedging effects, discounts and unamortized issuance costs			(13,932)	(26,601)
Heding effects, discounts and unamortized issuance costs, short-term outstanding			(1,108)	(89)
Hedging effects, discounts and unamortized issuance costs, current maturities			(333)	607
Hedging effects, discounts and unamortized issuance costs, long-term			(12,491)	(27,119)
Commercial paper
Debt
Maximum borrowing capacity			389,000	115,000
Short-Term Outstanding			389,000	115,000
Notes
Debt
Maximum borrowing capacity			3,000,000	3,100,000
Current Maturities of Long-Term Outstanding			500,000	600,000
Long-term debt			2,500,000	$ 2,500,000
Unsecured Senior Notes
Debt
Debt amount			2,989,015
Hedging effects, discounts and unamortized issuance costs			(10,985)
3.625% unsecured notes due 2018
Debt
Repayment of debt		$ 600,000
Other disclosure
Interest rate margin (as a percent)		3.625%
3.375% unsecured notes due 2019
Debt
Debt amount			$ 500,000
Other disclosure
Interest rate margin (as a percent)			3.375%
4.375% unsecured notes due 2020
Debt
Debt amount			$ 600,000
Other disclosure
Interest rate margin (as a percent)			4.375%
4.875% unsecured notes due 2021
Debt
Debt amount			$ 500,000
Other disclosure
Interest rate margin (as a percent)			4.875%
3.875% unsecured notes due 2021
Debt
Debt amount			$ 400,000
Other disclosure
Interest rate margin (as a percent)			3.875%
4.375% unsecured notes due 2022
Debt
Debt amount			$ 500,000
Other disclosure
Interest rate margin (as a percent)			4.375%
4.200% unsecured notes due 2024
Debt
Debt issued	$ 500,000
Debt amount			$ 500,000
Interest rate (as a percent)	4.20%
Issue price of debt (as a percent)	99.701%
Other disclosure
Interest rate margin (as a percent)			4.20%

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Sources of income before taxes
Domestic									$ 120,375	$ 121,729	$ 193,765
Foreign									77,942	81,712	88,051
INCOME BEFORE TAXES									198,317	203,441	281,816
Current income tax expense (benefit):
Domestic									(11,719)	16,151	38,845
Foreign									24,937	17,711	17,692
Total current income tax expense									13,218	33,862	56,537
Deferred income tax expense (benefit):
Domestic									34,304	(83,647)	33,798
Foreign									(6,050)	2,737	3,969
Total deferred income tax expense									28,254	(80,910)	37,767
Total tax provision	$ 6,819	$ 8,111	$ 14,422	$ 12,120	$ (96,357)	$ 14,387	$ 16,885	$ 18,037	$ 41,472	$ (47,048)	$ 94,304
Reconciliation of statutory and effective income tax rate
Tax provision at statutory rate (as a percent)									21.00%	35.00%	35.00%
State taxes (as a percent)									1.80%	5.90%	4.70%
Foreign taxes (as a percent)									(3.40%)	(8.50%)	(5.20%)
Tax contingencies (as a percent)									2.50%
Withholding taxes and credits									1.50%
Tax credits and incentives (as a percent)									(0.90%)	(0.60%)	(0.60%)
Tax rate and legislative changes (as a percent)									(1.40%)	(54.50%)
Other (as a percent)									(0.20%)	(0.40%)	(0.40%)
Total tax provision effective rate (as a percent)									20.90%	(23.10%)	33.50%

INCOME TAXES - Components of De

INCOME TAXES - Components of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Components of net deferred tax assets
Pension, postretirement and post employment benefits	$ 1,918	$ 1,986
Marketing and sales incentive programs	53,259	39,836
Allowance for credit losses	17,534	18,539
Other accrued liabilities	7,825	471
Tax loss and tax credit carry forwards	4,314	1,892
Total deferred tax assets	84,850	62,724
Deferred tax liabilities:
Equipment on operating lease	320,070	268,129
Deferred tax liability, net	$ (235,220)	$ (205,405)

INCOME TAXES - Reconciliation o

INCOME TAXES - Reconciliation of Tax Contingencies and Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Reconciliation of the gross amounts of tax contingencies at the beginning and end of the year
Additions based on tax positions related to the current year			$ 4,274
Balance, end of year	$ 4,274		4,274
Unrecognized tax benefits
Amount of unrecognized tax benefits that, if recognized, would affect the annual effective income tax rate	4,274		4,274
Interest and penalties related to unrecognized tax benefits			686	$ 0	$ 0
Expected future payment of interest and penalties accrued related to unrecognized tax benefits	686	$ 0	$ 686	$ 0	$ 0
Income tax examinations
U.S. federal corporate income tax rate (as a percent)			21.00%	35.00%	35.00%
Estimated net tax benefit		$ 111,000
Additional benefit	2,739
Overall tax benefit			$ 113,739
Undistributed earnings of non-U.S. subsidiaries	$ 0		$ 0

FINANCIAL INSTRUMENTS - Generia

FINANCIAL INSTRUMENTS - Generial Information (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2018USD ($)
Interest Rate Derivatives
Maximum length of time of interest rate derivative instruments designated in cash flow hedge relationships	53 months
After-tax losses deferred in accumulated other comprehensive income that will be recognized in interest expense over the next 12 months	$ (712)

FINANCIAL INSTRUMENTS - Fair Ma

FINANCIAL INSTRUMENTS - Fair Market Value of Derivatives (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Fair market value of derivatives
Derivative assets designated as hedging instruments, classified in other assets	$ 15,422	$ 4,113
Derivative liabilities designated as hedging instruments, classified in accounts payable and other accrued liabilities	8,107	6,698
Interest rate derivatives, derivative assets not designated as hedging instruments, classified in other assets	1,157	4,638
Foreign exchange contracts, derivatives not designated as hedging instruments, classified in other assets	86	1,393
Derivative assets not designated as hedging instruments, classified in other assets	1,243	6,031
Interest rate derivatives, derivative not designated as hedging instruments, classified in accounts payable and other accrued liabilities	1,157	4,638
Foreign exchange contracts, derivatives not designated as hedging instruments, classified in accounts payable and other accrued liabilities		325
Derivative liabilities not designated as hedging instruments, classified in accounts payable and other accrued liabilities	1,157	4,963
Cash Flow Hedges, Recognized in accumulated other comprehensive income (loss) (effective portion), Interest rate derivatives	726	2,797	$ 1,277
Cash Flow Hedges, Reclassified from accumulated other comprehensive Income (loss) (effective portion), Interest rate derivatives - Interest expense to third parties	34	(749)	(694)
Foreign exchange contracts, other expenses, not designated as hedges	(12,355)	1,155	$ 4,128
Interest Rate Derivatives
Fair market value of derivatives
Total notional amount of interest rate derivatives	2,960,191	3,143,737
Thirteen-month average notional amounts of interest rate derivatives	$ 2,947,318	$ 3,246,576

FINANCIAL INSTRUMENTS - Items M

FINANCIAL INSTRUMENTS - Items Measured at Fair Value (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Assets
Foreign exchange contracts	$ 86	$ 1,393
Liabilities
Foreign exchange contracts		325
Assets transferred between Level 1, Level 2 and Level 3	0	0
Recurring | Level 2
Assets
Interest rate derivatives	16,579	8,751
Foreign exchange contracts	86	1,393
Total assets	16,665	10,144
Liabilities
Interest rate derivatives	9,264	11,336
Foreign exchange contracts		325
Total liabilities	$ 9,264	$ 11,661

FINANCIAL INSTRUMENTS - Fair Va

FINANCIAL INSTRUMENTS - Fair Value on a Nonrecurring Basis and Other Financial Instruments (Details) - Equipment - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Jun. 30, 2018
Assets
Impairment on assets held for sale	$ 2,894	$ 5,646	$ 11,400
(Gains) losses on assets held for sale	$ 11,018	9,784	$ (1,690)
Non recurring basis | Level 3
Assets
Equipment held for sale		$ 123,503		$ 144,913

FINANCIAL INSTRUMENTS - Carryin

FINANCIAL INSTRUMENTS - Carrying Amount and Estimated Fair Value (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017
Financial Instruments Not Carried at Fair Value
Receivables	$ 9,950,926	$ 10,421,545
Long-term debt	6,259,839	6,332,763
Carrying Amount
Financial Instruments Not Carried at Fair Value
Receivables	9,950,926	10,421,545
Long-term debt	6,259,839	6,332,763
Estimated Fair Value
Financial Instruments Not Carried at Fair Value
Receivables	9,859,920	10,379,020
Long-term debt	$ 6,149,778	$ 6,314,182

GEOGRAPHICAL INFORMATION (Detai

GEOGRAPHICAL INFORMATION (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
Geographical Information
Revenues	$ 214,561	$ 211,281	$ 226,141	$ 226,371	$ 241,346	$ 234,889	$ 229,863	$ 232,834	$ 878,354	$ 938,932	$ 946,721
Interest expense	86,491	81,557	78,804	78,428	89,273	79,772	78,797	74,728	325,280	322,570	305,099
Net income	31,133	$ 38,281	$ 47,628	$ 39,803	139,770	$ 34,139	$ 38,187	$ 38,393	156,845	250,489	187,512
Depreciation and amortization									233,926	282,901	249,470
Expenditures for equipment on operating leases									680,266	635,819	723,383
Provision (benefit) for credit losses									31,699	40,898	30,846
Additional disclosures
Total assets	12,931,912				13,512,078				12,931,912	13,512,078	14,043,259
Managed receivables	10,025,338				10,500,741				10,025,338	10,500,741	10,925,726
Eliminations.
Geographical Information
Revenues									(7,482)	(4,385)	(4,175)
Interest expense									(7,482)	(4,385)	(4,175)
Additional disclosures
Total assets	(62,732)				(65,079)				(62,732)	(65,079)	(374,161)
United States
Geographical Information
Revenues									693,191	756,210	780,071
Interest expense									276,956	279,542	269,560
Net income									97,790	189,225	121,122
Depreciation and amortization									191,347	238,037	208,942
Expenditures for equipment on operating leases									533,706	507,349	555,219
Provision (benefit) for credit losses									28,932	40,516	35,867
Additional disclosures
Total assets	10,482,805				10,738,403				10,482,805	10,738,403	12,016,606
Managed receivables	8,080,756				8,265,090				8,080,756	8,265,090	9,048,303
Canada
Geographical Information
Revenues									192,645	187,107	170,825
Interest expense									55,806	47,413	39,714
Net income									59,055	61,264	66,390
Depreciation and amortization									42,579	44,864	40,528
Expenditures for equipment on operating leases									146,560	128,470	168,164
Provision (benefit) for credit losses									2,767	382	(5,021)
Additional disclosures
Total assets	2,511,839				2,838,754				2,511,839	2,838,754	2,400,814
Managed receivables	$ 1,944,582				$ 2,235,651				$ 1,944,582	$ 2,235,651	$ 1,877,423

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
RELATED-PARTY TRANSACTIONS
Total interest and other income from affiliates	$ 345,933	$ 398,258	$ 398,372
Affiliated receivables	43,389	73,133
Affiliated debt	276,271	445,802
Other information
Tax receivable due from related party	39,174	3,513
Accounts payable and other accrued liabilities payable to related parties	4,740	60,070
Interest expense to related affiliates	7,533	11,442	7,218
Fees charged by affiliates	47,475	46,431	45,225
Gross receivables	10,025,338	10,500,741	10,925,726
Wholesale
Other information
Gross receivables	747,191	671,740
CNH Industrial North America
RELATED-PARTY TRANSACTIONS
Retail	149,363	157,496	170,425
Wholesale	123,615	166,426	156,654
Operating lease	60,841	68,987	70,138
Lending funds	1,096		$ 1,155
CNH Industrial America
RELATED-PARTY TRANSACTIONS
Affiliated receivables	$ 24,724	$ 49,311
Rate of accounts and notes receivable (as a percent)	0.00%	0.00%
Rate of debt due (as a percent)	2.50%	4.31%
Affiliated debt	$ 99,455	$ 327,160
CNH Industrial Canada Ltd.
RELATED-PARTY TRANSACTIONS
Affiliated receivables	$ 6,233	$ 11,282
Rate of accounts and notes receivable (as a percent)	0.00%	0.00%
Rate of debt due (as a percent)	3.80%	4.19%
Affiliated debt	$ 176,816	$ 118,642
Iveco Argentina
RELATED-PARTY TRANSACTIONS
Wholesale factoring	10,881	5,199
Other affiliates
RELATED-PARTY TRANSACTIONS
Lending funds	137	150
Affiliated receivables	$ 12,432	$ 12,540
Rate of accounts and notes receivable (as a percent)	0.00%	0.00%

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details) $ in Thousands	Dec. 31, 2018USD ($)
Guarantees
Payment guarantees on the financial debt of various foreign financial services subsidiaries	$ 30,000
Wholesale and dealer financing
Guarantees
Total credit limit	5,919,819
Utilized	$ 3,499,835

SUPPLEMENTAL CONDENSED CONSOL_3

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION - Statements of Comprehensive Income (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
REVENUES
Interest income on retail notes and finance leases									$ 201,269	$ 201,533	$ 211,506
Interest income on wholesale notes									66,899	65,721	68,910
Interest and other income from affiliates									345,933	398,258	398,372
Rental income on operating leases									241,582	251,609	243,531
Other income									22,671	21,811	24,402
Total revenues	$ 214,561	$ 211,281	$ 226,141	$ 226,371	$ 241,346	$ 234,889	$ 229,863	$ 232,834	878,354	938,932	946,721
Interest expense:
Interest expense to third parties									317,747	311,128	297,881
Interest expense to affiliates									7,533	11,442	7,218
Total interest expense	86,491	81,557	78,804	78,428	89,273	79,772	78,797	74,728	325,280	322,570	305,099
Administrative and operating expenses:
Fees charged by affiliates									47,475	46,431	45,225
Provision (benefit) for credit losses									31,699	40,898	30,846
Depreciation of equipment on operating leases									231,805	280,765	247,438
Other expenses									43,778	44,827	36,297
Total administrative and operating expenses	90,118	83,332	85,287	96,020	108,660	106,591	95,994	101,676	354,757	412,921	359,806
Total expenses									680,037	735,491	664,905
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method									198,317	203,441	281,816
Income tax provision (benefit)	6,819	8,111	14,422	12,120	(96,357)	14,387	16,885	18,037	41,472	(47,048)	94,304
NET INCOME	$ 31,133	$ 38,281	$ 47,628	$ 39,803	$ 139,770	$ 34,139	$ 38,187	$ 38,393	156,845	250,489	187,512
COMPREHENSIVE INCOME									110,009	294,462	204,914
CNH Industrial Capital LLC
REVENUES
Interest and other income from affiliates									70,880	100,033	97,254
Total revenues									70,880	100,033	97,254
Interest expense:
Interest expense to third parties									156,839	164,836	162,264
Total interest expense									156,839	164,836	162,264
Administrative and operating expenses:
Other expenses									22
Total administrative and operating expenses									22
Total expenses									156,861	164,836	162,264
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method									(85,981)	(64,803)	(65,010)
Income tax provision (benefit)									(20,995)	(24,331)	(24,261)
Equity in income of consolidated subsidiaries accounted for under the equity method									221,831	290,961	228,261
NET INCOME									156,845	250,489	187,512
COMPREHENSIVE INCOME									110,009	294,462	204,914
Guarantor Entities
REVENUES
Interest income on retail notes and finance leases									9,170	16,206	15,990
Interest income on wholesale notes									(1,030)	(1,107)	(96)
Interest and other income from affiliates									200,821	243,273	232,020
Rental income on operating leases									187,089	197,859	196,911
Other income									87,710	94,408	103,422
Total revenues									483,760	550,639	548,247
Interest expense:
Interest expense to third parties									(8,767)	2,125	6,209
Interest expense to affiliates									199,890	236,267	226,544
Total interest expense									191,123	238,392	232,753
Administrative and operating expenses:
Fees charged by affiliates									45,545	44,666	43,469
Provision (benefit) for credit losses									8,445	11,090	9,879
Depreciation of equipment on operating leases									189,228	235,911	206,924
Other expenses									18,249	33,176	28,035
Total administrative and operating expenses									261,467	324,843	288,307
Total expenses									452,590	563,235	521,060
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method									31,170	(12,596)	27,187
Income tax provision (benefit)									11,010	(148,033)	10,204
Equity in income of consolidated subsidiaries accounted for under the equity method									201,671	155,524	211,278
NET INCOME									221,831	290,961	228,261
COMPREHENSIVE INCOME									$ 174,995	334,934	245,663
CNH Industrial Capital America LLC
Condensed Statements of Comprehensive Income
Ownership percentage	100.00%								100.00%
New Holland Credit Company LLC
Condensed Statements of Comprehensive Income
Ownership percentage	100.00%								100.00%
All Other Subsidiaries
REVENUES
Interest income on retail notes and finance leases									$ 192,099	185,327	195,516
Interest income on wholesale notes									67,929	66,828	69,006
Interest and other income from affiliates									297,443	326,346	324,262
Rental income on operating leases									54,493	53,750	46,620
Other income									2,842	1,906	2,837
Total revenues									614,806	634,157	638,241
Interest expense:
Interest expense to third parties									169,675	144,167	129,408
Interest expense to affiliates									30,854	46,569	35,838
Total interest expense									200,529	190,736	165,246
Administrative and operating expenses:
Fees charged by affiliates									69,811	76,268	83,613
Provision (benefit) for credit losses									23,254	29,808	20,967
Depreciation of equipment on operating leases									42,577	44,854	40,514
Other expenses									25,507	11,651	8,262
Total administrative and operating expenses									161,149	162,581	153,356
Total expenses									361,678	353,317	318,602
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method									253,128	280,840	319,639
Income tax provision (benefit)									51,457	125,316	108,361
NET INCOME									201,671	155,524	211,278
COMPREHENSIVE INCOME									161,250	192,936	225,994
Eliminations
REVENUES
Interest and other income from affiliates									(223,211)	(271,394)	(255,164)
Other income									(67,881)	(74,503)	(81,857)
Total revenues									(291,092)	(345,897)	(337,021)
Interest expense:
Interest expense to affiliates									(223,211)	(271,394)	(255,164)
Total interest expense									(223,211)	(271,394)	(255,164)
Administrative and operating expenses:
Fees charged by affiliates									(67,881)	(74,503)	(81,857)
Total administrative and operating expenses									(67,881)	(74,503)	(81,857)
Total expenses									(291,092)	(345,897)	(337,021)
Equity in income of consolidated subsidiaries accounted for under the equity method									(423,502)	(446,485)	(439,539)
NET INCOME									(423,502)	(446,485)	(439,539)
COMPREHENSIVE INCOME									$ (336,245)	$ (527,870)	$ (471,657)

SUPPLEMENTAL CONDENSED CONSOL_4

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION - Balance Sheets (Details) - USD ($) $ in Thousands	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
ASSETS
Cash and cash equivalents	$ 160,328	$ 226,946
Restricted cash	639,543	648,612
Receivables, less allowance for credit losses	9,950,926	10,421,545
Affiliated accounts and notes receivable	43,389	73,133
Equipment on operating leases, net	1,724,217	1,781,489
Equipment held for sale	209,991	208,516
Goodwill and intangible assets, net	118,581	117,456
Other assets	84,937	34,381
TOTAL	12,931,912	13,512,078	$ 14,043,259
Liabilities:
Short-term debt, including current maturities of long-term debt	4,324,292	4,617,464
Accounts payable and other accrued liabilities	715,778	740,410
Affiliated debt	276,271	445,802
Long-term debt	6,259,839	6,332,763
Total liabilities	11,576,180	12,136,439
Stockholder's equity	1,355,732	1,375,639	$ 1,366,718	$ 1,451,432
TOTAL	12,931,912	13,512,078
Eliminations
ASSETS
Affiliated accounts and notes receivable	(6,657,354)	(6,504,485)
Investments in consolidated subsidiaries accounted for under the equity method	(5,257,189)	(5,146,576)
Other assets	(3,401)	(4,065)
TOTAL	(11,917,944)	(11,655,126)
Liabilities:
Accounts payable and other accrued liabilities	(3,848,956)	(3,510,803)
Affiliated debt	(2,811,799)	(2,997,747)
Total liabilities	(6,660,755)	(6,508,550)
Stockholder's equity	(5,257,189)	(5,146,576)
TOTAL	(11,917,944)	(11,655,126)
CNH Industrial Capital LLC
ASSETS
Affiliated accounts and notes receivable	2,310,137	2,518,121
Investments in consolidated subsidiaries accounted for under the equity method	2,796,050	2,620,971
Other assets	11,140	7,548
TOTAL	5,117,327	5,146,640
Liabilities:
Short-term debt, including current maturities of long-term debt	987,559	1,015,520
Accounts payable and other accrued liabilities	286,527	283,445
Long-term debt	2,487,509	2,472,036
Total liabilities	3,761,595	3,771,001
Stockholder's equity	1,355,732	1,375,639
TOTAL	5,117,327	5,146,640
Guarantor Entities
ASSETS
Cash and cash equivalents	118,508	160,339
Receivables, less allowance for credit losses	1,472,678	1,367,951
Affiliated accounts and notes receivable	2,122,129	1,991,481
Equipment on operating leases, net	1,357,493	1,405,731
Equipment held for sale	192,772	191,710
Investments in consolidated subsidiaries accounted for under the equity method	2,461,139	2,525,605
Goodwill and intangible assets, net	91,754	88,440
Other assets	56,517	4,432
TOTAL	7,872,990	7,735,689
Liabilities:
Short-term debt, including current maturities of long-term debt		45,937
Accounts payable and other accrued liabilities	3,035,024	2,807,195
Affiliated debt	2,041,926	2,253,248
Long-term debt	(10)	8,338
Total liabilities	5,076,940	5,114,718
Stockholder's equity	2,796,050	2,620,971
TOTAL	7,872,990	7,735,689
All Other Subsidiaries
ASSETS
Cash and cash equivalents	41,820	66,607
Restricted cash	639,543	648,612
Receivables, less allowance for credit losses	8,478,248	9,053,594
Affiliated accounts and notes receivable	2,268,477	2,068,016
Equipment on operating leases, net	366,724	375,758
Equipment held for sale	17,219	16,806
Goodwill and intangible assets, net	26,827	29,016
Other assets	20,681	26,466
TOTAL	11,859,539	12,284,875
Liabilities:
Short-term debt, including current maturities of long-term debt	3,336,733	3,556,007
Accounts payable and other accrued liabilities	1,243,183	1,160,573
Affiliated debt	1,046,144	1,190,301
Long-term debt	3,772,340	3,852,389
Total liabilities	9,398,400	9,759,270
Stockholder's equity	2,461,139	2,525,605
TOTAL	$ 11,859,539	$ 12,284,875

SUPPLEMENTAL CONDENSED CONSOL_5

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION - Statements of Cash Flows (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	$ 362,881	$ 610,453	$ 685,070
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired	(11,802,561)	(10,914,579)	(10,803,971)
Collections of receivables	12,072,940	11,405,857	11,547,142
Purchase of equipment on operating leases, net	(212,009)	(199,941)	(361,431)
Change in property and equipment and software, net	(5,427)	(1,614)	(890)
Net cash from (used in) investing activities	52,943	289,723	380,850
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity	(154,176)	288,533	110,209
Net change in indebtedness	(207,335)	(905,243)	(1,106,906)
Dividend paid to CNH Industrial America LLC	(130,000)	(285,000)	(290,000)
Net cash from (used in) financing activities	(491,511)	(901,710)	(1,286,697)
DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH	(75,687)	(1,534)	(220,777)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of year	875,558	877,092	1,097,869
End of year	799,871	875,558	877,092
Eliminations
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	(411,000)	(922,660)	158,127
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired	7,269,611	6,808,056	6,888,764
Collections of receivables	(7,270,276)	(6,808,286)	(6,889,105)
Net cash from (used in) investing activities	(665)	(230)	(341)
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity	185,948	922,890	(286,842)
Dividend paid to CNH Industrial America LLC	225,717		129,056
Net cash from (used in) financing activities	411,665	922,890	(157,786)
CNH Industrial Capital LLC
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	142,488	564,252	(102,001)
CASH FLOWS FROM FINANCING ACTIVITIES:
Net change in indebtedness	(12,488)	(279,252)	392,001
Dividend paid to CNH Industrial America LLC	(130,000)	(285,000)	(290,000)
Net cash from (used in) financing activities	(142,488)	(564,252)	102,001
Guarantor Entities
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	488,329	838,812	(9,907)
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired	(9,080,473)	(8,276,424)	(8,575,745)
Collections of receivables	8,967,965	8,316,852	8,660,606
Purchase of equipment on operating leases, net	(146,618)	(136,711)	(255,439)
Change in property and equipment and software, net	(5,427)	(1,614)	(887)
Net cash from (used in) investing activities	(264,553)	(97,897)	(171,465)
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity	(211,322)	(683,231)	172,351
Net change in indebtedness	(54,285)	(48,999)	(21,166)
Net cash from (used in) financing activities	(265,607)	(732,230)	151,185
DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH	(41,831)	8,685	(30,187)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of year	160,339	151,654	181,841
End of year	118,508	160,339	151,654
All Other Subsidiaries
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	143,064	130,049	638,851
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired	(9,991,699)	(9,446,211)	(9,116,990)
Collections of receivables	10,375,251	9,897,291	9,775,641
Purchase of equipment on operating leases, net	(65,391)	(63,230)	(105,992)
Change in property and equipment and software, net			(3)
Net cash from (used in) investing activities	318,161	387,850	552,656
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity	(128,802)	48,874	224,700
Net change in indebtedness	(140,562)	(576,992)	(1,477,741)
Dividend paid to CNH Industrial America LLC	(225,717)		(129,056)
Net cash from (used in) financing activities	(495,081)	(528,118)	(1,382,097)
DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH	(33,856)	(10,219)	(190,590)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of year	715,219	725,438	916,028
End of year	$ 681,363	$ 715,219	$ 725,438

SUPPLEMENTAL QUARTERLY INFORM_3

SUPPLEMENTAL QUARTERLY INFORMATION (UNAUDITED) (Details) - USD ($) $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2018	Sep. 30, 2018	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016
SUPPLEMENTAL QUARTERLY INFORMATION (UNAUDITED)
Revenues	$ 214,561	$ 211,281	$ 226,141	$ 226,371	$ 241,346	$ 234,889	$ 229,863	$ 232,834	$ 878,354	$ 938,932	$ 946,721
Interest expense	86,491	81,557	78,804	78,428	89,273	79,772	78,797	74,728	325,280	322,570	305,099
Administrative and operating expenses	90,118	83,332	85,287	96,020	108,660	106,591	95,994	101,676	354,757	412,921	359,806
Income tax provision (benefit)	6,819	8,111	14,422	12,120	(96,357)	14,387	16,885	18,037	41,472	(47,048)	94,304
NET INCOME	$ 31,133	$ 38,281	$ 47,628	$ 39,803	$ 139,770	$ 34,139	$ 38,187	$ 38,393	$ 156,845	$ 250,489	$ 187,512

SUBSEQUENT EVENTS (Details)

SUBSEQUENT EVENTS (Details) $ in Thousands	Feb. 06, 2019USD ($)
Subsequent event | Amortizing Retail Term ABS
Subsequent Events
Debt issued	$ 786,040