CNH Industrial Capital 10-Q 4 Aug 20 2020 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information	6 Months Ended
	Jun. 30, 2020shares
Document and Entity Information
Entity Registrant Name	CNH INDUSTRIAL CAPITAL LLC
Document Type	10-Q
Document Period End Date	Jun. 30, 2020
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding	0
Entity Central Index Key	0001552493
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q2

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2020	Mar. 31, 2020	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2020	Jun. 30, 2019
REVENUES
Interest income on retail notes and finance leases	$ 48,489		$ 57,112		$ 96,020	$ 112,580
Interest income on wholesale notes	13,569		16,993		29,141	33,735
Interest and other income from affiliates	82,069		88,992		167,512	173,245
Rental income on operating leases	62,109		60,492		124,194	121,133
Other income	7,468		5,523		12,654	10,488
Total revenues	213,704		229,112		429,521	451,181
Interest expense:
Interest expense to third parties	67,739		84,989		144,616	170,205
Interest expense to affiliates	235		258		2,046	3,423
Total interest expense	67,974		85,247		146,662	173,628
Administrative and operating expenses:
Fees charged by affiliates	10,995		11,574		23,143	23,955
Provision for credit losses	20,659		13,097		35,137	20,066
Depreciation of equipment on operating leases	58,836		55,680		117,126	116,600
Other expenses	8,693		13,832		15,401	16,259
Total administrative and operating expenses	99,183		94,183		190,807	176,880
Total expenses	167,157		179,430		337,469	350,508
INCOME BEFORE TAXES	46,547		49,682		92,052	100,673
Income tax provision	10,556		11,898		20,984	23,678
NET INCOME	$ 35,991	$ 35,077	$ 37,784	$ 39,211	$ 71,068	$ 76,995

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2020	Mar. 31, 2020	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2020	Jun. 30, 2019
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
NET INCOME	$ 35,991	$ 35,077	$ 37,784	$ 39,211	$ 71,068	$ 76,995
Other comprehensive income (loss):
Foreign currency translation adjustment	19,311	(44,269)	9,244	8,690	(24,958)	17,934
Pension liability adjustment	(49)	(6)	89	88	(55)	177
Change in derivative financial instruments	(790)	$ (7,756)	(1,061)	$ (1,950)	(8,546)	(3,011)
Total other comprehensive income (loss)	18,472		8,272		(33,559)	15,100
COMPREHENSIVE INCOME	$ 54,463		$ 46,056		$ 37,509	$ 92,095

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
ASSETS
Cash and cash equivalents	$ 156,848	$ 174,966
Restricted cash and cash equivalents	494,169	629,278
Receivables, less allowance for credit losses of $119,825 and $72,751, respectively	9,207,499	9,835,274
Affiliated accounts and notes receivable	197,724	64,307
Equipment on operating leases, net	1,761,261	1,783,283
Equipment held for sale	145,002	170,218
Goodwill	108,296	109,629
Other intangible assets, net	11,546	12,195
Other assets	103,211	74,937
TOTAL	12,185,556	12,854,087
Liabilities:
Short-term debt (including current maturities of long-term debt)	4,787,452	4,790,172
Accounts payable and other accrued liabilities	899,213	807,437
Affiliated debt		213,856
Long-term debt	5,308,065	5,779,581
Total liabilities	10,994,730	11,591,046
Commitments and contingent liabilities (Note 11)
Stockholder's equity:
Member's capital
Paid-in capital	843,820	843,749
Accumulated other comprehensive loss	(157,955)	(124,396)
Retained earnings	504,961	543,688
Total stockholder's equity	1,190,826	1,263,041
TOTAL	$ 12,185,556	$ 12,854,087

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Allowance for credit losses	$ 119,825	$ 72,751
Restricted cash and cash equivalents	494,169	629,278
Receivables, less allowance for credit losses of $69,770 and $48,413, respectively	9,207,499	9,835,274
TOTAL	12,185,556	12,854,087
Short-term debt (including current maturities of long-term debt)	4,787,452	4,790,172
Long-term debt	5,308,065	5,779,581
Total liabilities	10,994,730	11,591,046
Consolidated variable interest entities ("VIEs")
Allowance for credit losses	69,770	48,413
Restricted cash and cash equivalents	494,169	629,278
Receivables, less allowance for credit losses of $69,770 and $48,413, respectively	6,298,149	6,748,621
TOTAL	6,792,318	7,377,899
Short-term debt (including current maturities of long-term debt)	2,966,628	3,274,216
Long-term debt	3,252,335	3,495,022
Total liabilities	$ 6,218,963	$ 6,769,238

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$ 71,068	$ 76,995
Adjustments to reconcile net income to net cash from (used in) operating activities:
Depreciation on property and equipment and equipment on operating leases	117,129	116,601
Amortization of intangibles	803	974
Provision (benefit) for credit losses	35,137	20,066
Deferred income tax expense (benefit)	(4,304)	28,910
Changes in components of working capital:
Change in affiliated accounts and notes receivables	(135,571)	30,737
Change in other assets and equipment held for sale	(66,512)	8,599
Change in accounts payable and other accrued liabilities	67,454	21,943
Net cash from (used in) operating activities	85,204	304,825
CASH FLOWS FROM INVESTING ACTIVITIES
Cost of receivables acquired	(4,793,000)	(5,539,579)
Collections of receivables	5,290,616	5,366,432
Purchase of equipment on operating leases	(273,464)	(347,175)
Proceeds from disposal of equipment on operating leases	223,875	220,817
Change in property and equipment and software, net	(154)	(1,916)
Net cash from (used in) investing activities	447,873	(301,421)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issuance of affiliated debt	557,352	653,140
Payment of affiliated debt	(771,208)	(583,222)
Proceeds from issuance of long-term debt	1,956,026	1,945,345
Payment of long-term debt	(2,034,118)	(1,958,759)
Change in short-term borrowings, net	(304,356)	(148,573)
Dividend paid to CNH Industrial America LLC	(90,000)	(125,000)
Net cash from (used in) financing activities	(686,304)	(217,069)
DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH	(153,227)	(213,665)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of period	804,244	799,871
End of period	651,017	586,206
CASH PAID DURING THE PERIOD FOR INTEREST	141,472	170,758
CASH PAID (RECEIVED) DURING THE PERIOD FOR TAXES	$ 10,310	$ (37,895)

CONSOLIDATED STATEMENTS OF CHAN

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDER'S EQUITY - USD ($) $ in Thousands	Paid-in Capital	Accumulated Other Comprehensive (Loss) Income	Retained Earnings	Total
BALANCE at Dec. 31, 2018	$ 843,643	$ (146,999)	$ 659,088	$ 1,355,732
Increase (Decrease) in Stockholder's Equity
Net income			39,211	39,211
Foreign currency translation adjustment		8,690		8,690
Stock compensation	164			164
Reclassification of certain tax effects		(597)	597
Pension liability adjustment, net of tax		88		88
Change in derivative financial instruments, net of tax		(1,950)		(1,950)
BALANCE at Mar. 31, 2019	843,807	(140,768)	698,896	1,401,935
BALANCE at Dec. 31, 2018	843,643	(146,999)	659,088	1,355,732
Increase (Decrease) in Stockholder's Equity
Net income				76,995
Foreign currency translation adjustment				17,934
Pension liability adjustment, net of tax				177
Change in derivative financial instruments, net of tax				(3,011)
BALANCE at Jun. 30, 2019	843,901	(132,496)	611,680	1,323,085
BALANCE at Mar. 31, 2019	843,807	(140,768)	698,896	1,401,935
Increase (Decrease) in Stockholder's Equity
Net income			37,784	37,784
Dividend paid to CNH Industrial America LLC			(125,000)	(125,000)
Foreign currency translation adjustment		9,244		9,244
Stock compensation	94			94
Pension liability adjustment, net of tax		89		89
Change in derivative financial instruments, net of tax		(1,061)		(1,061)
BALANCE at Jun. 30, 2019	843,901	(132,496)	611,680	1,323,085
Increase (Decrease) in Stockholder's Equity
BALANCE	843,749	(124,396)	523,898	1,243,251
Adoption of ASC 326			(19,790)	(19,790)
BALANCE at Dec. 31, 2019	843,749	(124,396)	543,688	1,263,041
Increase (Decrease) in Stockholder's Equity
Net income			35,077	35,077
Dividend paid to CNH Industrial America LLC			(40,000)	(40,000)
Foreign currency translation adjustment		(44,269)		(44,269)
Stock compensation	(1)			(1)
Pension liability adjustment, net of tax		(6)		(6)
Change in derivative financial instruments, net of tax		(7,756)		(7,756)
BALANCE at Mar. 31, 2020	843,748	(176,427)	518,975	1,186,296
BALANCE at Dec. 31, 2019	843,749	(124,396)	543,688	1,263,041
Increase (Decrease) in Stockholder's Equity
Net income				71,068
Foreign currency translation adjustment				(24,958)
Pension liability adjustment, net of tax				(55)
Change in derivative financial instruments, net of tax				(8,546)
BALANCE at Jun. 30, 2020	843,820	(157,955)	504,961	1,190,826
BALANCE at Mar. 31, 2020	843,748	(176,427)	518,975	1,186,296
Increase (Decrease) in Stockholder's Equity
Net income			35,991	35,991
Dividend paid to CNH Industrial America LLC			(50,000)	(50,000)
Foreign currency translation adjustment				19,311
Foreign currency translation adjustment		19,311	(5)	19,306
Stock compensation	72			72
Pension liability adjustment, net of tax		(49)		(49)
Change in derivative financial instruments, net of tax		(790)		(790)
BALANCE at Jun. 30, 2020	$ 843,820	$ (157,955)	$ 504,961	$ 1,190,826

BASIS OF PRESENTATION

BASIS OF PRESENTATION	6 Months Ended
	Jun. 30, 2020
BASIS OF PRESENTATION
BASIS OF PRESENTATION	NOTE 1: BASIS OF PRESENTATION CNH Industrial Capital LLC and its primary operating subsidiaries, including New Holland Credit Company, LLC (“New Holland Credit”), CNH Industrial Capital America LLC (“CNH Industrial Capital America”) and CNH Industrial Capital Canada Ltd. (“CNH Industrial Capital Canada”) (collectively, “CNH Industrial Capital” or the “Company”), are each a subsidiary of CNH Industrial America LLC (“CNH Industrial America”), which is an indirect wholly-owned subsidiary of CNH Industrial N.V. (“CNHI” and, together with its consolidated subsidiaries, “CNH Industrial”). CNH Industrial America and CNH Industrial Canada Ltd. (collectively, “CNH Industrial North America”) design, manufacture, and sell agricultural and construction equipment. CNH Industrial Capital provides financial services for CNH Industrial North America dealers and end-use customers primarily located in the United States and Canada. CNHI is incorporated in and under the laws of The Netherlands. CNHI has its corporate seat in Amsterdam, The Netherlands, and its principal office in London, England. The common shares of CNHI are listed on the New York Stock Exchange under the symbol “CNHI,” as well as on the Mercato Telematico Azionario managed by Borsa Italiana S.p.A. The Company has prepared the accompanying consolidated financial statements in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information, which should be read in conjunction with the audited financial statements in its Annual Report on Form 10-K for the year ended December 31, 2019. Certain financial information that is normally included in annual financial statements prepared in conformity with U.S. GAAP, which is not required for interim reporting purposes, has been condensed or omitted. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of our interim unaudited financial statements have been reflected. The consolidated financial statements include the Company and its consolidated subsidiaries. The consolidated financial statements are expressed in U.S. dollars. The consolidated financial statements include the accounts of the Company’s subsidiaries in which the Company has a controlling financial interest and reflect the noncontrolling interests of the minority owners of the subsidiaries that are not fully owned for the periods presented, as applicable. A controlling financial interest may exist based on ownership of a majority of the voting interest of a subsidiary, or based on the Company’s determination that it is the primary beneficiary of a variable interest entity (“VIE”). The primary beneficiary of a VIE is the party that has the power to direct the activities that most significantly impact the economic performance of the entity and the obligation to absorb losses or the right to receive benefits that could potentially be significant to the entity. The Company assesses whether it is the primary beneficiary on an ongoing basis, as prescribed by the accounting guidance on the consolidation of VIEs. The consolidated status of the VIEs with which the Company is involved may change as a result of such reassessments. The preparation of consolidated financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities and reported amounts of revenues and expenses. Significant estimates in these consolidated financial statements include the allowance for credit losses and residual values of equipment on operating leases.

NEW ACCOUNTING PRONOUNCEMENTS

NEW ACCOUNTING PRONOUNCEMENTS	6 Months Ended
	Jun. 30, 2020
NEW ACCOUNTING PRONOUNCEMENTS
NEW ACCOUNTING PRONOUNCEMENTS	NOTE 2: NEW ACCOUNTING PRONOUNCEMENTS New Accounting Pronouncements Adopted in 2020 In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-13, Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”), which established ASC 326, Financial Instruments – Credit Losses (“ASC 326”). In November 2018, the FASB issued ASU No. 2018-19, Codification Improvements to Topic 326, Financial Instruments – Credit Losses (“ASU 2018-19”), which superseded existing ASU 2016-13. 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 were also required. The Company adopted ASU 2018-19 on January 1, 2020, using the modified retrospective approach. The impact to the consolidated balance sheet on January 1, 2020 was an increase to the allowance for credit losses of $26 million and an increase to deferred tax assets of $6 million, with the offset to retained earnings, net of tax, of $20 million. See “Note 4: Receivables” for the Company’s updated accounting policy on Allowance for Credit Losses. 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 amended ASC 820, Fair Value Measurement . This ASU modified the disclosure requirements for fair value measurements by removing, modifying, or adding certain disclosures. The removed and modified disclosures were adopted on a retrospective basis and the new disclosures were adopted on a prospective basis. The adoption of this standard did not have a material impact on the Company’s 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 expanded the guidance set forth in ASU 2015‑05, Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement . ASU 2018-15 aligned 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. The Company adopted ASU 2018-15 on January 1, 2020. The adoption of this standard did not have a material impact on its consolidated financial statements. In October 2018, the FASB issued ASU No. 2018-17, Targeted Improvements to Related Party Guidance for Variable Interest Entities (“ASU 2018-17”), which expanded the application of a specific private company alternative related to VIEs and changed the guidance for determining whether a decision-making fee is a variable interest. Under the new guidance, to determine whether decision-making fees represent a variable interest, an entity considers indirect interests held through related parties under common control on a proportionate basis, rather than in their entirety. The Company adopted ASU 2018-17 on January 1, 2020. The adoption of this standard did not have a material impact on its consolidated financial statements. In April 2019, the FASB issued ASU No. 2019-04, Codification Improvements to Topic 326, Financial Instruments – Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments (“ASU 2019-04”), which made targeted changes to standards on credit losses, hedging, and recognizing and measuring financial instruments, to clarify them and address implementation issues. The amendments clarified the scope of the credit losses standard and addressed issues related to accrued interest receivable balances, recoveries, variable interest rates and prepayments, among other things. On recognizing and measuring financial instruments, the amendments addressed the scope of the guidance, the requirement for remeasurement under ASC 820 when using the measurement alternative, certain disclosure requirements and which equity securities have to be remeasured at historical exchange rates. The Company adopted ASU 2019-04 on January 1, 2020. The adoption of this standard did not have a material impact on its consolidated financial statements. New Accounting Pronouncements Not Yet Adopted In December 2019, the FASB issued ASU No. 2019-12, Simplifying the Accounting for Income Taxes (“ASU 2019-12”). This ASU eliminates certain exceptions to the general principles in ASC 740, Income Taxes . Specifically, it eliminates the exception to (1) the incremental approach for intraperiod tax allocation where there is a loss from continuing operations, and income or a gain from other items; (2) the requirement to recognize a deferred tax liability for equity method investments when a foreign subsidiary becomes an equity method investment; (3) the ability not to recognize a deferred tax liability for a foreign subsidiary when a foreign equity method investment becomes a subsidiary; and (4) the general methodology for calculating income taxes in an interim period when a year-to-date loss exceeds the anticipated loss for the year. ASU 2019-12 will be effective for the annual periods beginning after December 15, 2020, including interim periods within those fiscal years. Early adoption is permitted. The Company does not expect the adoption of this standard to have a material impact on its consolidated financial statements.

ACCUMULATED OTHER COMPREHENSIVE

ACCUMULATED OTHER COMPREHENSIVE INCOME	6 Months Ended
	Jun. 30, 2020
ACCUMULATED OTHER COMPREHENSIVE INCOME
ACCUMULATED OTHER COMPREHENSIVE INCOME	NOTE 3: ACCUMULATED OTHER COMPREHENSIVE INCOME Accumulated other comprehensive income (“AOCI”) includes net income plus other comprehensive income, which includes foreign currency translation gains and losses, certain changes in pension plans and changes in fair value of certain derivatives designated as cash flow hedges. The following table summarizes the change in the components of the Company’s AOCI balance and related tax effects for the three months ended June 30, 2020: Currency Unrealized Translation Pension (Losses) Gains Adjustment Liability on Derivatives Total Beginning balance, gross $ (169,402) $ (308) $ (9,218) $ (178,928) Tax asset — 58 2,443 2,501 Beginning balance, net of tax (169,402) (250) (6,775) (176,427) Other comprehensive income (loss) before reclassifications 19,311 (115) (1,187) 18,009 Amounts reclassified from accumulated other comprehensive income (loss) — 50 112 162 Tax effects — 16 285 301 Net current-period other comprehensive income (loss) 19,311 (49) (790) 18,472 Total $ (150,091) $ (299) $ (7,565) $ (157,955) The following table summarizes the change in the components of the Company’s AOCI balance and related tax effects for the six months ended June 30, 2020: Currency Unrealized Translation Pension (Losses) Gains Adjustment Liability on Derivatives Total Beginning balance, gross $ $ (302) $ 1,335 $ Tax asset — 58 (354) (296) Beginning balance, net of tax (244) 981 Other comprehensive income (loss) before reclassifications (24,958) (174) (11,576) (36,708) Amounts reclassified from accumulated other comprehensive income (loss) — 102 (51) 51 Tax effects — 17 3,081 3,098 Net current-period other comprehensive income (loss) (24,958) (55) (8,546) (33,559) Total $ $ (299) $ (7,565) $ The following table summarizes the change in the components of the Company’s AOCI balance and related tax effects for the three months ended June 30, 2019: Currency Unrealized Translation Pension (Losses) Gains Adjustment Liability on Derivatives Total Beginning balance, gross $ (138,036) $ (3,953) $ 372 $ (141,617) Tax asset — 947 (98) 849 Beginning balance, net of tax (138,036) (3,006) 274 (140,768) Other comprehensive income (loss) before reclassifications 9,244 (112) (1,328) 7,804 Amounts reclassified from accumulated other comprehensive income (loss) — 229 (115) 114 Tax effects — (28) 382 354 Net current-period other comprehensive income (loss) 9,244 89 (1,061) 8,272 Total $ (128,792) $ (2,917) $ (787) $ (132,496) The following table summarizes the change in the components of the Company’s AOCI balance and related tax effects for the six months ended June 30, 2019: Currency Unrealized Translation Pension (Losses) Gains Adjustment Liability on Derivatives Total Beginning balance, gross $ (146,726) $ (4,070) $ 3,025 $ (147,771) Tax asset — 1,573 (801) 772 Beginning balance, net of tax (146,726) (2,497) 2,224 (146,999) Other comprehensive income (loss) before reclassifications 17,934 (223) (3,739) 13,972 Amounts reclassified from accumulated other comprehensive income (loss) — 457 (357) 100 Tax effects — (57) 1,085 1,028 Net current-period other comprehensive income (loss) 17,934 177 (3,011) 15,100 Reclassification of certain tax effects — (597) — (597) Total $ (128,792) $ (2,917) $ (787) $ (132,496) The reclassifications out of AOCI and the location on the consolidated statements of income for the three and six months ended June 30, 2020 and 2019 are as follows: Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Affected Line Item Amortization of defined benefit pension items: $ (50) $ (229) $ (102) $ (457) Various line items individually insignificant (50) (229) (102) (457) Income before taxes 17 55 24 111 Income tax effects $ (33) $ (174) $ (78) $ (346) Net of tax Unrealized losses on derivatives: $ (112) $ 115 $ 51 $ 357 Interest expense to third parties (112) 115 Income before taxes 30 (30) (13) (94) Income tax effects $ (82) $ 85 $ 38 $ 263 Net of tax

RECEIVABLES

RECEIVABLES	6 Months Ended
	Jun. 30, 2020
RECEIVABLES
RECEIVABLES	NOTE 4: RECEIVABLES A summary of receivables included in the consolidated balance sheets as of June 30, 2020 and December 31, 2019 is as follows: June 30, December 31, 2020 2019 Retail $ 857,176 $ 656,518 Wholesale 762,195 813,454 Finance lease 91,052 79,848 Restricted receivables Gross receivables Less: Allowance for credit losses (119,825) (72,751) Total receivables, net $ $ 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 June 30, 2020 and December 31, 2019: June 30, December 31, 2020 2019 Retail $ 5,128,552 $ 5,531,885 Wholesale 2,488,349 2,826,320 Total restricted receivables $ 7,616,901 $ 8,358,205 Within the U.S. retail receivables securitization programs, qualifying retail receivables are sold to bankruptcy remote SPEs. In turn, these SPEs either establish separate trusts to which the receivables are transferred in exchange for proceeds from asset-backed securities issued by the trusts or pledge the receivables as collateral in exchange for proceeds from a committed asset-backed facility. In Canada, the receivables are transferred directly to the trusts. These trusts were determined to be VIEs. In its role as servicer, the Company has the power to direct the trusts’ activities. Through its retained interests, the Company has an obligation to absorb certain losses, or the right to receive certain benefits, that could potentially be significant to the trusts. Consequently, the Company has consolidated these retail trusts. With regard to the wholesale receivable securitization programs, the Company sells eligible receivables on a revolving basis to structured master trust facilities, which are bankruptcy-remote SPEs. These trusts were determined to be VIEs. In its role as servicer, CNH Industrial Capital has the power to direct the trusts’ activities. Through its retained interests, the Company provides security to investors in the event that cash collections from the receivables are not sufficient to make principal and interest payments on the securities. Consequently, CNH Industrial Capital has consolidated these wholesale trusts. Allowance for Credit Losses The allowance for credit losses is the Company’s estimate of the lifetime expected credit losses inherent in the receivables owned by the Company. Retail receivables include retail and other notes and finance lease products offered for retail purchases of new and used equipment sold through CNH Industrial North America’s dealer network. Wholesale receivables include 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. Wholesale factoring receivables represent the short-term receivables purchased from Iveco Argentina S.A. Typically, the Company’s receivables within a geographic area have similar risk profiles and methods for assessing and monitoring risk. Retail receivables that share the same risk characteristics such as, collateralization levels, geography, product type and other relevant factors are reviewed on a collective basis using measurement models and management judgment. The allowance for retail 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. The calculation is adjusted for forward looking macroeconomic factors, such as GDP and Net Farm Income. The forward-looking macroeconomic factors are updated quarterly. In addition, qualitative factors that are not fully captured in the loss forecast models 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. Wholesale receivables that share the same risk characteristics such as, collateralization levels, term, geography and other relevant factors are reviewed on a collective basis using measurement models and management judgment. The allowance for 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. The calculation is adjusted for forward looking macroeconomic factors, such as industry sales volumes. The forward-looking macroeconomic factors are updated quarterly. In addition, qualitative factors that are not fully captured in the loss forecast models 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. Wholesale and retail receivables that do not have similar risk characteristics are individually reviewed based on, among other items, amounts outstanding, days past due and prior collection history. Expected credit losses are measured by considering: the probability-weighted estimates of cash flows and collateral value; the time value of money; current conditions and forecasts of future economic conditions. Expected credit losses are measured as the probability-weighted present value of all cash shortfalls (including the value of the collateral, if appropriate) over the expected life of each financial asset. 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. Allowance for credit losses activity for the three months ended June 30, 2020 is as follows: Retail Wholesale Total Allowance for credit losses: Beginning balance $ 96,835 $ 8,395 $ 105,230 Charge-offs (6,947) (33) (6,980) Recoveries 600 — 600 Provision (benefit) 21,730 (1,071) 20,659 Foreign currency translation and other 274 42 316 Ending balance $ 112,492 $ 7,333 $ 119,825 Allowance for credit losses activity for the six months ended June 30, 2020 is as follows: Retail Wholesale Total Allowance for credit losses: Beginning balance, as previously reported $ 64,750 $ 8,001 $ 72,751 Adoption of ASC 326 25,877 — 25,877 Beginning balance, as recast $ 90,627 $ 8,001 $ 98,628 Charge-offs (14,784) (212) (14,996) Recoveries 1,327 3 1,330 Provision (benefit) 35,551 (414) 35,137 Foreign currency translation and other (229) (45) (274) Ending balance $ 112,492 $ 7,333 $ 119,825 Receivables: Ending balance $ $ $ At June 30, 2020, the allowance for credit losses includes a reserve build primarily due to a weaker economic outlook related to the COVID‑19 pandemic. As this situation has rapidly evolved and is fluid, there is significant subjectivity in the Company’s assessment. The Company continues to monitor the situation and will update the macroeconomic factors and qualitative factors in future periods, as warranted. Allowance for credit losses activity for the three months ended June 30, 2019 is as follows: Wholesale Retail Wholesale Factoring Total Allowance for credit losses: Beginning balance $ 65,637 $ 6,535 $ 56 $ 72,228 Charge-offs (9,189) — — (9,189) Recoveries 1,369 3 — 1,372 Provision 12,410 683 4 13,097 Foreign currency translation and other 84 18 — 102 Ending balance $ 70,311 $ 7,239 $ 60 $ 77,610 Allowance for credit losses activity for the six months ended June 30, 2019 is as follows: Wholesale Retail Wholesale Factoring Total Allowance for credit losses: Beginning balance $ 66,944 $ 7,468 $ — $ 74,412 Charge-offs (16,566) (2,165) — (18,731) Recoveries 1,676 9 — 1,685 Provision 18,106 1,900 60 20,066 Foreign currency translation and other 151 27 — 178 Ending balance $ 70,311 $ 7,239 $ 60 $ 77,610 Receivables: Ending balance $ 6,364,938 $ 3,818,196 $ 84,474 $ 10,267,608 Allowance for credit losses activity for the year ended December 31, 2019 is as follows: Retail Wholesale Total Allowance for credit losses: Beginning balance $ 66,944 $ 7,468 $ 74,412 Charge-offs (35,535) (5,102) (40,637) Recoveries 3,046 16 3,062 Provision 30,115 5,588 35,703 Foreign currency translation and other 180 31 211 Ending balance $ 64,750 $ 8,001 $ 72,751 Receivables: Ending balance $ 6,268,251 $ 3,639,774 $ 9,908,025 The Company assesses and monitors the credit quality of its receivables based on past due information. 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. As the terms for retail receivables are greater than one year, the past due information is presented by year of origination. The aging of receivables as of June 30, 2020 is as follows: Greater 31 – 60 Days 61 – 90 Days Than Total Total Past Due Past Due 90 Days Past Due Current Receivables Retail United States 2020 $ 424 $ 533 $ — $ 957 $ 1,001,531 $ 1,002,488 2019 3,599 3,541 2,245 9,385 1,603,651 1,613,036 2018 2,563 1,389 5,150 9,102 1,109,064 1,118,166 2017 2,993 1,490 3,973 8,456 631,467 639,923 2016 2,020 588 5,460 8,068 347,584 355,652 2015 764 296 2,384 3,444 143,364 146,808 Prior to 2015 329 24 3,042 3,395 42,859 46,254 Total $ 12,692 $ 7,861 $ 22,254 $ 42,807 $ 4,879,520 $ 4,922,327 Canada 2020 $ 34 $ — $ — $ 34 $ 240,252 $ 240,286 2019 1,879 295 761 2,935 414,424 417,359 2018 805 305 659 1,769 263,625 265,394 2017 490 226 665 1,381 128,705 130,086 2016 228 259 535 1,022 67,742 68,764 2015 185 56 537 778 26,664 27,442 Prior to 2015 31 — 34 65 5,057 5,122 Total $ 3,652 $ 1,141 $ 3,191 $ 7,984 $ 1,146,469 $ 1,154,453 Wholesale United States $ 173 $ 239 $ 587 $ 999 $ 2,604,297 $ 2,605,296 Canada $ 11 $ 4 $ 1 $ 16 $ 645,232 $ 645,248 Total Retail $ 16,344 $ 9,002 $ 25,445 $ 50,791 $ 6,025,989 $ 6,076,780 Wholesale $ 184 $ 243 $ 588 $ 1,015 $ 3,249,529 $ 3,250,544 The above aging table is not necessarily reflective of the potential credit risk in the portfolio due to payment schedules changes granted by the Company and government stimulus policies benefiting CNH Industrial North America dealers or the Company’s end-use customers. The aging of receivables as of December 31, 2019 is as follows: Recorded Investment Greater > 90 Days 31 – 60 Days 61 – 90 Days Than Total Total and Past Due Past Due 90 Days Past Due Current Receivables Accruing Retail United States $ 19,781 $ 5,896 $ 29,192 $ 54,869 $ 5,001,400 $ 5,056,269 $ 7,356 Canada $ 4,470 $ 1,063 $ 4,703 $ 10,236 $ 1,201,746 $ 1,211,982 $ 1,167 Wholesale United States $ 2,081 $ 42 $ 551 $ 2,674 $ 2,887,599 $ 2,890,273 $ 189 Canada $ 57 $ 370 $ 571 $ 998 $ 748,503 $ 749,501 $ 4 Total Retail $ 24,251 $ 6,959 $ 33,895 $ 65,105 $ 6,203,146 $ 6,268,251 $ 8,523 Wholesale $ 2,138 $ 412 $ 1,122 $ 3,672 $ 3,636,102 $ 3,639,774 $ 193 Included in the receivables balance is accrued interest of $57,610. The Company does not include accrued interest in its allowance for credit losses. Recognition of income is generally suspended when management determines that collection of future finance income is not probable or when an account becomes 90 days delinquent, whichever occurs first. Accrued interest is charged-off to interest income. Interest income charged-off was not material for the three and six months ended June 30, 2020. 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 June 30, 2020 and December 31, 2019 are as follows: June 30, 2020 December 31, 2019 Retail Wholesale Total Retail Wholesale Total United States $ 35,428 $ 25,250 $ 60,678 $ 33,463 $ 29,211 $ 62,674 Canada $ 3,235 $ — $ 3,235 $ 3,749 $ — $ 3,749 As of June 30, 2020 and December 31, 2019, the Company’s receivables on non-accrual status without an allowance were immaterial. Interest income recognized for receivables on non-accrual status for the three and six months ended June 30, 2020 and 2019 was immaterial. 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 June 30, 2020, the Company had 275 retail and finance lease contracts classified as TDRs where a court has determined the concession. The pre-modification value of these contracts was $8,580 and the post-modification value was $7,549. Additionally, the Company had 330 accounts with a balance of $21,058 undergoing bankruptcy proceedings where a concession has not yet been determined. As of June 30, 2019, 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 $10,216 and the post-modification value was $9,214. Additionally, the Company had 381 accounts with a balance of $16,336 undergoing bankruptcy proceedings where a concession has not yet been determined. As the outcome of the bankruptcy cases is determined by a court based on available assets, subsequent re-defaults are unusual and were not material for retail and finance lease contracts that were modified in a TDR during the previous 12 months ended June 30, 2020 and 2019. As of June 30, 2020 and 2019, the Company’s wholesale TDRs were immaterial.

EQUIPMENT ON OPERATING LEASES

EQUIPMENT ON OPERATING LEASES	6 Months Ended
	Jun. 30, 2020
EQUIPMENT ON OPERATING LEASES
EQUIPMENT ON OPERATING LEASES	NOTE 5: EQUIPMENT ON OPERATING LEASES Lease payments owed to the Company for equipment under non-cancelable operating leases (excluding deferred operating lease subsidy of $117,654) as of June 30, 2020 are as follows: 2020 $ 101,639 2021 174,293 2022 90,442 2023 32,988 2024 and thereafter 11,559 Total lease payments $ 410,921

CREDIT FACILITIES AND DEBT

CREDIT FACILITIES AND DEBT	6 Months Ended
	Jun. 30, 2020
CREDIT FACILITIES AND DEBT
CREDIT FACILITIES AND DEBT	NOTE 6: CREDIT FACILITIES AND DEBT On April 15, 2020, the Company extended the maturity date of the C$300,000 ($212,628) committed unsecured facility to June 2021. On April 23, 2020, the Company, through a trust, issued C$465,707 ($331,025) of amortizing asset-backed notes secured by Canadian retail receivables. On May 20, 2020, the Company borrowed of $379,410 through an amortizing loan secured by U.S. operating leases. The final maturity date is April 2025. On May 27, 2020, the Company, through a bankruptcy-remote trust, issued $789,040 of amortizing asset-backed notes secured by U.S. retail receivables. Committed unsecured facilities with banks as of June 30, 2020 totaled $823,834. 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 June 30, 2020, the Company had $423,834 outstanding under these credit facilities. Included in the remaining available credit commitments is $251,000 maintained primarily to provide backup liquidity for commercial paper borrowings. The Company’s outstanding commercial paper totaled $251,000 as of June 30, 2020.

INCOME TAXES

INCOME TAXES	6 Months Ended
	Jun. 30, 2020
INCOME TAXES
INCOME TAXES	NOTE 7: INCOME TAXES The effective tax rates for the three months ended June 30, 2020 and 2019 were 22.7% and 23.9%, respectively. The effective tax rate was 22.8% for the six months ended June 30, 2020, compared to 23.5% for the same period in 2019.

FINANCIAL INSTRUMENTS

FINANCIAL INSTRUMENTS	6 Months Ended
	Jun. 30, 2020
FINANCIAL INSTRUMENTS
FINANCIAL INSTRUMENTS	NOTE 8: FINANCIAL INSTRUMENTS The Company may elect to measure financial instruments and certain other items at fair value. This fair value option would 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 has not elected the fair value measurement option for eligible items. Fair-Value Hierarchy The hierarchy of valuation techniques for financial instruments is 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 market assumptions. These two types of inputs have created the following fair-value hierarchy: Level 1 — Quoted prices for identical instruments in active markets. Level 2 — Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets. Level 3 — This hierarchy requires the use of observable market data when available. Determination of Fair Value When available, the Company uses quoted market prices to determine fair value and classifies such items in Level 1. In some cases where a market price is not available, the Company will use 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 enter into derivative or other financial instruments for speculative purposes. The credit and market risk related to derivatives is reduced through diversification among various counterparties, utilizing mandatory termination clauses and/or collateral support agreements. Derivative instruments are generally classified as Level 2 in 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 as cash flow hedges are being used by the Company to mitigate the risk of rising interest rates related to existing debt and anticipated issuance of fixed-rate debt in future periods. Gains and losses on these instruments 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. As of June 30, 2020, 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 54 months. As of June 30, 2020, the after-tax losses deferred in accumulated other comprehensive income (loss) that will be recognized in interest expense over the next 12 months are approximately $352. The Company also enters into offsetting 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. Unrealized and realized gains and losses resulting from fair value changes in these instruments are recognized directly in income and were insignificant for the three and six months ended June 30, 2020 and 2019. All of the Company’s interest rate derivatives as of June 30, 2020 and December 31, 2019 are considered Level 2. The fair market value of these derivatives is calculated using market data input and can be compared to actively traded derivatives. The total notional amount of the Company’s interest rate derivatives was $3,395,298 and $3,004,709 at June 30, 2020 and December 31, 2019, respectively. The seven-month average notional amounts for the six months ended June 30, 2020 and 2019 were $3,124,169 and $3,004,828, 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 June 30, 2020 and December 31, 2019 in the consolidated balance sheets are recorded as follows: June 30, December 31, 2020 2019 Derivatives Designated as Hedging Instruments Other assets: Interest rate derivatives $ 67,712 $ 38,732 Accounts payable and other accrued liabilities: Interest rate derivatives $ 5,739 $ 1,243 Derivatives Not Designated as Hedging Instruments Other assets: Interest rate derivatives $ 400 $ 440 Foreign exchange contracts 1,181 — Total $ 1,581 $ 440 Accounts payable and other accrued liabilities: Interest rate derivatives $ 400 $ 440 Foreign exchange contracts — 800 Total $ 400 $ 1,240 Pre-tax gains (losses) on the consolidated statements of income and comprehensive income related to the Company’s derivatives for the three and six months ended June 30, 2020 and 2019 are recorded in the following accounts: Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Cash Flow Hedges Recognized in accumulated other comprehensive income (loss): Interest rate derivatives $ $ $ $ (3,739) Reclassified from accumulated other comprehensive income (loss): Interest rate derivatives—Interest expense to third parties (112) 115 51 357 Not Designated as Hedges Foreign exchange contracts—Other expenses $ 2,051 $ 3,463 $ (3,200) $ 3,193 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 June 30, 2020 and December 31, 2019, all of which are measured as Level 2: June 30, December 31, 2020 2019 Assets Interest rate derivatives $ 68,112 $ 39,172 Foreign exchange contracts 1,181 — Total assets $ 69,293 $ 39,172 Liabilities Interest rate derivatives $ 6,139 $ 1,683 Foreign exchange contracts — 800 Total liabilities $ 6,139 $ 2,483 There were no transfers between Level 1, Level 2 and Level 3 hierarchy levels during the periods presented. Fair Value of Other Financial Instruments The carrying amount of cash and cash equivalents, restricted cash and cash equivalents, 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 and cash equivalents 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 June 30, 2020 and December 31, 2019 are as follows: June 30, 2020 December 31, 2019 Carrying Estimated Carrying Estimated Amount Fair Value * Amount Fair Value * Receivables $ 9,207,499 $ 9,272,461 $ 9,835,274 $ 9,870,076 Long-term debt $ 5,308,065 $ 5,466,932 $ 5,779,581 $ 5,830,157 ______________ * Under the fair value hierarchy, receivables measurements are classified as Level 3 and long‑term debt measurements are classified as Level 2. Receivables The fair value of receivables was determined by discounting the estimated future payments using a discount rate which includes an estimate for credit risk. Long-term debt 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	6 Months Ended
	Jun. 30, 2020
GEOGRAPHICAL INFORMATION
GEOGRAPHICAL INFORMATION	NOTE 9: GEOGRAPHICAL INFORMATION A summary of the Company’s geographical information is as follows: Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Revenues United States $ 173,322 $ 183,870 $ 346,963 $ Canada 41,593 47,903 85,334 93,508 Eliminations (1,211) (2,661) (2,776) (3,976) Total $ 213,704 $ 229,112 $ 429,521 $ 451,181 Interest expense United States $ 56,895 $ 70,923 $ 122,661 $ Canada 12,290 16,985 26,777 33,245 Eliminations (1,211) (2,661) (2,776) (3,976) Total $ 67,974 $ 85,247 $ 146,662 $ 173,628 Net income United States $ 27,454 $ 25,247 $ 53,557 $ 54,015 Canada 8,537 12,537 17,511 22,980 Total $ 35,991 $ 37,784 $ 71,068 $ 76,995 Depreciation and amortization United States $ 48,543 $ 45,511 $ 96,402 $ 95,902 Canada 10,698 10,642 21,530 21,673 Total $ 59,241 $ 56,153 $ 117,932 $ Expenditures for equipment on operating leases United States $ 108,796 $ 133,803 $ 222,418 $ Canada 29,483 37,863 51,046 67,591 Total $ 138,279 $ 171,666 $ 273,464 $ Provision for credit losses United States $ 16,294 $ 12,364 $ 27,593 $ 18,060 Canada 4,365 733 7,544 2,006 Total $ 20,659 $ 13,097 $ 35,137 $ 20,066 As of As of June 30, December 31, 2020 2019 Total assets United States $ 9,970,692 $ 10,439,737 Canada 2,362,069 2,566,635 Eliminations (147,205) (152,285) Total $ 12,185,556 $ 12,854,087 Managed receivables United States $ 7,527,623 $ 7,946,542 Canada 1,799,701 1,961,483 Total $ 9,327,324 $ 9,908,025

RELATED - PARTY TRANSACTIONS

RELATED - PARTY TRANSACTIONS	6 Months Ended
	Jun. 30, 2020
RELATED-PARTY TRANSACTIONS
RELATED-PARTY TRANSACTIONS	NOTE 10: RELATED-PARTY TRANSACTIONS The Company receives compensation from CNH Industrial North America for retail, wholesale and operating lease sales programs offered by CNH Industrial North America on which finance charges are waived or below market rate financing programs are offered. The Company receives compensation from CNH Industrial North America based on the Company’s estimated costs and a targeted return on equity. The Company is also compensated for lending funds to CNH Industrial North America. In addition, the Company receives income from Iveco Argentina for wholesale factoring receivables purchased at a discount. The summary of sources included in “Interest and other income from affiliates” in the accompanying consolidated statements of income for the three and six months ended June 30, 2020 and 2019 is as follows: Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Subsidy from CNH Industrial North America Retail $ 39,243 $ 40,317 $ 80,383 $ 79,513 Wholesale 27,138 32,370 56,114 62,380 Operating lease 15,591 15,059 30,770 30,065 Income from Iveco Argentina Wholesale factoring — 1,206 — 1,206 Income from affiliated receivables CNH Industrial North America 57 40 163 81 Other affiliates 40 — 82 — Total interest and other income from affiliates $ 82,069 $ 88,992 $ 167,512 $ 173,245 Interest expense to affiliates was $235 and $258, respectively, for the three months ended June 30, 2020 and 2019 and $2,046 and $3,423, respectively, for the six months ended June 30, 2020 and 2019. Fees charged by affiliates were $10,995 and $11,574, respectively, for the three months ended June 30, 2020 and 2019, and $23,143 and $23,955, respectively, for the six months ended June 30, 2020 and 2019, and represents payroll and other human resource services CNH Industrial America performs on behalf of the Company. As of June 30, 2020 and December 31, 2019, the Company had various accounts and notes receivable and debt with the following affiliates: June 30, December 31, 2020 2019 Affiliated receivables CNH Industrial America $ 142,015 $ CNH Industrial Canada Ltd. 40,565 Other affiliates 15,144 Total affiliated receivables $ 197,724 $ Affiliated debt CNH Industrial America $ — $ Accounts payable and other accrued liabilities, including tax payables, of $109,965 and $20,527 were payable to related parties as of June 30, 2020 and December 31, 2019, respectively.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	6 Months Ended
	Jun. 30, 2020
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	NOTE 11: 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 $45,000. The guarantees are in effect for the term of the underlying funding facilities. Commitments The Company has various agreements, on an uncommitted basis, to extend credit for the wholesale and dealer financing managed portfolio. At June 30, 2020, the total credit limit available was $6,026,685, of which $3,170,016 was utilized.

SUPPLEMENTAL CONDENSED CONSOLID

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION	6 Months Ended
	Jun. 30, 2020
SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION
SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION	NOTE 12: 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 June 30, 2020 and December 31, 2019 and for the three and six months ended June 30, 2020 and 2019. The condensed consolidating financial information reflects investments in consolidated subsidiaries under the equity method of accounting. Condensed Statements of Comprehensive Income for the Three Months Ended June 30, 2020 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 2,136 $ 46,353 $ — $ 48,489 Interest income on wholesale notes — (225) 13,794 — 13,569 Interest and other income from affiliates 4,019 44,136 69,468 (35,554) 82,069 Rental income on operating leases — 48,814 13,295 — 62,109 Other income — 22,636 581 (15,749) 7,468 Total revenues 4,019 117,497 143,491 (51,303) 213,704 EXPENSES Interest expense: Interest expense to third parties 33,072 (3,311) 37,978 — 67,739 Interest expense to affiliates — 30,179 5,610 (35,554) 235 Total interest expense 33,072 26,868 43,588 (35,554) 67,974 Administrative and operating expenses: Fees charged by affiliates — 7,364 19,380 (15,749) 10,995 Provision for credit losses — 5,371 15,288 — 20,659 Depreciation of equipment on operating leases — 48,139 10,697 — 58,836 Other expenses 6 9,272 (585) — 8,693 Total administrative and operating expenses 6 70,146 44,780 (15,749) 99,183 Total expenses 33,078 97,014 88,368 (51,303) 167,157 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (29,059) 20,483 55,123 — 46,547 Income tax provision (benefit) (7,096) 5,086 12,566 — 10,556 Equity in income of consolidated subsidiaries accounted for under the equity method 57,954 42,557 — (100,511) — NET INCOME $ 35,991 $ 57,954 $ 42,557 $ (100,511) $ 35,991 COMPREHENSIVE INCOME $ 54,463 $ 76,426 $ 57,858 $ (134,284) $ 54,463 Condensed Statements of Comprehensive Income for the Six Months Ended June 30, 2020 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 270 $ 95,750 $ — $ 96,020 Interest income on wholesale notes — (470) 29,611 — 29,141 Interest and other income from affiliates 10,248 93,162 142,425 (78,323) 167,512 Rental income on operating leases — 97,401 26,793 — 124,194 Other income — 43,731 804 (31,881) 12,654 Total revenues 10,248 234,094 295,383 (110,204) 429,521 EXPENSES Interest expense: Interest expense to third parties 93,377 (32,331) 83,570 — 144,616 Interest expense to affiliates — 66,492 13,877 (78,323) 2,046 Total interest expense 93,377 34,161 97,447 (78,323) 146,662 Administrative and operating expenses: Fees charged by affiliates — 18,787 36,237 (31,881) 23,143 Provision for credit losses — 8,030 27,107 — 35,137 Depreciation of equipment on operating leases — 95,596 21,530 — 117,126 Other expenses 12 13,325 2,064 — 15,401 Total administrative and operating expenses 12 135,738 86,938 (31,881) 190,807 Total expenses 93,389 169,899 184,385 (110,204) 337,469 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (83,141) 64,195 110,998 — 92,052 Income tax provision (benefit) (20,301) 15,835 25,450 — 20,984 Equity in income of consolidated subsidiaries accounted for under the equity method 133,908 85,548 — (219,456) — NET INCOME $ 71,068 $ 133,908 $ 85,548 $ (219,456) $ 71,068 COMPREHENSIVE INCOME $ 37,509 $ 100,349 $ 56,343 $ (156,692) $ 37,509 Condensed Balance Sheets as of June 30, 2020 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated ASSETS Cash and cash equivalents $ — $ 80,003 $ 76,845 $ — $ 156,848 Restricted cash and cash equivalents — — 494,169 — 494,169 Receivables, less allowance for credit losses — 1,586,875 7,620,624 — 9,207,499 Affiliated accounts and notes receivable 1,138,196 2,213,531 2,740,107 (5,894,110) 197,724 Equipment on operating leases, net — 1,391,813 369,448 — 1,761,261 Equipment held for sale — 103,925 41,077 — 145,002 Investments in consolidated subsidiaries accounted for under the equity method 3,134,020 2,607,765 — (5,741,785) — Goodwill and intangible assets, net — 93,118 26,724 — 119,842 Other assets 7,095 83,881 15,398 (3,163) 103,211 TOTAL $ 4,279,311 $ 8,160,911 $ 11,384,392 $ (11,639,058) $ 12,185,556 LIABILITIES AND STOCKHOLDER’S EQUITY Liabilities: Short-term debt, including current maturities of long-term debt $ 1,351,644 $ 140,343 $ 3,295,465 $ — $ 4,787,452 Accounts payable and other accrued liabilities 280,332 3,657,483 1,154,726 (4,193,328) 899,213 Affiliated debt — 724,716 979,229 (1,703,945) — Long-term debt 1,456,509 504,349 3,347,207 — 5,308,065 Total liabilities 3,088,485 5,026,891 8,776,627 (5,897,273) 10,994,730 Stockholder’s equity 1,190,826 3,134,020 2,607,765 (5,741,785) 1,190,826 TOTAL $ 4,279,311 $ 8,160,911 $ 11,384,392 $ (11,639,058) $ 12,185,556 Condensed Statements of Cash Flows for the Six Months Ended June 30, 2020 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated CASH FLOWS FROM OPERATING ACTIVITIES: Net cash from (used in) operating activities $ 342,354 $ 354,027 $ (202,419) $ (408,758) $ 85,204 CASH FLOWS FROM INVESTING ACTIVITIES: Cost of receivables acquired — (3,893,382) (3,865,751) 2,966,133 (4,793,000) Collections of receivables — 3,811,656 4,445,486 (2,966,526) 5,290,616 Purchase of equipment on operating leases, net — (27,568) (22,021) — (49,589) Change in property and equipment and software, net — (154) — — (154) Net cash from (used in) investing activities — (109,448) 557,714 (393) 447,873 CASH FLOWS FROM FINANCING ACTIVITIES: Intercompany activity — (636,774) 13,767 409,151 (213,856) Net change in indebtedness (252,354) 350,998 (481,092) — (382,448) Dividends paid to CNH Industrial America LLC (90,000) — — — (90,000) Net cash from (used in) financing activities (342,354) (285,776) (467,325) 409,151 (686,304) DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH — (41,197) (112,030) — (153,227) CASH AND CASH EQUIVALENTS AND RESTRICTED CASH: Beginning of period — 121,200 683,044 — 804,244 End of period $ — $ 80,003 $ 571,014 $ — $ 651,017 Condensed Statements of Comprehensive Income for the Three Months Ended June 30, 2019 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 7,708 $ 49,404 $ — $ 57,112 Interest income on wholesale notes — (276) 17,269 — 16,993 Interest and other income from affiliates 15,482 52,420 36,572 (15,482) 88,992 Rental income on operating leases — 47,253 13,239 — 60,492 Other income — 21,172 652 (16,301) 5,523 Total revenues 15,482 128,277 117,136 (31,783) 229,112 EXPENSES Interest expense: Interest expense to third parties 52,749 (16,733) 48,973 — 84,989 Interest expense to affiliates — 12,120 3,620 (15,482) 258 Total interest expense 52,749 (4,613) 52,593 (15,482) 85,247 Administrative and operating expenses: Fees charged by affiliates — 11,131 16,744 (16,301) 11,574 Provision for credit losses — 5,366 7,731 — 13,097 Depreciation of equipment on operating leases — 45,038 10,642 — 55,680 Other expenses 6 11,083 2,743 — 13,832 Total administrative and operating expenses 6 72,618 37,860 (16,301) 94,183 Total expenses 52,755 68,005 90,453 (31,783) 179,430 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (37,273) 60,272 26,683 — 49,682 Income tax provision (benefit) (9,100) 14,832 6,166 — 11,898 Equity in income of consolidated subsidiaries accounted for under the equity method 65,957 20,517 — (86,474) — NET INCOME $ 37,784 $ 65,957 $ 20,517 $ (86,474) $ 37,784 COMPREHENSIVE INCOME $ 46,056 $ 74,229 $ 27,633 $ (101,862) $ 46,056 Condensed Statements of Comprehensive Income for the Six Months Ended June 30, 2019 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 13,631 $ 98,949 $ — $ 112,580 Interest income on wholesale notes — (534) 34,269 — 33,735 Interest and other income from affiliates 31,448 102,509 70,736 (31,448) 173,245 Rental income on operating leases — 94,256 26,877 — 121,133 Other income — 42,027 1,173 (32,712) 10,488 Total revenues 31,448 251,889 232,004 (64,160) 451,181 EXPENSES Interest expense: Interest expense to third parties 100,226 (28,086) 98,065 — 170,205 Interest expense to affiliates — 57,643 (22,772) (31,448) 3,423 Total interest expense 100,226 29,557 75,293 (31,448) 173,628 Administrative and operating expenses: Fees charged by affiliates — 22,993 33,674 (32,712) 23,955 Provision for credit losses — 8,732 11,334 — 20,066 Depreciation of equipment on operating leases — 94,928 21,672 — 116,600 Other expenses 12 10,357 5,890 — 16,259 Total administrative and operating expenses 12 137,010 72,570 (32,712) 176,880 Total expenses 100,238 166,567 147,863 (64,160) 350,508 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (68,790) 85,322 84,141 — 100,673 Income tax provision (benefit) (16,796) 21,064 19,410 — 23,678 Equity in income of consolidated subsidiaries accounted for under the equity method 128,989 64,731 — (193,720) — NET INCOME $ 76,995 $ 128,989 $ 64,731 $ (193,720) $ 76,995 COMPREHENSIVE INCOME $ 92,095 $ 144,089 $ 76,907 $ (220,996) $ 92,095 Condensed Balance Sheets as of December 31, 2019 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated ASSETS Cash and cash equivalents $ — $ 121,200 $ 53,766 $ — $ 174,966 Restricted cash and cash equivalents — — 629,278 — 629,278 Receivables, less allowance for credit losses — 1,512,786 8,322,488 — 9,835,274 Affiliated accounts and notes receivable 1,549,666 2,257,928 2,553,665 (6,296,952) 64,307 Equipment on operating leases, net — 1,394,706 388,577 — 1,783,283 Equipment held for sale — 154,050 16,168 — 170,218 Investments in consolidated subsidiaries accounted for under the equity method 3,053,394 2,565,785 — (5,619,179) — Goodwill and intangible assets, net — 93,767 28,057 — 121,824 Other assets 4,236 58,048 16,209 (3,556) 74,937 TOTAL $ 4,607,296 $ 8,158,270 $ 12,008,208 $ (11,919,687) $ 12,854,087 LIABILITIES AND STOCKHOLDER’S EQUITY Liabilities: Short-term debt, including current maturities of long-term debt $ 1,136,455 $ 33,200 $ 3,620,517 $ — $ 4,790,172 Accounts payable and other accrued liabilities 283,748 3,449,690 1,261,411 (4,187,412) 807,437 Affiliated debt — 1,361,490 965,462 (2,113,096) 213,856 Long-term debt 1,924,052 260,496 3,595,033 — 5,779,581 Total liabilities 3,344,255 5,104,876 9,442,423 (6,300,508) 11,591,046 Stockholder’s equity 1,263,041 3,053,394 2,565,785 (5,619,179) 1,263,041 TOTAL $ 4,607,296 $ 8,158,270 $ 12,008,208 $ (11,919,687) $ 12,854,087 Condensed Statements of Cash Flows for the Six Months Ended June 30, 2019 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated CASH FLOWS FROM OPERATING ACTIVITIES: Net cash from (used in) operating activities $ 141,062 $ 78,565 $ 39,839 $ 45,359 $ 304,825 CASH FLOWS FROM INVESTING ACTIVITIES: Cost of receivables acquired — (4,272,656) (4,926,232) 3,659,309 (5,539,579) Collections of receivables — 4,222,643 4,802,932 (3,659,143) 5,366,432 Purchase of equipment on operating leases, net — (115,394) (10,964) — (126,358) Change in property and equipment and software, net — (1,916) — — (1,916) Net cash from (used in) investing activities — (167,323) (134,264) 166 (301,421) CASH FLOWS FROM FINANCING ACTIVITIES: Intercompany activity — 32,417 83,026 (45,525) 69,918 Net change in indebtedness (16,062) 10 (145,935) — (161,987) Dividends paid to CNH Industrial America LLC (125,000) — — — (125,000) Net cash from (used in) financing activities (141,062) 32,427 (62,909) (45,525) (217,069) DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH — (56,331) (157,334) — (213,665) CASH AND CASH EQUIVALENTS AND RESTRICTED CASH: Beginning of period — 118,508 681,363 — 799,871 End of period $ — $ 62,177 $ 524,029 $ — $ 586,206

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	6 Months Ended
	Jun. 30, 2020
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS	NOTE 13: SUBSEQUENT EVENTS On July 2, 2020, the Company completed an offering of $600,000 in aggregate principal amount of its 1.950% unsecured notes due 2023, with an issue price of 99.370%.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	6 Months Ended
	Jun. 30, 2020
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
New Accounting Pronouncements	New Accounting Pronouncements Adopted in 2020 In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-13, Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”), which established ASC 326, Financial Instruments – Credit Losses (“ASC 326”). In November 2018, the FASB issued ASU No. 2018-19, Codification Improvements to Topic 326, Financial Instruments – Credit Losses (“ASU 2018-19”), which superseded existing ASU 2016-13. 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 were also required. The Company adopted ASU 2018-19 on January 1, 2020, using the modified retrospective approach. The impact to the consolidated balance sheet on January 1, 2020 was an increase to the allowance for credit losses of $26 million and an increase to deferred tax assets of $6 million, with the offset to retained earnings, net of tax, of $20 million. See “Note 4: Receivables” for the Company’s updated accounting policy on Allowance for Credit Losses. 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 amended ASC 820, Fair Value Measurement . This ASU modified the disclosure requirements for fair value measurements by removing, modifying, or adding certain disclosures. The removed and modified disclosures were adopted on a retrospective basis and the new disclosures were adopted on a prospective basis. The adoption of this standard did not have a material impact on the Company’s 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 expanded the guidance set forth in ASU 2015‑05, Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement . ASU 2018-15 aligned 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. The Company adopted ASU 2018-15 on January 1, 2020. The adoption of this standard did not have a material impact on its consolidated financial statements. In October 2018, the FASB issued ASU No. 2018-17, Targeted Improvements to Related Party Guidance for Variable Interest Entities (“ASU 2018-17”), which expanded the application of a specific private company alternative related to VIEs and changed the guidance for determining whether a decision-making fee is a variable interest. Under the new guidance, to determine whether decision-making fees represent a variable interest, an entity considers indirect interests held through related parties under common control on a proportionate basis, rather than in their entirety. The Company adopted ASU 2018-17 on January 1, 2020. The adoption of this standard did not have a material impact on its consolidated financial statements. In April 2019, the FASB issued ASU No. 2019-04, Codification Improvements to Topic 326, Financial Instruments – Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments (“ASU 2019-04”), which made targeted changes to standards on credit losses, hedging, and recognizing and measuring financial instruments, to clarify them and address implementation issues. The amendments clarified the scope of the credit losses standard and addressed issues related to accrued interest receivable balances, recoveries, variable interest rates and prepayments, among other things. On recognizing and measuring financial instruments, the amendments addressed the scope of the guidance, the requirement for remeasurement under ASC 820 when using the measurement alternative, certain disclosure requirements and which equity securities have to be remeasured at historical exchange rates. The Company adopted ASU 2019-04 on January 1, 2020. The adoption of this standard did not have a material impact on its consolidated financial statements. New Accounting Pronouncements Not Yet Adopted In December 2019, the FASB issued ASU No. 2019-12, Simplifying the Accounting for Income Taxes (“ASU 2019-12”). This ASU eliminates certain exceptions to the general principles in ASC 740, Income Taxes . Specifically, it eliminates the exception to (1) the incremental approach for intraperiod tax allocation where there is a loss from continuing operations, and income or a gain from other items; (2) the requirement to recognize a deferred tax liability for equity method investments when a foreign subsidiary becomes an equity method investment; (3) the ability not to recognize a deferred tax liability for a foreign subsidiary when a foreign equity method investment becomes a subsidiary; and (4) the general methodology for calculating income taxes in an interim period when a year-to-date loss exceeds the anticipated loss for the year. ASU 2019-12 will be effective for the annual periods beginning after December 15, 2020, including interim periods within those fiscal years. Early adoption is permitted. The Company does not expect the adoption of this standard to have a material impact on its consolidated financial statements.

ACCUMULATED OTHER COMPREHENSI_2

ACCUMULATED OTHER COMPREHENSIVE INCOME (Tables)	6 Months Ended
	Jun. 30, 2020
ACCUMULATED OTHER COMPREHENSIVE INCOME
Schedule of changes in the components of AOCI and related tax effects	The following table summarizes the change in the components of the Company’s AOCI balance and related tax effects for the three months ended June 30, 2020: Currency Unrealized Translation Pension (Losses) Gains Adjustment Liability on Derivatives Total Beginning balance, gross $ (169,402) $ (308) $ (9,218) $ (178,928) Tax asset — 58 2,443 2,501 Beginning balance, net of tax (169,402) (250) (6,775) (176,427) Other comprehensive income (loss) before reclassifications 19,311 (115) (1,187) 18,009 Amounts reclassified from accumulated other comprehensive income (loss) — 50 112 162 Tax effects — 16 285 301 Net current-period other comprehensive income (loss) 19,311 (49) (790) 18,472 Total $ (150,091) $ (299) $ (7,565) $ (157,955) The following table summarizes the change in the components of the Company’s AOCI balance and related tax effects for the six months ended June 30, 2020: Currency Unrealized Translation Pension (Losses) Gains Adjustment Liability on Derivatives Total Beginning balance, gross $ $ (302) $ 1,335 $ Tax asset — 58 (354) (296) Beginning balance, net of tax (244) 981 Other comprehensive income (loss) before reclassifications (24,958) (174) (11,576) (36,708) Amounts reclassified from accumulated other comprehensive income (loss) — 102 (51) 51 Tax effects — 17 3,081 3,098 Net current-period other comprehensive income (loss) (24,958) (55) (8,546) (33,559) Total $ $ (299) $ (7,565) $ The following table summarizes the change in the components of the Company’s AOCI balance and related tax effects for the three months ended June 30, 2019: Currency Unrealized Translation Pension (Losses) Gains Adjustment Liability on Derivatives Total Beginning balance, gross $ (138,036) $ (3,953) $ 372 $ (141,617) Tax asset — 947 (98) 849 Beginning balance, net of tax (138,036) (3,006) 274 (140,768) Other comprehensive income (loss) before reclassifications 9,244 (112) (1,328) 7,804 Amounts reclassified from accumulated other comprehensive income (loss) — 229 (115) 114 Tax effects — (28) 382 354 Net current-period other comprehensive income (loss) 9,244 89 (1,061) 8,272 Total $ (128,792) $ (2,917) $ (787) $ (132,496) The following table summarizes the change in the components of the Company’s AOCI balance and related tax effects for the six months ended June 30, 2019: Currency Unrealized Translation Pension (Losses) Gains Adjustment Liability on Derivatives Total Beginning balance, gross $ (146,726) $ (4,070) $ 3,025 $ (147,771) Tax asset — 1,573 (801) 772 Beginning balance, net of tax (146,726) (2,497) 2,224 (146,999) Other comprehensive income (loss) before reclassifications 17,934 (223) (3,739) 13,972 Amounts reclassified from accumulated other comprehensive income (loss) — 457 (357) 100 Tax effects — (57) 1,085 1,028 Net current-period other comprehensive income (loss) 17,934 177 (3,011) 15,100 Reclassification of certain tax effects — (597) — (597) Total $ (128,792) $ (2,917) $ (787) $ (132,496)
Schedule of reclassifications out of AOCI and the location on the consolidated statements of income	Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Affected Line Item Amortization of defined benefit pension items: $ (50) $ (229) $ (102) $ (457) Various line items individually insignificant (50) (229) (102) (457) Income before taxes 17 55 24 111 Income tax effects $ (33) $ (174) $ (78) $ (346) Net of tax Unrealized losses on derivatives: $ (112) $ 115 $ 51 $ 357 Interest expense to third parties (112) 115 Income before taxes 30 (30) (13) (94) Income tax effects $ (82) $ 85 $ 38 $ 263 Net of tax

RECEIVABLES (Tables)

RECEIVABLES (Tables)	6 Months Ended
	Jun. 30, 2020
RECEIVABLES
Summary of receivables	June 30, December 31, 2020 2019 Retail $ 857,176 $ 656,518 Wholesale 762,195 813,454 Finance lease 91,052 79,848 Restricted receivables Gross receivables Less: Allowance for credit losses (119,825) (72,751) Total receivables, net $ $
Summary of restricted receivables	June 30, December 31, 2020 2019 Retail $ 5,128,552 $ 5,531,885 Wholesale 2,488,349 2,826,320 Total restricted receivables $ 7,616,901 $ 8,358,205
Schedule of allowance for credit losses activity	Allowance for credit losses activity for the three months ended June 30, 2020 is as follows: Retail Wholesale Total Allowance for credit losses: Beginning balance $ 96,835 $ 8,395 $ 105,230 Charge-offs (6,947) (33) (6,980) Recoveries 600 — 600 Provision (benefit) 21,730 (1,071) 20,659 Foreign currency translation and other 274 42 316 Ending balance $ 112,492 $ 7,333 $ 119,825 Allowance for credit losses activity for the six months ended June 30, 2020 is as follows: Retail Wholesale Total Allowance for credit losses: Beginning balance, as previously reported $ 64,750 $ 8,001 $ 72,751 Adoption of ASC 326 25,877 — 25,877 Beginning balance, as recast $ 90,627 $ 8,001 $ 98,628 Charge-offs (14,784) (212) (14,996) Recoveries 1,327 3 1,330 Provision (benefit) 35,551 (414) 35,137 Foreign currency translation and other (229) (45) (274) Ending balance $ 112,492 $ 7,333 $ 119,825 Receivables: Ending balance $ $ $ At June 30, 2020, the allowance for credit losses includes a reserve build primarily due to a weaker economic outlook related to the COVID‑19 pandemic. As this situation has rapidly evolved and is fluid, there is significant subjectivity in the Company’s assessment. The Company continues to monitor the situation and will update the macroeconomic factors and qualitative factors in future periods, as warranted. Allowance for credit losses activity for the three months ended June 30, 2019 is as follows: Wholesale Retail Wholesale Factoring Total Allowance for credit losses: Beginning balance $ 65,637 $ 6,535 $ 56 $ 72,228 Charge-offs (9,189) — — (9,189) Recoveries 1,369 3 — 1,372 Provision 12,410 683 4 13,097 Foreign currency translation and other 84 18 — 102 Ending balance $ 70,311 $ 7,239 $ 60 $ 77,610 Allowance for credit losses activity for the six months ended June 30, 2019 is as follows: Wholesale Retail Wholesale Factoring Total Allowance for credit losses: Beginning balance $ 66,944 $ 7,468 $ — $ 74,412 Charge-offs (16,566) (2,165) — (18,731) Recoveries 1,676 9 — 1,685 Provision 18,106 1,900 60 20,066 Foreign currency translation and other 151 27 — 178 Ending balance $ 70,311 $ 7,239 $ 60 $ 77,610 Receivables: Ending balance $ 6,364,938 $ 3,818,196 $ 84,474 $ 10,267,608 Allowance for credit losses activity for the year ended December 31, 2019 is as follows: Retail Wholesale Total Allowance for credit losses: Beginning balance $ 66,944 $ 7,468 $ 74,412 Charge-offs (35,535) (5,102) (40,637) Recoveries 3,046 16 3,062 Provision 30,115 5,588 35,703 Foreign currency translation and other 180 31 211 Ending balance $ 64,750 $ 8,001 $ 72,751 Receivables: Ending balance $ 6,268,251 $ 3,639,774 $ 9,908,025
Schedule of aging of financing receivables	The aging of receivables as of June 30, 2020 is as follows: Greater 31 – 60 Days 61 – 90 Days Than Total Total Past Due Past Due 90 Days Past Due Current Receivables Retail United States 2020 $ 424 $ 533 $ — $ 957 $ 1,001,531 $ 1,002,488 2019 3,599 3,541 2,245 9,385 1,603,651 1,613,036 2018 2,563 1,389 5,150 9,102 1,109,064 1,118,166 2017 2,993 1,490 3,973 8,456 631,467 639,923 2016 2,020 588 5,460 8,068 347,584 355,652 2015 764 296 2,384 3,444 143,364 146,808 Prior to 2015 329 24 3,042 3,395 42,859 46,254 Total $ 12,692 $ 7,861 $ 22,254 $ 42,807 $ 4,879,520 $ 4,922,327 Canada 2020 $ 34 $ — $ — $ 34 $ 240,252 $ 240,286 2019 1,879 295 761 2,935 414,424 417,359 2018 805 305 659 1,769 263,625 265,394 2017 490 226 665 1,381 128,705 130,086 2016 228 259 535 1,022 67,742 68,764 2015 185 56 537 778 26,664 27,442 Prior to 2015 31 — 34 65 5,057 5,122 Total $ 3,652 $ 1,141 $ 3,191 $ 7,984 $ 1,146,469 $ 1,154,453 Wholesale United States $ 173 $ 239 $ 587 $ 999 $ 2,604,297 $ 2,605,296 Canada $ 11 $ 4 $ 1 $ 16 $ 645,232 $ 645,248 Total Retail $ 16,344 $ 9,002 $ 25,445 $ 50,791 $ 6,025,989 $ 6,076,780 Wholesale $ 184 $ 243 $ 588 $ 1,015 $ 3,249,529 $ 3,250,544 The above aging table is not necessarily reflective of the potential credit risk in the portfolio due to payment schedules changes granted by the Company and government stimulus policies benefiting CNH Industrial North America dealers or the Company’s end-use customers. The aging of receivables as of December 31, 2019 is as follows: Recorded Investment Greater > 90 Days 31 – 60 Days 61 – 90 Days Than Total Total and Past Due Past Due 90 Days Past Due Current Receivables Accruing Retail United States $ 19,781 $ 5,896 $ 29,192 $ 54,869 $ 5,001,400 $ 5,056,269 $ 7,356 Canada $ 4,470 $ 1,063 $ 4,703 $ 10,236 $ 1,201,746 $ 1,211,982 $ 1,167 Wholesale United States $ 2,081 $ 42 $ 551 $ 2,674 $ 2,887,599 $ 2,890,273 $ 189 Canada $ 57 $ 370 $ 571 $ 998 $ 748,503 $ 749,501 $ 4 Total Retail $ 24,251 $ 6,959 $ 33,895 $ 65,105 $ 6,203,146 $ 6,268,251 $ 8,523 Wholesale $ 2,138 $ 412 $ 1,122 $ 3,672 $ 3,636,102 $ 3,639,774 $ 193
Schedule of receivables on nonaccrual status	June 30, 2020 December 31, 2019 Retail Wholesale Total Retail Wholesale Total United States $ 35,428 $ 25,250 $ 60,678 $ 33,463 $ 29,211 $ 62,674 Canada $ 3,235 $ — $ 3,235 $ 3,749 $ — $ 3,749

EQUIPMENT ON OPERATING LEASES (

EQUIPMENT ON OPERATING LEASES (Tables)	6 Months Ended
	Jun. 30, 2020
EQUIPMENT ON OPERATING LEASES
Schedule of lease payments owed to the Company for equipment under non-cancelable operating leases	2020 $ 101,639 2021 174,293 2022 90,442 2023 32,988 2024 and thereafter 11,559 Total lease payments $ 410,921

FINANCIAL INSTRUMENTS (Tables)

FINANCIAL INSTRUMENTS (Tables)	6 Months Ended
	Jun. 30, 2020
FINANCIAL INSTRUMENTS
Schedule of fair values of derivatives in the consolidated balance sheets	June 30, December 31, 2020 2019 Derivatives Designated as Hedging Instruments Other assets: Interest rate derivatives $ 67,712 $ 38,732 Accounts payable and other accrued liabilities: Interest rate derivatives $ 5,739 $ 1,243 Derivatives Not Designated as Hedging Instruments Other assets: Interest rate derivatives $ 400 $ 440 Foreign exchange contracts 1,181 — Total $ 1,581 $ 440 Accounts payable and other accrued liabilities: Interest rate derivatives $ 400 $ 440 Foreign exchange contracts — 800 Total $ 400 $ 1,240
Schedule of pre-tax gains (losses) on the consolidated statements of income related to the Company's derivatives	Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Cash Flow Hedges Recognized in accumulated other comprehensive income (loss): Interest rate derivatives $ $ $ $ (3,739) Reclassified from accumulated other comprehensive income (loss): Interest rate derivatives—Interest expense to third parties (112) 115 51 357 Not Designated as Hedges Foreign exchange contracts—Other expenses $ 2,051 $ 3,463 $ (3,200) $ 3,193
Schedule of assets and liabilities measured at fair value on a recurring basis	June 30, December 31, 2020 2019 Assets Interest rate derivatives $ 68,112 $ 39,172 Foreign exchange contracts 1,181 — Total assets $ 69,293 $ 39,172 Liabilities Interest rate derivatives $ 6,139 $ 1,683 Foreign exchange contracts — 800 Total liabilities $ 6,139 $ 2,483
Schedule of carrying amount and estimated fair value of assets and liabilities considered financial instruments	June 30, 2020 December 31, 2019 Carrying Estimated Carrying Estimated Amount Fair Value * Amount Fair Value * Receivables $ 9,207,499 $ 9,272,461 $ 9,835,274 $ 9,870,076 Long-term debt $ 5,308,065 $ 5,466,932 $ 5,779,581 $ 5,830,157 ______________ * 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)	6 Months Ended
	Jun. 30, 2020
GEOGRAPHICAL INFORMATION
Summary of geographic information	Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Revenues United States $ 173,322 $ 183,870 $ 346,963 $ Canada 41,593 47,903 85,334 93,508 Eliminations (1,211) (2,661) (2,776) (3,976) Total $ 213,704 $ 229,112 $ 429,521 $ 451,181 Interest expense United States $ 56,895 $ 70,923 $ 122,661 $ Canada 12,290 16,985 26,777 33,245 Eliminations (1,211) (2,661) (2,776) (3,976) Total $ 67,974 $ 85,247 $ 146,662 $ 173,628 Net income United States $ 27,454 $ 25,247 $ 53,557 $ 54,015 Canada 8,537 12,537 17,511 22,980 Total $ 35,991 $ 37,784 $ 71,068 $ 76,995 Depreciation and amortization United States $ 48,543 $ 45,511 $ 96,402 $ 95,902 Canada 10,698 10,642 21,530 21,673 Total $ 59,241 $ 56,153 $ 117,932 $ Expenditures for equipment on operating leases United States $ 108,796 $ 133,803 $ 222,418 $ Canada 29,483 37,863 51,046 67,591 Total $ 138,279 $ 171,666 $ 273,464 $ Provision for credit losses United States $ 16,294 $ 12,364 $ 27,593 $ 18,060 Canada 4,365 733 7,544 2,006 Total $ 20,659 $ 13,097 $ 35,137 $ 20,066 As of As of June 30, December 31, 2020 2019 Total assets United States $ 9,970,692 $ 10,439,737 Canada 2,362,069 2,566,635 Eliminations (147,205) (152,285) Total $ 12,185,556 $ 12,854,087 Managed receivables United States $ 7,527,623 $ 7,946,542 Canada 1,799,701 1,961,483 Total $ 9,327,324 $ 9,908,025

RELATED-PARTY TRANSACTIONS (Tab

RELATED-PARTY TRANSACTIONS (Tables)	6 Months Ended
	Jun. 30, 2020
RELATED-PARTY TRANSACTIONS
Summary of the sources included in "Interest and other income from affiliates" in the accompanying consolidated statements of income	Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Subsidy from CNH Industrial North America Retail $ 39,243 $ 40,317 $ 80,383 $ 79,513 Wholesale 27,138 32,370 56,114 62,380 Operating lease 15,591 15,059 30,770 30,065 Income from Iveco Argentina Wholesale factoring — 1,206 — 1,206 Income from affiliated receivables CNH Industrial North America 57 40 163 81 Other affiliates 40 — 82 — Total interest and other income from affiliates $ 82,069 $ 88,992 $ 167,512 $ 173,245
Schedule of various accounts and notes receivable and debt with the affiliates	June 30, December 31, 2020 2019 Affiliated receivables CNH Industrial America $ 142,015 $ CNH Industrial Canada Ltd. 40,565 Other affiliates 15,144 Total affiliated receivables $ 197,724 $ Affiliated debt CNH Industrial America $ — $

SUPPLEMENTAL CONDENSED CONSOL_2

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION (Tables)	6 Months Ended
	Jun. 30, 2020
SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION
Schedule of condensed statements of comprehensive income	Condensed Statements of Comprehensive Income for the Three Months Ended June 30, 2020 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 2,136 $ 46,353 $ — $ 48,489 Interest income on wholesale notes — (225) 13,794 — 13,569 Interest and other income from affiliates 4,019 44,136 69,468 (35,554) 82,069 Rental income on operating leases — 48,814 13,295 — 62,109 Other income — 22,636 581 (15,749) 7,468 Total revenues 4,019 117,497 143,491 (51,303) 213,704 EXPENSES Interest expense: Interest expense to third parties 33,072 (3,311) 37,978 — 67,739 Interest expense to affiliates — 30,179 5,610 (35,554) 235 Total interest expense 33,072 26,868 43,588 (35,554) 67,974 Administrative and operating expenses: Fees charged by affiliates — 7,364 19,380 (15,749) 10,995 Provision for credit losses — 5,371 15,288 — 20,659 Depreciation of equipment on operating leases — 48,139 10,697 — 58,836 Other expenses 6 9,272 (585) — 8,693 Total administrative and operating expenses 6 70,146 44,780 (15,749) 99,183 Total expenses 33,078 97,014 88,368 (51,303) 167,157 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (29,059) 20,483 55,123 — 46,547 Income tax provision (benefit) (7,096) 5,086 12,566 — 10,556 Equity in income of consolidated subsidiaries accounted for under the equity method 57,954 42,557 — (100,511) — NET INCOME $ 35,991 $ 57,954 $ 42,557 $ (100,511) $ 35,991 COMPREHENSIVE INCOME $ 54,463 $ 76,426 $ 57,858 $ (134,284) $ 54,463 Condensed Statements of Comprehensive Income for the Six Months Ended June 30, 2020 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 270 $ 95,750 $ — $ 96,020 Interest income on wholesale notes — (470) 29,611 — 29,141 Interest and other income from affiliates 10,248 93,162 142,425 (78,323) 167,512 Rental income on operating leases — 97,401 26,793 — 124,194 Other income — 43,731 804 (31,881) 12,654 Total revenues 10,248 234,094 295,383 (110,204) 429,521 EXPENSES Interest expense: Interest expense to third parties 93,377 (32,331) 83,570 — 144,616 Interest expense to affiliates — 66,492 13,877 (78,323) 2,046 Total interest expense 93,377 34,161 97,447 (78,323) 146,662 Administrative and operating expenses: Fees charged by affiliates — 18,787 36,237 (31,881) 23,143 Provision for credit losses — 8,030 27,107 — 35,137 Depreciation of equipment on operating leases — 95,596 21,530 — 117,126 Other expenses 12 13,325 2,064 — 15,401 Total administrative and operating expenses 12 135,738 86,938 (31,881) 190,807 Total expenses 93,389 169,899 184,385 (110,204) 337,469 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (83,141) 64,195 110,998 — 92,052 Income tax provision (benefit) (20,301) 15,835 25,450 — 20,984 Equity in income of consolidated subsidiaries accounted for under the equity method 133,908 85,548 — (219,456) — NET INCOME $ 71,068 $ 133,908 $ 85,548 $ (219,456) $ 71,068 COMPREHENSIVE INCOME $ 37,509 $ 100,349 $ 56,343 $ (156,692) $ 37,509 Condensed Statements of Comprehensive Income for the Three Months Ended June 30, 2019 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 7,708 $ 49,404 $ — $ 57,112 Interest income on wholesale notes — (276) 17,269 — 16,993 Interest and other income from affiliates 15,482 52,420 36,572 (15,482) 88,992 Rental income on operating leases — 47,253 13,239 — 60,492 Other income — 21,172 652 (16,301) 5,523 Total revenues 15,482 128,277 117,136 (31,783) 229,112 EXPENSES Interest expense: Interest expense to third parties 52,749 (16,733) 48,973 — 84,989 Interest expense to affiliates — 12,120 3,620 (15,482) 258 Total interest expense 52,749 (4,613) 52,593 (15,482) 85,247 Administrative and operating expenses: Fees charged by affiliates — 11,131 16,744 (16,301) 11,574 Provision for credit losses — 5,366 7,731 — 13,097 Depreciation of equipment on operating leases — 45,038 10,642 — 55,680 Other expenses 6 11,083 2,743 — 13,832 Total administrative and operating expenses 6 72,618 37,860 (16,301) 94,183 Total expenses 52,755 68,005 90,453 (31,783) 179,430 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (37,273) 60,272 26,683 — 49,682 Income tax provision (benefit) (9,100) 14,832 6,166 — 11,898 Equity in income of consolidated subsidiaries accounted for under the equity method 65,957 20,517 — (86,474) — NET INCOME $ 37,784 $ 65,957 $ 20,517 $ (86,474) $ 37,784 COMPREHENSIVE INCOME $ 46,056 $ 74,229 $ 27,633 $ (101,862) $ 46,056 Condensed Statements of Comprehensive Income for the Six Months Ended June 30, 2019 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated REVENUES Interest income on retail notes and finance leases $ — $ 13,631 $ 98,949 $ — $ 112,580 Interest income on wholesale notes — (534) 34,269 — 33,735 Interest and other income from affiliates 31,448 102,509 70,736 (31,448) 173,245 Rental income on operating leases — 94,256 26,877 — 121,133 Other income — 42,027 1,173 (32,712) 10,488 Total revenues 31,448 251,889 232,004 (64,160) 451,181 EXPENSES Interest expense: Interest expense to third parties 100,226 (28,086) 98,065 — 170,205 Interest expense to affiliates — 57,643 (22,772) (31,448) 3,423 Total interest expense 100,226 29,557 75,293 (31,448) 173,628 Administrative and operating expenses: Fees charged by affiliates — 22,993 33,674 (32,712) 23,955 Provision for credit losses — 8,732 11,334 — 20,066 Depreciation of equipment on operating leases — 94,928 21,672 — 116,600 Other expenses 12 10,357 5,890 — 16,259 Total administrative and operating expenses 12 137,010 72,570 (32,712) 176,880 Total expenses 100,238 166,567 147,863 (64,160) 350,508 Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method (68,790) 85,322 84,141 — 100,673 Income tax provision (benefit) (16,796) 21,064 19,410 — 23,678 Equity in income of consolidated subsidiaries accounted for under the equity method 128,989 64,731 — (193,720) — NET INCOME $ 76,995 $ 128,989 $ 64,731 $ (193,720) $ 76,995 COMPREHENSIVE INCOME $ 92,095 $ 144,089 $ 76,907 $ (220,996) $ 92,095
Schedule of condensed balance sheets	Condensed Balance Sheets as of June 30, 2020 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated ASSETS Cash and cash equivalents $ — $ 80,003 $ 76,845 $ — $ 156,848 Restricted cash and cash equivalents — — 494,169 — 494,169 Receivables, less allowance for credit losses — 1,586,875 7,620,624 — 9,207,499 Affiliated accounts and notes receivable 1,138,196 2,213,531 2,740,107 (5,894,110) 197,724 Equipment on operating leases, net — 1,391,813 369,448 — 1,761,261 Equipment held for sale — 103,925 41,077 — 145,002 Investments in consolidated subsidiaries accounted for under the equity method 3,134,020 2,607,765 — (5,741,785) — Goodwill and intangible assets, net — 93,118 26,724 — 119,842 Other assets 7,095 83,881 15,398 (3,163) 103,211 TOTAL $ 4,279,311 $ 8,160,911 $ 11,384,392 $ (11,639,058) $ 12,185,556 LIABILITIES AND STOCKHOLDER’S EQUITY Liabilities: Short-term debt, including current maturities of long-term debt $ 1,351,644 $ 140,343 $ 3,295,465 $ — $ 4,787,452 Accounts payable and other accrued liabilities 280,332 3,657,483 1,154,726 (4,193,328) 899,213 Affiliated debt — 724,716 979,229 (1,703,945) — Long-term debt 1,456,509 504,349 3,347,207 — 5,308,065 Total liabilities 3,088,485 5,026,891 8,776,627 (5,897,273) 10,994,730 Stockholder’s equity 1,190,826 3,134,020 2,607,765 (5,741,785) 1,190,826 TOTAL $ 4,279,311 $ 8,160,911 $ 11,384,392 $ (11,639,058) $ 12,185,556 Condensed Balance Sheets as of December 31, 2019 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated ASSETS Cash and cash equivalents $ — $ 121,200 $ 53,766 $ — $ 174,966 Restricted cash and cash equivalents — — 629,278 — 629,278 Receivables, less allowance for credit losses — 1,512,786 8,322,488 — 9,835,274 Affiliated accounts and notes receivable 1,549,666 2,257,928 2,553,665 (6,296,952) 64,307 Equipment on operating leases, net — 1,394,706 388,577 — 1,783,283 Equipment held for sale — 154,050 16,168 — 170,218 Investments in consolidated subsidiaries accounted for under the equity method 3,053,394 2,565,785 — (5,619,179) — Goodwill and intangible assets, net — 93,767 28,057 — 121,824 Other assets 4,236 58,048 16,209 (3,556) 74,937 TOTAL $ 4,607,296 $ 8,158,270 $ 12,008,208 $ (11,919,687) $ 12,854,087 LIABILITIES AND STOCKHOLDER’S EQUITY Liabilities: Short-term debt, including current maturities of long-term debt $ 1,136,455 $ 33,200 $ 3,620,517 $ — $ 4,790,172 Accounts payable and other accrued liabilities 283,748 3,449,690 1,261,411 (4,187,412) 807,437 Affiliated debt — 1,361,490 965,462 (2,113,096) 213,856 Long-term debt 1,924,052 260,496 3,595,033 — 5,779,581 Total liabilities 3,344,255 5,104,876 9,442,423 (6,300,508) 11,591,046 Stockholder’s equity 1,263,041 3,053,394 2,565,785 (5,619,179) 1,263,041 TOTAL $ 4,607,296 $ 8,158,270 $ 12,008,208 $ (11,919,687) $ 12,854,087
Schedule of condensed statements of cash flows	Condensed Statements of Cash Flows for the Six Months Ended June 30, 2020 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated CASH FLOWS FROM OPERATING ACTIVITIES: Net cash from (used in) operating activities $ 342,354 $ 354,027 $ (202,419) $ (408,758) $ 85,204 CASH FLOWS FROM INVESTING ACTIVITIES: Cost of receivables acquired — (3,893,382) (3,865,751) 2,966,133 (4,793,000) Collections of receivables — 3,811,656 4,445,486 (2,966,526) 5,290,616 Purchase of equipment on operating leases, net — (27,568) (22,021) — (49,589) Change in property and equipment and software, net — (154) — — (154) Net cash from (used in) investing activities — (109,448) 557,714 (393) 447,873 CASH FLOWS FROM FINANCING ACTIVITIES: Intercompany activity — (636,774) 13,767 409,151 (213,856) Net change in indebtedness (252,354) 350,998 (481,092) — (382,448) Dividends paid to CNH Industrial America LLC (90,000) — — — (90,000) Net cash from (used in) financing activities (342,354) (285,776) (467,325) 409,151 (686,304) DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH — (41,197) (112,030) — (153,227) CASH AND CASH EQUIVALENTS AND RESTRICTED CASH: Beginning of period — 121,200 683,044 — 804,244 End of period $ — $ 80,003 $ 571,014 $ — $ 651,017 Condensed Statements of Cash Flows for the Six Months Ended June 30, 2019 CNH Industrial Guarantor All Other Capital LLC Entities Subsidiaries Eliminations Consolidated CASH FLOWS FROM OPERATING ACTIVITIES: Net cash from (used in) operating activities $ 141,062 $ 78,565 $ 39,839 $ 45,359 $ 304,825 CASH FLOWS FROM INVESTING ACTIVITIES: Cost of receivables acquired — (4,272,656) (4,926,232) 3,659,309 (5,539,579) Collections of receivables — 4,222,643 4,802,932 (3,659,143) 5,366,432 Purchase of equipment on operating leases, net — (115,394) (10,964) — (126,358) Change in property and equipment and software, net — (1,916) — — (1,916) Net cash from (used in) investing activities — (167,323) (134,264) 166 (301,421) CASH FLOWS FROM FINANCING ACTIVITIES: Intercompany activity — 32,417 83,026 (45,525) 69,918 Net change in indebtedness (16,062) 10 (145,935) — (161,987) Dividends paid to CNH Industrial America LLC (125,000) — — — (125,000) Net cash from (used in) financing activities (141,062) 32,427 (62,909) (45,525) (217,069) DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH — (56,331) (157,334) — (213,665) CASH AND CASH EQUIVALENTS AND RESTRICTED CASH: Beginning of period — 118,508 681,363 — 799,871 End of period $ — $ 62,177 $ 524,029 $ — $ 586,206

NEW ACCOUNTING PRONOUNCEMENTS (

NEW ACCOUNTING PRONOUNCEMENTS (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Mar. 31, 2020	Jan. 01, 2020	Dec. 31, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018
New Accounting Pronouncements Adopted
Allowance for credit losses	$ 119,825	$ 105,230	$ 98,628	$ 72,751	$ 77,610	$ 72,228	$ 74,412
Retained earnings	$ 504,961			543,688
ASU 2016-13
New Accounting Pronouncements Adopted
Allowance for credit losses				$ 25,877
ASU 2016-13 | Net incremental impact of adopting new guidance
New Accounting Pronouncements Adopted
Allowance for credit losses			26,000
Deferred tax assets			6,000
Retained earnings			$ (20,000)

ACCUMULATED OTHER COMPREHENSI_3

ACCUMULATED OTHER COMPREHENSIVE INCOME - Change in Components of AOCI (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Mar. 31, 2020	Dec. 31, 2019	Mar. 31, 2019	Dec. 31, 2018
Changes in accumulated other comprehensive income by component
Beginning balance, gross					$ (178,928)	$ (124,100)	$ (141,617)	$ (147,771)
Tax asset					2,501	(296)	849	772
Beginning balance, net of tax	$ (176,427)	$ (140,768)	$ (124,396)	$ (146,999)
Other comprehensive income (loss) before reclassifications	18,009	7,804	(36,708)	13,972
Amounts reclassified from accumulated other comprehensive income (loss)	162	114	51	100
Tax effects	301	354	3,098	1,028
Total other comprehensive income (loss)	18,472	8,272	(33,559)	15,100
Reclassification of certain tax effects				(597)
Ending balance	(157,955)	(132,496)	(157,955)	(132,496)
Currency Translation Adjustment
Changes in accumulated other comprehensive income by component
Beginning balance, gross					(169,402)	(125,133)	(138,036)	(146,726)
Beginning balance, net of tax	(169,402)	(138,036)	(125,133)	(146,726)
Other comprehensive income (loss) before reclassifications	19,311	9,244	(24,958)	17,934
Total other comprehensive income (loss)	19,311	9,244	(24,958)	17,934
Ending balance	(150,091)	(128,792)	(150,091)	(128,792)
Pension Liability
Changes in accumulated other comprehensive income by component
Beginning balance, gross					(308)	(302)	(3,953)	(4,070)
Tax asset					58	58	947	1,573
Beginning balance, net of tax	(250)	(3,006)	(244)	(2,497)
Other comprehensive income (loss) before reclassifications	(115)	(112)	(174)	(223)
Amounts reclassified from accumulated other comprehensive income (loss)	50	229	102	457
Tax effects	16	(28)	17	(57)
Total other comprehensive income (loss)	(49)	89	(55)	177
Reclassification of certain tax effects				(597)
Ending balance	(299)	(2,917)	(299)	(2,917)
Unrealized Loss on Derivative
Changes in accumulated other comprehensive income by component
Beginning balance, gross					(9,218)	1,335	372	3,025
Tax asset					$ 2,443	$ (354)	$ (98)	$ (801)
Beginning balance, net of tax	(6,775)	274	981	2,224
Other comprehensive income (loss) before reclassifications	(1,187)	(1,328)	(11,576)	(3,739)
Amounts reclassified from accumulated other comprehensive income (loss)	112	(115)	(51)	(357)
Tax effects	285	382	3,081	1,085
Total other comprehensive income (loss)	(790)	(1,061)	(8,546)	(3,011)
Ending balance	$ (7,565)	$ (787)	$ (7,565)	$ (787)

ACCUMULATED OTHER COMPREHENSI_4

ACCUMULATED OTHER COMPREHENSIVE INCOME - Reclassifications out of AOCI (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Reclassifications out of accumulated other comprehensive income and the location on the consolidated statements of income
Interest expense to third parties	$ (67,739)	$ (84,989)	$ (144,616)	$ (170,205)
Income before taxes	46,547	49,682	92,052	100,673
Income tax effects	(10,556)	(11,898)	(20,984)	(23,678)
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	(50)	(229)	(102)	(457)
Income before taxes	(50)	(229)	(102)	(457)
Income tax effects	17	55	24	111
Net income	(33)	(174)	(78)	(346)
Unrealized Loss on Derivative | 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	(112)	115	51	357
Income before taxes	(112)	115	51	357
Income tax effects	30	(30)	(13)	(94)
Net income	$ (82)	$ 85	$ 38	$ 263

RECEIVABLES - Summary of Receiv

RECEIVABLES - Summary of Receivables (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Mar. 31, 2020	Jan. 01, 2020	Dec. 31, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018
Receivables
Gross receivables	$ 9,327,324			$ 9,908,025	$ 10,267,608
Less: Allowance for credit losses	(119,825)	$ (105,230)	$ (98,628)	(72,751)	$ (77,610)	$ (72,228)	$ (74,412)
Total receivables, net	9,207,499			9,835,274
Restricted Receivables	7,616,901			8,358,205
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
Retail receivables
Receivables
Gross receivables	857,176			656,518
Restricted Receivables	5,128,552			5,531,885
Wholesale receivables
Receivables
Gross receivables	762,195			813,454
Restricted Receivables	2,488,349			2,826,320
Finance lease receivables
Receivables
Gross receivables	$ 91,052			$ 79,848

RECEIVABLES - Allowance for Cre

RECEIVABLES - Allowance for Credit Losses Activity (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended			12 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Allowance for credit losses:
Beginning balance	$ 105,230	$ 72,228	$ 98,628	$ 72,751	$ 74,412	$ 74,412
Charge-offs	(6,980)	(9,189)	(14,996)		(18,731)	(40,637)
Recoveries	600	1,372	1,330		1,685	3,062
Provision (benefit)	20,659	13,097	35,137	35,137	20,066	35,703
Foreign currency translation and other	316	102	(274)		178	211
Ending balance	119,825	77,610	119,825	119,825	77,610	72,751
Receivables:
Ending balance	9,327,324	10,267,608	9,327,324	9,327,324	10,267,608	9,908,025
ASU 2016-13
Allowance for credit losses:
Beginning balance				25,877
Ending balance						25,877
Retail
Allowance for credit losses:
Beginning balance	96,835	65,637	90,627	64,750	66,944	66,944
Charge-offs	(6,947)	(9,189)	(14,784)		(16,566)	(35,535)
Recoveries	600	1,369	1,327		1,676	3,046
Provision (benefit)	21,730	12,410	35,551		18,106	30,115
Foreign currency translation and other	274	84	(229)		151	180
Ending balance	112,492	70,311	112,492	112,492	70,311	64,750
Receivables:
Ending balance	6,076,780	6,364,938	6,076,780	6,076,780	6,364,938	6,268,251
Retail | ASU 2016-13
Allowance for credit losses:
Beginning balance				25,877
Ending balance						25,877
Wholesale
Allowance for credit losses:
Beginning balance		6,535			7,468	7,468
Charge-offs					(2,165)
Recoveries		3			9
Provision (benefit)		683			1,900
Foreign currency translation and other		18			27
Ending balance		7,239			7,239
Receivables:
Ending balance		3,818,196			3,818,196
Wholesale factoring
Allowance for credit losses:
Beginning balance		56
Provision (benefit)		4			60
Ending balance		60			60
Receivables:
Ending balance		$ 84,474			84,474
Wholesale and wholesale factoring
Allowance for credit losses:
Beginning balance	8,395		8,001	8,001	$ 7,468	7,468
Charge-offs	(33)		(212)			(5,102)
Recoveries			3			16
Provision (benefit)	(1,071)		(414)			5,588
Foreign currency translation and other	42		(45)			31
Ending balance	7,333		7,333	7,333		8,001
Receivables:
Ending balance	$ 3,250,544		$ 3,250,544	$ 3,250,544		$ 3,639,774

RECEIVABLES - Aging of Receivab

RECEIVABLES - Aging of Receivables (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2020	Dec. 31, 2019
Financing receivable, recorded investment
Minimum account delinquency period for an account to be classified as past due	30 days	30 days
Retail
Financing receivable, recorded investment
Total	$ 6,076,780	$ 6,268,251
Recorded Investment > 90 Days and Accruing		8,523
Retail | Total Past Due
Financing receivable, recorded investment
Total	50,791	65,105
Retail | 31-60 Days Past Due
Financing receivable, recorded investment
Total	16,344	24,251
Retail | 61-90 Days Past Due
Financing receivable, recorded investment
Total	9,002	6,959
Retail | Greater than 90 Days
Financing receivable, recorded investment
Total	25,445	33,895
Retail | Current
Financing receivable, recorded investment
Total	6,025,989	6,203,146
Retail | United States
Financing receivable, recorded investment
2020	1,002,488
2019	1,613,036
2018	1,118,166
2017	639,923
2016	355,652
2015	146,808
Prior to 2015	46,254
Total	4,922,327	5,056,269
Recorded Investment > 90 Days and Accruing		7,356
Retail | United States | Total Past Due
Financing receivable, recorded investment
2020	957
2019	9,385
2018	9,102
2017	8,456
2016	8,068
2015	3,444
Prior to 2015	3,395
Total	42,807	54,869
Retail | United States | 31-60 Days Past Due
Financing receivable, recorded investment
2020	424
2019	3,599
2018	2,563
2017	2,993
2016	2,020
2015	764
Prior to 2015	329
Total	12,692	19,781
Retail | United States | 61-90 Days Past Due
Financing receivable, recorded investment
2020	533
2019	3,541
2018	1,389
2017	1,490
2016	588
2015	296
Prior to 2015	24
Total	7,861	5,896
Retail | United States | Greater than 90 Days
Financing receivable, recorded investment
2019	2,245
2018	5,150
2017	3,973
2016	5,460
2015	2,384
Prior to 2015	3,042
Total	22,254	29,192
Retail | United States | Current
Financing receivable, recorded investment
2020	1,001,531
2019	1,603,651
2018	1,109,064
2017	631,467
2016	347,584
2015	143,364
Prior to 2015	42,859
Total	4,879,520	5,001,400
Retail | Canada
Financing receivable, recorded investment
2020	240,286
2019	417,359
2018	265,394
2017	130,086
2016	68,764
2015	27,442
Prior to 2015	5,122
Total	1,154,453	1,211,982
Recorded Investment > 90 Days and Accruing		1,167
Retail | Canada | Total Past Due
Financing receivable, recorded investment
2020	34
2019	2,935
2018	1,769
2017	1,381
2016	1,022
2015	778
Prior to 2015	65
Total	7,984	10,236
Retail | Canada | 31-60 Days Past Due
Financing receivable, recorded investment
2020	34
2019	1,879
2018	805
2017	490
2016	228
2015	185
Prior to 2015	31
Total	3,652	4,470
Retail | Canada | 61-90 Days Past Due
Financing receivable, recorded investment
2019	295
2018	305
2017	226
2016	259
2015	56
Total	1,141	1,063
Retail | Canada | Greater than 90 Days
Financing receivable, recorded investment
2019	761
2018	659
2017	665
2016	535
2015	537
Prior to 2015	34
Total	3,191	4,703
Retail | Canada | Current
Financing receivable, recorded investment
2020	240,252
2019	414,424
2018	263,625
2017	128,705
2016	67,742
2015	26,664
Prior to 2015	5,057
Total	1,146,469	1,201,746
Wholesale
Financing receivable, recorded investment
Total	3,250,544	3,639,774
Recorded Investment > 90 Days and Accruing		193
Wholesale | Total Past Due
Financing receivable, recorded investment
Total	1,015	3,672
Wholesale | 31-60 Days Past Due
Financing receivable, recorded investment
Total	184	2,138
Wholesale | 61-90 Days Past Due
Financing receivable, recorded investment
Total	243	412
Wholesale | Greater than 90 Days
Financing receivable, recorded investment
Total	588	1,122
Wholesale | Current
Financing receivable, recorded investment
Total	3,249,529	3,636,102
Wholesale | United States
Financing receivable, recorded investment
Total	2,605,296	2,890,273
Recorded Investment > 90 Days and Accruing		189
Wholesale | United States | Total Past Due
Financing receivable, recorded investment
Total	999	2,674
Wholesale | United States | 31-60 Days Past Due
Financing receivable, recorded investment
Total	173	2,081
Wholesale | United States | 61-90 Days Past Due
Financing receivable, recorded investment
Total	239	42
Wholesale | United States | Greater than 90 Days
Financing receivable, recorded investment
Total	587	551
Wholesale | United States | Current
Financing receivable, recorded investment
Total	2,604,297	2,887,599
Wholesale | Canada
Financing receivable, recorded investment
Total	645,248	749,501
Recorded Investment > 90 Days and Accruing		4
Wholesale | Canada | Total Past Due
Financing receivable, recorded investment
Total	16	998
Wholesale | Canada | 31-60 Days Past Due
Financing receivable, recorded investment
Total	11	57
Wholesale | Canada | 61-90 Days Past Due
Financing receivable, recorded investment
Total	4	370
Wholesale | Canada | Greater than 90 Days
Financing receivable, recorded investment
Total	1	571
Wholesale | Canada | Current
Financing receivable, recorded investment
Total	$ 645,232	$ 748,503

RECEIVABLES - Impaired Receivab

RECEIVABLES - Impaired Receivables (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2020	Dec. 31, 2019
Financing receivable, impaired
Accrued interest	$ 57,610
Delinquency period of accounts considered for recognition of income	90 days	90 days
United States
Financing receivable, impaired
Receivables on nonaccrual status	$ 60,678	$ 62,674
Canada
Financing receivable, impaired
Receivables on nonaccrual status	3,235	3,749
Retail | United States
Financing receivable, impaired
Receivables on nonaccrual status	35,428	33,463
Retail | Canada
Financing receivable, impaired
Receivables on nonaccrual status	3,235	3,749
Wholesale | United States
Financing receivable, impaired
Receivables on nonaccrual status	$ 25,250	$ 29,211

RECEIVABLES - Troubled Debt Res

RECEIVABLES - Troubled Debt Restructuring of Receivables (Details) - Retail $ in Thousands	6 Months Ended
	Jun. 30, 2020USD ($)item	Jun. 30, 2019USD ($)item
Troubled Debt Restructurings
Number of contracts classified as TDRs | item	275	272
Pre-modification value	$ 8,580	$ 10,216
Post-modification value	$ 7,549	$ 9,214
Number of cases in which the court has not yet determined the concession | item	330	381
Pre-modification value for cases in which the court has not yet determined the concession	$ 21,058	$ 16,336

EQUIPMENT ON OPERATING LEASES_2

EQUIPMENT ON OPERATING LEASES (Details) $ in Thousands	Jun. 30, 2020USD ($)
Lease payments owed to the company for equipment under non-cancelable operating leases
Deferred operating lease subsidy	$ 117,654
2020	101,639
2021	174,293
2022	90,442
2023	32,988
2024 and thereafter	11,559
Total lease payments	$ 410,921

CREDIT FACILITIES AND DEBT (Det

CREDIT FACILITIES AND DEBT (Details) $ in Thousands, $ in Thousands	Jun. 30, 2020USD ($)	May 27, 2020USD ($)	May 20, 2020USD ($)	Apr. 23, 2020CAD ($)	Apr. 23, 2020USD ($)	Apr. 15, 2020CAD ($)	Apr. 15, 2020USD ($)	Dec. 31, 2019USD ($)
Debt
Long-term debt	$ 5,308,065							$ 5,779,581
Revolving credit facilities
Debt
Maximum borrowing capacity	823,834
Line of credit, outstanding amount	423,834
Short-Term Outstanding	251,000
Commercial paper
Debt
Short-Term Outstanding	$ 251,000
Unsecured Facilities | Revolving credit facilities
Debt
Debt amount						$ 300,000	$ 212,628
Secured Debt | Other ABS Financing
Debt
Debt amount			$ 379,410
Secured Debt | Amortizing Retail Term ABS
Debt
Debt amount		$ 789,040		$ 465,707	$ 331,025

INCOME TAXES (Details)

INCOME TAXES (Details)	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019
Reconciliation of statutory and effective income tax rate
Effective tax rate (as a percent)	22.70%	23.90%	22.80%	23.50%

FINANCIAL INSTRUMENTS - General

FINANCIAL INSTRUMENTS - General Information (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2020USD ($)
Interest Rate Derivatives
Maximum length of time of interest rate derivative instruments designated in cash flow hedge relationships	54 months
After-tax losses deferred in accumulated other comprehensive income that will be recognized in interest expense over the next 12 months	$ 352

FINANCIAL INSTRUMENTS - Fair Ma

FINANCIAL INSTRUMENTS - Fair Market Value of Derivatives (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Fair market value of derivatives
Derivative assets designated as hedging instruments, classified in other assets	$ 67,712		$ 67,712		$ 38,732
Derivative liabilities designated as hedging instruments, classified in accounts payable and other accrued liabilities	5,739		5,739		1,243
Interest rate derivatives, derivative assets not designated as hedging instruments, classified in other assets	400		400		440
Foreign exchange contracts, derivatives not designated as hedging instruments, classified in other assets	1,181		1,181
Derivative assets not designated as hedging instruments, classified in other assets	1,581		1,581		440
Interest rate derivatives, derivative not designated as hedging instruments, classified in accounts payable and other accrued liabilities	400		400		440
Foreign exchange contracts, derivatives not designated as hedging instruments, classified in accounts payable and other accrued liabilities					800
Derivative liabilities not designated as hedging instruments, classified in accounts payable and other accrued liabilities	400		400		1,240
Cash Flow Hedges, Recognized in accumulated other comprehensive income (loss), Interest rate derivatives	(1,187)	$ (1,328)	(11,576)	$ (3,739)
Cash Flow Hedges, Reclassified from accumulated other comprehensive Income (loss), Interest rate derivatives - Interest expense to third parties	(112)	115	51	357
Foreign exchange contracts, other expenses, not designated as hedges	2,051	$ 3,463	(3,200)	3,193
Interest rate derivatives
Fair market value of derivatives
Total notional amount of interest rate derivatives	$ 3,395,298		3,395,298		$ 3,004,709
Seven-month average notional amounts of interest rate derivatives			$ 3,124,169	$ 3,004,828

FINANCIAL INSTRUMENTS - Items M

FINANCIAL INSTRUMENTS - Items Measured at Fair Value (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Assets
Foreign exchange contracts	$ 1,181
Liabilities
Foreign exchange contracts		$ 800
Assets transferred between Level 1, Level 2 and Level 3	0	0
Liabilities transferred between Level 1, Level 2 and Level 3	0	0
Recurring | Level 2
Assets
Interest rate derivatives	68,112	39,172
Foreign exchange contracts	1,181
Total assets	69,293	39,172
Liabilities
Interest rate derivatives	6,139	1,683
Foreign exchange contracts		800
Total liabilities	$ 6,139	$ 2,483

FINANCIAL INSTRUMENTS - Carryin

FINANCIAL INSTRUMENTS - Carrying Amount and Estimated Fair Value (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Dec. 31, 2019
Financial Instruments Not Carried at Fair Value
Receivables	$ 9,207,499	$ 9,835,274
Long-term debt	5,308,065	5,779,581
Carrying Amount
Financial Instruments Not Carried at Fair Value
Receivables	9,207,499	9,835,274
Long-term debt	5,308,065	5,779,581
Estimated Fair Value
Financial Instruments Not Carried at Fair Value
Receivables	9,272,461	9,870,076
Long-term debt	$ 5,466,932	$ 5,830,157

GEOGRAPHICAL INFORMATION (Detai

GEOGRAPHICAL INFORMATION (Details) - USD ($) $ in Thousands	3 Months Ended				6 Months Ended			12 Months Ended
	Jun. 30, 2020	Mar. 31, 2020	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2020	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
Geographical Information
Revenues	$ 213,704		$ 229,112			$ 429,521	$ 451,181
Interest expense	67,974		85,247			146,662	173,628
Net income	35,991	$ 35,077	37,784	$ 39,211		71,068	76,995
Depreciation and amortization	59,241		56,153			117,932	117,575
Expenditures for equipment on operating leases	138,279		171,666			273,464	347,175
Provision for credit losses	20,659		13,097		$ 35,137	35,137	20,066	$ 35,703
Additional disclosures
Total assets	12,185,556				12,185,556	12,185,556		12,854,087
Managed receivables	9,327,324				9,327,324	9,327,324		9,908,025
Eliminations
Geographical Information
Revenues	(1,211)		(2,661)			(2,776)	(3,976)
Interest expense	(1,211)		(2,661)			(2,776)	(3,976)
Additional disclosures
Total assets	(147,205)				(147,205)	(147,205)		(152,285)
United States
Geographical Information
Net income	27,454		25,247			53,557	54,015
Depreciation and amortization	48,543		45,511			96,402	95,902
Expenditures for equipment on operating leases	108,796		133,803			222,418	279,584
Provision for credit losses	16,294		12,364			27,593	18,060
Additional disclosures
Managed receivables	7,527,623				7,527,623	7,527,623		7,946,542
United States | Operating segment
Geographical Information
Revenues	173,322		183,870			346,963	361,649
Interest expense	56,895		70,923			122,661	144,359
Additional disclosures
Total assets	9,970,692				9,970,692	9,970,692		10,439,737
Canada
Geographical Information
Net income	8,537		12,537			17,511	22,980
Depreciation and amortization	10,698		10,642			21,530	21,673
Expenditures for equipment on operating leases	29,483		37,863			51,046	67,591
Provision for credit losses	4,365		733			7,544	2,006
Additional disclosures
Managed receivables	1,799,701				1,799,701	1,799,701		1,961,483
Canada | Operating segment
Geographical Information
Revenues	41,593		47,903			85,334	93,508
Interest expense	12,290		$ 16,985			26,777	$ 33,245
Additional disclosures
Total assets	$ 2,362,069				$ 2,362,069	$ 2,362,069		$ 2,566,635

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019	Jun. 30, 2020	Jun. 30, 2019	Dec. 31, 2019
RELATED-PARTY TRANSACTIONS
Total interest and other income from affiliates	$ 82,069	$ 88,992	$ 167,512	$ 173,245
Affiliated receivables	197,724		197,724		$ 64,307
Affiliated debt					213,856
Other information
Interest expense to related affiliates	235	258	2,046	3,423
Fees charged by affiliates	10,995	11,574	23,143	23,955
Accounts payable and other accrued liabilities payable to related parties	109,965		109,965		20,527
CNH Industrial North America
RELATED-PARTY TRANSACTIONS
Retail	39,243	40,317	80,383	79,513
Wholesale	27,138	32,370	56,114	62,380
Operating lease	15,591	15,059	30,770	30,065
Lending funds	57	40	163	81
CNH Industrial America
RELATED-PARTY TRANSACTIONS
Affiliated receivables	142,015		142,015		24,832
CNH Industrial Canada Ltd.
RELATED-PARTY TRANSACTIONS
Affiliated receivables	40,565		40,565		26,931
Iveco Argentina
RELATED-PARTY TRANSACTIONS
Wholesale factoring		$ 1,206		$ 1,206
Other affiliates
RELATED-PARTY TRANSACTIONS
Lending funds	40		82
Affiliated receivables	$ 15,144		$ 15,144		$ 12,544

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details) $ in Thousands	Jun. 30, 2020USD ($)
Guarantees
Payment guarantees on the financial debt of various foreign financial services subsidiaries	$ 45,000
Wholesale and dealer financing
Guarantees
Total credit limit	6,026,685
Utilized	$ 3,170,016

SUPPLEMENTAL CONDENSED CONSOL_3

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION - Statements of Comprehensive Income (Details) - USD ($) $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2020	Mar. 31, 2020	Jun. 30, 2019	Mar. 31, 2019	Jun. 30, 2020	Jun. 30, 2019
REVENUES
Interest income on retail notes and finance leases	$ 48,489		$ 57,112		$ 96,020	$ 112,580
Interest income on wholesale notes	13,569		16,993		29,141	33,735
Interest and other income from affiliates	82,069		88,992		167,512	173,245
Rental income on operating leases	62,109		60,492		124,194	121,133
Other income	7,468		5,523		12,654	10,488
Total revenues	213,704		229,112		429,521	451,181
Interest expense:
Interest expense to third parties	67,739		84,989		144,616	170,205
Interest expense to affiliates	235		258		2,046	3,423
Total interest expense	67,974		85,247		146,662	173,628
Administrative and operating expenses:
Fees charged by affiliates	10,995		11,574		23,143	23,955
Provision for credit losses	20,659		13,097		35,137	20,066
Depreciation of equipment on operating leases	58,836		55,680		117,126	116,600
Other expenses	8,693		13,832		15,401	16,259
Total administrative and operating expenses	99,183		94,183		190,807	176,880
Total expenses	167,157		179,430		337,469	350,508
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method	46,547		49,682		92,052	100,673
Income tax provision (benefit)	10,556		11,898		20,984	23,678
NET INCOME	35,991	$ 35,077	37,784	$ 39,211	71,068	76,995
COMPREHENSIVE INCOME	54,463		46,056		37,509	92,095
Reportable Legal Entities | CNH Industrial Capital LLC
REVENUES
Interest and other income from affiliates	4,019		15,482		10,248	31,448
Total revenues	4,019		15,482		10,248	31,448
Interest expense:
Interest expense to third parties	33,072		52,749		93,377	100,226
Total interest expense	33,072		52,749		93,377	100,226
Administrative and operating expenses:
Other expenses	6		6		12	12
Total administrative and operating expenses	6		6		12	12
Total expenses	33,078		52,755		93,389	100,238
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method	(29,059)		(37,273)		(83,141)	(68,790)
Income tax provision (benefit)	(7,096)		(9,100)		(20,301)	(16,796)
Equity in income of consolidated subsidiaries accounted for under the equity method	57,954		65,957		133,908	128,989
NET INCOME	35,991		37,784		71,068	76,995
COMPREHENSIVE INCOME	54,463		46,056		37,509	92,095
Reportable Legal Entities | Guarantor Entities
REVENUES
Interest income on retail notes and finance leases	2,136		7,708		270	13,631
Interest income on wholesale notes	(225)		(276)		(470)	(534)
Interest and other income from affiliates	44,136		52,420		93,162	102,509
Rental income on operating leases	48,814		47,253		97,401	94,256
Other income	22,636		21,172		43,731	42,027
Total revenues	117,497		128,277		234,094	251,889
Interest expense:
Interest expense to third parties	(3,311)		(16,733)		(32,331)	(28,086)
Interest expense to affiliates	30,179		12,120		66,492	57,643
Total interest expense	26,868		(4,613)		34,161	29,557
Administrative and operating expenses:
Fees charged by affiliates	7,364		11,131		18,787	22,993
Provision for credit losses	5,371		5,366		8,030	8,732
Depreciation of equipment on operating leases	48,139		45,038		95,596	94,928
Other expenses	9,272		11,083		13,325	10,357
Total administrative and operating expenses	70,146		72,618		135,738	137,010
Total expenses	97,014		68,005		169,899	166,567
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method	20,483		60,272		64,195	85,322
Income tax provision (benefit)	5,086		14,832		15,835	21,064
Equity in income of consolidated subsidiaries accounted for under the equity method	42,557		20,517		85,548	64,731
NET INCOME	57,954		65,957		133,908	128,989
COMPREHENSIVE INCOME	$ 76,426		74,229		$ 100,349	144,089
Reportable Legal Entities | CNH Industrial Capital America LLC
Condensed Statements of Comprehensive Income
Ownership percentage	100.00%				100.00%
Reportable Legal Entities | New Holland Credit Company LLC
Condensed Statements of Comprehensive Income
Ownership percentage	100.00%				100.00%
Reportable Legal Entities | All Other Subsidiaries
REVENUES
Interest income on retail notes and finance leases	$ 46,353		49,404		$ 95,750	98,949
Interest income on wholesale notes	13,794		17,269		29,611	34,269
Interest and other income from affiliates	69,468		36,572		142,425	70,736
Rental income on operating leases	13,295		13,239		26,793	26,877
Other income	581		652		804	1,173
Total revenues	143,491		117,136		295,383	232,004
Interest expense:
Interest expense to third parties	37,978		48,973		83,570	98,065
Interest expense to affiliates	5,610		3,620		13,877	(22,772)
Total interest expense	43,588		52,593		97,447	75,293
Administrative and operating expenses:
Fees charged by affiliates	19,380		16,744		36,237	33,674
Provision for credit losses	15,288		7,731		27,107	11,334
Depreciation of equipment on operating leases	10,697		10,642		21,530	21,672
Other expenses	(585)		2,743		2,064	5,890
Total administrative and operating expenses	44,780		37,860		86,938	72,570
Total expenses	88,368		90,453		184,385	147,863
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method	55,123		26,683		110,998	84,141
Income tax provision (benefit)	12,566		6,166		25,450	19,410
NET INCOME	42,557		20,517		85,548	64,731
COMPREHENSIVE INCOME	57,858		27,633		56,343	76,907
Eliminations
REVENUES
Interest and other income from affiliates	(35,554)		(15,482)		(78,323)	(31,448)
Other income	(15,749)		(16,301)		(31,881)	(32,712)
Total revenues	(51,303)		(31,783)		(110,204)	(64,160)
Interest expense:
Interest expense to affiliates	(35,554)		(15,482)		(78,323)	(31,448)
Total interest expense	(35,554)		(15,482)		(78,323)	(31,448)
Administrative and operating expenses:
Fees charged by affiliates	(15,749)		(16,301)		(31,881)	(32,712)
Total administrative and operating expenses	(15,749)		(16,301)		(31,881)	(32,712)
Total expenses	(51,303)		(31,783)		(110,204)	(64,160)
Equity in income of consolidated subsidiaries accounted for under the equity method	(100,511)		(86,474)		(219,456)	(193,720)
NET INCOME	(100,511)		(86,474)		(219,456)	(193,720)
COMPREHENSIVE INCOME	$ (134,284)		$ (101,862)		$ (156,692)	$ (220,996)

SUPPLEMENTAL CONDENSED CONSOL_4

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION - Balance Sheets (Details) - USD ($) $ in Thousands	Jun. 30, 2020	Mar. 31, 2020	Dec. 31, 2019	Jun. 30, 2019	Mar. 31, 2019	Dec. 31, 2018
ASSETS
Cash and cash equivalents	$ 156,848		$ 174,966
Restricted cash and cash equivalents	494,169		629,278
Receivables, less allowance for credit losses	9,207,499		9,835,274
Affiliated accounts and notes receivable	197,724		64,307
Equipment on operating leases, net	1,761,261		1,783,283
Equipment held for sale	145,002		170,218
Goodwill and intangible assets, net	119,842		121,824
Other assets	103,211		74,937
TOTAL	12,185,556		12,854,087
Liabilities:
Short-term debt, including current maturities of long-term debt	4,787,452		4,790,172
Accounts payable and other accrued liabilities	899,213		807,437
Affiliated debt			213,856
Long-term debt	5,308,065		5,779,581
Total liabilities	10,994,730		11,591,046
Stockholder's equity	1,190,826	$ 1,186,296	1,263,041	$ 1,323,085	$ 1,401,935	$ 1,355,732
TOTAL	12,185,556		12,854,087
Eliminations
ASSETS
Affiliated accounts and notes receivable	(5,894,110)		(6,296,952)
Investments in consolidated subsidiaries accounted for under the equity method	(5,741,785)		(5,619,179)
Other assets	(3,163)		(3,556)
TOTAL	(11,639,058)		(11,919,687)
Liabilities:
Accounts payable and other accrued liabilities	(4,193,328)		(4,187,412)
Affiliated debt	(1,703,945)		(2,113,096)
Total liabilities	(5,897,273)		(6,300,508)
Stockholder's equity	(5,741,785)		(5,619,179)
TOTAL	(11,639,058)		(11,919,687)
CNH Industrial Capital LLC | Reportable Legal Entities
ASSETS
Affiliated accounts and notes receivable	1,138,196		1,549,666
Investments in consolidated subsidiaries accounted for under the equity method	3,134,020		3,053,394
Other assets	7,095		4,236
TOTAL	4,279,311		4,607,296
Liabilities:
Short-term debt, including current maturities of long-term debt	1,351,644		1,136,455
Accounts payable and other accrued liabilities	280,332		283,748
Long-term debt	1,456,509		1,924,052
Total liabilities	3,088,485		3,344,255
Stockholder's equity	1,190,826		1,263,041
TOTAL	4,279,311		4,607,296
Guarantor Entities | Reportable Legal Entities
ASSETS
Cash and cash equivalents	80,003		121,200
Receivables, less allowance for credit losses	1,586,875		1,512,786
Affiliated accounts and notes receivable	2,213,531		2,257,928
Equipment on operating leases, net	1,391,813		1,394,706
Equipment held for sale	103,925		154,050
Investments in consolidated subsidiaries accounted for under the equity method	2,607,765		2,565,785
Goodwill and intangible assets, net	93,118		93,767
Other assets	83,881		58,048
TOTAL	8,160,911		8,158,270
Liabilities:
Short-term debt, including current maturities of long-term debt	140,343		33,200
Accounts payable and other accrued liabilities	3,657,483		3,449,690
Affiliated debt	724,716		1,361,490
Long-term debt	504,349		260,496
Total liabilities	5,026,891		5,104,876
Stockholder's equity	3,134,020		3,053,394
TOTAL	8,160,911		8,158,270
All Other Subsidiaries | Reportable Legal Entities
ASSETS
Cash and cash equivalents	76,845		53,766
Restricted cash and cash equivalents	494,169		629,278
Receivables, less allowance for credit losses	7,620,624		8,322,488
Affiliated accounts and notes receivable	2,740,107		2,553,665
Equipment on operating leases, net	369,448		388,577
Equipment held for sale	41,077		16,168
Goodwill and intangible assets, net	26,724		28,057
Other assets	15,398		16,209
TOTAL	11,384,392		12,008,208
Liabilities:
Short-term debt, including current maturities of long-term debt	3,295,465		3,620,517
Accounts payable and other accrued liabilities	1,154,726		1,261,411
Affiliated debt	979,229		965,462
Long-term debt	3,347,207		3,595,033
Total liabilities	8,776,627		9,442,423
Stockholder's equity	2,607,765		2,565,785
TOTAL	$ 11,384,392		$ 12,008,208

SUPPLEMENTAL CONDENSED CONSOL_5

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION - Statements of Cash Flows (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2020	Jun. 30, 2019
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	$ 85,204	$ 304,825
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired	(4,793,000)	(5,539,579)
Collections of receivables	5,290,616	5,366,432
Purchase of equipment on operating leases, net	(49,589)	(126,358)
Change in property and equipment and software, net	(154)	(1,916)
Net cash from (used in) investing activities	447,873	(301,421)
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity	(213,856)	69,918
Net change in indebtedness	(382,448)	(161,987)
Dividend paid to CNH Industrial America LLC	(90,000)	(125,000)
Net cash from (used in) financing activities	(686,304)	(217,069)
DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH	(153,227)	(213,665)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of period	804,244	799,871
End of period	651,017	586,206
Eliminations
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	(408,758)	45,359
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired	2,966,133	3,659,309
Collections of receivables	(2,966,526)	(3,659,143)
Net cash from (used in) investing activities	(393)	166
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity	409,151	(45,525)
Net cash from (used in) financing activities	409,151	(45,525)
CNH Industrial Capital LLC | Reportable Legal Entities
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	342,354	141,062
CASH FLOWS FROM FINANCING ACTIVITIES:
Net change in indebtedness	(252,354)	(16,062)
Dividend paid to CNH Industrial America LLC	(90,000)	(125,000)
Net cash from (used in) financing activities	(342,354)	(141,062)
Guarantor Entities | Reportable Legal Entities
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	354,027	78,565
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired	(3,893,382)	(4,272,656)
Collections of receivables	3,811,656	4,222,643
Purchase of equipment on operating leases, net	(27,568)	(115,394)
Change in property and equipment and software, net	(154)	(1,916)
Net cash from (used in) investing activities	(109,448)	(167,323)
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity	(636,774)	32,417
Net change in indebtedness	350,998	10
Net cash from (used in) financing activities	(285,776)	32,427
DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH	(41,197)	(56,331)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of period	121,200	118,508
End of period	80,003	62,177
All Other Subsidiaries | Reportable Legal Entities
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	(202,419)	39,839
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired	(3,865,751)	(4,926,232)
Collections of receivables	4,445,486	4,802,932
Purchase of equipment on operating leases, net	(22,021)	(10,964)
Net cash from (used in) investing activities	557,714	(134,264)
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity	13,767	83,026
Net change in indebtedness	(481,092)	(145,935)
Net cash from (used in) financing activities	(467,325)	(62,909)
DECREASE IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH	(112,030)	(157,334)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH
Beginning of period	683,044	681,363
End of period	$ 571,014	$ 524,029

SUBSEQUENT EVENTS (Details)

SUBSEQUENT EVENTS (Details) - Subsequent event - 1.950 % unsecured notes due 2023 $ in Thousands	Jul. 02, 2020USD ($)
Subsequent Events
Debt issued	$ 600,000
Interest rate (as a percent)	1.95%
Issue price of debt (as a percent)	99.37%