Document and Entity Information
Document and Entity Information Document - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Nov. 30, 2016 | Apr. 30, 2016 | |
Document and Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Oct. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | nav | ||
Entity Registrant Name | NAVISTAR INTERNATIONAL CORP | ||
Entity Central Index Key | 808,450 | ||
Current Fiscal Year End Date | --10-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 81,648,269 | ||
Entity Public Float | $ 455 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Sales and revenues | |||
Sales of manufactured products, net | $ 7,976 | $ 9,995 | $ 10,653 |
Finance revenues | 135 | 145 | 153 |
Sales and revenues, net | 8,111 | 10,140 | 10,806 |
Costs and expenses | |||
Costs of products sold | 6,812 | 8,670 | 9,534 |
Restructuring charges | 10 | 76 | 42 |
Asset impairment charges | 27 | 30 | 183 |
Selling, general and administrative expenses | 802 | 908 | 979 |
Engineering and product development costs | 247 | 288 | 331 |
Interest expense | 327 | 307 | 314 |
Other income, net | (76) | (30) | (12) |
Total costs and expenses | 8,149 | 10,249 | 11,371 |
Equity in income of non-consolidated affiliates | 6 | 6 | 9 |
Income (loss) before income taxes | (32) | (103) | (556) |
Income tax expense | (33) | (51) | (26) |
Earnings (loss) from continuing operations | (65) | (154) | (582) |
Income from discontinued operations, net of tax | 0 | 3 | 3 |
Net income (loss) | (65) | (151) | (579) |
Less: Net income attributable to non-controlling interests | 32 | 33 | 40 |
Net income (loss) attributable to Navistar International Corporation | (97) | (184) | (619) |
Loss from continuing operations, net of tax | (97) | (187) | (622) |
Income from discontinued operations, net of tax | $ 0 | $ 3 | $ 3 |
Earnings (loss) per share attributable to Navistar International Corporation: | |||
Basic: Loss from Continuing Operations (in dollars per share) | $ (1.19) | $ (2.29) | $ (7.64) |
Basic: Income (Loss) from Discontinued Operations (in dollars per share) | 0 | 0.04 | 0.04 |
Basic (in dollars per share) | (1.19) | (2.25) | (7.60) |
Diluted: Loss from Continuing Operations (in dollars per share) | (1.19) | (2.29) | (7.64) |
Diluted: Income (Loss) from Discontinued Operations (in dollars per share) | 0 | 0.04 | 0.04 |
Diluted (in dollars per share) | $ (1.19) | $ (2.25) | $ (7.60) |
Weighted average shares outstanding: | |||
Basic (in shares) | 81.7 | 81.6 | 81.4 |
Diluted (in shares) | 81.7 | 81.6 | 81.4 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Loss - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Statement of Comprehensive Income [Abstract] | |||
Net income (loss) | $ (65) | $ (151) | $ (579) |
Net loss attributable to Navistar International Corporation | (97) | (184) | (619) |
Other comprehensive income (loss): | |||
Foreign currency translation adjustment | 7 | (160) | (52) |
Other Comprehensive Income (Loss), Available-for-sale Securities Adjustment, Net of Tax | 0 | 0 | 1 |
Defined benefit plans, net of tax | (46) | (178) | (388) |
Total other comprehensive loss | (39) | (338) | (439) |
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | (104) | (489) | (1,018) |
Less: Net income attributable to non-controlling interests | 32 | 33 | 40 |
Total comprehensive loss attributable to Navistar International Corporation | $ (136) | $ (522) | $ (1,058) |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Oct. 31, 2016 | Oct. 31, 2015 |
Current assets | ||
Cash and cash equivalents | $ 804 | $ 912 |
Restricted cash and cash equivalents | 64 | 0 |
Marketable securities | 46 | 159 |
Trade and other receivables, net | 276 | 429 |
Finance receivables, net | 1,457 | 1,779 |
Inventories, net | 944 | 1,135 |
Deferred taxes, net | 0 | 36 |
Other current assets | 168 | 170 |
Total current assets | 3,759 | 4,620 |
Restricted cash | 48 | 121 |
Trade and other receivables, net | 16 | 13 |
Finance receivables, net | 220 | 216 |
Investments in non-consolidated affiliates | 53 | 66 |
Property and equipment, net | 1,241 | 1,345 |
Goodwill | 38 | 38 |
Intangible assets, net | 53 | 57 |
Deferred taxes, net | 161 | 128 |
Other noncurrent assets | 64 | 45 |
Total assets | 5,653 | 6,649 |
Current liabilities | ||
Notes payable and current maturities of long-term debt | 907 | 1,108 |
Accounts payable | 1,113 | 1,301 |
Other current liabilities | 1,183 | 1,377 |
Total current liabilities | 3,203 | 3,786 |
Long-term debt | 3,997 | 4,147 |
Postretirement benefits liabilities | 3,023 | 2,995 |
Deferred taxes, net | 0 | 14 |
Other noncurrent liabilities | 723 | 867 |
Total liabilities | 10,946 | 11,809 |
Stockholders’ deficit | ||
Series D convertible junior preference stock | 2 | 2 |
Common stock, $0.10 par value per share (86.8 shares issued and 220 shares authorized at both dates) | 9 | 9 |
Additional paid-in capital | 2,499 | 2,499 |
Accumulated deficit | (4,963) | (4,866) |
Accumulated other comprehensive loss | (2,640) | (2,601) |
Common stock held in treasury, at cost (5.2 and 5.3 shares, respectively) | (205) | (210) |
Total stockholders’ deficit attributable to Navistar International Corporation | (5,298) | (5,167) |
Stockholders’ equity attributable to non-controlling interests | 5 | 7 |
Total stockholders’ deficit | (5,293) | (5,160) |
Total liabilities and stockholders’ deficit | $ 5,653 | $ 6,649 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) shares in Millions, $ in Millions | Oct. 31, 2016 | Oct. 31, 2015 |
Statement of Financial Position [Abstract] | ||
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | $ 2,553 | $ 2,546 |
Finite-Lived Intangible Assets, Accumulated Amortization | $ 162 | $ 120 |
Common stock, par value | $ 0.10 | $ 0.10 |
Common stock, shares authorized | 220 | 220 |
Common stock, shares issued | 86.8 | 86.8 |
Common stock held in treasury, shares | 5.2 | 5.3 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Cash flows from operating activities | |||
Net income (loss) | $ (65) | $ (151) | $ (579) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | |||
Depreciation and amortization | 146 | 205 | 227 |
Depreciation of equipment leased to others | 79 | 76 | 105 |
Deferred taxes, including change in valuation allowance | (9) | (18) | (15) |
Asset impairment charges | 27 | 30 | 183 |
Loss on sales of investments and businesses, net | 2 | 0 | 0 |
Amortization of debt issuance costs and discount | 37 | 37 | 49 |
Stock-based compensation | 16 | 10 | 16 |
Provision for doubtful accounts, net of recoveries | 13 | (9) | 20 |
Equity in income of non-consolidated affiliates, net of dividends | 6 | 6 | 3 |
Write-off of debt issuance cost and discount | 0 | 4 | 1 |
Other non-cash operating activities | (12) | (35) | (41) |
Changes in other assets and liabilities, exclusive of the effects of businesses disposed: | |||
Trade and other receivables | 134 | 103 | 55 |
Finance receivables | 251 | (58) | (33) |
Inventories | 205 | 131 | (129) |
Accounts payable | (193) | (208) | 84 |
Other assets and liabilities | (370) | (77) | (282) |
Net cash provided by (used in) operating activities | 267 | 46 | (336) |
Cash flows from investing activities | |||
Purchases of marketable securities | (485) | (887) | (1,812) |
Sales of marketable securities | 555 | 1,247 | 1,576 |
Maturities of marketable securities | 43 | 86 | 461 |
Net change in restricted cash and cash equivalents | 5 | 42 | (80) |
Capital expenditures | (116) | (115) | (88) |
Purchases of equipment leased to others | (132) | (83) | (189) |
Proceeds from sales of property and equipment | 24 | 22 | 43 |
Investments in non-consolidated affiliates | 2 | 1 | 0 |
Proceeds from sales of affiliates | 41 | 7 | 14 |
Acquisition of intangibles | 0 | (4) | 0 |
Net cash provided by (used in) investing activities | (67) | 316 | (75) |
Cash flows from financing activities | |||
Proceeds from issuance of securitized debt | 413 | 549 | 82 |
Principal payments on securitized debt | (346) | (501) | (126) |
Net change in secured revolving credit facilities | (148) | (22) | 173 |
Proceeds from issuance of non-securitized debt | 222 | 1,212 | 663 |
Principal payments on non-securitized debt | (315) | (990) | (862) |
Net change in notes and debt outstanding under revolving credit facilities | (149) | (106) | 255 |
Principal payments under financing arrangements and capital lease obligations | (3) | (2) | (20) |
Debt issuance costs | (16) | (25) | (15) |
Proceeds from financed lease obligations | 22 | 33 | 60 |
Proceeds from exercise of stock options | 0 | 1 | 19 |
Dividends paid by subsidiaries to non-controlling interest | (34) | (36) | (50) |
Other financing activities | 1 | (15) | 0 |
Net cash provided by (used in) financing activities | (353) | 98 | 179 |
Effect of exchange rate changes on cash and cash equivalents | 45 | (45) | (26) |
Increase (decrease) in cash and cash equivalents | (108) | 415 | (258) |
Cash and cash equivalents at beginning of the year | 912 | 497 | 755 |
Cash and cash equivalents at end of the year | $ 804 | $ 912 | $ 497 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Deficit - USD ($) $ in Millions | Total | Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Treasury Stock [Member] | Noncontrolling Interest [Member] |
Stockholders' Equity balance at beginning of period at Oct. 31, 2013 | $ (3,605) | $ 3 | $ 9 | $ 2,477 | $ (4,063) | $ (1,824) | $ (251) | $ 44 |
Net loss attributable to Navistar International Corporation | (619) | (619) | ||||||
Less: Net income attributable to non-controlling interests | 40 | |||||||
Net income (loss) | (579) | 40 | ||||||
Total other comprehensive income | (439) | (439) | ||||||
Transfer from redeemable equity securities upon exercise or expiration of stock options | 2 | 2 | ||||||
Stock-based compensation | 10 | 10 | ||||||
Stock ownership programs | 18 | (12) | 30 | |||||
Adjustments to Additional Paid in Capital, Equity Component of Convertible Debt | 27 | 27 | ||||||
Adjustments to Additional Paid in Capital, Equity Component of Convertible Debt, Tax | 16 | |||||||
Adjustments to Additional Paid in Capital, Equity Component of Convertible Debt, Repurchase, Tax | 3 | |||||||
Stock Issued During Period, Value, New Issues | (5) | (5) | ||||||
Dividends paid by subsidiaries to non-controlling interest | (50) | (50) | ||||||
Stockholders' Equity, Other | 1 | 1 | ||||||
Stockholders' Equity balance at end of period at Oct. 31, 2014 | (4,620) | 3 | 9 | 2,500 | (4,682) | (2,263) | (221) | 34 |
Net loss attributable to Navistar International Corporation | (184) | (184) | ||||||
Less: Net income attributable to non-controlling interests | 33 | |||||||
Net income (loss) | (151) | 33 | ||||||
Total other comprehensive income | (338) | (338) | ||||||
Transfer from redeemable equity securities upon exercise or expiration of stock options | 2 | 2 | ||||||
Stock-based compensation | 11 | 11 | ||||||
Stock ownership programs | 0 | (11) | 11 | |||||
Dividends paid by subsidiaries to non-controlling interest | (36) | (36) | ||||||
Stock Issued During Period, Value, Conversion of Convertible Securities | (1) | 1 | ||||||
Noncontrolling Interest, Increase from Subsidiary Equity Issuance | 27 | 4 | 23 | |||||
Stockholders' Equity, Other | (1) | (1) | ||||||
Stockholders' Equity balance at end of period at Oct. 31, 2015 | (5,160) | 2 | 9 | 2,499 | (4,866) | (2,601) | (210) | 7 |
Net loss attributable to Navistar International Corporation | (97) | (97) | ||||||
Less: Net income attributable to non-controlling interests | 32 | |||||||
Net income (loss) | (65) | |||||||
Total other comprehensive income | (39) | (39) | ||||||
Stock-based compensation | 4 | 4 | ||||||
Stock ownership programs | 0 | (5) | 5 | |||||
Dividends paid by subsidiaries to non-controlling interest | (34) | (34) | ||||||
Noncontrolling Interest, Increase from Subsidiary Equity Issuance | 1 | 1 | ||||||
Stockholders' Equity balance at end of period at Oct. 31, 2016 | $ (5,293) | $ 2 | $ 9 | $ 2,499 | $ (4,963) | $ (2,640) | $ (205) | $ 5 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Oct. 31, 2016 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Organization and Description of the Business NIC, incorporated under the laws of the State of Delaware in 1993 , is a holding company whose principal operating entities are NI and NFC. References herein to the "Company," "we," "our," or "us" refer collectively to NIC and its consolidated subsidiaries, including certain variable interest entities ("VIEs") of which we are the primary beneficiary. We operate in four principal industry segments: Truck, Parts, Global Operations (collectively called "Manufacturing operations"), and Financial Services, which consists of NFC and our foreign finance operations (collectively called "Financial Services operations"). These segments are discussed in Note 15, Segment Reporting . Our fiscal year ends on October 31. As such, all references to 2016 , 2015 , and 2014 contained within this Annual Report on Form 10-K relate to the fiscal year, unless otherwise indicated. Basis of Presentation and Consolidation The accompanying audited consolidated financial statements include the assets, liabilities, and results of operations of our Manufacturing operations, which include majority-owned dealers ("Dealcors"), and our Financial Services operations, including VIEs of which we are the primary beneficiary. The effects of transactions among consolidated entities have been eliminated to arrive at the consolidated amounts. 2014 Out-Of-Period Adjustments Included in the results of operations for the year ended October 31, 2014, are out-of-period adjustments, which represent corrections of prior-period errors. The correction of prior-period errors for the year ended October 31, 2014 was not material to the year ended October 31, 2014 and any of the prior periods. Included in the corrections were significant prior-period errors related to product warranties which resulted in a $36 million increase, primarily to the warranty liability and a corresponding increase primarily in Costs of products sold . Variable Interest Entities We have an interest in several VIEs, primarily joint ventures, established to manufacture or distribute products and enhance our operational capabilities. We have determined for certain of our VIEs that we are the primary beneficiary because we have the power to direct the activities of the VIE that most significantly impact its economic performance and we have the obligation to absorb losses of, or the right to receive benefits from, the VIE that could potentially be significant to the VIE. Accordingly, we include in our consolidated financial statements the assets and liabilities and results of operations of those entities, even though we may not own a majority voting interest. The liabilities recognized as a result of consolidating these VIEs do not represent additional claims on our general assets; rather they represent claims against the specific assets of these VIEs. Assets of these entities are not readily available to satisfy claims against our general assets. We are the primary beneficiary of our Blue Diamond Parts, LLC ("BDP") joint venture with Ford Motor Company ("Ford"). As a result, our Consolidated Balance Sheets include assets of $51 million and $50 million and liabilities of $16 million and $7 million as of October 31, 2016 and 2015 , respectively, including $6 million and $7 million of cash and cash equivalents, at the respective dates, which are not readily available to satisfy claims against our general assets. The creditors of BDP do not have recourse to our general credit. On May 29, 2015, we acquired Ford's remaining 25% ownership in our Blue Diamond Truck, LLC ("BDT") joint venture for $27 million . The acquisition of Ford's remaining ownership of the BDT joint venture did not have a material impact on our consolidated net loss for the year ended October 31, 2015 . Our Financial Services segment consolidates several VIEs. As a result, our Consolidated Balance Sheets include secured assets of $865 million and $1.1 billion as of October 31, 2016 and 2015 , respectively, and liabilities of $722 million and $844 million as of October 31, 2016 and 2015 , respectively, all of which are involved in securitizations that are treated as asset-backed debt. In addition, our Consolidated Balance Sheets include secured assets of $249 million and $235 million as of October 31, 2016 and 2015 , respectively, and corresponding liabilities of $136 million and $107 million , at the respective dates, which are related to other secured transactions that do not qualify for sale accounting treatment, and therefore, are treated as borrowings secured by operating and finance leases. Investors that hold securitization debt have a priority claim on the cash flows generated by their respective securitized assets to the extent that the related VIEs are required to make principal and interest payments. Investors in securitizations of these entities have no recourse to our general credit. We also have an interest in other VIEs, which we do not consolidate because we are not the primary beneficiary. Our financial support and maximum loss exposure relating to these non-consolidated VIEs are not material to our financial condition, results of operations, or cash flows. We use the equity method to account for our investments in entities that we do not control under the voting interest or variable interest models, but where we have the ability to exercise significant influence over operating and financial policies. Equity in income of non-consolidated affiliates includes our share of the net income of these entities. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses for the periods presented. Significant estimates and assumptions are used for, but are not limited to, pension and other postretirement benefits, allowance for doubtful accounts, income tax contingency accruals and valuation allowances, product warranty accruals, used truck inventory valuations, asbestos and other product liability accruals, asset impairment charges, restructuring charges and litigation-related accruals. Actual results could differ from our estimates. Concentration Risks Our financial condition, results of operations, and cash flows are subject to concentration risks related to our significant unionized workforce. As of October 31, 2016 , approximately 5,400 , or 82% , of our hourly workers and approximately 300 , or 6% , of our salaried workers, are represented by labor unions and are covered by collective bargaining agreements. Our future operations may be affected by changes in governmental procurement policies, budget considerations, changing national defense requirements, and political, regulatory and economic developments in the U.S. and certain foreign countries (primarily Canada, Mexico, and Brazil). Revenue Recognition Our Manufacturing operations recognize revenue when we meet four basic criteria: (i) persuasive evidence that a customer arrangement exists, (ii) the price is fixed or determinable, (iii) collectability is reasonably assured, and (iv) delivery of product has occurred or services have been rendered. Sales are generally recognized when risk of ownership passes. Sales to fleet customers and governmental entities are recognized in accordance with the terms of each contract. Revenue on certain customer requested bill and hold arrangements is not recognized until after the customer is notified that the product (i) has been completed according to customer specifications, (ii) has passed our quality control inspections, and (iii) is ready for delivery based upon the established delivery terms and risk of loss has transferred. An allowance for sales returns is recorded as a reduction to revenue based upon estimates using historical information about returns. For the sale of service parts that include a core component, we record revenue on a gross basis including the fair market value of the core. A core component is the basic forging or casting, such as an engine block, that can be remanufactured by a certified remanufacturing supplier. When a dealer returns a core within the specified eligibility period, we provide a core return credit, which is applied to the customer's account balance. At times, we may mark up the core charge beyond the amount we are charged by the supplier. This mark-up is recorded as a liability, as it represents the amount that will be paid to the dealer upon return of the core component and is in excess of the fair value to be received from the supplier. Concurrent with our recognition of revenue, we recognize price allowances and the cost of incentive programs in the normal course of business based on programs offered to dealers or fleet customers. Estimates are made for sales incentives on certain vehicles in dealer stock inventory based on historical experience and announced special programs. Historically, we have had an increase in net orders for stock inventory from our dealers at the end of the year due to a combination of demand and, from time to time, incentives to dealers. Truck sales to the U.S. and foreign governments, of non-commercial products manufactured to government specifications, are recognized using the units-of-delivery measure under the percentage-of-completion accounting method as units are delivered and accepted by the government. Certain terms or modifications to U.S. and foreign government contracts may be unpriced; that is, the work to be performed is defined, but the related contract price is to be negotiated at a later date. In situations where we can reliably estimate a profit margin in excess of costs incurred, revenue and gross margin are recorded for delivered contract items. Otherwise, revenue is recognized when the price has been agreed with the government and costs are deferred when it is probable that the costs will be recovered. Shipping and handling amounts billed to our customers are included in Sales of manufactured products, net and the related shipping and handling costs incurred are included in Costs of products sold. Financial Services operations recognize revenue from retail notes, finance leases, wholesale notes, retail accounts, and wholesale accounts as Finance revenues over the term of the receivables utilizing the effective interest method. Certain direct origination costs and fees are deferred and recognized as adjustments to yield and are reported as part of interest income over the life of the receivable. Loans are considered to be impaired when we conclude it is probable the customer will not be able to make full payment after reviewing the customer's financial performance, payment ability, capital-raising potential, management style, economic situation, and other factors. The accrual of interest on such loans is discontinued when the loan becomes 90 days or more past due. Finance revenues on these loans are recognized only to the extent cash payments are received. We resume accruing interest on these accounts when payments are current according to the terms of the loans and future payments are reasonably assured. Operating lease revenues are recognized on a straight-line basis over the life of the lease. Recognition of revenue is suspended when management determines the collection of future revenue is not probable. Recognition of revenue is resumed if collection again becomes probable. Selected receivables are securitized and sold to public and private investors with limited recourse. Our Financial Services operations continue to service the sold receivables. Cash and Cash Equivalents All highly liquid financial instruments with original maturities of 90 days or less, consisting primarily of U.S. Treasury bills, federal agency securities, and commercial paper, are classified as cash equivalents. Restricted cash is related to our securitization facilities, senior and subordinated floating rate asset-backed notes, wholesale trust agreements, indentured trust agreements, letters of credit, Environmental Protection Agency ("EPA") requirements, and workers compensation requirements. The restricted cash and cash equivalents for our securitized facilities is restricted to pay interest expense, principal, or other amounts associated with our securitization agreements. Marketable Securities Marketable securities consist of available-for-sale securities and are measured and reported at fair value. The difference between amortized cost and fair value is recorded as a component of Accumulated other comprehensive loss ("AOCL") in Stockholders' Deficit, net of taxes. Most securities with remaining maturities of less than twelve months and other investments needed for current cash requirements are classified as current in our Consolidated Balance Sheets . Gains and losses on the sale of marketable securities are determined using the specific identification method and are recorded in Other income, net . We evaluate our investments in marketable securities at the end of each reporting period to determine if a decline in fair value is other than temporary. When a decline in fair value is determined to be other than temporary, an impairment charge is recorded and a new cost basis in the investment is established. Our marketable securities are classified as Level 1 in the fair value hierarchy. Derivative Instruments We utilize derivative instruments to manage certain exposure to changes in foreign currency exchange rates, interest rates, and commodity prices. The fair values of all derivative instruments are recognized as assets or liabilities at the balance sheet date. Changes in the fair value of these derivative instruments are recognized in our operating results or included in AOCL , depending on whether the derivative instrument is a fair value or cash flow hedge and whether it qualifies for hedge accounting treatment. We elected to apply the normal purchase and normal sale exclusion to certain commodity contracts that are entered into to be used in production within a reasonable time during the normal course of business. For the years ended October 31, 2016 , 2015 , and 2014 , none of our derivatives qualified for hedge accounting and all changes in the fair value of our derivatives, except for those qualifying under the normal purchases and normal sales exception, were recognized in our operating results. Gains and losses on derivative instruments are recognized in Costs of products sold , Interest expense , or Other income, net depending on the underlying exposure. The exchange of cash associated with derivative transactions is classified in the Consolidated Statements of Cash Flows in the same category as the cash flows from the items subject to the economic hedging relationships. Trade and Finance Receivables Trade Receivables Trade accounts receivable and trade notes receivable primarily arise from sales of goods to independently owned and operated dealers, original equipment manufacturers ("OEMs"), and commercial customers in the normal course of business. Finance Receivables Finance receivables consist of the following: • Retail notes —Retail notes primarily consist of fixed rate loans to commercial customers to facilitate their purchase of new and used trucks, trailers, and related equipment. • Finance leases —Finance leases consist of direct financing leases to commercial customers for acquisition of new and used trucks, trailers, and related equipment. • Wholesale notes —Wholesale notes primarily consist of variable rate loans to our dealers for the purchase of new and used trucks, trailers, and related equipment. • Retail accounts —Retail accounts consist of short-term accounts receivable that finance the sale of products to commercial customers. • Wholesale accounts —Wholesale accounts consist of short-term accounts receivable primarily related to the sales of items other than trucks, trailers, and related equipment (e.g. service parts) to dealers. Finance receivables are classified as held-to-maturity and are recorded at gross value less unearned income and are reported net of allowances for doubtful accounts. Unearned revenue is amortized to revenue over the life of the receivable using the effective interest method. Our Financial Services operations purchase the majority of the wholesale notes receivable and some retail notes and accounts receivable arising from our Manufacturing operations. The Financial Services operations retain as collateral a security interest in the equipment associated with retail notes, wholesale notes, and finance leases. Sales of Trade and Finance Receivables We sell finance receivables using a process commonly known as securitization, whereby asset-backed securities are sold via public offering or private placement. None of our securitizations qualify for sales accounting treatment or as an off-balance sheet arrangement. As a result, the transferred receivables and the associated secured borrowings are included in our Consolidated Balance Sheets and no gain or loss is recorded on the sale. We also act as servicer of transferred receivables. The servicing duties include collecting payments on receivables and preparing monthly investor reports on the performance of the receivables that are used by the trustee to distribute monthly interest and principal payments to investors. While servicing the receivables, we apply the same servicing policies and procedures that are applied to our owned receivables. On a limited basis, we have sold certain receivables to third party lenders, without recourse or future obligations, and generally with no gain or loss. Allowance for Doubtful Accounts An allowance for doubtful accounts is established through a charge to Selling, general and administrative ("SG&A") expenses . The allowance is an estimate of the amount required to absorb probable losses on trade and finance receivables that may become uncollectible. The receivables are charged off when amounts due are determined to be uncollectible. We have two portfolio segments of finance receivables based on the type of financing inherent to each portfolio. The retail portfolio segment represents loans or leases to end-users for the purchase or lease of vehicles. The wholesale portfolio segment represents loans to dealers to finance their inventory. As the initial measurement attributes and the monitoring and assessment of credit risk or the performance of the receivables are consistent within each of our receivable portfolios, we determined that each portfolio consisted of one class of receivable. Impaired receivables are specifically identified and segregated from the remaining portfolio. The expected loss on impaired receivables is fully reserved in a separate calculation as a specific reserve based on the unique ability of the customer to pay and the estimated value of the collateral. The historical loss experience and portfolio quality trends of the retail portfolio segment compared to the wholesale portfolio segment are inherently different. A specific reserve on impaired retail receivables is recorded if the estimated fair value of the underlying collateral, net of selling costs, is less than the principal balance of the receivable. We calculate a general reserve on the remaining loan portfolio by applying loss ratios which are determined using actual loss experience and customer payment history, in conjunction with current economic and portfolio quality trends. In addition, we analyze specific economic indicators such as tonnage, fuel prices, and gross domestic product for additional insight into the overall state of the economy and its potential impact on our portfolio. To establish a specific reserve for impaired wholesale receivables, we consider the same factors discussed above but also consider the financial strength of the dealer and key management, the timeliness of payments, the number and location of satellite locations, the number of dealers of competitor manufacturers in the market area, the type of equipment normally financed, and the seasonality of the business. Repossessions Gains or losses arising from the sale of repossessed collateral supporting finance receivables and operating leases are recognized in Selling, general and administrative expenses . Repossessed assets are recorded within Inventories at the lower of historical cost or fair value, less estimated costs to sell. Inventories Inventories are valued at the lower of cost or market. Cost is principally determined using the first-in, first-out method. Our gross used truck inventory increased to approximately $410 million at October 31, 2016 from $390 million at October 31, 2015 , offset by reserves of $208 million and $110 million , respectively. During the year ended October 31, 2016 , the net increase in reserves of $98 million were recorded primarily in Costs of products sold . In valuing our used truck inventory, we are required to make assumptions regarding the level of reserves required to value inventories at their net realizable value ("NRV"). Our judgments and estimates for used truck inventory are based on an analysis of current and forecasted sales prices, aging of and demand for used trucks, and the mix of sales through various market channels. The NRV is subject to change based on numerous conditions, including age, specifications, mileage, timing of sales, market mix and current and forecasted pricing. While calculations are made after taking these factors into account, significant management judgment regarding expectations for future events is involved. Future events that could significantly influence our judgment and related estimates include general economic conditions in markets where our products are sold, actions of our competitors, and the ability to sell used trucks in a timely manner. The following table presents our used truck reserve: For the Years Ended October 31, (in millions) 2016 2015 2014 Balance at beginning of period $ 110 $ 43 $ 17 Additions charged to expense (A) 187 117 52 Deductions/Other adjustments (B) (89 ) (50 ) (26 ) Balance at end of period $ 208 $ 110 $ 43 _________________________ (A) Additions charged to expense reflects the increase of the reserve for inventory on hand. (B) Deductions/Other adjustments include reductions of the reserve related to the sale of units and our Mexican subsidiary currency translation adjustments. Property and Equipment We report land, buildings, leasehold improvements, machinery and equipment (including tooling and pattern equipment), furniture, fixtures, and equipment, and equipment leased to others at cost, net of depreciation. We initially record assets under capital lease obligations at the lower of their fair value or the present value of the aggregate future minimum lease payments. We depreciate our assets using the straight-line method over the shorter of the lease term or the estimated useful lives of the assets. The ranges of estimated useful lives are as follows: Years Buildings 20 - 50 Leasehold improvements 3 - 20 Machinery and equipment 3 - 12 Furniture, fixtures, and equipment 3 - 15 Equipment leased to others 1 - 10 Long-lived assets are evaluated periodically to determine if an adjustment to the depreciation and amortization period or to the unamortized balance is warranted. Such evaluation is based principally on the expected utilization of the long-lived assets. We depreciate trucks, tractors, and trailers leased to customers under operating lease agreements on a straight-line basis to the equipment's estimated residual value over the lease term. The residual values of the equipment represent estimates of the value of the assets at the end of the lease contracts and are initially recorded based on estimates of future market values. Realization of the residual values is dependent on our future ability to market the equipment. We review residual values periodically to determine that recorded amounts are appropriate and the equipment is not impaired. Maintenance and repairs of property and equipment are expensed as incurred. We capitalize replacements and improvements that increase the estimated useful life or productive capacity of an asset and we capitalize interest on major construction and development projects while in progress. Gains or losses on disposition of property and equipment are recognized in Other income, net . We test for impairment of long-lived assets whenever events or changes in circumstances indicate that the carrying value of an asset or asset group (hereinafter referred to as "asset group") may not be recoverable by comparing the sum of the estimated undiscounted future cash flows expected to result from the operation of the asset group and its eventual disposition to the carrying value. If the sum of the undiscounted future cash flows is less than the carrying value, the fair value of the asset group is determined. The amount of impairment is calculated by subtracting the fair value of the asset group from the carrying value of the asset group. Included in equipment leased to others are trucks that we produced or acquired to lease to customers as well as equipment that is financed by BMO that does not qualify for revenue recognition, as we retained substantial risks of ownership in the leased property, which are accounted for as operating leases and borrowings, respectively. In the Consolidated Statement of Cash Flows the related expenditures are reflected as the Purchases of equipment leased to others in the investing section. Goodwill and Indefinite-Lived Intangible Assets Goodwill represents the excess of the cost of an acquired business over the amounts assigned to the net assets. Goodwill is not amortized but is tested for impairment at a reporting unit level on an annual basis or more frequently, if circumstances change or an event occurs that would more likely than not reduce the fair value of a reporting unit below its carrying amount. Qualitative factors may be assessed to determine whether it is more likely than not that the fair value of the reporting unit is less than its carrying amount. If the qualitative assessment indicates that the carrying amount is more likely than not higher than the fair value, goodwill is tested for impairment based on a two-step test. The first step compares the fair value of a reporting unit with its carrying amount, including goodwill. If the fair value of a reporting unit exceeds its carrying amount, goodwill of the reporting unit is considered not impaired, thus the second step of the impairment test is unnecessary. If the carrying amount of a reporting unit exceeds its fair value, the second step of the goodwill impairment test shall be performed to measure the amount of impairment loss, if any. The second step compares the implied fair value of reporting unit goodwill with the carrying amount of that goodwill. If the carrying amount of reporting unit goodwill exceeds the implied fair value of that goodwill, an impairment loss shall be recognized in an amount equal to that excess. Significant judgment is applied when goodwill is assessed for impairment. This judgment includes developing cash flow projections, selecting appropriate discount rates, identifying relevant market comparables, incorporating general economic and market conditions, and selecting an appropriate control premium. The income approach is based on discounted cash flows which are derived from internal forecasts and economic expectations for each respective reporting unit. An intangible asset determined to have an indefinite useful life is not amortized until its useful life is determined to no longer be indefinite. Indefinite-lived intangible assets are evaluated each reporting period to determine whether events and circumstances continue to support an indefinite useful life. Indefinite-lived intangible assets are tested for impairment annually or more frequently if events or changes in circumstances indicate that the asset might be impaired. The impairment test consists of a comparison of the fair value of the indefinite-lived intangible asset with its carrying amount. If the carrying amount of an indefinite-lived intangible asset exceeds its fair value, an impairment loss is recognized in an amount equal to that excess. Significant judgment is applied when evaluating if an intangible asset has a finite useful life. In addition, for indefinite-lived intangible assets, significant judgment is applied in testing for impairment. This judgment includes developing cash flow projections, selecting appropriate discount rates, identifying relevant market comparables, and incorporating general economic and market conditions. Intangible assets subject to amortization are also evaluated for impairment periodically or when indicators of impairment are determined to exist. We test for impairment of intangible assets, subject to amortization, by comparing the sum of the estimated undiscounted future cash flows expected to result from the operation of the asset group and its eventual disposition to the carrying value. If the sum of the undiscounted future cash flows is less than the carrying value, the fair value of the asset group is determined. The amount of impairment is calculated by subtracting the fair value of the asset group from the carrying value of the asset group. Intangible assets, subject to amortization, could become impaired in the future or require additional charges as a result of declines in profitability due to changes in volume, market pricing, cost, manner in which an asset is used, physical condition of an asset, laws and regulations, or the business environment. We amortize the cost of intangible assets over their respective estimated useful lives, generally on a straight-line basis. The ranges for the amortization periods are generally as follows: Years Customer base and relationships 3 - 15 Trademarks 20 Other 3 - 18 During the third quarter of 2015, the economic downturn in Brazil resulted in the continued decline in actual and forecasted results for the Brazilian engine reporting unit with an indefinite-lived intangible asset, a trademark, of $24 million . As a result, we performed an impairment analysis in the third quarter of 2015 utilizing the income approach, based on discounted cash flows, which are derived from internal forecasts and economic expectations. It was determined that the carrying value of the trademark exceeded its fair value. As a result, we determined that the trademark was impaired and recognized an impairment charge of $3 million . In the third quarter of 2016, we recognized an additional impairment charge of $1 million related to this trademark. The non-cash impairment charges were included in Asset impairment charges in our Consolidated Statements of Operations. The Brazilian engine reporting unit is included in the Global Operations segment. Investments in Non-consolidated Affiliates Equity method investments are recorded at original cost and adjusted periodically to recognize (i) our proportionate share of the investees' net income or losses after the date of investment, (ii) additional contributions made and dividends or distributions received, and (iii) impairment losses resulting from adjustments to fair value. We assess the potential impairment of our equity method investments and determine fair value based on valuation methodologies, as appropriate, including the present value of estimated future cash flows, estimates of sales proceeds, and market multiples. If an investment is determined to be impaired and the decline in value is other than temporary, we record an appropriate write-down. Debt Issuance Costs We amortize debt issuance costs, discounts and premiums over the remaining life of the related debt using the effective interest method. The related income or expense is included in Interest expense . We record debt issuance costs, discounts and premiums associated with term debt as a direct deduction from, or addition to, the face amount of the debt. We record debt issuance costs associated with line-of-credit debt as noncurrent assets. Pensions and Postretirement Benefits We use actuarial methods and assumptions to account for our pension plans and other postretirement benefit plans. Pension and other postretirement benefits expense includes the actuarially computed cost of benefits earned during the current service period, the interest cost on accrued obligations, the expected return on plan assets, the straight-line amortization of net actuar |
Restructuring and Impairments
Restructuring and Impairments | 12 Months Ended |
Oct. 31, 2016 | |
Restructuring and Related Activities [Abstract] | |
Restructurings and Impairments | Restructurings and Impairments Restructuring charges are recorded based on restructuring plans that have been committed to by management and are, in part, based upon management's best estimates of future events. Changes to the estimates may require future adjustments to the restructuring liabilities. Restructuring Liability The following tables summarize the activity in the restructuring liability, which includes amounts related to discontinued operations and excludes pension and other postretirement contractual termination benefits: (in millions) Balance at October 31, 2015 Additions Payments Adjustments Balance at October 31, 2016 Employee termination charges $ 62 $ 4 $ (63 ) $ 2 $ 5 Lease vacancy 5 — (4 ) — 1 Other 1 — — — 1 Restructuring liability $ 68 $ 4 $ (67 ) $ 2 $ 7 (in millions) Balance at Additions Payments Adjustments Balance at October 31, 2015 Employee termination charges $ 8 $ 68 $ (11 ) $ (3 ) $ 62 Lease vacancy 11 3 (8 ) (1 ) 5 Other 1 — (1 ) 1 1 Restructuring liability $ 20 $ 71 $ (20 ) $ (3 ) $ 68 (in millions) Balance at Additions Payments Adjustments Balance at October 31, 2014 Employee termination charges $ 15 $ 15 $ (19 ) $ (3 ) $ 8 Employee relocation costs — 1 (1 ) — — Lease vacancy 18 — (8 ) 1 11 Other 1 2 (2 ) — 1 Restructuring liability $ 34 $ 18 $ (30 ) $ (2 ) $ 20 Cost-Reductions and Other Strategic Initiatives From time to time, we have announced, and we may continue to announce, actions to control spending across the Company with targeted reductions of certain costs. We are focused on continued reductions in discretionary spending, including reductions resulting from efficiencies, and prioritizing or eliminating certain programs or projects. Voluntary separation program and reduction-in-force actions During 2014, we initiated new cost-reduction actions, including an enterprise-wide reduction-in-force. As a result of these actions, we recognized restructuring charges of $8 million in personnel costs for employee termination and related benefits, the majority of which was paid during 2014 and 2015. During 2015, we initiated new cost-reduction actions, including a reduction-in-force in the U.S. and Brazil. As a result of these actions, we recognized restructuring charges of $13 million in personnel costs for employee termination and related benefits, which were primarily paid throughout 2016. We also offered the majority of our U.S.-based non-represented salaried employees the opportunity to apply for a voluntary separation program ("VSP"). As a result of these actions, we recognized restructuring charges of $37 million . The restructuring charges primarily consist of personnel costs for employee termination and related benefits. In addition, we initiated new cost-reduction actions, including a reduction-in-force in Brazil. As a result of these actions, we recognized restructuring charges of $10 million in personnel costs for employee termination and related benefits, which were paid throughout 2016. North American Manufacturing Restructuring Activities We continue to focus on our core Truck and Parts businesses and evaluate our portfolio of assets to validate their strategic and financial fit. This allows us to close or divest non-strategic businesses, and identify opportunities to restructure our business and rationalize our Manufacturing operations in an effort to optimize our cost structure. For those areas that fall outside our strategic businesses, we are evaluating alternatives which could result in additional restructuring and other related charges in the future, including but not limited to: (i) impairments, (ii) costs for employee and contractor termination and other related benefits, and (iii) charges for pension and other postretirement contractual benefits and curtailments. These charges could be significant. Chatham restructuring activities In the third quarter of 2011, we committed to close our Chatham, Ontario heavy truck plant, which had been idled since June 2009. At that time, we recognized curtailment and contractual termination charges related to postretirement plans. Based on a ruling regarding pension benefits received from the Financial Services Tribunal in Ontario, Canada, in the third quarter of 2014, we recognized additional charges of $14 million related to the 2011 closure of the Chatham, Ontario plant. We appealed this ruling, but it was upheld in a July 3, 2015 decision issued by the Divisional Court of Ontario. On July 23, 2015, we filed a notice of motion for leave to appeal to the Court of Appeal for Ontario, which was perfected on August 25, 2015 through an additional filing. On December 21, 2015, the Ontario Court of Appeal denied the motion for leave to appeal. On April 25, 2016, we filed a qualified partial wind-up report for approval by the Financial Services Commission of Ontario. Potential charges in future periods could range from $0 million to $60 million , primarily related to pension, postretirement costs and termination benefits, which are subject to governmental approval, employee negotiation, acceptance rates and the resolution of disputes related thereto. In addition, we are continuing to evaluate the impact of the ruling on prior plan administration practices, and, as a result, we recognized $2 million of charges in the second quarter and $5 million of charges in the third quarter of 2016. We do not expect material future charges. See Note 10, Postretirement benefits for further discussion. Huntsville Facility In February 2014, we announced plans to consolidate our mid-range engine manufacturing footprint and relocate mid-range engine production from our Huntsville, Alabama, facility ("Huntsville Facility") to our Melrose Park, Illinois facility ("Melrose Park Facility"). As a result, in the first quarter of 2014, the Truck segment recognized restructuring charges of $1 million for personnel costs related to employee terminations and $2 million for inventory reserves related to the idled production equipment at the Huntsville Facility that impacted Costs of products sold in our Consolidated Statements of Operations. Foundry Facilities In December 2014, we announced the closure of our Indianapolis, Indiana foundry facility; on June 30, 2015, we closed this facility; and on August 19, 2016, we sold this facility. In addition, on April 30, 2015, we sold our Waukesha, Wisconsin foundry operations. As a result, in 2014, the Truck segment recognized restructuring charges of $13 million , which are included in Restructuring charges in our Consolidated Statements of Operations. The restructuring charges consist of $2 million in personnel costs for employee termination and related benefits and $11 million of charges for pension and other postretirement contractual termination benefits. The restructuring charges relating to employee terminations were paid throughout 2015. Also in the fourth quarter of 2014, the Truck segment recognized $7 million for inventory reserves related to the foundry facilities that impacted Costs of products sold in our Consolidated Statements of Operations . In addition, in the fourth quarter of 2014, the Truck segment recognized $7 million of charges for impairments of property and equipment. The Waukesha asset group was reviewed for recoverability by comparing the carrying value to estimated future undiscounted cash flows and those carrying values were determined not to be fully recoverable. We utilized the market approach to determine the fair value of the asset group. These charges were recorded in Asset impairment charges our Consolidated Statements of Operations . During the years ended October 31, 2016 and 2015, the Truck segment recognized charges of $2 million and $28 million , respectively, for the acceleration of depreciation of certain assets related to the foundry and engine facilities. These charges are reported within Costs of products sold in our Consolidated Statements of Operations. Asset Impairments The following table reconciles our Asset impairment charges in our Consolidated Statements of Operations : For the Years Ended October 31, (in millions) 2016 2015 2014 Goodwill impairment charge (A) $ — $ — $ 142 Intangible asset impairment charge 1 7 7 Other asset impairment charges related to continuing operations 26 23 34 Total asset impairment charges $ 27 $ 30 $ 183 _________________________ (A) For more information, see Note 7, Goodwill and Other Intangible Assets, Net. As a result of the economic downturn in Brazil causing declines in actual and forecasted results, we tested the indefinite-lived intangible asset of our Brazilian engine reporting unit for potential impairment. As a result, we determined that the trademark asset carrying value was impaired, resulting in charges of $1 million and $3 million , for the years ended October 31, 2016 and 2015, respectively. For more information, see Note 1, Summary of Significant Accounting Policies. During 2016, we concluded that we had triggering events related to certain long-lived assets in the Truck segment. As a result, certain long-lived assets were determined to be impaired, resulting in charges of $17 million . Included in the charges was a $3 million asset impairment related to the sale of Pure Power Technologies, LLC, a components business focused on air and fuel systems. During 2016, we also concluded that we had triggering events related to certain operating leases. As a result, the Truck segment recorded $8 million of asset impairment charges. During 2015, we recognized a total non-cash charge of $7 million for the impairment of certain intangible and long-lived assets in the Global Operations segment. As a result of the continued operating losses and idled production in the asset group, we tested the indefinite-lived intangible and long-lived assets for potential impairment. As a result, we determined that $4 million of intangible assets and $3 million of certain long-lived assets were impaired. During 2015, we concluded that we had triggering events related to certain long-lived assets in the Truck segment. As a result, certain long-lived assets were determined to be impaired, resulting in charges of $11 million . During 2015, we also concluded that we had triggering events related to certain operating leases. As a result, the Truck segment recorded $9 million of asset impairment charges. During 2014, we concluded that we had a triggering event related to potential sales of assets requiring assessment of impairment for certain intangible and long-lived assets in the Truck segment. As a result, certain amortizing intangible assets and long-lived assets were determined to be fully impaired, resulting in an impairment charge of $32 million . All of these charges are recognized in Asset impairment charges in our Consolidated Statements of Operations. |
Finance Receivables
Finance Receivables | 12 Months Ended |
Oct. 31, 2016 | |
Receivables [Abstract] | |
Finance Receivables | Finance Receivables Finance receivables are receivables of our Financial Services operations. Finance receivables generally consist of wholesale notes and accounts, as well as retail notes, finance leases and accounts. Total finance receivables reported on the Consolidated Balance Sheets are net of an allowance for doubtful accounts. Total assets of our Financial Services operations net of intercompany balances are $2.1 billion and $2.5 billion as of October 31, 2016 and 2015 , respectively. Included in total assets of our Financial Services operations are finance receivables of $1.7 billion and $2.0 billion as of October 31, 2016 and 2015 , respectively. We have two portfolio segments of finance receivables that we distinguish based on the type of customer and nature of the financing inherent to each portfolio. The retail portfolio segment represents loans or leases to end-users for the purchase or lease of vehicles. The wholesale portfolio segment represents loans to dealers to finance their inventory. Our Finance receivables, net in our Consolidated Balance Sheets consist of the following: As of October 31, (in millions) 2016 2015 Retail portfolio $ 499 $ 554 Wholesale portfolio 1,199 1,467 Total finance receivables 1,698 2,021 Less: Allowance for doubtful accounts 21 26 Total finance receivables, net 1,677 1,995 Less: Current portion, net (A) 1,457 1,779 Noncurrent portion, net $ 220 $ 216 _________________________ (A) The current portion of finance receivables is computed based on contractual maturities. Actual cash collections typically vary from the contractual cash flows because of prepayments, extensions, delinquencies, credit losses, and renewals. As of October 31, 2016 , contractual maturities of our finance receivables are as follows: (in millions) Retail Portfolio Wholesale Portfolio Total Due in: 2017 $ 294 $ 1,199 $ 1,493 2018 106 — 106 2019 77 — 77 2020 43 — 43 2021 14 — 14 Thereafter 3 — 3 Gross finance receivables 537 1,199 1,736 Less: Unearned finance income 38 — 38 Total finance receivables $ 499 $ 1,199 $ 1,698 Securitizations Our Financial Services operations transfer wholesale notes, retail accounts receivable, finance leases, and operating leases to special purpose entities ("SPEs"), which generally are only permitted to purchase these assets, issue asset-backed securities, and make payments on the securities issued. In addition to servicing receivables, our continued involvement in the SPEs may include an economic interest in the transferred receivables and, in some cases, managing exposure to interest rate changes on the securities using interest rate swaps or interest rate caps. There were no transfers of finance receivables that qualified for sale accounting treatment as of October 31, 2016 and 2015 , and as a result, the transferred finance receivables are included in our Consolidated Balance Sheets and the related interest earned is included in Finance revenues . We transfer eligible finance receivables into wholesale note owner trusts in order to issue asset-backed securities. These trusts are VIEs of which we are determined to be the primary beneficiary and, therefore, the assets and liabilities of the trusts are included in our Consolidated Balance Sheets . The outstanding balance of finance receivables transferred into these VIEs was $829 million and $1.0 billion as of October 31, 2016 and 2015 , respectively. Other finance receivables related to secured transactions that do not qualify for sale accounting treatment were $108 million and $96 million as of October 31, 2016 and 2015 , respectively. For more information on assets and liabilities of consolidated VIEs and other securitizations accounted for as secured borrowings by our Financial Services segment, see Note 1, Summary of Significant Accounting Policies. Finance Revenues The following table presents the components of our Finance revenues in our Consolidated Statements of Operations : As of October 31, (in millions) 2016 2015 2014 Retail notes and finance leases revenue $ 38 $ 48 $ 64 Wholesale notes interest 107 97 80 Operating lease revenue 66 63 60 Retail and wholesale accounts interest 24 33 28 Gross finance revenues 235 241 232 Less: Intercompany revenues 100 96 79 Finance revenues $ 135 $ 145 $ 153 |
Allowance for Doubtful Accounts
Allowance for Doubtful Accounts | 12 Months Ended |
Oct. 31, 2016 | |
Allowance for Doubtful Accounts [Abstract] | |
Allowance for Doubtful Accounts | Allowance for Doubtful Accounts Our two finance receivables portfolio segments, retail and wholesale, each consist of one class of receivable based on: (i) initial measurement attributes of the receivables, and (ii) the assessment and monitoring of risk and performance of the receivables. For more information, see Note 3, Finance Receivables . The following tables present the activity related to our allowance for doubtful accounts for our retail portfolio segment, wholesale portfolio segment, and trade and other receivables: For the Year Ended October 31, 2016 (in millions) Retail Wholesale Trade and Total Allowance for doubtful accounts, at beginning of period $ 22 $ 4 $ 22 $ 48 Provision for doubtful accounts, net of recoveries 8 (2 ) 6 12 Charge-off of accounts (9 ) — (3 ) (12 ) Other (A) (2 ) — 3 1 Allowance for doubtful accounts, at end of period $ 19 $ 2 $ 28 $ 49 For the Year Ended October 31, 2015 (in millions) Retail Wholesale Trade and Total Allowance for doubtful accounts, at beginning of period $ 24 $ 3 $ 38 $ 65 Provision for doubtful accounts, net of recoveries 6 1 — 7 Charge-off of accounts (3 ) — (5 ) (8 ) Other (A) (5 ) — (11 ) (16 ) Allowance for doubtful accounts, at end of period $ 22 $ 4 $ 22 $ 48 For the Year Ended October 31, 2014 (in millions) Retail Portfolio Wholesale Portfolio Trade and Other Receivables Total Allowance for doubtful accounts, at beginning of period $ 21 $ 2 $ 37 $ 60 Provision for doubtful accounts, net of recoveries 13 1 10 24 Charge-off of accounts (9 ) — (6 ) (15 ) Other (A) (1 ) — (3 ) (4 ) Allowance for doubtful accounts, at end of period $ 24 $ 3 $ 38 $ 65 ____________________ (A) Amounts include impact from currency translation. The accrual of interest income is discontinued on certain impaired finance receivables. Impaired finance receivables include accounts with specific loss reserves and certain accounts that are on non-accrual status. In certain cases, we continue to collect payments on our impaired finance receivables. The following table presents information regarding impaired finance receivables: October 31, 2016 October 31, 2015 (in millions) Retail Wholesale Total Retail Wholesale Total Impaired finance receivables with specific loss reserves $ 15 $ — $ 15 $ 21 $ — $ 21 Impaired finance receivables without specific loss reserves — — — — — — Specific loss reserves on impaired finance receivables 8 — 8 9 — 9 Finance receivables on non-accrual status 15 — 15 21 — 21 The average balances of the impaired finance receivables in the retail portfolio were $18 million and $21 million during the years ended October 31, 2016 and 2015 , respectively. We use the aging of our receivables as well as other inputs when assessing credit quality. The following table presents the aging analysis for finance receivables: As of October 31, 2016 (in millions) Retail Wholesale Total Current, and up to 30 days past due $ 449 $ 1,198 $ 1,647 30-90 days past due 37 — 37 Over 90 days past due 13 1 14 Total finance receivables $ 499 $ 1,199 $ 1,698 |
Inventories
Inventories | 12 Months Ended |
Oct. 31, 2016 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories The following table presents the components of Inventories in our Consolidated Balance Sheets : As of October 31, (in millions) 2016 2015 Finished products $ 678 $ 837 Work in process 46 34 Raw materials 220 264 Total inventories, net $ 944 $ 1,135 |
Property and Equipment, Net (No
Property and Equipment, Net (Notes) | 12 Months Ended |
Oct. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment Disclosure [Text Block] | 6. Property and Equipment, Net The following table presents the components of Property and equipment, net in our Consolidated Balance Sheets : As of October 31, (in millions) 2016 2015 Land $ 89 $ 87 Buildings 562 493 Leasehold improvements 49 56 Machinery and equipment 2,013 2,097 Furniture, fixtures, and equipment 477 478 Equipment leased to others 525 613 Construction in progress 79 67 Total property and equipment, at cost 3,794 3,891 Less: Accumulated depreciation and amortization 2,553 2,546 Property and equipment, net $ 1,241 $ 1,345 Certain of our property and equipment serve as collateral for borrowings. See Note 9, Debt , for description of borrowings. Equipment leased to others and assets under financing arrangements and capital lease obligations are as follows: As of October 31, (in millions) 2016 2015 Equipment leased to others $ 525 $ 613 Less: Accumulated depreciation 193 220 Equipment leased to others, net $ 332 $ 393 Buildings, machinery, and equipment under financing arrangements and capital lease obligations $ 61 $ 70 Less: Accumulated depreciation and amortization 38 34 Assets under financing arrangements and capital lease obligations, net $ 23 $ 36 For the years ended October 31, 2016 , 2015 , and 2014 , depreciation expense, amortization expense related to assets under financing arrangements and capital lease obligations, and interest capitalized on construction projects are as follows: For the Years Ended October 31, (in millions) 2016 2015 2014 Depreciation expense $ 134 $ 190 $ 206 Depreciation of equipment leased to others 79 76 105 Amortization expense 5 5 3 Interest capitalized 3 1 — Certain depreciation expense on buildings used for administrative purposes is recorded in Selling, general and administrative expenses. Capital Expenditures At October 31, 2016 , 2015 , and 2014 , commitments for capital expenditures were $24 million , $17 million , and $15 million , respectively. At October 31, 2016 , 2015 , and 2014 , liabilities related to capital expenditures that are included in accounts payable were $1 million , $2 million , and $1 million , respectively. Leases We lease certain land, buildings, and equipment under non-cancelable operating leases and capital leases expiring at various dates through 2025 . Operating leases generally have 1 to 20 year terms, with one or more renewal options, with terms to be negotiated at the time of renewal. Various leases include provisions for rent escalation to recognize increased operating costs or require us to pay certain maintenance and utility costs. Our rent expense for the years ended October 31, 2016 , 2015 , and 2014 was $53 million , $57 million , and $62 million , respectively. Rental income from subleases for the years ended October 31, 2016 , 2015 , and 2014 was $12 million , $11 million , and $10 million , respectively. Future minimum lease payments at October 31, 2016 , for those leases having an initial or remaining non-cancelable lease term in excess of one year and certain leases that are treated as finance lease obligations, are as follows: (in millions) Financing Operating Total 2017 $ 10 $ 52 $ 62 2018 10 45 55 2019 9 36 45 2020 9 33 42 2021 9 29 38 Thereafter 2 21 23 49 $ 216 $ 265 Less: Interest portion 7 Total $ 42 Asset Retirement Obligations We have a number of asset retirement obligations in connection with certain owned and leased locations, leasehold improvements, and sale and leaseback arrangements. Certain of our production facilities contain asbestos that would have to be removed if such facilities were to be demolished or undergo a major renovation. The fair value of the conditional asset retirement obligations as of the balance sheet date has been determined to be immaterial. Asset retirement obligations relating to the cost of removing improvements to leased facilities or returning leased equipment at the end of the associated agreements are not material. |
Goodwill and Other Intangible a
Goodwill and Other Intangible assets, Net (Notes) | 12 Months Ended |
Oct. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets, Goodwill, Policy [Policy Text Block] | 7. Goodwill and Other Intangible Assets, Net For reporting units with goodwill, we perform goodwill impairment tests on an annual basis on August 1st, or more frequently, if circumstances change or an event occurs that would more likely than not reduce the fair value of a reporting unit below its carrying amount. As part of our impairment analysis for these reporting units, we performed a qualitative assessment or we determined the fair value of the reporting unit based on estimates of its future cash flows. The following table presents the carrying amount of Goodwill in our Consolidated Balance Sheets for each operating segment: (in millions) Truck Parts Global Operations Total As of October 31, 2013 $ — $ 38 $ 146 $ 184 Impairments — — (142 ) (142 ) Currency translation — — (4 ) (4 ) As of October 31, 2014 $ — $ 38 $ — $ 38 Impairments and currency translation — — — — As of October 31, 2015 $ — $ 38 $ — $ 38 Impairments and currency translation — — — — As of October 31, 2016 $ — $ 38 $ — $ 38 During 2014, the economic downturn in Brazil resulted in the continued decline in actual and forecasted results for the Brazilian engine reporting unit with goodwill of $142 million and an indefinite-lived intangible asset, trademark, of $43 million . As a result, we performed an impairment analysis utilizing the income approach, based on discounted cash flows, which are derived from internal forecasts and economic expectations. It was determined that the carrying value of the Brazilian engine reporting unit, including goodwill, exceeded its fair value. As a result we compared the implied fair value of the reporting unit's goodwill with the carrying amount of that goodwill. A decrease in the enterprise value of the reporting unit coupled with appreciation in the value of certain tangible assets, which are not recognized for accounting purposes, resulted in the determination that the entire $142 million of goodwill was impaired. In addition, we determined that the related trademark was impaired and recognized an impairment charge of $7 million . The non-cash impairment charges were included in Asset impairment charges in our Consolidated Statements of Operations . Our intangible assets that are not subject to amortization as of October 31, 2016 and 2015 includes trademarks in our Brazilian engine reporting unit of $21 million and $19 million , respectively. During the third quarters of 2016 and 2015, we determined that $1 million and $3 million , respectively, of the trademark asset carrying value was impaired. For more information, see Note 2, Restructuring and Impairments . Information regarding our intangible assets that are subject to amortization is as follows: As of October 31, 2016 (in millions) Customer Trademarks, Patents and Other Total Gross carrying value $ 73 $ 121 $ 194 Accumulated amortization (65 ) (97 ) (162 ) Net of amortization $ 8 $ 24 $ 32 As of October 31, 2015 (in millions) Customer Trademarks, Patents and Other Total Gross carrying value $ 69 $ 89 $ 158 Accumulated amortization (58 ) (62 ) (120 ) Net of amortization $ 11 $ 27 $ 38 We recorded amortization expense for our finite-lived intangible assets of $12 million , $10 million , and $18 million for the years ended October 31, 2016 , 2015 , and 2014 , respectively. Future estimated amortization expense for our finite-lived intangible assets for the remaining years is as follows: (in millions) Estimated 2017 $ 13 2018 8 2019 4 2020 2 2021 1 Thereafter 4 |
Investments in Non-Consolidated
Investments in Non-Consolidated Affiliates (Notes) | 12 Months Ended |
Oct. 31, 2016 | |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | |
Equity Method Investments and Joint Ventures Disclosure [Text Block] | 8. Investments in Non-consolidated Affiliates Investments in non-consolidated affiliates is comprised of our interests in partially-owned affiliates of which our ownership percentages range from 30% to 50% . We do not control these affiliates, but have the ability to exercise significant influence over their operating and financial policies. We account for them using the equity method of accounting. We made no new and incremental investments in these non-consolidated affiliates for 2016 and 2015 . The following table summarizes 100% of the combined assets, liabilities, and equity of our equity method affiliates as of October 31: (Unaudited) (in millions) 2016 2015 Assets: Current assets $ 300 $ 240 Noncurrent assets 145 154 Total assets $ 445 $ 394 Liabilities and equity: Current liabilities $ 251 $ 195 Noncurrent liabilities 44 35 Total liabilities 295 230 Partners' capital and stockholders' equity: NIC 62 68 Third parties 88 96 Total partners' capital and stockholders' equity 150 164 Total liabilities and equity $ 445 $ 394 The following table summarizes 100% of the combined results of operations of our equity method affiliates for the years ended October 31: (Unaudited) (in millions) 2016 2015 2014 Net sales $ 584 $ 554 $ 527 Costs, expenses, and income tax expense 571 536 500 Net income $ 13 $ 18 $ 27 We recorded sales to certain of these affiliates totaling $6 million , $7 million , and $8 million in 2016 , 2015 , and 2014 , respectively. We also purchased $207 million , $245 million , and $219 million of products and services from certain of these affiliates in 2016 , 2015 , and 2014 , respectively. Amounts due to and due from our affiliates arising from the sale and purchase of products and services as of October 31 are as follows: (in millions) 2016 2015 Receivables due from affiliates $ — $ 1 Payables due to affiliates 22 30 As of October 31, 2016 and 2015 , our share of net unfunded earnings in non-consolidated affiliates totaled $4 million and $16 million , respectively. |
Debt
Debt | 12 Months Ended |
Oct. 31, 2016 | |
Debt Disclosure [Abstract] | |
Debt | Debt The following tables present the components of Notes payable and current maturities of long-term debt and Long-term debt in our Consolidated Balance Sheets : As of October 31, (in millions) 2016 2015 Manufacturing operations Senior Secured Term Loan Credit Facility, as amended, due 2020, net of unamortized discount of $14 and $17, respectively, and unamortized debt issuance costs of $7 and $9, respectively $ 1,009 $ 1,014 8.25% Senior Notes, due 2022, net of unamortized discount of $15 and $18, respectively, and unamortized debt issuance costs of $12 and $14, respectively 1,173 1,168 4.50% Senior Subordinated Convertible Notes, due 2018, net of unamortized discount of $10 and $14, respectively, and unamortized debt issuance costs of $1 and $2, respectively 189 184 4.75% Senior Subordinated Convertible Notes, due 2019, net of unamortized discount of $24 and $32, respectively, and unamortized debt issuance costs of $4 and $6, respectively 383 373 Financing arrangements and capital lease obligations 42 49 Loan Agreement related to 6.5% Tax Exempt Bonds, due 2040, net of unamortized debt issuance costs of $5 at both dates 220 220 Financed lease obligations 52 111 Other 28 43 Total Manufacturing operations debt 3,096 3,162 Less: Current portion 71 103 Net long-term Manufacturing operations debt $ 3,025 $ 3,059 As of October 31, (in millions) 2016 2015 Financial Services operations Asset-backed debt issued by consolidated SPEs, at fixed and variable rates, due serially through 2022 , net of unamortized debt issuance costs of $6 at both dates $ 753 $ 864 Bank credit facilities, at fixed and variable rates, due dates from 2017 through 2021 , net of unamortized debt issuance costs of $3 and $1, respectively 861 1,062 Commercial paper, at variable rates, program matures in 2017 96 86 Borrowings secured by operating and finance leases, at various rates, due serially through 2021 98 81 Total Financial Services operations debt 1,808 2,093 Less: Current portion 836 1,005 Net long-term Financial Services operations debt $ 972 $ 1,088 Manufacturing Operations Senior Secured Term Loan Credit Facility In August 2012, NIC and NI signed a definitive credit agreement relating to a senior secured, term loan credit facility in an aggregate principal amount of $1.0 billion (the "Term Loan Credit Facility") and borrowed an aggregate principal amount of $1.0 billion under the Term Loan Credit Facility. The Term Loan Credit Facility required quarterly principal amortization payments of 0.25% of the aggregate principal amount, with the balance due at maturity. The Term Loan Credit Facility is secured by a first priority security interest in certain assets of NIC, NI, and twelve of our direct and indirect subsidiaries, and contains customary provisions for financings of this type, including, without limitation, representations and warranties, affirmative and negative covenants and events of default. Generally, if an event of default occurs and is not cured within any specified grace period, the administrative agent, at the request of (or with the consent of) the lenders holding not less than a majority in principal amount of the outstanding term loans, may declare the term loan to be due and payable immediately. In April 2013, the Term Loan Credit Facility was amended (the "Amended Term Loan Credit Facility"), to: (i) change the maturity date of all borrowings under the Term Loan Credit Facility to August 17, 2017, (ii) lower the interest on all borrowings under the Term Loan Credit Facility to a rate equal to a base rate plus a spread of 3.50% , or a Eurodollar rate plus a spread of 4.50% with a London Interbank Offered Rate ("LIBOR") floor that was reduced to 1.25% , (iii) provide additional operating flexibility, and (iv) remove certain pledged assets as collateral from the Term Loan Credit Facility. In August 2015, the Amended Term Loan Credit Facility was refinanced with a new Senior Secured Term Loan Credit Facility (“Senior Secured Term Loan Credit Facility”), for $1.04 billion . Under the Senior Secured Term Loan Credit Facility: (i) the maturity date was extended to August 7, 2020, (ii) interest rate margins were increased to 5.50% for Eurodollar rate loans and 4.50% for base rate loans, (iii) the Eurodollar rate “floor” was reduced to 1.00% , (iv) the permitted receivables financing basket was increased from $25 million to $50 million , (v) certain prepayments of the Senior Secured Term Loan Credit Facility made prior to August 7, 2017 will be made subject to a call premium of 1.00% , (vi) certain definitional provisions, including those related to asset dispositions were modified, and (vii) quarterly principal amortization payments of 0.25% of the aggregate principal amount are required, with the balance due at maturity. As a consequence of the Senior Secured Term Loan Credit Facility refinancing, the maturity date of the Amended and Restated Asset-Based Credit Facility (as defined below) was extended from May 18, 2017 to May 18, 2018. As part of the refinancing, we recognized $3 million of unamortized discount costs related to the Amended Term Loan Credit Facility. The remaining $10 million of unamortized discount will be amortized through Interest expense over the life of the Senior Secured Term Loan Credit Facility. The refinancing also included the payment of underwriter and other related fees of approximately $12 million , of which $11 million was recorded in the fourth quarter of 2015 in Other income, net. The remaining fees will be amortized through Interest expense over the life of the Senior Secured Term Loan Credit Facility. Senior Notes In October 2009, we completed the sale of $1.0 billion aggregate principal amount of our Senior Notes. In March 2013, we completed the sale of an additional $300 million aggregate principal amount of Senior Notes. Interest related to the Senior Notes is payable on May 1 and November 1 of each year until the maturity date of November 1, 2021. The Senior Notes are senior unsecured obligations of the Company. From the March 2013 sale of additional Senior Notes, we received net proceeds of approximately $310 million , which included an offering premium of $4 million and accrued interest of $10 million , offset by underwriter fees of $4 million . The debt issuance costs were recorded in Other noncurrent assets and will be amortized through Interest expense. Both the offering premium and the debt issuance costs will be accreted over the life of the Senior Notes. As a result of the transaction, the effective interest rate of the Senior Notes is now 8.50% . The proceeds from the March 2013 sale of additional Senior Notes were used to make the April 2013 principal repayment on the Amended Term Loan Credit Facility. On or after November 1, 2014, we can redeem all or part of the Senior Notes during the twelve-month period beginning on November 1, 2014, 2015, 2016, 2017, and thereafter at a redemption price equal to 104.125% , 102.750% , 101.375% , and 100% , respectively, of the principal amount of the Senior Notes redeemed. We were permitted under the indenture to redeem the Senior Notes at our election in whole or part at any time prior to November 1, 2014 at a redemption price equal to 100% of the principal amount thereof plus the applicable premium, plus accrued and unpaid interest, to the redemption date. We did not exercise this option at any time prior to November 1, 2014. 3.00% Senior Subordinated Convertible Notes In October 2009, we completed the sale of $570 million aggregate principal amount of 3.00% senior subordinated convertible notes ("2014 Convertible Notes"), including over-allotment options. The 2014 Convertible Notes were senior subordinated unsecured obligations of the Company. In connection with the sale of the 2014 Convertible Notes, we purchased call options for $125 million . The call options covered 11,337,870 shares of common stock, subject to adjustments, at an exercise price of $50.27 . The call options were intended to minimize share dilution associated with the 2014 Convertible Notes. In addition, in connection with the sale of the 2014 Convertible Notes, we also entered into separate warrant transactions whereby, we sold warrants for $87 million to sell in the aggregate 11,337,870 shares of common stock, subject to adjustments, at an exercise price of $60.14 per share of common stock. During the second quarter of 2014, we used proceeds from the private issuance of $411 million of 4.75% senior subordinated convertible notes due April 2019 ("2019 Convertible Notes"), as well as cash on-hand, to repurchase $404 million of notional amount of the 2014 Convertible Notes. We recorded a charge of $11 million related to the repurchase which was recognized in Other income, net. In conjunction with the repurchases of the 2014 Convertible Notes, call options representing 8,026,456 shares expired or were unwound by the Company and warrants representing 6,523,319 shares were unwound by the Company. On October 15, 2014, upon maturity, the 2014 Convertible Notes were paid in full and the purchased call options expired worthless. During the first quarter of 2015, warrants representing 1,939,376 shares were unwound by the Company, and the remaining 2,875,175 warrants expired worthless on April 10, 2015. 4.50% Senior Subordinated Convertible Notes In October 2013, we completed the private sale of $200 million of 4.50% senior subordinated convertible notes due October 2018 ("2018 Convertible Notes"). We received proceeds of $196 million , net of $3 million of issuance costs and a $1 million issuance discount. Interest is payable on April 15 and October 15 of each year until the maturity date. The 2018 Convertible Notes are senior subordinated unsecured obligations of the Company. In accounting for the issuance, the 2018 Convertible Notes were separated into a debt component and an equity component, resulting in the debt component being recorded at estimated fair value without consideration given to the conversion feature. The excess of the principal amount of the liability component over the carrying amount is treated as debt discount and will be amortized to Interest expense using the effective interest method over the term of the 2018 Convertible Notes. We estimated the fair value of the liability component at $177 million . The equity component of $22 million , net of discount, is recorded in Additional paid in capital and will not be remeasured as long as it continues to meet the conditions for equity classification. Issuance costs are also allocated between the debt and equity components resulting in most of the $3 million of debt issue costs being recorded in Other noncurrent assets and the remainder being recorded as a reduction in Additional paid in capital. The liability component of the debt issuance costs will be amortized to Interest expense over the term of the 2018 Convertible Notes. We have the option to redeem the 2018 Convertible Notes for cash, in whole or in part, on any business day on or after October 15, 2016 if the last reported sale price of our common stock has been at least 130% of the conversion price then in effect for at least 20 trading days (whether or not consecutive), during any 30 consecutive trading day period ending within 10 trading days immediately prior to the Optional Redemption date. The redemption price is equal to 100% of the principal amount of the 2018 Convertible Notes to be redeemed, plus accrued and unpaid interest to, but excluding, the redemption date. Holders may convert the 2018 Convertible Notes into our common stock at any time on or after April 15, 2018. Holders may also convert the 2018 Convertible Notes at their option prior to April 15, 2018, under the following circumstances: (i) during any fiscal quarter (and only during that fiscal quarter) commencing after October 31, 2013, if the last reported sale price of the common stock for at least 20 trading days (whether or not consecutive) during a period of 30 consecutive trading days ending on the last trading day of the preceding fiscal quarter is greater than or equal to 130% of the applicable conversion price on each such trading day; (ii) during the five business day period after any five consecutive trading day period (the "Measurement Period") in which the trading price per $1,000 principal amount of notes for each trading day of that Measurement Period was less than 98% of the product of the last reported sale price of the common stock and the applicable conversion rate on each such trading day; (iii) if we exercise our Optional Redemption, as described above, after October 15, 2016, holders of the 2018 Convertible Notes will have the right to convert their 2018 Convertible Notes at any time prior to the close of business on the business day preceding the redemption date; or (iv) upon the occurrence of specified corporate events, as more fully described in the 2018 Convertible Notes indenture. The conversion rate will initially be 17.1233 shares of common stock per $1,000 principal amount of 2018 Convertible Notes (equivalent to an initial conversion price of approximately $58.40 per share of common stock). The conversion rate may be adjusted for anti-dilution provisions and the conversion price may be decreased by the Board of Directors to the extent permitted by law and listing requirements. The 2018 Convertible Notes can be settled in common stock, cash, or a combination of common stock and cash. Upon conversion, we will satisfy our conversion obligations by delivering, at our election, shares of common stock (plus cash in lieu of fractional shares), cash ("Cash Settlement"), or any combination of cash and shares of common stock ("Combination Settlement"). If we elect a Cash Settlement or a Combination Settlement, the amounts due will be based on a daily conversion value calculated on a proportionate basis for each trading day in a 20 trading-day observation period. If a holder converts its 2018 Convertible Notes on or after April 15, 2018, and we elect physical settlement, the holder will not receive the shares of common stock into which the 2018 Convertible Notes are convertible until after the expiration of the observation period, even though the number of shares the holder will receive upon settlement will not change. It is our policy to settle the principal and accrued interest on the 2018 Convertible Notes with cash. Subject to certain exceptions, holders may require us to repurchase, for cash, all or part of the 2018 Convertible Notes at a price equal to 100% of the principal amount of the 2018 Convertible Notes being repurchased plus any accrued and unpaid interest. 4.75% Senior Subordinated Convertible Notes During the second quarter of 2014, we completed the private sale of $411 million of the 2019 Convertible Notes, including a portion of the underwriter's over-allotment option. We received proceeds of $402 million , net of $9 million of issuance costs. Interest is payable on April 15 and October 15 of each year until the maturity date. The 2019 Convertible Notes are senior subordinated unsecured obligations of the Company. In accounting for the issuance, the 2019 Convertible Notes were separated into a debt component and an equity component, resulting in the debt component being recorded at estimated fair value without consideration given to the conversion feature. The excess of the principal amount of the liability component over the carrying amount is treated as debt discount and will be amortized to Interest expense using the effective interest method over the term of the 2019 Convertible Notes. We estimated the fair value of the liability component at $367 million . The equity component of $44 million is recorded in Additional paid in capital and will not be remeasured as long as it continues to meet the conditions for equity classification. Issuance costs are also allocated between the debt and equity components resulting in $8 million of debt issuance costs being recorded in Other noncurrent assets and $1 million recorded as a reduction in Additional paid in capital. The liability component of the debt issuance costs will be amortized to Interest expense over the term of the 2019 Convertible Notes. We have the option to redeem the 2019 Convertible Notes for cash, in whole or in part, on any business day on or after April 20, 2017 if the last reported sale price of our common stock has been at least 130% of the conversion price then in effect for at least 20 trading days (whether or not consecutive), during any 30 consecutive trading day period ending within 10 trading days immediately prior to the date of the redemption notice ("Optional Redemption"). The redemption price is equal to 100% of the principal amount of the 2019 Convertible Notes to be redeemed, plus accrued and unpaid interest to, but excluding, the redemption date. Holders may convert the 2019 Convertible Notes into our common stock at any time on or after October 15, 2018. Holders may also convert the 2019 Convertible Notes at their option prior to October 15, 2018, under the following circumstances: (i) during any fiscal quarter (and only during that fiscal quarter) commencing after April 30, 2014, if the last reported sale price of the common stock for at least 20 trading days (whether or not consecutive) during a period of 30 consecutive trading days ending on the last trading day of the preceding fiscal quarter is greater than or equal to 130% of the applicable conversion price on each such trading day; (ii) during the five business day period after any five consecutive trading day period (the "Measurement Period") in which the trading price per $1,000 principal amount of 2019 Convertible Notes for each trading day of that Measurement Period was less than 98% of the product of the last reported sale price of the common stock and the applicable conversion rate on each such trading day; (iii) if we exercise our Optional Redemption, as described above, after October 15, 2018, holders of the 2019 Convertible Notes will have the right to convert their 2019 Convertible Notes at any time prior to the close of business on the business day preceding the redemption date, or; (iv) upon the occurrence of specified corporate events, as more fully described in the 2019 Convertible Notes indenture. The conversion rate will initially be 18.4946 shares of common stock per $1,000 principal amount of 2019 Convertible Notes (equivalent to an initial conversion price of approximately $54.07 per share of common stock). The conversion rate may be adjusted for anti-dilution provisions and the conversion price may be decreased by the Board of Directors to the extent permitted by law and listing requirements. The 2019 Convertible Notes can be settled in common stock, cash, or a combination of common stock and cash. Upon conversion, we will satisfy our conversion obligations by delivering, at our election, shares of common stock (plus cash in lieu of fractional shares), a Cash Settlement, or a Combination Settlement. If we elect a Cash Settlement or a Combination Settlement, the amounts due will be based on a daily conversion value calculated on a proportionate basis for each trading day in a 20 trading-day observation period. If a holder converts its 2019 Convertible Notes on or after October 15, 2018, and we elect physical settlement, the holder will not receive the shares of common stock into which the 2019 Convertible Notes are convertible until after the expiration of the observation period, even though the number of shares the holder will receive upon settlement will not change. It is our policy to settle the principal and accrued interest on the 2019 Convertible Notes with cash. Subject to certain exceptions, holders may require us to repurchase, for cash, all or part of the 2019 Convertible Notes at a price equal to 100% of the principal amount of the 2019 Convertible Notes being repurchased plus any accrued and unpaid interest. Financing Arrangements and Capital Lease Obligations Included in our financing arrangements and capital lease obligations are financing arrangements of $37 million and $43 million as of October 31, 2016 and 2015 , respectively. In addition, the amount of financing arrangements and capital lease obligations includes $5 million and $6 million of capital leases for real estate and equipment as of October 31, 2016 and 2015 , respectively. In January 2012, we began leasing an existing manufacturing facility in Cherokee, Alabama and purchased certain machinery and equipment within that facility. In relation to the machinery and equipment, we entered into a $40 million promissory note with the lessor. This amount is payable in monthly installments over a 10 -year term, in conjunction with the lease of the facility. We recorded the machinery and equipment, and the associated liability, at the relative fair value of $58 million . Loan Agreement related to the Tax Exempt Bonds In October 2010, we benefited from the issuance of certain tax-exempt bond financings, of which: (i) the Illinois Finance Authority issued and sold $135 million aggregate principal amount of Recovery Zone Facility Revenue Bonds due October 15, 2040, and (ii) The County of Cook, Illinois issued and sold $90 million aggregate principal amount of Recovery Zone Facility Revenue Bonds also due October 15, 2040 (collectively the "Tax Exempt Bonds"). The Tax Exempt Bonds were issued pursuant to separate, but substantially identical, indentures of trust dated as of October 1, 2010. The proceeds of the Tax Exempt Bonds were loaned by each issuer to the Company pursuant to separate, but substantially identical, loan agreements dated as of October 1, 2010. The proceeds from the issuance of the Tax Exempt Bonds are restricted, and must be used substantially for capital expenditures related to financing the relocation of our headquarters, the expansion of an existing warehouse facility, and the development of certain industrial and testing facilities, together with related improvements and equipment (the "Projects"). The payment of principal and interest on the Tax Exempt Bonds are guaranteed under separate, but substantially identical, bond guarantees issued by NI. The Tax Exempt Bonds are special, limited obligations of each issuer, payable out of the revenues and income derived under the related loan agreements and related guarantees. The Tax Exempt Bonds bear interest at the fixed rate of 6.50% per annum, payable each April 15 and October 15, commencing April 15, 2011. Beginning on October 15, 2020, the Tax Exempt Bonds are subject to optional redemption at the direction of the Company, in whole or in part, at the redemption price equal to 100% of the principal amount thereof, plus accrued interest, if any, to the redemption date. The funds received from the issuance of the Tax Exempt Bonds were deposited directly into trust accounts by the bonding authority at the time of issuance, and will be remitted to the Company on a reimbursement basis as we make qualified capital expenditures related to the Projects. As we do not have the ability to use these funds for general operating purposes, they are classified as Other noncurrent assets in our Consolidated Balance Sheets . In addition, as we did not receive cash proceeds upon the closing of the Tax Exempt Bonds, there was no impact on the Consolidated Statement of Cash Flows for the year ended October 31, 2010. As we make qualifying capital expenditures and are reimbursed by the Trust, we report the corresponding amounts as capital expenditures and proceeds from issuance of debt within the Consolidated Statement of Cash Flows . In November 2010, we finalized the purchase of the property and buildings that we developed into our new world headquarters site. As of October 31, 2016 , none of the $225 million remains to be reimbursed under the Tax Exempt Bonds. Promissory Note In September 2011, NI entered into a $40 million floating rate promissory note with Caterpillar (the "Promissory Note"), under which the principal amount will be repaid over a 4 year term in 16 quarterly installments. The floating interest rate for the Promissory Note will be computed based on LIBOR plus 2.75% over the term of the note. In September 2015, NI fully repaid the remaining balance of the Promissory Note. Financed Lease Obligations We have accounted for as borrowings certain third-party equipment financings by BMO, our preferred source of retail customer financing for equipment offered by us and our dealers in the U.S. The initial transactions do not qualify for revenue recognition as we retain substantial risks of ownership in the leased property. As a result, the proceeds from the transfer are recorded as an obligation and amortized to revenue over the term of the financing. The remaining obligation will be amortized through 2021 with interest rates ranging from 4.10% to 12.52% . Amended and Restated Asset-Based Credit Facility In August 2012, NI entered into an amended and restated asset-based credit agreement in an aggregate principal amount of $175 million (the "Amended and Restated Asset-Based Credit Facility"). The borrowing base of the facility was secured by a first priority security interest in NI's aftermarket parts inventory that is stored at certain parts distribution centers, storage facilities and third-party processor or logistics provider locations. In April 2013, the Amended and Restated Asset-Based Credit Facility was amended to include used truck inventory in the borrowing base. Also in April 2013, the maturity date of the Amended and Restated Asset-Based Credit Facility automatically extended to May 18, 2017, as a result of a modification to the maturity date of our Amended Term Loan Credit Facility. The Amended and Restated Asset-Based Credit Facility contains customary provisions for financings of this type, including, without limitation, representations and warranties, affirmative and negative covenants and events of default. All borrowings under the Amended and Restated Asset-Based Credit Facility accrue interest at a rate equal to a base rate or an adjusted LIBOR rate plus a spread. The spread, which will be based on an availability-based measure, ranges from 175 basis points to 225 basis points for Base Rate borrowings and 275 basis points to 325 basis points for LIBOR borrowings. The initial LIBOR spread is 275 basis points. On July 3, 2014, the Amended and Restated Asset-Based Credit Facility was further amended to remove used truck inventory from the borrowing base. Additionally, the calculation of availability was revised to include cash collateral posted to support outstanding designated letters of credit, subject to a $40 million cap, and the cash management provisions were amended to reflect intercreditor arrangements with respect to a financing with NFC secured by a first priority lien on the used truck inventory. In connection with the removal of used truck inventory from the borrowing base, certain adjustments were made to the covenants to reflect that such assets were no longer included in the borrowing base. The amendment also provides for a 1.00% reduction in the amount of the participation fee with respect to designated letters of credit in the event that all outstanding letters of credit are in excess of $50 million , such reduction applying only to the portion of designated letters of credit in excess of $50 million for all outstanding letters of credit. On July 15, 2015, the Amended and Restated Asset-Based Credit Facility was further amended to: (i) permit the incurrence of up to $352.5 million of additional term loans and the issuance of up to $200 million of additional senior notes, (ii) increase the permitted receivables financing from $25 million to $50 million , and (iii) modify the cash dominion trigger and certain of the definitional provisions. As a consequence of the Senior Secured Term Loan Credit Facility, the maturity date of the Amended and Restated Asset-Based Credit Facility was extended by one year to May 18, 2018. The amendment had no impact on the aggregate commitment level under the Amended and Restated Asset-Based Credit Facility, which remains at $175 million . As of October 31, 2016 and 2015 , we had no borrowings under the Amended and Restated Asset-Based Credit Facility. The availability under our $175 million Amended and Restated Asset-Based Credit Facility is subject to a $35 million liquidity block, less outstanding standby letters of credit issued under this facility, and is impacted by inventory levels at certain aftermarket parts inventory locations. As of October 31, 2016 , we had limited availability to borrow under the Amended and Restated Asset-Based Credit Facility. Financial Services Operations Asset-backed Debt In October 2015, the maximum capacity of the VFN was reduced from $500 million to $375 million . In February 2016, the VFN was increased from $375 million to $500 million . In November 2016, the maturity date of the VFN facility was extended from May 2017 to November 2017, and the maximum capacity was reduced from $500 million to $450 million . The VFN facility is secured by assets of the wholesale note owner trust. In November 2014, NFC completed the sale of $250 million of two -year investor notes secured by assets of the wholesale note owner trust. Proceeds were used, in part, to replace the $200 million of investor notes that matured in January 2015. Also in November 2014, the wholesale note owner trust was amended to reduce customer concentration restrictions. In July 2015, NFC issued $250 million of two -year investor notes secured by assets of the wholesale note owner trust, of which $240 million were sold to initial purchasers. Proceeds were used, in part, to replace the $250 million of investor notes that matured in September 2015. In October 2016, NFC issued $300 million of two -year investor notes secured by assets of the wholesale note owner trust. Proceeds were used, in part, to replace the $250 million of investor notes that matured in October 2016. Our Mexican financial services affiliate, NFM, issues secured notes, denominated in pesos, which are secured by retail finance receivables. The aggregate balance of these notes at October 31, 2016, was $82 million , net of issuance costs, and matures at various dates through February 2022. In May 2014, TRAC, our consolidated SPE, entered into a one-year revolving facility to fund up to $100 million . In May 2015, this facility was renewed to May 2016. In April 2016, this facility was renewed to April 2017. In December 2016, this facility was renewed to October 2017. Borrowings under this facility are secured by eligible retail accounts receivable. The majority of the above asset-backed debt is issued by consolidated SPEs and is payable out of collections on the finance receivables sold to the SPEs. This debt is the legal obligation of the SPEs and not NFC or NFM. Assets used as collateral include finance receivables, restricted cash and other assets. The carrying amount of the assets used as collateral for asset-backed debt was $1.1 billion and $1.3 billion as of October 31, 2016 and 2015 , respectively. See Note 3, Finance Receivables , for more information on finance receivables used to secure asset-backed debt. Bank Credit Facilities In May 2016, NFC amended and extended its 2011 bank credit facility which was originally due in December 2016. The 2016 amendment extends the maturity date to June 2018 and initially reduced the revolving portion of the facility from $500 million to $400 million . The borrowings on the revolving portion of the facility totaled $239 million as of October 31, 2016 . The balance of the term loan portion of the facility was $211 million as of October 31, 2016 . In December 2016, and in accordance with the amendment, the revolving portion of the facility was reduced to a maximum of $275 million , the term loan portion of the facility was paid down to $82 million , and the quarterly principal payments were reduced from $9 million to $2 million . The amendment allows NFC to increase revolving or term loan commitments, subject to obtaining commitments from existing or new lenders to provide additional or increased revolving commitments and/or additional term loans, to permit a maximum total facility size of $700 million after giving effect to any such increase and without taking into account the non-extended loans and commitments. We borrow funds under various bank credit lines denominated in U.S. dollars and Mexican pesos to be used for investment in our Mexican financial services operations. As of October 31, 2016 , borrowings outstanding |
Postretirement Benefits
Postretirement Benefits | 12 Months Ended |
Oct. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
Postretirement Benefits | Postretirement Benefits Defined Benefit Plans We provide postretirement benefits to a substantial portion of our employees and retirees. Costs associated with postretirement benefits include pension and postretirement health care expenses for employees, retirees, surviving spouses and dependents. Obligations and Funded Status A summary of the changes in benefit obligations and plan assets is as follows: Pension Benefits Health and Life (in millions) 2016 2015 2016 2015 Change in benefit obligations Benefit obligations at beginning of year $ 3,979 $ 4,041 $ 1,887 $ 1,957 Service cost 9 13 5 6 Interest on obligations 118 142 58 71 Actuarial loss (gain) 225 146 (138 ) (34 ) Contractual termination benefits 3 (1 ) 4 (1 ) Currency translation (7 ) (53 ) — — Plan participants' contributions — — 34 31 Subsidy receipts — — 37 40 Benefits paid (300 ) (309 ) (179 ) (183 ) Benefit obligations at end of year $ 4,027 $ 3,979 $ 1,708 $ 1,887 Change in plan assets Fair value of plan assets at beginning of year $ 2,422 $ 2,627 $ 369 $ 415 Actual return on plan assets 79 27 3 3 Currency translation (6 ) (51 ) — — Employer contributions 100 113 2 2 Benefits paid (285 ) (294 ) (41 ) (51 ) Fair value of plan assets at end of year $ 2,310 $ 2,422 $ 333 $ 369 Funded status at year end $ (1,717 ) $ (1,557 ) $ (1,375 ) $ (1,518 ) Pension Benefits Health and Life (in millions) 2016 2015 2016 2015 Amounts recognized in our Consolidated Balance Sheets consist of: Noncurrent asset $ 6 $ 13 $ — $ — Current liability (17 ) (15 ) (58 ) (78 ) Noncurrent liability (1,706 ) (1,555 ) (1,317 ) (1,440 ) Net liability recognized $ (1,717 ) $ (1,557 ) $ (1,375 ) $ (1,518 ) Amounts recognized in our accumulated other comprehensive loss consist of: Net actuarial loss $ 2,442 $ 2,234 $ 472 $ 618 Net prior service benefit — — — (1 ) Net amount recognized $ 2,442 $ 2,234 $ 472 $ 617 The accumulated benefit obligation for pension benefits, a measure that excludes the effect of prospective salary and wage increases, was $4.0 billion at both October 31, 2016 and 2015 . The cumulative postretirement benefit adjustment included in the Consolidated Statement of Stockholders' Deficit at October 31, 2016 is net of $548 million of deferred taxes related to our postretirement benefit plans. Information for pension plans with accumulated benefit obligations in excess of plan assets were as follows: As of October 31, (in millions) 2016 2015 Projected benefit obligations $ 3,946 $ 3,631 Accumulated benefit obligations 3,934 3,612 Fair value of plan assets 2,224 2,061 Generally, the pension plans are non-contributory. Our policy is to fund the pension plans in accordance with applicable U.S. and Canadian government regulations and to make additional contributions from time to time. As of October 31, 2016 , we have met all regulatory funding requirements. In 2016 , we contributed $100 million to our pension plans to meet regulatory funding requirements. We expect to contribute approximately $110 million to our pension plans during 2017 . We primarily fund other post-employment benefit ("OPEB") obligations, such as retiree medical, in accordance with the 1993 Settlement Agreement, which requires us to fund a portion of the plans' annual service cost to a retiree benefit trust (the "Base Trust"). The 1993 Settlement Agreement resolved a class action lawsuit originally filed in 1992 regarding the restructuring of our then applicable retiree health care and life insurance benefits. In 2016 , we contributed $2 million to our OPEB plans to meet legal funding requirements. We expect to contribute $2 million to our OPEB plans during 2017 . We have certain unfunded pension plans, under which we make payments directly to employees. Benefit payments of $15 million for both 2016 and 2015 , are included within the amount of Benefits paid in the Change in benefit obligation section above, but are not included in the Change in plan assets section, because the payments are made directly by us and not by separate trusts that are used in the funding of our other pension plans. We also have certain OPEB benefits that are paid from Company assets (instead of trust assets). Payments from Company assets, net of participant contributions and subsidy receipts, result in differences between benefits paid as presented under Change in benefit obligation and Change in plan assets of $66 million and $61 million for 2016 and 2015 , respectively. Components of Net Periodic Benefit Expense and Other Amounts Recognized in Other Comprehensive Loss The components of our postretirement benefits expense included in our Consolidated Statements of Operations consist of the following: For the Years Ended October 31, (in millions) 2016 2015 2014 Pension expense $ 82 $ 69 $ 106 Health and life insurance expense 71 81 54 Total postretirement benefits expense $ 153 $ 150 $ 160 Components of Net Periodic Benefit Expense Net periodic benefit expense included in our Consolidated Statements of Operations, and other amounts recognized in our Consolidated Statements of Stockholders' Deficit , for the years ended October 31 is comprised of the following: Pension Benefits Health and Life (in millions) 2016 2015 2014 2016 2015 2014 Service cost for benefits earned during the period $ 9 $ 13 $ 12 $ 5 $ 6 $ 5 Interest on obligation 118 142 158 58 71 68 Amortization of cumulative loss 104 97 94 31 39 16 Amortization of prior service cost (benefit) — 1 — (1 ) (4 ) (4 ) Contractual termination benefits 3 (1 ) 23 4 (1 ) 2 Premiums on pension insurance 15 11 12 — — — Expected return on assets (167 ) (194 ) (193 ) (26 ) (30 ) (33 ) Net periodic benefit expense $ 82 $ 69 $ 106 $ 71 $ 81 $ 54 Other Changes in plan assets and benefit obligations recognized in other comprehensive loss (income) Actuarial net loss (gain) $ 313 $ 312 $ 164 $ (115 ) $ (7 ) $ 326 Amortization of cumulative loss (104 ) (97 ) (94 ) (31 ) (39 ) (16 ) Amortization of prior service benefit (cost) — (1 ) — 1 4 4 Currency translation (1 ) — 1 — — — Total recognized in other comprehensive loss (income) $ 208 $ 214 $ 71 $ (145 ) $ (42 ) $ 314 Total net postretirement benefits expense and other comprehensive loss (income) $ 290 $ 283 $ 177 $ (74 ) $ 39 $ 368 In 2016, we changed the approach utilized to estimate the service cost and interest cost components of net periodic benefit cost for our major defined benefit postretirement plans. Historically, we estimated the service cost and interest cost components using a single weighted average discount rate derived from the yield curve used to measure the benefit obligation at the beginning of the period. In 2016, we began using a spot rate approach for the estimation of service and interest cost for our major plans by applying specific spot rates along the yield curve to the relevant projected cash flows, to provide a better estimate of service and interest costs. Interest on the obligation as reported above is $36 million and $17 million lower in the year ended October 31, 2016 for pension and for health and life insurance, respectively, as a result of using the spot rate approach compared to the historical approach. In the second quarter of 2016, we filed a qualified partial wind-up report for approval by the Financial Services Commission of Ontario related to the 2011 closure of our Chatham, Ontario plant. As a result of an administration review ordered in conjunction with the partial wind-up, we recognized $2 million of contractual termination charges in the second quarter and $5 million of contractual termination charges in the third quarter of 2016. In the fourth quarter of 2014, we recognized contractual termination charges of $11 million related to our Indianapolis, Indiana foundry facility and our Waukesha, Wisconsin foundry operations. See Note 2, Restructurings and Impairments for further discussion. Based on a ruling received from the Financial Services Tribunal in Ontario, Canada, in the third quarter of 2014, we recognized contractual termination charges of $14 million related to the 2011 closure of our Chatham, Ontario plant. These charges were in addition to the previous curtailment and contractual termination charges recognized in the third quarter of 2011. See Note 2, Restructurings and Impairments for further discussion. The estimated amounts for the defined benefit pension plans and the other postretirement benefit plans that will be amortized from AOCL into net periodic benefit expense over the next fiscal year are as follows: (in millions) Pension Benefits Health and Life Insurance Benefits Amortization of prior service cost (benefit) $ — $ — Amortization of cumulative losses 117 23 Cumulative unrecognized actuarial gains and losses for postretirement benefit plans, where substantially all of the plan participants are inactive, are amortized over the average remaining life expectancy of the inactive plan participants. Otherwise, cumulative gains and losses are amortized over the average remaining service period of active employees. Plan amendments unrelated to negotiated labor contracts are amortized over the average remaining service period of active employees or the remaining life expectancy of the inactive participants based upon the nature of the amendment and the participants impacted. Plan amendments arising from negotiated labor contracts are amortized over the length of the contract. Assumptions The weighted average rate assumptions used in determining benefit obligations for the years ended October 31, 2016 and 2015 were: Pension Benefits Health and Life Insurance Benefits 2016 2015 2016 2015 Discount rate used to determine present value of benefit obligation at end of year 3.5 % 4.0 % 3.5 % 4.1 % Expected rate of increase in future compensation levels 3.5 % 3.5 % — — The weighted average rate assumptions used in determining net postretirement benefits expense for 2016 , 2015 , and 2014 were: Pension Benefits Health and Life Insurance Benefits 2016 2015 2014 2016 2015 2014 Discount rate used to determine service cost 4.5 % 3.7 % 4.1 % 4.6 % 3.7 % 4.1 % Discount rate used to determine interest cost 3.1 % 3.7 % 4.1 % 3.3 % 3.7 % 4.1 % Expected long-term rate of return on plan assets 7.5 % 7.8 % 7.8 % 7.5 % 7.8 % 7.8 % Expected rate of increase in future compensation levels 3.5 % 3.5 % 3.5 % — — — The actuarial assumptions used to compute the net postretirement benefits expense (income) are based upon information available as of the beginning of the year, specifically market interest rates, past experience, and our best estimate of future economic conditions. Changes in these assumptions may impact the measurement of future benefit costs and obligations. In computing future costs and obligations, we must make assumptions about such things as employee mortality and turnover, expected salary and wage increases, discount rates, expected returns on plan assets, and expected future cost increases. Three of these items have a significant impact on the level of expense recognized: (i) discount rates, (ii) expected rates of return on plan assets, and (iii) healthcare cost trend rates. We determine the discount rate for our pension and OPEB obligations by matching anticipated future benefit payments for the plans to a high-quality corporate bond yield curve to establish a weighted average discount rate for each plan. We determine our assumption as to expected return on plan assets by evaluating historical performance, investment community forecasts, and current market conditions. We consider the current asset mix as well as our targeted asset mix when establishing the expected return on plan assets. Health care cost trend rates have been established through a review of actual recent cost trends and projected future trends. Our retiree medical and drug cost trend assumptions are our best estimate of expected inflationary increases to healthcare costs. Due to the number of former employees and their beneficiaries included in our retiree population (approximately 33,000 ), the trend assumptions are based upon both our specific trends and nationally expected trends. The weighted average rate of increase in the per capita cost of postretirement health care benefits provided through U.S. plans representing 88% of our other postretirement benefit obligation, is projected to be 9.0% in 2017 and was estimated as 8.2% for 2016 . Our projections assume that the rate will decrease to 5% by the year 2022 and remain at that level each year thereafter. The effect of changing the health care cost trend rate by one-percentage point for each future year is as follows: (in millions) One-Percentage One-Percentage Effect on total of service and interest cost components $ 12 $ (10 ) Effect on postretirement benefit obligation 205 (159 ) Plan Assets The accounting guidance on fair value measurements specifies a fair value hierarchy based upon the observability of inputs used in valuation techniques (Level 1, 2 and 3). See Note 12, Fair Value Measurements , for a discussion of the fair value hierarchy. The following describes the methods and significant assumptions used to estimate fair value of the investments: • Cash and short-term investments —Valued at cost plus earnings from investments for the period, which approximates fair market value due to the short-term duration. Cash equivalents are valued at net asset value as provided by the administrator of the fund. • U.S. Government and agency securities —Valued at the closing price reported on the active market on which the security is traded or valued by the trustee at year-end using various pricing services of financial institutions, including Interactive Data Corporation, Standard & Poor's and Telekurs. • Corporate debt securities —Valued by the trustee at year-end using various pricing services of financial institutions, including Interactive Data Corporation, Standard & Poor's and Telekurs. • Common and preferred stock —Valued at the closing price reported on the active market on which the security is traded. • Collective trusts, Partnerships/joint venture interests and Hedge funds —Valued at the net asset value provided by the administrator of the fund. The net asset value is based on the value of the underlying assets owned by the fund, minus its liabilities, divided by the number of units outstanding. • Derivatives -Valued monthly for the trustee using various pricing services of financial institutions, including Interactive Data Corporation, Standard & Poor’s and Telekurs. Valued monthly by the trustee using various providers of derivatives pricing, most notably Numerix, Markit and Super Derivatives. In the fourth quarter of 2016, we elected to early adopt the provisions of ASU 2015-07, “Fair Value Measurement (Topic 820): Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent)”. This ASU removes the requirement to categorize within the fair value hierarchy all investments for which fair value is measured at the net asset value per share practical expedient. In addition, it also limits disclosure investments for which the entity has elected to measure the fair value using the practical expedient. The guidance, which required retrospective application, resulted in the reclassification of $301 million and $188 million of Pension Plan Assets and $56 million and $42 million of Other Postretirement Benefit Plan Assets from Level 3 categorization as of October 31, 2016 and 2015, respectively. Pension Assets The fair value of the pension plan assets by category is summarized below: As of October 31, 2016 As of October 31, 2015 (in millions) Level 1 Level 2 Level 3 NAV Total Level 1 Level 2 Level 3 NAV Total Asset Category Cash and Cash Equivalents $ 76 $ — $ — $ — $ 76 $ 126 $ — $ — $ — $ 126 Equity U.S. Large Cap — — — — — 209 — — — 209 U.S. Small-Mid Cap — — — — — 253 — — — 253 Canadian — — — — — 30 — — — 30 International — — — — — 216 — — — 216 Emerging Markets — — — — — 77 — — — 77 Equity derivative — — — — — — — — — — Fixed Income Corporate and Government Bonds — — — — — — 792 — — 792 Asset Backed Securities — — — — — — 7 — — 7 Collective Trusts and Other U.S. Equity 294 — — — 294 — — — — — Canadian Equity 29 — — — 29 — — — — — International Equity 291 — — — 291 — — — — — Global Equity 227 — — — 227 — — — — — Fixed Income - Long Duration Credit — 530 — — 530 — — — — — Fixed Income - High Yield — 204 — — 204 — — — — — Fixed Income - Canadian Bond — 203 — — 203 — — — — — Global Real Estate — 141 — — 141 — — — — — Global Infrastructure — — — 14 14 — — — — — Common and Preferred Stock — — — — — — 449 — — 449 Commodities — — — — — — 21 — — 21 Hedge Fund of Funds — — — 230 230 — — — 109 109 Private Equity — — — 57 57 — — — 79 79 Exchange Traded Funds — — — — — 6 — — — 6 Mutual Funds — — — — — 29 — — — 29 Real Estate — — 1 — 1 — — 1 — 1 Total (A) $ 917 $ 1,078 $ 1 $ 301 $ 2,297 $ 946 $ 1,269 $ 1 $ 188 $ 2,404 ___________________ (A) In addition, the table above includes the fair value of Canadian pension assets translated at the exchange rates as of October 31, 2016 and 2015 , respectively, while the change in plan asset table includes the fair value of Canadian pension assets translated at historical foreign currency rates. Other Postretirement Benefits The fair value of other postretirement benefit plan assets by category is summarized below: As of October 31, 2016 As of October 31, 2015 (in millions) Level 1 Level 2 Level 3 NAV Total Level 1 Level 2 Level 3 NAV Total Asset Category Cash and Cash Equivalents $ 19 $ — $ — $ — $ 19 $ 29 $ — $ — $ — $ 29 Equity U.S. Large Cap — — — — — 25 — — — 25 U.S. Small-Mid Cap — — — — — 42 — — — 42 International — — — — — 53 — — — 53 Emerging Markets — — — — — 14 — — — 14 Fixed Income Corporate and Government Bonds — 80 — — 80 — 100 — — 100 Asset Backed Securities — — — — — — 3 — — 3 Collective Trusts and Other U.S. Equity 66 — — — 66 — — — — — International Equity 71 — — — 71 — — — — — Fixed Income - Multi-Asset Credit — 41 — — 41 — — — — — Common Stock — — — — — — 59 — — 59 Commodities — — — — — — 1 — — 1 Hedge Fund of Funds — — — 42 42 — — — 22 22 Private Equity — — — 14 14 — — — 20 20 Total $ 156 $ 121 $ — $ 56 $ 333 $ 163 $ 163 $ — $ 42 $ 368 The investment strategy of the postretirement pension plans (the "Plans") is based on many factors including broad economic factors, historical and prospective information regarding capital market performance, investment strategies available to an asset pool of this size, the current regulatory environment, the Plans’ liabilities and the expected interaction between assets and liabilities. The primary objective of the strategy is to manage assets in such a way that will allow the eventual satisfaction of obligations to the Plans’ participants and beneficiaries. To meet the primary objective the portfolios will be structured to provide liquidity to meet the Plans’ benefit payment obligations and administration expenses, offer a reasonable probability of achieving growth in assets that will assist in closing the Plans’ funding gap and enable the Plans to satisfy their liabilities. Given the relationship between risk and return a moderately aggressive risk profile was implemented. Primary emphasis is to strike a balance between portfolio stability and portfolio appreciation. In line with the Plans' return objectives and risk parameters, target asset allocations, which were established following a 2015 asset liability study, are approximately 70% return-seeking assets and 30% liability-hedging assets. The return-seeking assets include long only equities (both active and passive, domestic and international, across the capitalization range) to capture long-term growth opportunities, hedge fund of funds to diversify the equity beta, return seeking credit (including high yield debt, emerging market debt and bank loans) to provide a meaningful level of absolute return and diversify equity beta, global real estate to diversify the equity beta and private equity. The liability-hedging assets are invested in high-quality, investment grade bonds with durations that approximate the durations of the liabilities. The objective of the liability hedging assets is to dampen the Plans’ surplus volatility. All assets are managed by external investment managers. Each investment manager is expected to prudently manage the assets in a manner consistent with the investment objectives, guidelines, and constraints outlined in their Investment Management Agreements and the Investment Policy Statement. Managers are not permitted to invest outside of the asset class mandate (e.g., equity, fixed income, alternatives) or strategy for which they are appointed. Expected Future Benefit Payments The expected future benefit payments for the years ending October 31, 2017 through 2021 and the five years ending October 31, 2026 are estimated as follows: (in millions) Pension Benefit Payments Other Postretirement Benefit Payments (A) 2017 $ 306 $ 100 2018 293 105 2019 287 111 2020 281 111 2021 273 112 2022 through 2026 1,252 532 ________________________ (A) Payments are net of expected participant contributions and expected federal subsidy receipts. Defined Contribution Plans and Other Contractual Arrangements Our defined contribution plans cover a substantial portion of domestic salaried employees and certain domestic represented employees. The defined contribution plans contain a 401(k) feature and provide most participants with a matching contribution from the Company. We deposit the matching contribution annually. Many participants covered by the plans receive annual Company contributions to their retirement accounts based on an age-weighted percentage of the participant's eligible compensation for the calendar year. Defined contribution expense pursuant to these plans was $29 million in both 2016 and 2015 and $27 million in 2014 . In accordance with the 1993 Settlement Agreement, an independent Retiree Supplemental Benefit Trust (the "Supplemental Trust") was established. The Supplemental Trust, and the benefits it provides to certain retirees pursuant to a certain Retiree Supplemental Benefit Program under the 1993 Settlement Agreement ("Supplemental Benefit Program"), is not part of our consolidated financial statements. Our contingent profit sharing obligations under a certain Supplemental Benefit Trust Profit Sharing Plan ("Supplemental Benefit Trust Profit Sharing Plan") will continue until certain funding targets defined by the 1993 Settlement Agreement are met. We have recorded no profit sharing accruals based on the operating performance of the entities that are included in the determination of qualifying profits. For more information on pending arbitration regarding the Supplemental Benefit Trust Profit Sharing Plan, see Note 14, Commitments and Contingencies . |
Income Taxes
Income Taxes | 12 Months Ended |
Oct. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The following table presents the domestic and foreign components of Loss from continuing operations before income taxes in our Consolidated Statements of Operations : For the Years Ended October 31, (in millions) 2016 2015 2014 Domestic $ (95 ) $ (215 ) $ (398 ) Foreign 63 112 (158 ) Loss from continuing operations before income taxes $ (32 ) $ (103 ) $ (556 ) The following table presents the components of Income tax expense in our Consolidated Statements of Operations : For the Years Ended October 31, (in millions) 2016 2015 2014 Current: Federal $ (1 ) $ (2 ) $ — State and local (4 ) (1 ) 7 Foreign (36 ) (64 ) (48 ) Total current expense $ (41 ) $ (67 ) $ (41 ) Deferred: Federal 13 2 13 State and local (1 ) — — Foreign (4 ) 14 2 Total deferred benefit $ 8 $ 16 $ 15 Total income tax expense $ (33 ) $ (51 ) $ (26 ) The following table presents a reconciliation of statutory federal income tax benefit (expense) recorded in Income tax expense in our Consolidated Statements of Operations : For the Years Ended October 31, (in millions) 2016 2015 2014 Federal income tax benefit at the statutory rate of 35% $ 11 $ 36 $ 195 State income taxes, net of federal benefit (3 ) — (4 ) Credits and incentives 3 4 (5 ) Adjustments to valuation allowances (132 ) (41 ) (234 ) Foreign operations 53 (48 ) (31 ) Unremitted foreign earnings 37 (31 ) (6 ) Adjustments to uncertain tax positions (10 ) (1 ) 15 Income tax related to equity components — — 13 Non-controlling interest adjustment 11 11 14 Other (3 ) 19 17 Recorded income tax expense $ (33 ) $ (51 ) $ (26 ) The tax effect of pretax income or loss from continuing operations generally should be determined by a computation that does not consider the tax effects of items that are not included in continuing operations. An exception to that incremental approach is applied when there is a loss from continuing operations and income in another category of earnings (for example, discontinued operations, other comprehensive income, additional paid in capital, etc.). In that situation, the tax provision is first allocated to the other categories of earnings. A related tax benefit is then recorded in continuing operations. This exception to the general rule applies even when a valuation allowance is in place at the beginning and end of the year. While intraperiod tax allocations do not change the overall tax provision, it may result in a gross-up of the individual components, thereby changing the amount of tax provision included in each category. In the second quarter of 2014, in accordance with the intraperiod tax allocation rules, we recorded an income tax benefit of $13 million in Income tax expense related to continuing operations, and an offsetting reduction in Additional paid in capital , which resulted from the issuance and repurchase of convertible notes. For more information, see Note 9, Debt. For the year ended October 31, 2016 and 2015, we incurred additional losses in the U.S. and certain foreign jurisdictions and recognized income tax expense of $132 million and $41 million , respectively, for the increase in the valuation allowance on our deferred tax assets generated during the period. During the second quarter of 2014, we recorded an income tax expense of $29 million to establish the valuation allowance for Brazil deferred tax assets. In the fourth quarter of 2014, we recorded an offsetting benefit of $16 million to reflect a tax law change in Brazil that allowed utilization of a portion of the net operating loss carryforwards to satisfy other taxes. At October 31, 2016 , undistributed earnings of foreign subsidiaries were $551 million . At October 31, 2016 and 2015 we had recorded deferred tax liabilities of less than $1 million and $37 million , respectively, for unremitted earnings from certain Mexico subsidiaries. Domestic income taxes have not been provided on the remaining undistributed earnings because they are either considered to be permanently invested in foreign subsidiaries or are expected to be repatriated without incremental U.S. tax. It is not practicable to estimate the amount of unrecognized deferred tax liabilities, if any, for foreign earnings deemed to be permanently reinvested. In the first quarter of 2016, we reviewed the impact of recently enacted U.S. tax legislation, the most significant of which is the Protecting Americans from Tax Hikes Act of 2015 ("PATH Act of 2015"), which extended the rules allowing us to forego bonus depreciation in exchange for refunds of previously paid Alternative Minimum Tax ("AMT"). This change resulted in the likely realization of our deferred AMT credits, on a more likely than not basis, which supports the release of the associated valuation allowance. In addition, the PATH Act of 2015 extended the "look-through rule," under subpart F of the U.S. Internal Revenue Code, which had expired for us on September 30, 2015. The "look-through rule" had provided an exception to the U.S. taxation of certain income generated by foreign subsidiaries. The rule was extended in December 2015 with retroactive effect to the beginning of our 2016 fiscal year, and the rule will remain in place through our 2020 fiscal year. This rule extension allowed us to reverse recently recognized deferred tax liabilities associated with earnings in foreign jurisdictions. However, since the reversal of this deferred tax liability also had an associated and completely offsetting valuation allowance effect, there was no impact to total deferred taxes due to this change. Also in the first quarter of 2016, we elected to early adopt the provisions of ASU 2015-17, “Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes.” This ASU requires the offset of all deferred tax assets and liabilities, including valuation allowances, for each tax-paying jurisdiction within each tax-paying component. The net deferred tax must be presented as a single noncurrent amount for each jurisdiction. In accordance with the adoption provisions of ASU 2015-17, we have chosen to apply this change prospectively, and as a result, prior year amounts are maintained as originally filed. The following table presents the components of the deferred tax asset (liability): As of October 31, (in millions) 2016 2015 Deferred tax assets attributable to: Employee benefits liabilities $ 1,274 $ 1,253 Net operating loss ("NOL") carryforwards 1,324 1,161 Product liability and warranty accruals 362 419 Research and development 172 135 Tax credit carryforwards 262 266 Other 232 239 Gross deferred tax assets 3,626 3,473 Less: Valuation allowances 3,434 3,260 Net deferred tax assets $ 192 $ 213 Deferred tax liabilities attributable to: Unremitted foreign earnings $ — $ (37 ) Other (31 ) (26 ) Total deferred tax liabilities $ (31 ) $ (63 ) At October 31, 2016 , deferred tax assets attributable to NOL carryforwards include $945 million attributable to U.S. federal NOL carryforwards, $150 million attributable to state NOL carryforwards, and $229 million attributable to foreign NOL carryforwards. If not used to reduce future taxable income, U.S. federal NOLs are scheduled to expire beginning in 2025. State NOLs can be carried forward for initial periods of 5 to 20 years, and are scheduled to expire in 2017 to 2036. Approximately one third of our foreign net operating losses will expire, beginning in 2028, while the majority of the remaining balance has no expiration date. There are $63 million of NOL carryforwards relating to stock option tax benefits which are deferred until utilization of our net operating losses. These tax benefits will be allocated to Additional paid-in capital when recognized. The majority of our tax credits can be carried forward for initial periods of 20 years, and are scheduled to expire in 2019 to 2036. AMT credits can be carried forward indefinitely. A valuation allowance is required to be established or maintained when, based on currently available information, it is more likely than not that all or a portion of a deferred tax asset will not be realized. The guidance on accounting for income taxes provides important factors in determining whether a deferred tax asset will be realized, including whether there has been sufficient taxable income in recent years and whether sufficient income can reasonably be expected in future years in order to utilize the deferred tax asset. For the year ended October 31, 2016 , we have evaluated the need to maintain a valuation allowance for deferred tax assets based on our assessment of whether it is more likely than not that deferred tax benefits will be realized through the generation of future taxable income. Appropriate consideration is given to all available evidence, both positive and negative, in assessing the need for a valuation allowance. We have concluded that the valuation allowance on our U.S. deferred AMT credits is no longer necessary due to the enactment of the PATH Act of 2015. This partial valuation allowance release resulted in an income tax benefit of $13 million which was recorded in the first quarter of 2016. We incurred additional domestic losses from continuing operations for the years ended October 31, 2016 , 2015 , and 2014 , resulting in objective negative evidence of cumulative losses that outweighs the subjective positive evidence. The qualitative and quantitative analysis of current and expected domestic earnings, industry volumes, tax planning strategies, and general business risks resulted in a more likely than not conclusion of not being able to realize a significant portion of our deferred tax assets as of October 31, 2016 . We continue to maintain valuation allowances on certain other foreign deferred tax assets that we believe, on a more-likely-than-not basis, will not be realized based on current forecasted results. For all remaining deferred tax assets, while we believe that it is more likely than not that they will be realized, we believe that it is reasonably possible that additional deferred tax asset valuation allowances could be required in the next twelve months. The total deferred tax asset valuation allowances were $3.4 billion and $3.3 billion at October 31, 2016 and 2015 , respectively. In the event we released all of our valuation allowances, almost all would impact income taxes as a benefit in our Consolidated Statements of Operations. We recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the consolidated financial statements from such a position are measured based on the largest benefit that has a greater than fifty percent likelihood of being realized upon ultimate settlement. As of October 31, 2016 , the amount of liability for uncertain tax positions was $50 million . The liability at October 31, 2016 has a recorded offsetting tax benefit associated with various issues that total $12 million . If the unrecognized tax benefits are recognized, all would impact our effective tax rate. However, to the extent we continue to maintain a full valuation allowance against certain deferred tax assets, the effect may be in the form of an increase in the deferred tax asset related to our net operating loss carryforward, which would be offset by a full valuation allowance. Changes in the liability for uncertain tax positions are summarized as follows: (in millions) For the Year Ended October 31, 2016 Liability for uncertain tax positions at November 1 $ 41 Increase as a result of positions taken in prior periods 9 Decrease as a result of foreign currency translation adjustments — Settlements — Liability for uncertain tax positions at October 31 $ 50 We recognize interest and penalties related to uncertain tax positions as part of Income tax expense . Total interest and penalties related to our uncertain tax positions resulted in an income tax expense of less than $1 million and $1 million for the years ended October 31, 2016 and 2015 , respectively, and an income tax benefit of $4 million for the year ended October 31, 2014 . The total interest and penalties accrued were $8 million for both of the years ended October 31, 2016 and 2015 . We have open tax years back to 2001 with various significant taxing jurisdictions including the U.S., Canada, Mexico, and Brazil. In connection with the examination of tax returns, contingencies may arise that generally result from differing interpretations of applicable tax laws and regulations as they relate to the amount, timing, or inclusion of revenues or expenses in taxable income, or the sustainability of tax credits to reduce income taxes payable. We believe we have sufficient accruals for our contingent tax liabilities. Annual tax provisions include amounts considered sufficient to pay assessments that may result from examinations of prior year tax returns, although actual results may differ. While it is probable that the liability for unrecognized tax benefits may increase or decrease during the next twelve months, we do not expect any such change would have a material effect on our financial condition, results of operations, or cash flows. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Oct. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair value measurements | Fair Value Measurements For assets and liabilities measured at fair value on a recurring and nonrecurring basis, a three-level hierarchy of measurements based upon observable and unobservable inputs is used to arrive at fair value. Observable inputs are developed based on market data obtained from independent sources, while unobservable inputs reflect our assumptions about valuation based on the best information available in the circumstances. Depending on the inputs, we classify each fair value measurement as follows: • Level 1—based upon quoted prices for identical instruments in active markets, • Level 2—based upon quoted prices for similar instruments, prices for identical or similar instruments in markets that are not active, or model-derived valuations, all of whose significant inputs are observable, and • Level 3—based upon one or more significant unobservable inputs. The following section describes key inputs and assumptions in our valuation methodologies: Cash Equivalents and Restricted Cash Equivalents —We classify highly liquid investments, with an original maturity of 90 days or less, including U.S. Treasury bills, federal agency securities, and commercial paper, as cash equivalents. The carrying amounts of cash and cash equivalents and restricted cash approximate fair value because of the short-term maturity and highly liquid nature of these instruments. Marketable Securities —Our marketable securities portfolios are classified as available-for-sale and primarily include investments in U.S. government securities and commercial paper with an original maturity greater than 90 days. We use quoted prices from active markets to determine fair value. Derivative Assets and Liabilities —We measure the fair value of derivatives assuming that the unit of account is an individual derivative transaction and that each derivative could be sold or transferred on a stand-alone basis. We classify within Level 2 our derivatives that are traded over-the-counter and valued using internal models based on observable market inputs. In certain cases, market data is not available and we estimate inputs such as in situations where trading in a particular commodity is not active. Measurements based upon these unobservable inputs are classified within Level 3. For more information regarding derivatives, see Note 13, Financial Instruments and Commodity Contracts . Guarantees —We provide certain guarantees of payments and residual values to specific counterparties. Fair value of these guarantees is based upon internally developed models that utilize current market-based assumptions and historical data. We classify these liabilities within Level 3. For more information regarding guarantees, see Note 14, Commitments and Contingencies. The following table presents the financial instruments measured at fair value on a recurring basis: As of October 31, 2016 As of October 31, 2015 (in millions) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Assets Marketable securities: U.S. Treasury bills $ 6 $ — $ — $ 6 $ 53 $ — $ — $ 53 Other 40 — — 40 106 — — 106 Derivative financial instruments: Commodity forward contracts (A) — 2 — 2 — — — — Foreign currency contracts (A) — — — — — 1 — 1 Interest rate caps (B) — 1 — 1 — — — — Total assets $ 46 $ 3 $ — $ 49 $ 159 $ 1 $ — $ 160 Liabilities Derivative financial instruments: Commodity forward contracts (C) $ — $ — $ — $ — $ — $ 2 $ — $ 2 Foreign currency contracts (C) — — — — — 2 — 2 Guarantees — — 23 23 — — 10 10 Total liabilities $ — $ — $ 23 $ 23 $ — $ 4 $ 10 $ 14 _________________________ (A) The asset value of commodity forward contracts and foreign currency contracts is included in Other current assets in the accompanying Consolidated Balance Sheets . (B) The asset value of interest rate caps is included in Other noncurrent assets in the accompanying Consolidated Balance Sheets. (C) The liability value of commodity forward contracts and foreign currency contracts is included in Other current liabilities in the accompanying Consolidated Balance Sheets. The following table presents the changes for those financial instruments classified within Level 3 of the valuation hierarchy: (in millions) October 31, 2016 October 31, 2015 Guarantees, at beginning of period $ (10 ) $ (8 ) Transfers out of Level 3 — — Issuances (17 ) (5 ) Settlements 4 3 Guarantees, at end of period $ (23 ) $ (10 ) Change in unrealized gains on assets (liabilities) still held $ — $ — The following table presents the financial instruments measured at fair value on a nonrecurring basis: (in millions) October 31, 2016 October 31, 2015 Level 2 financial instruments Carrying value of impaired finance receivables (A) $ 15 $ 21 Specific loss reserve (8 ) (9 ) Fair value $ 7 $ 12 _________________________ (A) Certain impaired finance receivables are measured at fair value on a nonrecurring basis. An impairment charge is recorded for the amount by which the carrying value of the receivables exceeds the fair value of the underlying collateral, net of remarketing costs. Fair values of the underlying collateral are determined by reference to dealer vehicle value publications adjusted for certain market factors. In the second quarter of 2014, for the purpose of impairment evaluation we measured the implied fair value of our Brazilian engine reporting unit's goodwill and the fair value of an indefinite-lived intangible asset, a trademark. Our Brazilian engine reporting unit's goodwill was determined to be fully impaired and resulted in a non-cash charge of $142 million . In addition, the related trademark, with a carrying value of $43 million was determined to be impaired and a non-cash charge of $7 million was recognized. The impairment charges were included in Asset impairment charges in our Consolidated Statements of Operations . We utilized the income approach to determine the fair value of these Level 3 assets. For more information, see Note 7, Goodwill and Other Intangible Assets, Net . In addition, in 2014, the Truck segment recorded asset impairment charges of $33 million , which were primarily related to potential sales of assets requiring assessment of impairment for certain intangible and long-lived assets, reflecting our ongoing evaluation of our portfolio of assets to validate their strategic and financial fit. These charges were included in Asset impairment charges in our Consolidated Statements of Operations . We utilized the market approach to determine the fair values of these Level 2 and Level 3 assets. In addition to the methods and assumptions we use for the financial instruments recorded at fair value as discussed above, we use the following methods and assumptions to estimate the fair value for our other financial instruments that are not marked to market on a recurring basis. The carrying amounts of Cash and cash equivalents , Restricted cash , and Accounts payable approximate fair values because of the short-term maturity and highly liquid nature of these instruments. Finance receivables generally consist of retail and wholesale accounts and retail and wholesale notes. The carrying amounts of Trade and other receivables and retail and wholesale accounts approximate fair values as a result of the short-term nature of the receivables. The carrying amounts of wholesale notes approximate fair values as a result of the short-term nature of the wholesale notes and their variable interest rate terms. Due to the nature of the aforementioned financial instruments, they have been excluded from the fair value amounts presented in the table below. The fair values of our retail notes are estimated by discounting expected cash flows at estimated current market rates. The fair values of our retail notes are classified as Level 3 financial instruments. The fair values of our debt instruments classified as Level 1 were determined using quoted market prices. The 6.5% Tax Exempt Bonds, due 2040, are traded, but the trading market is illiquid, and as a result, the Loan Agreement underlying the Tax Exempt Bonds is classified as Level 2. The fair values of our Level 3 debt instruments are generally determined using internally developed valuation techniques such as discounted cash flow modeling. Inputs such as discount rates and credit spreads reflect our estimates of assumptions that market participants would use in pricing the instrument and may be unobservable. The following tables present the carrying values and estimated fair values of financial instruments: As of October 31, 2016 Estimated Fair Value Carrying Value (in millions) Level 1 Level 2 Level 3 Total Assets Retail notes $ — $ — $ 153 $ 153 $ 151 Notes receivable — — 1 1 1 Liabilities Debt: Manufacturing operations Senior Secured Term Loan Credit Facility, as Amended, due 2020 — — 1,037 1,037 1,009 8.25% Senior Notes, due 2022 1,180 — — 1,180 1,173 4.50% Senior Subordinated Convertible Notes, due 2018 (A) — — 189 189 189 4.75% Senior Subordinated Convertible Notes, due 2019 (A) — — 382 382 383 Financing arrangements — — 17 17 37 Loan Agreement related to 6.50% Tax Exempt Bonds, due 2040 — 233 — 233 220 Financed lease obligations — — 52 52 52 Other — — 26 26 28 Financial Services operations Asset-backed debt issued by consolidated SPEs, at various rates, due serially through 2022 — — 754 754 753 Bank credit facilities, at fixed and variable rates, due dates from 2017 through 2021 — — 851 851 861 Commercial paper, at variable rates, program matures in 2017 96 — — 96 96 Borrowings secured by operating and finance leases, at various rates, due serially through 2021 — — 98 98 98 As of October 31, 2015 Estimated Fair Value Carrying Value (in millions) Level 1 Level 2 Level 3 Total Assets Retail notes $ — $ — $ 170 $ 170 $ 166 Notes receivable — — 3 3 3 Liabilities Debt: Manufacturing operations Senior Secured Term Loan Credit Facility, as Amended, due 2020 — — 1,014 1,014 1,014 8.25% Senior Notes, due 2022 998 — — 998 1,168 4.50% Senior Subordinated Convertible Notes, due 2018 (A) — — 148 148 184 4.75% Senior Subordinated Convertible Notes, due 2019 (A) — — 289 289 373 Financing arrangements — — 17 17 43 Loan Agreement related to 6.50% Tax Exempt Bonds, due 2040 — 233 — 233 220 Financed lease obligations — — 111 111 111 Other — — 45 45 43 Financial Services operations Asset-backed debt issued by consolidated SPEs, at various rates, due serially through 2018 — — 865 865 864 Bank credit facilities, at fixed and variable rates, due dates from 2016 through 2020 — — 1,048 1,048 1,062 Commercial paper, at variable rates, program matures in 2017 86 — — 86 86 Borrowings secured by operating and finance leases, at various rates, due serially through 2020 — — 80 80 81 _________________________ (A) The carrying value represents the consolidated financial statement amount of the debt which excludes the allocation of the conversion feature to equity, while the fair value is based on internally developed valuation techniques such as discounted cash flow modeling for Level 3 convertible notes which include the equity feature. |
Financial Instruments and Commo
Financial Instruments and Commodity Contracts | 12 Months Ended |
Oct. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Financial Instruments and Commodity Contracts | Financial Instruments and Commodity Contracts Derivative Financial Instruments We use derivative financial instruments as part of our overall interest rate, foreign currency, and commodity risk management strategies to reduce our interest rate exposure, reduce exchange rate risk for transactional exposures denominated in currencies other than the functional currency, and minimize the effect of commodity price volatility. From time to time, we use foreign currency forward and option contracts to manage the risk of exchange rate movements that would affect the value of our foreign currency cash flows. Foreign currency exchange rate movements create a degree of risk by affecting the value of sales made and costs incurred in currencies other than the functional currency. In addition, we also use commodity forward contracts to manage our exposure to variability in certain commodity prices. We generally do not enter into derivative financial instruments for speculative or trading purposes and did not during the years ended October 31, 2016 , 2015 , and 2014 . None of our derivatives qualified for hedge accounting treatment during the years ended October 31, 2016 , 2015 , and 2014 . The majority of our derivative contracts are transacted under International Swaps and Derivatives Association master agreements. Each agreement permits the net settlement of amounts owed in the event of default or certain other termination events. For derivative financial instruments, we have elected not to offset derivative positions in the balance sheet with the same counterparty under the same agreement. Collateral is generally not required to be provided by our counter-parties for derivative contracts. However, certain of our derivative contracts contain provisions that require us to provide collateral if certain loss thresholds are exceeded. Collateral of less than $1 million and $1 million was provided as of October 31, 2016 and 2015 , respectively. We manage exposure to counter-party credit risk by entering into derivative financial instruments with various major financial institutions that can be expected to fully perform under the terms of such instruments. We do not anticipate nonperformance by any of the counter-parties. Our exposure to credit risk in the event of nonperformance by the counter-parties is limited to those assets that have been recorded, but have not yet been received in cash. At October 31, 2016 and 2015 , our exposure to the credit risk of others was $3 million and $1 million , respectively. The following table presents the location and amount of (gain) loss recognized in our Consolidated Statements of Operations related to derivatives: For the Years Ended October 31, (in millions) Location in Consolidated Statements of Operations 2016 2015 2014 Interest rate caps Interest expense $ — $ 1 $ 1 Cross currency swaps Other income, net — 2 3 Foreign currency contracts Other income, net — (9 ) (1 ) Commodity forward contracts Costs of products sold (1 ) 12 1 Total (gain) loss $ (1 ) $ 6 $ 4 Foreign Currency Contracts During 2016 and 2015 , we entered into foreign exchange forward and option contracts as economic hedges of anticipated cash flows denominated in Brazilian reais, euros, Canadian dollars, and Mexican pesos. All contracts were entered into to protect against the risk that the eventual cash flows resulting from certain transactions would be affected by changes in exchange rates between the U.S. dollar and the respective foreign currency. The following table presents the outstanding foreign currency contracts: (in millions) Currency Notional Amount Maturity As of October 31, 2016 Forward exchange contract EUR € 4 November 2016 - January 2017 (A) Forward exchange contract MXN ₱ 1,064 November 2016 - January 2017 (B) As of October 31, 2015 Forward exchange contract EUR € 30 November 2015 - October 2016 (C) Forward exchange contract CAD C$ 25 November 2015 Forward exchange contract MXN ₱ 1,270 November 2015 _________________________ (A) Forward exchange contracts of €1 million matured in November 2016, €1 million mature in December 2016, and €2 million mature in January 2017. (B) Forward exchange contracts of ₱404 million matured in November 2016 and ₱660 million mature in January 2017. (C) Forward exchange contracts of €2 million settled in November 2015, €3 million matured in November 2015, €3 million matured in December 2015, €4 million matured in January 2016, and €2 million matured each month from February 2016 through October 2016. Commodity Forward Contracts During 2016 and 2015 , we entered into commodity forward contracts as economic hedges of our exposure to variability in commodity prices for diesel fuel and steel. As of October 31, 2016 , we had outstanding diesel fuel contracts with aggregate notional values of $4 million and outstanding steel contracts with aggregate notional values of $8 million . The commodity forward contracts have various maturity dates through March 31, 2017 . As of October 31, 2015 , we had outstanding diesel fuel contracts with aggregate notional values of $24 million and outstanding steel contracts with aggregate notional values of $6 million . All of these contracts were entered into to protect against the risk that the eventual cash flows related to purchases of the commodities will be affected by changes in prices. Interest-Rate Contracts From time to time, we enter into various interest-rate contracts, interest rate caps, and cross currency swaps. As of both October 31, 2016 and 2015 , there were no outstanding cross currency swaps. We are exposed to interest rate and exchange rate risk as a result of our borrowing activities. The objective of these contracts is to mitigate fluctuations in earnings, cash flows, and fair value of borrowings. Our Mexican financial services operation uses interest rate caps and cross currency swaps to protect against the potential of rising interest rates as required by the terms of its variable-rate asset-backed securities, and fluctuations in the value of the peso, as required under our Mexican bank credit facilities. As of October 31, 2016 and 2015 , the notional amount of our outstanding interest rate caps at our Mexican financial services operation was $156 million and $108 million , respectively. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Oct. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Guarantees We occasionally provide guarantees that could obligate us to make future payments if the primary entity fails to perform under its contractual obligations. We have recognized liabilities for some of these guarantees in our Consolidated Balance Sheets as they meet the recognition and measurement provisions of U.S. GAAP. In addition to the liabilities that have been recognized, we are contingently liable for other potential losses under various guarantees. We do not believe that claims that may be made under such guarantees would have a material effect on our financial condition, results of operations, or cash flows. In March 2010, we entered into an operating agreement with GE Capital which contains automatic extensions and is subject to early termination provisions (the "Navistar Capital Operating Agreement"). Effective December 1, 2015, GE Capital assigned the Navistar Capital Operating Agreement to BMO Financial Group and its wholly-owned subsidiary BMO Harris Bank N.A. as part of General Electric’s sale of its GE Transportation Finance business. Under the terms of the Navistar Capital Operating Agreement, GE Capital was, and now BMO is, our third-party preferred source of retail customer financing for equipment offered by us and our dealers in the U.S. We refer to this alliance as "Navistar Capital." The Navistar Capital Operating Agreement contains a loss sharing arrangement for certain credit losses. Under the loss sharing arrangement, as amended, we generally reimburse our financing partner for credit losses in excess of the first 10% of the financed value of a contract; for certain leases we reimburse our financing partner for credit losses up to a maximum of the first 9.5% of the financed value of those lease contracts. Our exposure to loss is mitigated because contracts under the Navistar Capital Operating Agreement are secured by the financed equipment. There were $1.5 billion and $1.4 billion of outstanding loan principal and operating lease payments receivable at October 31, 2016 and 2015 , respectively, financed through the Navistar Capital Operating Agreement and subject to the loss sharing arrangements in the U.S. The related financed values of these outstanding contracts were $2.4 billion and $2.3 billion at October 31, 2016 and 2015 , respectively. Generally, we do not carry the contracts under the Navistar Capital Operating Agreement on our Consolidated Balance Sheets . However, for certain Navistar Capital financed contracts which we have accounted for as borrowings, we have recognized equipment leased to others of $48 million and $102 million and financed lease obligations of $51 million and $110 million , in our Consolidated Balance Sheets as of October 31, 2016 and 2015 , respectively. We also have issued a limited number of residual value guarantees, for which losses are generally capped, in connection with various leases. If substantial risk of loss has not transferred, we account for these arrangements as operating leases and revenue is recognized straight-line over the term of the lease. If substantial risk of loss has transferred, revenue is recognized upon sale and the amounts of the guarantees are estimated and recorded. Our guarantees are contingent upon the fair value of the leased assets at the end of the lease term. The amount of losses related to these arrangements has not been material to our Consolidated Statements of Operations or Consolidated Statements of Cash Flows and the value of the guarantees and accruals recorded are not material to our Consolidated Balance Sheets . We obtain certain stand-by letters of credit and surety bonds from third-party financial institutions in the ordinary course of business when required under contracts or to satisfy insurance-related requirements. As of October 31, 2016 , the amount of stand-by letters of credit and surety bonds was $88 million . In addition, as of October 31, 2016 , we have entered into various purchase commitments of $22 million and contracts that have cancellation fees of $52 million with various expiration dates through 2021. In the ordinary course of business, we also provide routine indemnifications and other guarantees, the terms of which range in duration and often are not explicitly defined. We do not believe these will result in claims that would have a material impact on our financial condition, results of operations, or cash flows. Environmental Liabilities We have been named a potentially responsible party ("PRP"), in conjunction with other parties, in a number of cases arising under an environmental protection law, the Comprehensive Environmental Response, Compensation, and Liability Act, popularly known as the "Superfund" law. These cases involve sites that allegedly received wastes from current or former Company locations. Based on information available to us which, in most cases, consists of data related to quantities and characteristics of material generated at current or former Company locations, material allegedly shipped by us to these disposal sites, as well as cost estimates from PRPs and/or federal or state regulatory agencies for the cleanup of these sites, a reasonable estimate is calculated of our share of the probable costs, if any, and accruals are recorded in our consolidated financial statements. These accruals are generally recognized no later than upon completion of the remedial feasibility study and are not discounted to their present value. We review all accruals on a regular basis and believe that, based on these calculations, our share of the potential additional costs for the cleanup of each site will not have a material effect on our financial condition, results of operations, or cash flows. Two sites formerly owned by us, Solar Turbines in San Diego, California, and the Canton Plant in Canton, Illinois, were identified as having soil and groundwater contamination. Two sites in Sao Paulo, Brazil, one at which we are currently operating and one where we formerly operated, were identified as having soil and groundwater contamination. While investigations and cleanup activities continue at these and other sites, we believe that we have adequate accruals to cover costs to complete the cleanup of all sites. We have accrued $20 million for these and other environmental matters, which are included within Other current liabilities and Other noncurrent liabilities , as of October 31, 2016 . The majority of these accrued liabilities are expected to be paid subsequent to 2017 . Along with other vehicle manufacturers, we have been subject to an increased number of asbestos-related claims in recent years. In general, these claims relate to illnesses alleged to have resulted from asbestos exposure from component parts found in older vehicles, although some cases relate to the alleged presence of asbestos in our facilities. In these claims, we are generally not the sole defendant, and the claims name as defendants numerous manufacturers and suppliers of a wide variety of products allegedly containing asbestos. We have strongly disputed these claims, and it has been our policy to defend against them vigorously. Historically, the actual damages paid out to claimants have not been material in any year to our financial condition, results of operations, or cash flows. It is possible that the number of these claims will continue to grow, and that the costs for resolving asbestos related claims could become significant in the future. Legal Proceedings Overview We are subject to various claims arising in the ordinary course of business, and are party to various legal proceedings that constitute ordinary, routine litigation incidental to our business. The majority of these claims and proceedings relate to commercial, product liability, and warranty matters. In addition, from time to time we are subject to various claims and legal proceedings related to employee compensation, benefits, and benefits administration including, but not limited to, compliance with the Employee Retirement Income Security Act of 1974, as amended ("ERISA"), and Department of Labor requirements. In our opinion, apart from the actions set forth below, the disposition of these proceedings and claims, after taking into account recorded accruals and the availability and limits of our insurance coverage, will not have a material adverse effect on our business or our financial condition, results of operations, or cash flows. Profit Sharing Disputes Pursuant to the 1993 Settlement Agreement, the program administrator and named fiduciary of the Supplemental Benefit Program is the Supplemental Benefit Program committee (the "Committee"), composed of individuals not appointed by NI or NIC. In August 2013, the Committee filed a motion for leave to amend its February 2013 complaint (which sought injunctive relief for the Company to provide certain information to which it was allegedly entitled under the Supplemental Benefit Trust Profit Sharing Plan) and a proposed amended complaint (the "Profit Sharing Complaint") in the U.S. District Court for the Southern District of Ohio (the "Court"). Leave to file the Profit Sharing Complaint was granted by the Court in October 2013. In its Profit Sharing Complaint, the Committee alleged the Company breached the 1993 Settlement Agreement and violated ERISA by failing to properly calculate profit sharing contributions due under the Supplemental Benefit Trust Profit Sharing Plan. The Committee seeks damages in excess of $50 million , injunctive relief and reimbursement of attorneys' fees and costs. In October 2013, the Company filed a Motion to Dismiss the Profit Sharing Complaint and to compel the Committee to comply with the dispute resolution procedures set forth in the Supplemental Benefit Trust Profit Sharing Plan. In March 2014, the Court denied the Company's Motion to Dismiss and ruled, among other things, that the Company waived its right to compel the Committee to comply with the dispute resolution provisions set forth in the Supplemental Benefit Trust Profit Sharing Plan. In April 2014, the Company appealed the Court's refusal to compel the Committee to comply with the dispute resolution process to the Court of Appeals for the 6th Circuit. The Company also filed a motion with the Court to stay all proceedings pending the appeal. In May 2014, the Court granted the motion to stay all proceedings, including discovery, pending the appeal. In March 2015, the 6 th Circuit Court of Appeals remanded the case to the Court with instructions that the Committee’s claims in the Profit Sharing Complaint be arbitrated. In May 2015, the Court ordered that the claims in the Profit Sharing Complaint be arbitrated pursuant to the dispute resolution procedures in the Supplemental Benefit Trust Profit Sharing Plan. In November 2015, the Company and the Committee selected an arbitrator and the discovery process has commenced. On August 1, 2016, the parties submitted briefs on issues related to the scope of the arbitration. In addition, various local bargaining units of the United Automobile, Aerospace and Agricultural Implement Workers of America ("UAW") have filed separate grievances pursuant to the profit sharing plans under various collective bargaining agreements in effect between the Company and the UAW that may have similar legal and factual issues as the Profit Sharing Complaint. Based on our assessment of the facts underlying the claims in the above actions, we are unable to provide meaningful quantification of how the final resolution of these claims may impact our future consolidated financial condition, results of operations, or cash flows. Retiree Health Care Litigation On October 21, 2016, two lawsuits were filed in the U.S. District Court for the Southern District of Ohio relating to postretirement healthcare and life insurance obligations under the 1993 Settlement Agreement. The first lawsuit (the “Committee’s Complaint”) was filed by the Supplemental Benefit Program Committee, which pursuant to the 1993 Settlement Agreement is composed of individuals not appointed by NI or NIC and is the Committee. The Committee’s Complaint was filed against NIC, NI, NFC and a former affiliate (collectively, the “Defendants”), all of which are parties to the 1993 Settlement Agreement. Since January 1, 2012, the Navistar, Inc. Retiree Health Benefit Trust, created pursuant to the 1993 Settlement Agreement (the “Base Trust”), has received certain Medicare Part D subsidies from the federal Centers for Medicare and Medicaid Services that were made available for prescription drug benefits provided to Medicare-eligible seniors pursuant to the Medicare Prescription Drug, Improvement, and Modernization Act of 2003 and has also received certain Medicare Part D coverage-gap discounts from prescription drug manufacturers that were made available to eligible seniors pursuant to the Patient Protection and Affordable Care Act (collectively, the “Subsidies”). The Committee alleges, among other things, that the Defendants breached the 1993 Settlement Agreement since January 1, 2012 by causing the Base Trust to allocate the Subsidies in a manner that improperly decreased the Defendants’ contributions to the Base Trust and increased retiree contributions. The Committee seeks damages, attorneys’ fees and costs for all alleged violations of the 1993 Settlement Agreement, including approximately $26 million, which the Committee alleges is the eligible retirees’ “fair share” of the Subsidies that were allegedly misappropriated by the Defendants from January, 2012 through April, 2015. The second lawsuit was filed by two individual members of the Committee (the “Committee Members”) who are retirees and participants in the Navistar, Inc. Health Benefit and Life Insurance Plan (the “Plan”) created pursuant to the 1993 Settlement Agreement. The Committee Members’ complaint (the “Committee Members’ Complaint”) was filed against NIC, NI, NFC and certain other former or current affiliates, all of which are parties or employers as defined in the 1993 Settlement Agreement. The Committee Members allege, among other things, that the Company violated the terms of the Plan, breached a fiduciary duty under the ERISA, and engaged in ERISA-prohibited transactions by improperly using the Plan’s assets (a portion of the Subsidies) for the Company’s benefit. The Committee Members request that the court order Defendants to restore all losses to the Base Trust, including approximately $26 million, which the Committee Members allege is the Plan participants’ “fair share” of the Subsidies that were allegedly misappropriated by the Defendants from January 2012 through April 2015. The Committee Members also request that the court enjoin the defendants from alleged future violations of the Plan and ERISA with respect to treatment of the Subsidies, order the Defendants to remedy all alleged ERISA-prohibited transactions and pay the Committee Members’ attorneys’ fees and costs. The Defendants' responses to each complaint are due in January 2017. Based on our assessment of the facts underlying the claims in the above actions, we are unable to provide meaningful quantification of how the final resolution of these claims may impact our future consolidated financial condition, results of operations, or cash flows. FATMA Notice International Indústria Automotiva da América do Sul Ltda. ("IIAA"), formerly known as Maxion International Motores S/A ("Maxion"), now a wholly owned subsidiary of the Company, received a notice in July 2010 from the State of Santa Catarina Environmental Protection Agency ("FATMA") in Brazil. The notice alleged that Maxion had sent wastes to a facility owned and operated by a company known as Natureza and that soil and groundwater contamination had occurred at the Natureza facility. The notice asserted liability against Maxion and assessed an initial penalty in the amount of R$2 million (the equivalent of approximately less than US $1 million at October 31, 2016 ), which is not due and final until all administrative appeals are exhausted. Maxion was one of numerous companies that received similar notices. IIAA filed an administrative defense in August 2010 and has not yet received a decision following that filing. IIAA disputes the allegations in the notice and intends to vigorously defend itself. Sao Paulo Groundwater Notice In March 2014, IIAA, along with other nearby companies, received from the Sao Paulo District Attorney (the "District Attorney") a notice and proposed Consent Agreement relating to alleged neighborhood-wide groundwater contamination at or around its Sao Paulo manufacturing facility. The proposed Consent Agreement sought certain groundwater investigations and other technical relief and proposed sanctions in the amount of R $3 million (the equivalent of approximately US $1 million at October 31, 2016 ). In November 2014, IIAA extended a settlement offer. The parties remained in discussions and IIAA’s settlement offer was never accepted, rejected or countered by the District Attorney. On August 31, 2016, the District Attorney filed civil actions against IIAA and other companies seeking soil and groundwater investigation and remediation, together with monetary payment in an unspecified amount. IIAA has not yet been served with the action. MaxxForce Engine EGR Warranty Litigation On June 24, 2014, N&C Transportation Ltd. filed a putative class action lawsuit against NIC, NI, Navistar Canada Inc., and Harbour International Trucks in Canada in the Supreme Court of British Columbia (the "N&C Action"). Subsequently, six additional, similar putative class action lawsuits have been filed in Canada (together with the N&C Action, the "Canadian Actions"). From June 13-17, 2016, the court conducted a certification hearing in the N&C Action. On November 16, 2016, the court certified a Canada-wide class comprised of persons who purchased heavy-duty trucks equipped with Advanced EGR MaxxForce 11, MaxxForce 13, and MaxxForce 15 engines designed to meet 2010 EPA regulations. The N&C court denied certification to persons who operated but did not buy the trucks in question. There are no court dates scheduled in any of the other Canadian Actions at this time. On July 7, 2014, Par 4 Transport, LLC filed a putative class action lawsuit against NI in the United States District Court for the Northern District of Illinois (the "Par 4 Action"). Subsequently, seventeen additional putative class action lawsuits were filed in various United States district courts, including the Northern District of Illinois, the Eastern District of Wisconsin, the Southern District of Florida, the Middle District of Pennsylvania, the Southern District of Texas, the Western District of Kentucky, the District of Minnesota, the Northern District of Alabama, and the District of New Jersey (together with the Par 4 Action, the "U.S. Actions"). Some of the U.S. Actions name both NIC and NI, and allege matters substantially similar to the Canadian Actions. More specifically, the Canadian Actions and the U.S. Actions (collectively, the "EGR Class Actions") seek to certify a class of persons or entities in Canada or the United States who purchased and/or leased a ProStar or other Navistar vehicle equipped with a model year 2008-2013 MaxxForce Advanced EGR engine. In substance, the EGR Class Actions allege that the MaxxForce Advanced EGR engines are defective and that the Company and NI failed to disclose and correct the alleged defect. The EGR Class Actions assert claims based on theories of contract, breach of warranty, consumer fraud, unfair competition, misrepresentation and negligence. The EGR Class Actions seek relief in the form of monetary damages, punitive damages, declaratory relief, interest, fees, and costs. On October 3, 2014, NIC and NI filed a motion before the United States Judicial Panel on Multidistrict Litigation (the "MDL Panel") seeking to transfer and consolidate before Judge Joan B. Gottschall of the United States District Court for the Northern District of Illinois all of the then-pending U.S. Actions, as well as certain non-class action MaxxForce Advanced EGR engine lawsuits pending in various federal district courts. On December 17, 2014, Navistar's motion to consolidate the U.S. Actions and certain other non-class action lawsuits was granted. The MDL Panel issued an order consolidating all of the U.S. Actions that were pending on the date of Navistar’s motion before Judge Gottschall in the United States District Court for the Northern District of Illinois (the "MDL Action"). The MDL Panel also consolidated into the MDL Action certain non-class action MaxxForce Advanced EGR engine lawsuits pending in the various federal district courts. For putative class action EGR warranty lawsuits filed subsequent to Navistar’s original motion, we continue to request that the MDL Panel similarly transfer and consolidate these U.S. Actions. At the request of the various law firms representing the plaintiffs in the MDL Action, on March 5, 2015, Judge Gottschall entered an order in the MDL Action appointing interim lead counsel and interim liaison counsel for the plaintiffs. On May 11, 2015, lead counsel for the plaintiffs filed a First Master Consolidated Class Action Complaint ("Consolidated Complaint"). The parties to the MDL Action exchanged initial disclosures on May 29, 2015. The Company answered the Consolidated Complaint on July 13, 2015. On May 27, 2016, Judge Gottschall entered a Case Management Order setting a July 13, 2017, date for plaintiffs’ class certification motion. On September 22, 2016, lead counsel for the plaintiffs filed a First Amended Consolidated Class Action Complaint (the “Amended Consolidated Complaint”). The Amended Consolidated Complaint added twenty-five additional named plaintiffs. NI and NIC answered the Amended Consolidated Complaint on October 20, 2016. After a status hearing on November 30, 2016, the court entered an order referring discovery matters to a magistrate judge for supervision. Based on our assessment of the facts underlying the claims in the above actions, we are unable to provide meaningful quantification of how the final resolution of these claims may impact our future consolidated financial condition, results of operations, or cash flows. EPA Clean Air Act Litigation In February 2012, NI received a Notice of Violation ("NOV") from the United States Environmental Protection Agency (the "EPA") pertaining to certain heavy-duty diesel engines which, according to the EPA, were not completely assembled by NI until calendar year 2010 and, therefore, were not covered by NI's model year 2009 certificates of conformity. The NOV concluded that Navistar, Inc.'s introduction into commerce of each of these engines violated the Federal Clean Air Act. On July 14, 2015, the Department of Justice ("DOJ"), on behalf of the EPA, filed a lawsuit against NIC and NI in the U.S. District Court for the Northern District of Illinois. Similar to the NOV, the lawsuit alleges that NIC and NI introduced into commerce approximately 7,749 heavy-duty diesel engines that were not covered by model year 2009 certificates of conformity because those engines were not completely assembled until calendar year 2010, resulting in violations of the Federal Clean Air Act. On July 16, 2015, the DOJ filed an Amended Complaint clarifying the amount of civil penalties being sought. The lawsuit requests injunctive relief and the assessment of civil penalties of up to $37,500 for each violation. On September 14, 2015, NIC and NI each filed an Answer and Affirmative Defenses to the Amended Complaint. We dispute the allegations in the lawsuit. Discovery in the matter will proceed in two phases. Fact discovery for the liability phase commenced on December 9, 2015. Pursuant to a Case Management Order entered on August 1, 2016, fact discovery is currently scheduled to be completed on February 9, 2017, followed by expert discovery, and the deadline for dispositive motions is July 20, 2017. After completion of the first phase, the court will, if necessary, set further dates for a remedy phase. On May 13, 2016, the DOJ filed a motion for summary judgment on liability. On June 30, 2016, NIC and NI opposed EPA's motion for summary judgment, and NIC cross-moved for summary judgment against EPA. NIC and NI filed a notice of supplemental authority and moved to supplement the summary judgment record on September 22, 2016. The parties’ dispositive motions are fully briefed and a ruling on the motions is pending. Based on our assessment of the facts underlying the complaint above, we are unable to provide meaningful quantification of how the final resolution of this matter may impact our future consolidated financial condition, results of operations or cash flows. Shareholder Litigation In March 2013, a putative class action complaint, alleging securities fraud, was filed against us by the Construction Workers Pension Trust Fund - Lake County and Vicinity, on behalf of itself and all other similarly situated purchasers of our common stock between the period of November 3, 2010 and August 1, 2012. A second class action complaint was filed in April 2013 by the Norfolk County Retirement System, individually and on behalf of all other similarly situated purchasers of our common stock between the period of June 9, 2010 and August 1, 2012. A third class action complaint was filed in April 2013 by Jane C. Purnell FBO Purnell Family Trust, on behalf of itself and all other similarly situated purchasers of our common stock between the period of November 3, 2010 and August 1, 2012. Each complaint named us as well as Daniel C. Ustian, our former President and Chief Executive Officer, and Andrew J. Cederoth, our former Executive Vice President and Chief Financial Officer as defendants. These complaints (collectively, the "10b-5 Cases") contain similar factual allegations which include, among other things, that we violated the federal securities laws by knowingly issuing materially false and misleading statements concerning our financial condition and future business prospects and that we misrepresented and omitted material facts in filings with the U.S. Securities Exchange Commission (“SEC") concerning the timing and likelihood of EPA certification of our EGR technology to meet 2010 EPA emission standards. The plaintiffs in these matters seek compensatory damages and attorneys' fees, among other relief. In May 2013, an order was entered transferring and consolidating all 10b-5 Cases before one judge sitting in the U.S. District Court for the Northern District of Illinois and in July 2013, the court appointed a lead plaintiff and lead plaintiff's counsel. The lead plaintiff filed a Consolidated Amended Complaint in October 2013. The Consolidated Amended Complaint enlarged the proposed class period to June 9, 2009 through August 1, 2012, and named fourteen additional current and former directors and officers as defendants. On December 17, 2013, defendants filed a motion to dismiss the Consolidated Amended Complaint. On July 22, 2014, the court granted the defendants' Motion to Dismiss, but gave the lead plaintiff leave to file a second consolidated amended complaint by August 22, 2014. On August 22, 2014, the plaintiff filed a Second Amended Complaint, On July 10, 2015, the court issued its Opinion and Order on defendants' Motion to Dismiss the Second Amended Complaint. The Motion to Dismiss was granted in part and denied in part. Specifically, the court (i) dismissed all of plaintiff’s claims against the Company, Andrew J. Cederoth and Jack Allen and (ii) dismissed all of plaintiff’s claims against Daniel C. Ustian, the only remaining defendant, except for claims regarding two of Mr. Ustian’s statements. Further, all of the dismissed claims were dismissed with prejudice except for claims based on statements made subsequent to the lead plaintiff’s last purchase of the Company’s stock (the “Post-Purchase Claims”). At a December 1, 2015 status conference, the parties reported that a settlement in principle had been reached. On May 25, 2016, the court entered an order preliminarily approving the settlement, as well as the class notice to be sent in connection with the settlement. On November 1, 2016, following the final approval hearing, the court entered an Order and Final Judgment approving the settlement and terminating the 10b-5 Cases. In March 2013, James Gould filed a derivative complaint in the U.S. District Court for the Northern District of Illinois on behalf of the Company against us and certain of our current and former directors and former officers. The complaint alleges, among other things, that certain of our current and former directors and former officers committed a breach of fiduciary duty, waste of corporate assets and were unjustly enriched in relation to similar factual allegations made in the 10b-5 Cases. The plaintiff in this matter seeks compensatory damages, certain corporate governance reforms, certain injunctive relief, disgorgement of the proceeds of certain defendants' profits from the sale of Company stock, and attorneys' fees, among other relief. On May 3, 2013, the court entered a Stipulation and Order to Stay Action, staying the case pending further order of the court or entry of an order on the motion to dismiss the Consolidated Amended Complaint in the 10b-5 Cases. The court entered an order on August 27, 2014, continuing the stay pending a ruling on defendants' motion to dismiss the Second Amended Complaint in the 10b-5 Cases. The court has continued to extend the stay since that time. In August 2013, Abbie Griffin filed a derivative complaint in the State of Delaware Court of Chancery, on behalf of the Company against us and certain of our current and former directors and former officers. The complaint alleges, among other things, that certain of our current and former directors and former officers committed a breach of fiduciary duty, in relation to similar factual allegations made in the 10b-5 Cases. The plaintiff in this matter seeks compensatory damages, certain corporate governance reforms, certain injunctive relief, and attorneys' fees, among other relief. On August 29, 2013, the court entered an order staying the case pending resolution of the defendant's motion to dismiss the Consolidated Amended Complaint in the 10b-5 Cases. On August 5, 2014, the parties filed a status report requesting that the August 2013 stay order remain in place pending a ruling on the motion to dismiss the Second Amended Complaint in the 10b-5 Cases. The court has continued to extend the stay since that time. On November 9, 2016, the parties conducted a mediation and reached an agreement in principle to settle both the Gould action and the Griffin action. The settlement includes certain corporate governance reforms and an agreement on a total fee petition on behalf of plaintiffs’ counsel. The Company expects the fee to be paid by insurance. On November 22, 2016, the parties filed a Joint Status Report in the Gould case stating that they had reached an agreement in principle. On December 6, 2016, the parties executed the Stipulation of Settlement, and plaintiff in the Gould action filed an Unopposed Motion for Preliminary Approval of Shareholder Derivative Settlement. On December 12, 2016, the Gould court entered an Order preliminarily approving of Settlement and providing for notice of the settlement. Also on December 12, 2016, the parties in the Griffin action filed a Stipulation and Proposed Order Extending Stay, notifying the Delaware Court of the settlement and the Gould court’s preliminary approval. The Delaware Court entered that order on December 13, 2016. Stockholders are directed to "Quick Links" on the Company’s Investor Relations Webpage at http://www.navistar.com/navistar/investors/ for additional information concerning the settlement, including a link to the Stipulation of Settlement and the Notice of Proposed Settlement. Any final resolution of these matters is contingent on the Court’s final approval of the Settlement at a hearing scheduled for February 15, 2017. If the settlement is finally approved, both the Gould action and the Griffin action will be dismissed with prejudice. Brazil Truck Dealer Disputes In January 2014, IIAA initiated an arbitration proceeding under the International Chamber of Commerce rules seeking payment for goods sold and unpaid, in the amount of R $64 million (approximately US $20 million as of October 31, 2016 ), including penalties and interest, from a group of affiliated truck dealers in Brazil. The truck dealers are affiliated |
Segment Reporting
Segment Reporting | 12 Months Ended |
Oct. 31, 2016 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment Reporting The following is a description of our four reporting segments: • Our Truck segment manufactures and distributes Class 4 through 8 trucks, buses, and military vehicles under the International and IC Bus ("IC") brands, and produces engines under our proprietary brand name and parts required to support the military truck lines. This segment sells its products in the U.S., Canada, and Mexico markets, as well as through our export truck business. In an effort to strengthen and maintain our dealer network, this segment occasionally acquires and operates dealer locations for the purpose of transitioning ownership. • Our Parts segment provides customers with proprietary products needed to support the International commercial truck, IC Bus, proprietary engine lines, and export parts business, as well as our other product lines. Our Parts segment also provides a wide selection of other standard truck, trailer, and engine aftermarket parts. Also included in the Parts segment are the operating results of BDP, which manages the sourcing, merchandising, and distribution of certain service parts we sell to Ford in North America. • Our Global Operations segment primarily consists of the IIAA, formerly MWM International Industria De Motores Da America Do Sul Ltda., engine and truck operations in Brazil. The IIAA engine operations produce diesel engines, primarily under contract manufacturing arrangements, as well as under the MWM brand, for sale to OEMs in South America. In addition, our Global Operations segment includes the operating results of our joint venture in China with Anhui Jianghuai Automobile Co ("JAC"). • Our Financial Services segment provides retail, wholesale, and lease financing of products sold by the Truck and Parts segments and their dealers within the U.S. and Mexico, as well as financing for wholesale accounts and selected retail accounts receivable. Corporate contains those items that are not included in our four segments. Segment Profit (Loss) We define segment profit (loss) as net income (loss) from continuing operations attributable to NIC, excluding income tax expense. Selected financial information from our Consolidated Statements of Operations and our Consolidated Balance Sheets is as follows: • The costs of profit sharing and annual incentive compensation for the Manufacturing operations are included in corporate expenses. • Interest expense and interest income for the Manufacturing operations are reported in corporate expenses. • The Financial Services segment finances certain sales to our dealers in North America, which include an interest-free period that varies in length, that are subsidized by our Truck and Parts segments. Additionally, the Financial Services segment reports intersegment revenues from secured loans to the Manufacturing operations. Certain retail sales financed by the Financial Services segment, primarily NFC, require the Manufacturing operations, primarily the Truck segment, to share a portion of any credit losses. • We allocate "access fees" to the Parts segment from the Truck segment for certain engineering and product development costs, depreciation expense, and SG&A expenses incurred by the Truck segment based on the relative percentage of certain sales, as adjusted for cyclicality. • Other than the items discussed above, the selected financial information presented below is presented in accordance with our policies described in Note 1, Summary of Significant Accounting Policies. The following tables present selected financial information for our reporting segments: (in millions) Truck Parts Global Operations Financial (A) Corporate Total Year Ended October 31, 2016 External sales and revenues, net $ 5,271 $ 2,398 $ 296 $ 135 $ 10 $ 8,110 Intersegment sales and revenues 132 29 45 100 (305 ) 1 Total sales and revenues, net $ 5,403 $ 2,427 $ 341 $ 235 $ (295 ) $ 8,111 Income (loss) from continuing operations attributable to NIC, net of tax $ (189 ) $ 640 $ (21 ) $ 100 $ (627 ) $ (97 ) Income tax expense — — — — (33 ) (33 ) Segment profit (loss) $ (189 ) $ 640 $ (21 ) $ 100 $ (594 ) $ (64 ) Depreciation and amortization $ 129 $ 13 $ 18 $ 50 $ 15 $ 225 Interest expense — — — 80 247 327 Equity in income (loss) of non-consolidated affiliates 5 4 (3 ) — — 6 Capital expenditures (B) 97 2 4 2 11 116 (in millions) Truck Parts Global Operations Financial (A) Corporate Total Year Ended October 31, 2015 External sales and revenues, net $ 7,055 $ 2,475 $ 455 $ 145 $ 10 $ 10,140 Intersegment sales and revenues 158 38 51 96 (343 ) — Total sales and revenues, net $ 7,213 $ 2,513 $ 506 $ 241 $ (333 ) $ 10,140 Income (loss) from continuing operations attributable to NIC, net of tax $ (141 ) $ 592 $ (67 ) $ 98 $ (669 ) $ (187 ) Income tax expense — — — — (51 ) (51 ) Segment profit (loss) $ (141 ) $ 592 $ (67 ) $ 98 $ (618 ) $ (136 ) Depreciation and amortization $ 173 $ 14 $ 23 $ 51 $ 20 $ 281 Interest expense — — — 74 233 307 Equity in income (loss) of non-consolidated affiliates 5 4 (3 ) — — 6 Capital expenditures (B) 92 3 4 4 12 115 (in millions) Truck Parts Global Operations Financial (A) Corporate Total Year Ended October 31, 2014 External sales and revenues, net $ 7,255 $ 2,493 $ 905 $ 153 $ — $ 10,806 Intersegment sales and revenues 218 58 35 79 (390 ) — Total sales and revenues, net $ 7,473 $ 2,551 $ 940 $ 232 $ (390 ) $ 10,806 Income (loss) from continuing operations attributable to NIC, net of tax $ (380 ) $ 528 $ (274 ) $ 97 $ (593 ) $ (622 ) Income tax expense — — — — (26 ) (26 ) Segment profit (loss) $ (380 ) $ 528 $ (274 ) $ 97 $ (567 ) $ (596 ) Depreciation and amortization $ 216 $ 15 $ 28 $ 46 $ 27 $ 332 Interest expense — — — 71 243 314 Equity in income of non-consolidated affiliates 5 4 — — — 9 Capital expenditures (B) 65 6 8 1 8 88 (in millions) Truck Parts Global Operations Financial Services Corporate and Eliminations Total Segment assets, as of: October 31, 2016 $ 1,520 $ 594 $ 407 $ 2,116 $ 1,016 $ 5,653 October 31, 2015 1,876 641 409 2,448 1,275 6,649 _________________________ (A) Total sales and revenues in the Financial Services segment include interest revenues of $167 million , $175 million , and $170 million for the years ended October 31, 2016 , 2015 , and 2014 , respectively. (B) Exclusive of purchases of equipment leased to others. No single customer accounted for more than 10% of consolidated sales and revenues for the years ended October 31, 2016 , 2015 and 2014 . Sales and revenues to external customers classified by significant products and services were as follows: For the Years Ended October 31, (in millions) 2016 2015 2014 Sales and revenues: Trucks $ 5,176 $ 6,845 $ 7,137 Parts 2,216 2,399 2,424 Engine 583 751 1,092 Financial Services 136 145 153 Information concerning principal geographic areas is presented as follows: For the Years Ended October 31, (in millions) 2016 2015 2014 Sales and revenues: (A) United States $ 6,186 $ 7,699 $ 7,760 Canada 604 774 749 Mexico 575 653 657 Brazil 240 383 833 Other 506 631 807 As of October 31, (in millions) 2016 2015 Long-lived assets: (B) United States $ 999 $ 1,126 Canada 20 19 Mexico 202 186 Brazil 103 98 Other 8 11 __________________________ (A) During 2016, we identified certain sales included in Brazil which should have been classified as Other. As a result, for the year ended October 31, 2015 we have reclassified $103 million of sales. Also during 2016, we identified certain parts sales which were included in United States which should have been classified as Other due to a 2015 change in our segment reporting presentation. As a result, for the year ended October 31, 2015 we have reclassified $23 million of sales. These reclassifications did not impact our Consolidated Statements of Operations or our segment sales and revenues. (B) Long-lived assets consist of Property and equipment, net , Goodwill, and Intangible assets, net . |
Stockholders' Deficit
Stockholders' Deficit | 12 Months Ended |
Oct. 31, 2016 | |
Equity [Abstract] | |
Stockholders' Deficit | Stockholders' Deficit Preferred and Preference Stocks NIC has authorized 30 million shares of preferred stock, none of which have been issued, with a par value of $1.00 per share. NIC has authorized 10 million shares of preference stock with a par value of $1.00 per share. Currently, Series B Nonconvertible Junior Preference Stock ("Series B") and Series D Convertible Junior Preference Stock ("Series D") are outstanding. The UAW holds the Series B and is currently entitled to elect one member of our Board of Directors. As of October 31, 2016 and 2015 , there was one share of Series B Preference stock with a par value of $1.00 per share authorized and outstanding. As of October 31, 2016 and 2015 , there were 70,182 and 70,282 shares, respectively, of Series D issued and outstanding. These shares were issued with a par value of $1.00 per share, an optional redemption price, and a liquidation preference of $25 per share plus accrued dividends. The Series D stock may be converted into NIC common stock at the holder's option (subject to adjustment in certain circumstances); upon conversion each share of Series D stock is converted to 0.3125 shares of common stock. The Series D stock ranks senior to common stock as to dividends and liquidation and receives dividends at a rate of 120% of the cash dividends on common stock as declared on an as-converted basis. Common Stock At October 31, 2016 , our amount of authorized shares of Common Stock was 220 million , with a par value of $0.10 per share. At October 31, 2016 and 2015 , we had 81.6 million shares and 81.5 million shares, respectively, of common stock outstanding, net of common stock held in treasury. Volkswagen Truck & Bus GmbH Stock Purchase Agreement On September 5, 2016, NIC and Volkswagen Truck & Bus GmbH (“VW T&B”) announced a Stock Purchase Agreement (the "Stock Purchase Agreement"), pursuant to which we will issue and VW T&B will purchase an estimated 19.9% stake ( 16.6% on a pro forma basis) in the Company (the “Share Issuance”), and a Stockholder Agreement ("Stockholder Agreement"), which governs the rights and obligations of the parties in connection with the share issuance. The Board of Directors of the Company has approved the share issuance for purposes of Section 203 of the Delaware General Corporation Law (“DGCL”) and the Company and VW T&B have announced an agreement which permits VW T&B to acquire up to 20% of the Company without triggering the restrictions that would otherwise be imposed under Section 203 of the DGCL. VW T&B will also designate two people who are approved by the Company to be appointed to Navistar's Board of Directors. Subject to the terms and conditions set forth in the Stock Purchase Agreement, at the closing, we will issue to VW T&B 16.2 million shares of our common stock for a purchase price of $15.76 per share and an aggregate purchase amount of $256 million . In addition to the agreements governing the Share Issuance, our operating subsidiary, NI concurrently entered into a Framework Agreement Concerning Technology Licensing and Supply (the “License and Supply Framework Agreement”) and a Procurement JV Framework Agreement (the “Procurement JV Framework Agreement”) with VW T&B. Pursuant to the License and Supply Framework Agreement, the parties have agreed to use commercially reasonable efforts to enter into certain individual contracts in respect of the licensing and supply of certain engines and technologies, conduct feasibility studies in order to investigate the feasibility of sharing certain technologies and begin good faith discussions on possible collaboration with respect to certain powertrain combinations and other strategic initiatives. Under the Procurement JV Framework Agreement, the parties intend to form a sourcing joint venture entity to make recommendations for sourcing to the parties. Each party will make final sourcing decisions considering recommendations made by the Procurement JV. The closing of the Stock Purchase Agreement is subject to certain regulatory approvals, the finalization of the definitive agreements governing the procurement joint venture and the finalization of the first definitive contract under the License and Supply Framework Agreement, among other customary closing conditions. Additional Paid in Capital In connection with the sale of the 2014 Convertible Notes, we purchased call options for $125 million and entered into separate warrant transactions whereby we sold warrants for $87 million to purchase shares of common stock. As the call options and warrants are indexed to our common stock, we recognized them in permanent equity in Additional paid in capital , and will not recognize subsequent changes in fair value as long as the instruments remain classified as equity. On October 15, 2014, upon maturity, the 2014 Convertible Notes were paid in full and the purchased call options expired worthless. In accounting for the issuance of the 2018 Convertible Notes, a debt component and an equity component were separated resulting in the debt component being recorded at its estimated fair value without consideration given to the conversion feature. We estimated the fair value of the liability component at $177 million . The resulting equity component of $22 million , net of $1 million of discount, was recorded in Additional paid in capital and will not be remeasured as long as it continues to meet the conditions for equity classification. Issuance costs were also allocated between the debt and equity components resulting in an immaterial amount being recorded as a reduction in Additional paid in capital. In accounting for the issuance of the 2019 Convertible Notes, the debt component and equity component of the 2019 Convertible Notes were separated, resulting in the debt component being recorded at its estimated fair value without consideration given to the conversion feature. We estimated the fair value of the liability component at $367 million . The resulting equity component of $44 million was recorded in Additional paid in capital and will not be remeasured as long as it continues to meet the conditions for equity classification. Issuance costs were also allocated between debt and equity components with $1 million being recorded as a reduction in Additional paid in capital. For more information on our 2014 Convertible Notes, 2018 Convertible Notes, and 2019 Convertible Notes, see Note 9, Debt . Accumulated Other Comprehensive Loss The following table presents changes in Accumulated other comprehensive loss, net of tax, included in our Consolidated Statements of Shareholders' Deficit : (in millions) Unrealized Gain on Marketable Securities Foreign Currency Translation Adjustments Defined Benefit Plans Total Balance as of October 31, 2015 $ 1 $ (287 ) $ (2,315 ) $ (2,601 ) Other comprehensive income (loss) before reclassifications — 7 (177 ) (170 ) Amounts reclassified out of accumulated other comprehensive loss — — 131 131 Net current-period other comprehensive income (loss) — 7 (46 ) (39 ) Balance as of October 31, 2016 $ 1 $ (280 ) $ (2,361 ) $ (2,640 ) (in millions) Unrealized Gain on Marketable Securities Foreign Currency Translation Adjustments Defined Benefit Plans Total Balance as of October 31, 2014 $ 1 $ (127 ) $ (2,137 ) $ (2,263 ) Other comprehensive loss before reclassifications — (160 ) (309 ) (469 ) Amounts reclassified out of accumulated other comprehensive loss — — 131 131 Net current-period other comprehensive loss — (160 ) (178 ) (338 ) Balance as of October 31, 2015 $ 1 $ (287 ) $ (2,315 ) $ (2,601 ) (in millions) Unrealized Gain on Marketable Securities Foreign Currency Translation Adjustments Defined Benefit Plans Total Balance as of October 31, 2013 $ — $ (75 ) $ (1,749 ) $ (1,824 ) Other comprehensive income (loss) before reclassifications 1 (52 ) (491 ) (542 ) Amounts reclassified out of accumulated other comprehensive loss — — 103 103 Net current-period other comprehensive income (loss) 1 (52 ) (388 ) (439 ) Balance as of October 31, 2014 $ 1 $ (127 ) $ (2,137 ) $ (2,263 ) The following table presents the amounts reclassified from Accumulated other comprehensive loss and the affected line item in our Consolidated Statements of Operations: For the Years Ended October 31, Location in Consolidated 2016 2015 2014 Defined benefit plans Amortization of prior service benefit Selling, general and administrative expenses $ (1 ) $ (4 ) $ (4 ) Amortization of actuarial loss Selling, general and administrative expenses 133 136 109 Total before tax 132 132 105 Income tax expense (1 ) (1 ) (2 ) Total reclassifications for the period, net of tax $ 131 $ 131 $ 103 Dividend Restrictions Under the General Corporation Law of the State of Delaware, dividends may only be paid out of surplus or out of net profits for the year in which the dividend is declared or the preceding year, and no dividend may be paid on common stock at any time during which the capital of outstanding preferred stock or preference stock exceeds our net assets. Certain debt instruments, including our Senior Notes indenture, our Loan Agreement with regard to the Tax Exempt Bonds, our Amended Term Loan Credit Facility, and our Amended and Restated Asset-Based Credit Facility, contain terms that include various financial covenants and restrictions, including, among others, certain limitations on dividends. We have not paid dividends on our common stock since 1980. |
Earnings (Loss) Per Share Attri
Earnings (Loss) Per Share Attributable to Navistar International Corporation | 12 Months Ended |
Oct. 31, 2016 | |
Earnings Per Share [Abstract] | |
Loss Per Share Attributable to Navistar International Corporation | Earnings (Loss) Per Share Attributable to Navistar International Corporation The following table presents the information used in the calculation of our basic and diluted earnings (loss) per share for continuing operations, discontinued operations, and net loss, all attributable to NIC in our Consolidated Statements of Operations : For the Years Ended October 31, (in millions, except per share data) 2016 2015 2014 Numerator: Amounts attributable to Navistar International Corporation common stockholders: Loss from continuing operations, net of tax $ (97 ) $ (187 ) $ (622 ) Income from discontinued operations, net of tax — 3 3 Net loss $ (97 ) $ (184 ) $ (619 ) Denominator: Weighted average shares outstanding: Basic 81.7 81.6 81.4 Effect of dilutive securities — — — Diluted 81.7 81.6 81.4 Earnings (loss) per share attributable to Navistar International Corporation: Basic: Continuing operations $ (1.19 ) $ (2.29 ) $ (7.64 ) Discontinued operations — 0.04 0.04 Net loss $ (1.19 ) $ (2.25 ) $ (7.60 ) Diluted: Continuing operations $ (1.19 ) $ (2.29 ) $ (7.64 ) Discontinued operations — 0.04 0.04 Net loss $ (1.19 ) $ (2.25 ) $ (7.60 ) The conversion rate on our 2014 Convertible Notes was 19.891 shares of common stock per $1,000 principal amount of 2014 Convertible Notes, equivalent to an initial conversion price of $50.27 per share of common stock. In connection with the sale of the 2014 Convertible Notes, we sold warrants to various counterparties to purchase shares of our common stock from us at an exercise price of $60.14 per share. The 2014 Convertible Notes and warrants were anti-dilutive when calculating diluted earnings per share when our average stock price is less than $50.27 and $60.14 , respectively. During the second quarter of 2014, we unwound warrants representing 6.5 million shares associated with the repurchased 2014 Convertible Notes. On October 15, 2014, upon maturity the 2014 Convertible Notes were repaid in full. During the first quarter of 2015, we unwound warrants representing 1.9 million shares associated with the 2014 Convertible Notes, and the remaining 2.9 million warrants expired worthless on April 10, 2015. The conversion rate on our 2018 Convertible Notes is 17.1233 shares of common stock per $1,000 principal amount of 2018 Convertible Notes, equivalent to an initial conversion price of approximately $58.40 per share of common stock. The 2018 Convertible Notes have an anti-dilutive effect when calculating diluted earnings per share when our average stock price is less than $58.40 . The conversion rate on our 2019 Convertible Notes is 18.4946 shares of common stock per $1,000 principal amount of 2019 Convertible Notes, equivalent to an initial conversion price of approximately $54.07 per share of common stock. The 2019 Convertible Notes have an anti-dilutive effect when calculating diluted earnings per share when our average stock price is less than $54.07 . For more information on our 2014 Convertible Notes, 2018 Convertible Notes, and 2019 Convertible Notes, see Note 9, Debt . The computation of diluted earnings per share also excludes outstanding options and other common stock equivalents in periods where inclusion of such potential common stock instruments would be anti-dilutive. For the years ended October 31, 2016 , 2015 , and 2014 , no dilutive securities were included in the computation of diluted earnings per share because they would have been anti-dilutive due to the net loss attributable to NIC. Additionally, certain securities have been excluded from the computation of earnings per share, as our average stock price was less than their respective exercise prices. For the years ended October 31, 2016 , 2015 , and 2014 , the aggregate shares not included were 15.0 million , 15.7 million , and 24.8 million , respectively. Pursuant to the announced VW T&B Stock Purchase Agreement, we will issue and VW T&B will purchase 16.2 million of our newly issued shares for an aggregate purchase price of $256 million at $15.76 per share (an estimated 19.9% stake ( 16.6% on a pro forma basis) in the Company). The closing of the Stock Purchase Agreement is subject to certain regulatory approvals and the finalization of the definitive agreements and contracts, among other customary closing conditions. For both of the years ended October 31, 2016 and 2015 , the aggregate shares not included in the computation of earnings per share were primarily comprised of 3.4 million shares related to the 2018 Convertible Notes and 7.6 million shares related to the 2019 Convertible Notes. For the year ended October 31, 2014 , the aggregate shares not included in the computation of earnings per share were primarily comprised of 6.4 million shares related to the warrants associated with the 2014 Convertible Notes, 4.5 million shares related to the 2014 Convertible Notes, 3.4 million shares related to the 2018 Convertible Notes, and 5.7 million shares related to the 2019 Convertible Notes. |
Stock-based Compensation Plans
Stock-based Compensation Plans (Notes) | 12 Months Ended |
Oct. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | 18. Stock-based Compensation Plans 2013 Performance Incentive Plan The 2013 Performance Incentive Plan ("2013 PIP") was approved by the Board of Directors on December 11, 2012 and subsequently approved by the stockholders on February 19, 2013. The 2013 PIP provides for the grant of annual cash incentive awards to all employees (including the Company’s executive officers), and stock options, restricted stock or stock unit awards, stock appreciation rights and other stock-based awards to all employees (including the Company’s executive officers), any consultants of the Company and its subsidiaries, and all non-employee directors serving on the Company’s Board of Directors. The awards granted under the 2013 PIP are established by our Board of Directors or a committee thereof at the time of issuance. The 2013 PIP replaced on a prospective basis, our 2004 Performance Incentive Plan, and will expire in February 2023. A total of 3,665,500 shares of common stock were reserved for awards under the 2013 Plan. The number of shares authorized and available for issuance under the 2013 PIP will be increased by shares of stock subject to an option or award under the 2013 PIP, or under the Company’s 2004 Performance Incentive Plan, (collectively, the "Existing Plans"), that is canceled, expired, forfeited, settled in cash, or otherwise terminated after February 19, 2013 without a delivery of shares to the participant of such plan, including shares used to satisfy the exercise price of a stock option or a tax withholding obligation arising in connection with an award. As of October 31, 2016 , 1,984,673 shares remain available for issuance under the 2013 PIP. Shares issued under the Plan may be newly issued shares or reissued Treasury shares. Other Plans and Grants The following plans were approved by our Board of Directors but were not approved and were not required to be approved by our stockholders: the Executive Stock Ownership Program (the "Ownership Program") and the Non-Employee Directors Deferred Fee Plan (the "Deferred Fee Plan"). • Ownership Program —In June 1997, our Board of Directors approved the terms of the Ownership Program, as amended from time to time. In general, under the Ownership Program in existence until November 2013, all officers and senior managers were required to acquire, by direct purchase or through salary or annual bonus reduction, an ownership interest in the Company by acquiring a designated amount of our common stock based on organizational level. Participants were required to hold such stock for the entire period in which they are employed by the Company. The Ownership Program was amended and restated effective November 1, 2013 on a going forward basis. The new guidelines (i) increase stock ownership guideline multiples to six times salary for the President and CEO and up to three times salary for other senior executives; (ii) modify retention requirements for Company granted equity until ownership requirements are met; (iii) add a holding period for shares acquired through transactions with Company granted equity after the executives satisfy the stock ownership requirement; (iv) eliminate the granting of premium shares as an inducement to executives fulfilling stock ownership guidelines on an accelerated basis; and (v) eliminate the required time frame to fulfill stock ownership guidelines. Under the prior Ownership Program, participants were entitled to defer their cash bonus into deferred share units ("DSUs"), which vested immediately. There were 2,365 DSUs outstanding as of October 31, 2016 . Premium share units ("PSUs") were also eligible to be awarded to participants who complete their ownership requirement on an accelerated basis. PSUs vested annually, pro rata over three years. There were 38,432 PSUs outstanding as of October 31, 2016 under the prior Ownership Program. Each vested DSU and PSU will be settled by delivery of one share of common stock within ten days after a participant's termination of employment or at such later date as required by Internal Revenue Code Section Rule 409A. Beginning in February 2013, PSUs and DSUs awarded under the prior Ownership Program were issued under the 2013 PIP. • Deferred Fee Plan —Under the Deferred Fee Plan, non-employee directors may elect to defer payment of all or a portion of their retainer fees and meeting fees in cash (with interest) or in stock units. Deferrals in the deferred stock account are valued as if each deferral was vested in NIC common stock as of the deferral date. As of October 31, 2016 , 60,987 deferred shares were outstanding under the Deferred Fee Plan. Beginning on September 30, 2013, shares deferred by non-employee directors are issued out of the 2013 PIP. The Deferred Fee Plan was amended and restated effective February 11, 2015 on a going forward basis. Stock Options Stock options represent the right to purchase a specified number of shares of common stock at a specified exercise price. Generally, stock options are awarded with an exercise price equal to the fair market value of the common stock at grant date. The stock options granted prior to December 2009 generally have a ten -year contractual life. Starting with the December 2009 stock option grants, we granted awards with a seven -year contractual life. Stock Options are valued using the Black-Scholes option pricing model and vest ratably over a three -year period. The following table summarizes stock options activity: For the Years Ended October 31, 2016 2015 2014 Shares Weighted Average Exercise Price Shares Weighted Average Exercise Price Shares Weighted Average Exercise Price (in thousands) (in thousands) (in thousands) Options outstanding, at beginning of year 2,886 $ 39.33 3,657 $ 39.46 5,000 $ 37.94 Granted 35 10.60 40 37.03 251 38.51 Exercised — — (44 ) 25.68 (784 ) 24.33 Forfeited/expired (86 ) 42.30 (767 ) 40.60 (810 ) 44.41 Options outstanding, at end of year 2,835 38.89 2,886 39.33 3,657 39.46 Options exercisable, at end of year 2,695 39.29 2,407 40.27 2,637 41.34 The following table summarizes information about stock options outstanding: Shares Weighted Average Remaining Contractual Life Weighted Average Exercise Price Aggregate Intrinsic Value Range of Exercise Prices: (in thousands) (in years) (in millions) $ 10.60 - $ 31.19 807 3.2 $ 26.67 $ 0.5 $ 31.20 - $ 39.32 1,343 2.4 36.85 — $ 39.33 - $ 68.65 685 1.5 57.28 — Options Outstanding 2,835 The following table summarizes information about stock options exercisable: Shares Weighted Average Remaining Contractual Life Weighted Average Exercise Price Aggregate Intrinsic Value Range of Exercise Prices: (in thousands) (in years) (in millions) $ 10.60 - $ 31.19 772 3.1 $ 27.40 $ 0.1 $ 31.20 - $ 39.32 1,265 2.2 36.89 — $ 39.33 - $ 68.65 658 1.4 57.83 — Options Exercisable 2,695 The weighted average grant date fair value of options granted during the years ended October 31, 2016 , 2015 , and 2014 was $5.15 , $13.70 , and $13.81 , respectively. The total intrinsic value of stock options exercised during the years ended October 31, 2016 , 2015 , and 2014 was zero , $0.2 million , and $12 million , respectively. The fair value of each option grant was estimated on the grant date using the Black-Scholes option-pricing model. The following table summarizes the annual weighted average assumptions: For the Years Ended October 31, 2016 2015 2014 Risk-free interest rate 1.7 % 1.6 % 1.6 % Expected volatility 56.8 % 40.2 % 45.6 % Expected life (in years) 4.8 4.9 4.9 The use of the Black-Scholes option-pricing model requires us to make certain estimates and assumptions. The risk-free interest rate utilized is the implied yield on U.S. Treasury zero-coupon issues with a remaining term equal to the expected term assumption on the grant date, rounded to the nearest half year. A dividend yield assumption of 0% is used for all grants based on our history of not paying a dividend to any class of stock and future expectations. Expected volatility is based on a blend of our historical stock prices and implied volatilities from traded options in our stock. The weighted average expected life in years for all grants as a group is then calculated for each year. Restricted Stock Restricted stock represents common stock issued subject to forfeiture or other restrictions that will lapse upon satisfaction of specified conditions. Restricted stock is valued based on the fair value of the common stock at grant date and except for the restricted stock issued to non-employee directors, vests either ratably over a three -year period or cliff-vest at the end of a three -year period. Restricted stock issued to non-employee directors represent their first quarterly retainer fees and immediately vest at grant date. The following table summarizes restricted stock activity: For the Years Ended October 31, 2016 2015 2014 Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value (in thousands) (in thousands) (in thousands) Nonvested, at beginning of year — $ — 41 $ 24.13 41 $ 24.13 Granted 5 12.52 2 29.50 4 33.70 Vested (5 ) 12.52 (43 ) 24.38 (4 ) 33.70 Nonvested, at end of year — — — — 41 24.13 The aggregate grant date fair value of restricted stock vested during the year ended October 31, 2016 was $0.1 million , compared to $1.1 million and $0.1 million during the years ended October 31, 2015 and 2014 , respectively. Restricted Stock Units Restricted stock units ("RSUs") represent the right to receive shares of common stock ("share-settled RSUs") or the cash ("cash-settled RSUs") value of one share of common stock in the future, with the right to future delivery of the shares or cash subject to forfeiture or other restrictions that will lapse upon satisfaction of specified conditions. Share and cash-settled RSUs are valued based on the fair value of the common stock at grant date and vest either ratably over a three -year period or cliff-vest at the end of a three -year period. Cash-settled RSUs are classified as liabilities and are remeasured at each reporting date until settlement. The following tables summarize RSUs activity for the years ended October 31: Share-Settled RSUs 2016 2015 2014 Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value (in thousands) (in thousands) (in thousands) Nonvested, at beginning of year 69 $ 28.60 188 $ 28.75 299 $ 29.54 Granted 624 8.76 — — — — Vested (66 ) 28.66 (114 ) 28.91 (90 ) 31.74 Forfeited (14 ) 13.07 (5 ) 27.24 (21 ) 27.24 Nonvested, at end of year 613 8.74 69 28.60 188 28.75 Cash-Settled RSUs 2016 2015 2014 Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value (in thousands) (in thousands) (in thousands) Nonvested, at beginning of year 498 $ 29.96 469 $ 33.00 194 $ 43.74 Granted 650 7.26 280 27.67 470 32.44 Vested (231 ) 26.06 (190 ) 33.82 (124 ) 47.48 Forfeited (100 ) 22.19 (61 ) 30.75 (71 ) 33.24 Nonvested, at end of year 817 13.95 498 29.96 469 33.00 The aggregate grant date fair value of RSUs vested during the years ended October 31, 2016 , 2015 , and 2014 was $8 million , $10 million , and $9 million , respectively. Performance-based Stock Options Performance-based stock options represent the right to receive shares of common stock in the future, with the right to future delivery of the shares subject to forfeiture or other restrictions that will lapse upon satisfaction of a combination of the following conditions: service, market and performance conditions. Performance-based stock options have a seven -year contractual life. Performance-based stock options subject to service and performance conditions are valued using the Black-Scholes option pricing model and cliff-vest at the end of a three -year period, if performance measures are met. Performance-based stock options subject to service and market conditions are valued using a Monte Carlo simulation and cliff-vest at the end of a three -year period, if performance measures are met. The following table summarizes the performance-based stock options subject to service and performance conditions activity: For the Years Ended October 31, 2016 2015 2014 Shares Weighted Average Exercise Price Shares Weighted Average Exercise Price Shares Weighted Average Exercise Price (in thousands) (in thousands) (in thousands) Options outstanding, at beginning of year 1,409 $ 31.64 941 $ 35.41 299 $ 34.47 Granted — — 729 27.61 651 35.83 Forfeited (436 ) 34.22 (261 ) 33.99 (9 ) 35.09 Options outstanding, at end of year 973 30.47 1,409 31.64 941 35.41 There were no performance-based stock options subject to service and performance conditions exercisable during the years ended October 31, 2016 , 2015 , and 2014 . The weighted average grant date fair value of the performance-based stock options subject to service and performance conditions granted during the years ended October 31, 2015 and 2014 was $10.53 and $14.12 , respectively. The fair value of each option grant was estimated on the grant date using the Black-Scholes option-pricing model. The following table summarizes the annual weighted average assumptions: For the Years Ended October 31, 2015 2014 Risk-free interest rate 1.4 % 1.6 % Expected volatility 42.9 % 45.5 % Expected life (in years) 4.7 4.9 The use of the Black-Scholes option-pricing model requires us to make certain estimates and assumptions. The risk-free interest rate utilized is the implied yield on the U.S. Treasury zero-coupon issues with a remaining term equal to the expected term assumption on the grant date, rounded to the nearest half year. A dividend yield assumption of 0% is used for all grants based on our history of not paying a dividend to any class of stock. Expected volatility is based on a blend of our historical stock prices and implied volatilities from traded options in our stock. The weighted average expected life in years for all grants as a group is then calculated for each year. The following table summarizes the performance-based stock options subject to service and market conditions activity: For the Years Ended October 31, 2016 2015 2014 Shares Weighted Average Exercise Price Shares Weighted Average Exercise Price Shares Weighted Average Exercise Price (in thousands) (in thousands) (in thousands) Options outstanding, at beginning of year 615 $ 27.24 670 $ 27.24 759 $ 27.24 Forfeited (48 ) 27.24 (55 ) 27.24 (89 ) 27.24 Options outstanding, at end of year 567 27.24 615 27.24 670 27.24 Options exercisable, at end of year 567 27.24 — — — — Performance-based Stock Units Performance-based stock units ("PSUs") represent the right to receive one share of common stock ("share-settled PSUs") or cash equal to the value of one share of common stock ("cash-settled PSUs") in the future, with the right to future delivery of the shares or cash subject to forfeiture or other restrictions that will lapse upon satisfaction of a combination of the following conditions: service, market, and performance conditions. Share and cash-settled PSUs subject to service and performance conditions are valued based on the fair value of the common stock at grant date and vest either at the end of the performance period or cliff-vest at the end of a three -year period, if performance measures are met. Cash-settled PSUs subject to service and market conditions are valued using a Monte Carlo simulation and cliff-vest at the end of a three -year period, if performance measures are met. Cash-settled PSUs are classified as liabilities and are remeasured at each reporting date until settlement. The following tables summarize PSUs activity for the years ended October 31: Share-Settled PSUs subject to Service and Performance Conditions 2016 2015 2014 Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value (in thousands) (in thousands) (in thousands) Nonvested, at beginning of year 244 $ 28.73 292 $ 28.48 326 $ 28.35 Forfeited (244 ) 28.73 (48 ) 27.24 (34 ) 27.24 Nonvested, at end of year — — 244 28.73 292 28.48 Cash-Settled PSUs subject to Service and Performance Conditions 2016 2015 2014 Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value (in thousands) (in thousands) (in thousands) Nonvested, at beginning of year 434 $ 30.64 221 $ 35.11 $ — $ — Granted — — 277 27.61 225 35.10 Forfeited (55 ) 30.65 (64 ) 32.95 (4 ) 35.09 Nonvested, at end of year 379 30.63 434 30.64 221 35.11 Cash Settled PSUs subject to Service and Market Conditions 2016 2015 2014 Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value (in thousands) (in thousands) (in thousands) Nonvested, at beginning of year 172 $ 69.64 172 $ 69.64 172 $ 69.64 Forfeited (102 ) 82.86 — — — — Nonvested, at end of year 70 50.52 172 69.64 172 69.64 Total Share-Based Compensation Expense Total share-based compensation expense for the years ended October 31, 2016 , 2015 , and 2014 was $15 million , $9 million and $16 million , respectively. As of October 31, 2016 , the minimum performance measures for fiscal years 2011 and 2012 cash-settled PSUs with a five-year performance period, fiscal year 2013 performance-based stock options and share-settled PSUs, and fiscal year 2014 performance-based stock options and cash-settled PSUs were not met and no share-based compensation expense was recorded. However, fiscal year 2015 performance-based stock options and cash-settled PSUs partially met the overall performance measures and share-based compensation expense recorded was based on the interpolated calculated future pay out. Share-based compensation expense will be adjusted each reporting period based on the available current performance measures information for all awards subject to performance conditions. We record share-based compensation expense on a straight-line basis over the required service period which is equal to the vesting period, beginning on the grant date. Share-based compensation expense is included in Selling, general and administrative expenses in the Consolidated Statements of Operations . As of October 31, 2016 , there was $12 million of total unrecognized compensation expense related to non-vested share-based awards which is expected to be recognized over a weighted average period of approximately 1.9 years. We received cash of $1 million and $19 million during the years ended October 31, 2015 and 2014 , respectively, related to stock options exercised. We used cash of $2 million , $6 million , and $5 million during the years ended October 31, 2016 , 2015 , and 2014 , respectively, to settle cash-settled RSUs. We did no t realize any tax benefit from stock options exercised for fiscal year 2015 and 2014 . |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information (Notes) | 12 Months Ended |
Oct. 31, 2016 | |
Supplemental Cash Flow Elements [Abstract] | |
Cash Flow, Supplemental Disclosures [Text Block] | 19. Supplemental Cash Flow Information The following table provides additional information about our Consolidated Statements of Cash Flows : For the Years Ended October 31, (in millions) 2016 2015 2014 Equity in income of affiliated companies, net of dividends Equity in income of non-consolidated affiliates $ (6 ) $ (6 ) $ (9 ) Dividends from non-consolidated affiliates 12 12 12 Equity in income of non-consolidated affiliates, net of dividends $ 6 $ 6 $ 3 Other non-cash operating activities Loss (gain) on sale of property and equipment $ 2 $ (4 ) $ (9 ) Loss on sale and impairment of repossessed collateral 6 2 3 Loss on repurchase of debt — — 11 Income from operating leases (20 ) (33 ) (46 ) Other non-cash operating activities $ (12 ) $ (35 ) $ (41 ) Changes in other assets and liabilities Other current assets $ 8 $ (4 ) $ 62 Other noncurrent assets (11 ) 12 2 Other current liabilities (165 ) 79 (206 ) Postretirement benefits liabilities (47 ) (54 ) (82 ) Other noncurrent liabilities (114 ) (135 ) (78 ) Other, net (41 ) 25 20 Changes in other assets and liabilities $ (370 ) $ (77 ) $ (282 ) Cash paid during the year Interest, net of amounts capitalized $ 291 $ 239 $ 258 Income taxes, net of refunds 44 52 15 Non-cash investing and financing activities Property and equipment acquired under capital leases $ 1 $ 2 $ 3 Transfers to inventories from property and equipment for leases to others (27 ) (7 ) (14 ) |
Condensed Consolidating Guarant
Condensed Consolidating Guarantor and Non-Guarantor Financial Information | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Condensed Consolidating Guarantor and Non-Guarantor [Abstract] | |||
Condensed Consolidating Guarantor and Non-guarantor Financial Information | Condensed Consolidating Statement of Cash Flows for the Year Ended October 31, 2016 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Net cash provided by (used in) operating activities $ (106 ) $ 187 $ 337 $ (151 ) $ 267 Cash flows from investing activities Net change in restricted cash and cash equivalents — 1 4 — 5 Net sales of marketable securities 85 — 28 — 113 Capital expenditures and purchase of equipment leased to others — (94 ) (154 ) — (248 ) Other investing activities — 2 61 — 63 Net cash provided by (used in) investing activities 85 (91 ) (61 ) — (67 ) Cash flows from financing activities Net repayments of debt — (82 ) (191 ) (69 ) (342 ) Other financing activities — 22 (253 ) 220 (11 ) Net cash provided by (used in) financing activities — (60 ) (444 ) 151 (353 ) Effect of exchange rate changes on cash and cash equivalents — — 45 — 45 Increase (decrease) in cash and cash equivalents (21 ) 36 (123 ) — (108 ) Cash and cash equivalents at beginning of the year 456 81 375 — 912 Cash and cash equivalents at end of the year $ 435 $ 117 $ 252 $ — $ 804 | Condensed Consolidating Statement of Cash Flows for the Year Ended October 31, 2015 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Net cash provided by (used in) operating activities $ 87 $ 184 $ 168 $ (393 ) $ 46 Cash flows from investing activities Net change in restricted cash and cash equivalents 3 (4 ) 43 — 42 Net sales of marketable securities 266 — 180 — 446 Capital expenditures and purchase of equipment leased to others — (82 ) (116 ) — (198 ) Other investing activities — 3 23 — 26 Net cash provided by (used in) investing activities 269 (83 ) 130 — 316 Cash flows from financing activities Net borrowings (repayments) of debt (2 ) (38 ) (113 ) 268 115 Other financing activities 1 (35 ) (108 ) 125 (17 ) Net cash provided by (used in) financing activities (1 ) (73 ) (221 ) 393 98 Effect of exchange rate changes on cash and cash equivalents — — (45 ) — (45 ) Increase in cash and cash equivalents 355 28 32 — 415 Cash and cash equivalents at beginning of the year 101 53 343 — 497 Cash and cash equivalents at end of the year $ 456 $ 81 $ 375 $ — $ 912 | Consolidating Guarantor and Non-guarantor Financial Information The following tables set forth condensed consolidating balance sheets as of October 31, 2016 and 2015 , and condensed consolidating statements of operations and comprehensive income (loss) for the years ended October 31, 2016 , 2015 , and 2014 , and condensed consolidating statements of cash flows for the years ended October 31, 2016 , 2015 , and 2014 . The information is presented as a result of NI’s guarantee, exclusive of its subsidiaries, of NIC’s indebtedness under our 8.25% Senior Notes, due 2022, and obligations under our Loan Agreement related to the 6.5% Tax Exempt Bonds, due 2040. NI is a direct wholly-owned subsidiary of NIC. None of NIC’s other subsidiaries guarantee any of these notes or bonds. The guarantees are "full and unconditional," as those terms are used in Regulation S-X Rule 3-10, except that the guarantees will be automatically released in certain customary circumstances, such as when the subsidiary is sold or all of the assets of the subsidiary are sold, the capital stock is sold, when the subsidiary is designated as an "unrestricted subsidiary" for purposes of the respective indentures for each of the 8.25% Senior Notes, due 2022, and the 6.5% Tax Exempt Bonds, due 2040, upon liquidation or dissolution of the subsidiary or upon legal or covenant defeasance, or satisfaction and discharge of the notes or bonds. Separate financial statements and other disclosures concerning NI have not been presented because management believes that such information is not material to investors. Within this disclosure only, "NIC" includes the financial results of the parent company only, with all of its wholly-owned subsidiaries accounted for under the equity method. Likewise, "NI," for purposes of this disclosure only, includes the consolidated financial results of its wholly-owned subsidiaries accounted for under the equity method and its operating units accounted for on a consolidated basis. "Non-Guarantor Subsidiaries" includes the combined financial results of all other non-guarantor subsidiaries. "Eliminations and Other" includes all eliminations and reclassifications to reconcile to the consolidated financial statements. NIC files a consolidated U.S. federal income tax return that includes NI and its U.S. subsidiaries. NI has a tax allocation agreement ("Tax Agreement") with NIC which requires NI to compute its separate federal income tax liability and remit any resulting tax liability to NIC. Tax benefits that may arise from net operating losses of NI are not refunded to Navistar, Inc. but may be used to offset future required tax payments under the Tax Agreement. The effect of the Tax Agreement is to allow NIC, the parent company, rather than NI, to utilize current U.S. taxable losses of NI and all other direct or indirect subsidiaries of NIC. Condensed Consolidating Statement of Operations for the Year Ended October 31, 2016 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Sales and revenues, net $ — $ 5,926 $ 5,432 $ (3,247 ) $ 8,111 Costs of products sold — 5,358 4,628 (3,174 ) 6,812 Restructuring charges — 3 7 — 10 Asset impairment charges — 11 16 — 27 All other operating expenses (income) 101 862 398 (61 ) 1,300 Total costs and expenses 101 6,234 5,049 (3,235 ) 8,149 Equity in income (loss) of affiliates 4 181 2 (181 ) 6 Income (loss) before income taxes (97 ) (127 ) 385 (193 ) (32 ) Income tax benefit (expense) — 20 (55 ) 2 (33 ) Earnings (loss) from continuing operations (97 ) (107 ) 330 (191 ) (65 ) Income (loss) from discontinued operations, net of tax — — — — — Net income (loss) (97 ) (107 ) 330 (191 ) (65 ) Less: Net income attributable to non-controlling interests — — 32 — 32 Net income (loss) attributable to Navistar International Corporation $ (97 ) $ (107 ) $ 298 $ (191 ) $ (97 ) Condensed Consolidating Statement of Comprehensive Income (Loss) for the Year Ended October 31, 2016 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Net income (loss) $ (97 ) $ (107 ) $ 330 $ (191 ) $ (65 ) Other comprehensive income (loss): Foreign currency translation adjustment 7 — 7 (7 ) 7 Defined benefit plans, net of tax (46 ) 1 (47 ) 46 (46 ) Total other comprehensive income (loss) (39 ) 1 (40 ) 39 (39 ) Comprehensive income (loss) (136 ) (106 ) 290 (152 ) (104 ) Less: Net income attributable to non-controlling interests — — 32 — 32 Total comprehensive income (loss) attributable to Navistar International Corporation $ (136 ) $ (106 ) $ 258 $ (152 ) $ (136 ) Condensed Consolidating Balance Sheet as of October 31, 2016 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Assets Cash and cash equivalents $ 435 $ 117 $ 252 $ — $ 804 Marketable securities 27 — 19 — 46 Restricted cash 16 6 90 — 112 Finance and other receivables, net (1 ) 171 1,883 (84 ) 1,969 Inventories — 639 313 (8 ) 944 Investments in non-consolidated affiliates (7,714 ) 6,253 57 1,457 53 Property and equipment, net — 669 580 (8 ) 1,241 Goodwill — — 38 — 38 Deferred taxes, net — 10 150 1 161 Other 2 110 175 (2 ) 285 Total assets $ (7,235 ) $ 7,975 $ 3,557 $ 1,356 $ 5,653 Liabilities and stockholders’ equity (deficit) Debt $ 1,965 $ 1,100 $ 1,841 $ (2 ) $ 4,904 Postretirement benefits liabilities — 2,865 233 — 3,098 Amounts due to (from) affiliates (7,724 ) 10,709 (3,040 ) 55 — Other liabilities 3,822 (152 ) (665 ) (61 ) 2,944 Total liabilities (1,937 ) 14,522 (1,631 ) (8 ) 10,946 Stockholders’ equity attributable to non-controlling interest — — 5 — 5 Stockholders’ equity (deficit) attributable to Navistar International Corporation (5,298 ) (6,547 ) 5,183 1,364 (5,298 ) Total liabilities and stockholders’ equity (deficit) $ (7,235 ) $ 7,975 $ 3,557 $ 1,356 $ 5,653 Condensed Consolidating Statement of Cash Flows for the Year Ended October 31, 2016 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Net cash provided by (used in) operating activities $ (106 ) $ 187 $ 337 $ (151 ) $ 267 Cash flows from investing activities Net change in restricted cash and cash equivalents — 1 4 — 5 Net sales of marketable securities 85 — 28 — 113 Capital expenditures and purchase of equipment leased to others — (94 ) (154 ) — (248 ) Other investing activities — 2 61 — 63 Net cash provided by (used in) investing activities 85 (91 ) (61 ) — (67 ) Cash flows from financing activities Net repayments of debt — (82 ) (191 ) (69 ) (342 ) Other financing activities — 22 (253 ) 220 (11 ) Net cash provided by (used in) financing activities — (60 ) (444 ) 151 (353 ) Effect of exchange rate changes on cash and cash equivalents — — 45 — 45 Increase (decrease) in cash and cash equivalents (21 ) 36 (123 ) — (108 ) Cash and cash equivalents at beginning of the year 456 81 375 — 912 Cash and cash equivalents at end of the year $ 435 $ 117 $ 252 $ — $ 804 Condensed Consolidating Statement of Operations for the Year Ended October 31, 2015 (in millions) NIC Navistar, Inc. Non-Guarantor Subsidiaries Eliminations and Other Consolidated Sales and revenues, net $ — $ 7,267 $ 7,413 $ (4,540 ) $ 10,140 Costs of products sold — 6,614 6,510 (4,454 ) 8,670 Restructuring charges — 50 26 — 76 Asset impairment charges — 13 17 — 30 All other operating expenses (income) 88 1,054 399 (68 ) 1,473 Total costs and expenses 88 7,731 6,952 (4,522 ) 10,249 Equity in income (loss) of affiliates (96 ) 225 2 (125 ) 6 Income (loss) before income taxes (184 ) (239 ) 463 (143 ) (103 ) Income tax benefit (expense) — 1 (52 ) — (51 ) Earnings (loss) from continuing operations (184 ) (238 ) 411 (143 ) (154 ) Income from discontinued operations, net of tax — — 3 — 3 Net income (loss) (184 ) (238 ) 414 (143 ) (151 ) Less: Net income attributable to non-controlling interests — — 33 — 33 Net income (loss) attributable to Navistar International Corporation $ (184 ) $ (238 ) $ 381 $ (143 ) $ (184 ) Condensed Consolidating Statement of Comprehensive Income (Loss) for the Year Ended October 31, 2015 (in millions) NIC Navistar, Inc. Non-Guarantor Subsidiaries Eliminations and Other Consolidated Net income (loss) $ (184 ) $ (238 ) $ 414 $ (143 ) $ (151 ) Other comprehensive income (loss): Foreign currency translation adjustment (160 ) — (160 ) 160 (160 ) Defined benefit plans, net of tax (178 ) (192 ) 14 178 (178 ) Total other comprehensive income (loss) (338 ) (192 ) (146 ) 338 (338 ) Comprehensive income (loss) (522 ) (430 ) 268 195 (489 ) Less: Net income attributable to non-controlling interests — — 33 — 33 Total comprehensive income (loss) attributable to Navistar International Corporation $ (522 ) $ (430 ) $ 235 $ 195 $ (522 ) Condensed Consolidating Balance Sheet as of October 31, 2015 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Assets Cash and cash equivalents $ 456 $ 81 $ 375 $ — $ 912 Marketable securities 112 — 47 — 159 Restricted cash 16 7 98 — 121 Finance and other receivables, net 1 99 2,440 (103 ) 2,437 Inventories — 809 342 (16 ) 1,135 Investments in non-consolidated affiliates (7,679 ) 6,204 64 1,477 66 Property and equipment, net — 737 616 (8 ) 1,345 Goodwill — — 38 — 38 Deferred taxes, net 7 20 137 — 164 Other 6 119 148 (1 ) 272 Total assets $ (7,081 ) $ 8,076 $ 4,305 $ 1,349 $ 6,649 Liabilities and stockholders’ equity (deficit) Debt $ 1,944 $ 1,171 $ 2,144 $ (4 ) $ 5,255 Postretirement benefits liabilities — 2,909 179 — 3,088 Amounts due to (from) affiliates (7,574 ) 10,280 (2,879 ) 173 — Other liabilities 3,716 207 (388 ) (69 ) 3,466 Total liabilities (1,914 ) 14,567 (944 ) 100 11,809 Stockholders’ equity attributable to non-controlling interest — — 7 — 7 Stockholders’ equity (deficit) attributable to Navistar International Corporation (5,167 ) (6,491 ) 5,242 1,249 (5,167 ) Total liabilities and stockholders’ equity (deficit) $ (7,081 ) $ 8,076 $ 4,305 $ 1,349 $ 6,649 Condensed Consolidating Statement of Cash Flows for the Year Ended October 31, 2015 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Net cash provided by (used in) operating activities $ 87 $ 184 $ 168 $ (393 ) $ 46 Cash flows from investing activities Net change in restricted cash and cash equivalents 3 (4 ) 43 — 42 Net sales of marketable securities 266 — 180 — 446 Capital expenditures and purchase of equipment leased to others — (82 ) (116 ) — (198 ) Other investing activities — 3 23 — 26 Net cash provided by (used in) investing activities 269 (83 ) 130 — 316 Cash flows from financing activities Net borrowings (repayments) of debt (2 ) (38 ) (113 ) 268 115 Other financing activities 1 (35 ) (108 ) 125 (17 ) Net cash provided by (used in) financing activities (1 ) (73 ) (221 ) 393 98 Effect of exchange rate changes on cash and cash equivalents — — (45 ) — (45 ) Increase in cash and cash equivalents 355 28 32 — 415 Cash and cash equivalents at beginning of the year 101 53 343 — 497 Cash and cash equivalents at end of the year $ 456 $ 81 $ 375 $ — $ 912 Condensed Consolidating Statement of Operations for the Year Ended October 31, 2014 (in millions) NIC Navistar, Inc. Non-Guarantor Subsidiaries Eliminations and Other Consolidated Sales and revenues, net $ — $ 7,269 $ 8,196 $ (4,659 ) $ 10,806 Costs of products sold — 6,794 7,337 (4,597 ) 9,534 Restructuring charges — 8 34 — 42 Asset impairment charges — 16 167 — 183 All other operating expenses (income) (48 ) 1,003 541 116 1,612 Total costs and expenses (48 ) 7,821 8,079 (4,481 ) 11,371 Equity in income (loss) of affiliates (680 ) (169 ) 5 853 9 Income (loss) before income taxes (632 ) (721 ) 122 675 (556 ) Income tax benefit (expense) 13 25 (64 ) — (26 ) Earnings (loss) from continuing operations (619 ) (696 ) 58 675 (582 ) Income from discontinued operations, net of tax — — 3 — 3 Net income (loss) (619 ) (696 ) 61 675 (579 ) Less: Net income attributable to non-controlling interests — — 40 — 40 Net income (loss) attributable to Navistar International Corporation $ (619 ) $ (696 ) $ 21 $ 675 $ (619 ) Condensed Consolidating Statement of Comprehensive Income (Loss) for the Year Ended October 31, 2014 (in millions) NIC Navistar, Inc. Non-Guarantor Subsidiaries Eliminations and Other Consolidated Net income (loss) $ (619 ) $ (696 ) $ 61 $ 675 $ (579 ) Other comprehensive income (loss): Foreign currency translation adjustment (52 ) — (52 ) 52 (52 ) Unrealized gain on marketable securities 1 — 1 (1 ) 1 Defined benefit plans, net of tax (388 ) (397 ) 9 388 (388 ) Total other comprehensive income (loss) (439 ) (397 ) (42 ) 439 (439 ) Comprehensive income (loss) (1,058 ) (1,093 ) 19 1,114 (1,018 ) Less: Net income attributable to non-controlling interests — — 40 — 40 Total comprehensive income (loss) attributable to Navistar International Corporation $ (1,058 ) $ (1,093 ) $ (21 ) $ 1,114 $ (1,058 ) Condensed Consolidating Statement of Cash Flows for the Year Ended October 31, 2014 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Net cash provided by (used in) operating activities $ (285 ) $ (1,287 ) $ (112 ) $ 1,348 $ (336 ) Cash flows from investing activities Net change in restricted cash and cash equivalents 5 (1 ) (84 ) — (80 ) Net sales of marketable securities 203 — 22 — 225 Capital expenditures and purchase of equipment leased to others — (114 ) (163 ) — (277 ) Other investing activities — 17 40 — 57 Net cash provided by (used in) investing activities 208 (98 ) (185 ) — (75 ) Cash flows from financing activities Net borrowings (repayments) of debt (176 ) 1,306 409 (1,389 ) 150 Other financing activities 18 60 (90 ) 41 29 Net cash provided by (used in) financing activities (158 ) 1,366 319 (1,348 ) 179 Effect of exchange rate changes on cash and cash equivalents — — (26 ) — (26 ) Decrease in cash and cash equivalents (235 ) (19 ) (4 ) — (258 ) Cash and cash equivalents at beginning of the year 336 72 347 — 755 Cash and cash equivalents at end of the year $ 101 $ 53 $ 343 $ — $ 497 |
Selected Quarterly Financial Da
Selected Quarterly Financial Data (unaudited) (Notes) | 12 Months Ended |
Oct. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information [Text Block] | 21. Selected Quarterly Financial Data (Unaudited) The following tables provide our quarterly condensed consolidated statements of operations and financial data: First Quarter Ended January 31, Second Quarter Ended April 30, (in millions, except for per share data and stock prices) 2016 2015 2016 2015 Sales and revenues, net $ 1,765 $ 2,421 $ 2,197 $ 2,693 Manufacturing gross margin (A) 264 340 319 298 Amounts attributable to Navistar International Corporation common shareholders: Income (loss) from continuing operations, net of tax $ (33 ) $ (42 ) $ 4 $ (64 ) Income (loss) from discontinued operations, net of tax — — — — Net income (loss) $ (33 ) $ (42 ) $ 4 $ (64 ) Earnings (loss) per share attributable to Navistar International Corporation: Basic: Continuing operations $ (0.40 ) $ (0.52 ) $ 0.05 $ (0.78 ) Discontinued operations — — — — $ (0.40 ) $ (0.52 ) $ 0.05 $ (0.78 ) Diluted: Continuing operations $ (0.40 ) $ (0.52 ) $ 0.05 $ (0.78 ) Discontinued operations — — — — $ (0.40 ) $ (0.52 ) $ 0.05 $ (0.78 ) Market price range-common stock: High $ 15.21 $ 38.05 $ 16.39 $ 31.28 Low 5.78 28.99 6.24 27.50 Third Quarter Ended July 31, Fourth Quarter Ended October 31, (in millions, except for per share data and stock prices) 2016 2015 2016 2015 Sales and revenues, net $ 2,086 $ 2,538 $ 2,063 $ 2,488 Manufacturing gross margin (A) 295 329 286 358 Amounts attributable to Navistar International Corporation common shareholders: Loss from continuing operations, net of tax $ (34 ) $ (30 ) $ (34 ) $ (51 ) Income from discontinued operations, net of tax — 2 — 1 Net loss $ (34 ) $ (28 ) $ (34 ) $ (50 ) Earnings (loss) per share attributable to Navistar International Corporation: Basic: Continuing operations $ (0.42 ) $ (0.37 ) $ (0.42 ) $ (0.62 ) Discontinued operations — 0.03 — 0.01 $ (0.42 ) $ (0.34 ) $ (0.42 ) $ (0.61 ) Diluted: Continuing operations $ (0.42 ) $ (0.37 ) $ (0.42 ) $ (0.62 ) Discontinued operations — 0.03 — 0.01 $ (0.42 ) $ (0.34 ) $ (0.42 ) $ (0.61 ) Market price range-common stock: High $ 15.77 $ 30.41 $ 24.04 $ 19.91 Low 10.30 16.32 11.59 11.21 _______________________ (A) Manufacturing gross margin is calculated by subtracting Costs of products sold from Sales of manufactured products, net . |
Summary of Significant Accoun29
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Oct. 31, 2016 | |
Accounting Policies [Abstract] | |
Property, Plant and Equipment, Policy [Policy Text Block] | Property and Equipment We report land, buildings, leasehold improvements, machinery and equipment (including tooling and pattern equipment), furniture, fixtures, and equipment, and equipment leased to others at cost, net of depreciation. We initially record assets under capital lease obligations at the lower of their fair value or the present value of the aggregate future minimum lease payments. We depreciate our assets using the straight-line method over the shorter of the lease term or the estimated useful lives of the assets. The ranges of estimated useful lives are as follows: Years Buildings 20 - 50 Leasehold improvements 3 - 20 Machinery and equipment 3 - 12 Furniture, fixtures, and equipment 3 - 15 Equipment leased to others 1 - 10 Long-lived assets are evaluated periodically to determine if an adjustment to the depreciation and amortization period or to the unamortized balance is warranted. Such evaluation is based principally on the expected utilization of the long-lived assets. We depreciate trucks, tractors, and trailers leased to customers under operating lease agreements on a straight-line basis to the equipment's estimated residual value over the lease term. The residual values of the equipment represent estimates of the value of the assets at the end of the lease contracts and are initially recorded based on estimates of future market values. Realization of the residual values is dependent on our future ability to market the equipment. We review residual values periodically to determine that recorded amounts are appropriate and the equipment is not impaired. Maintenance and repairs of property and equipment are expensed as incurred. We capitalize replacements and improvements that increase the estimated useful life or productive capacity of an asset and we capitalize interest on major construction and development projects while in progress. Gains or losses on disposition of property and equipment are recognized in Other income, net . We test for impairment of long-lived assets whenever events or changes in circumstances indicate that the carrying value of an asset or asset group (hereinafter referred to as "asset group") may not be recoverable by comparing the sum of the estimated undiscounted future cash flows expected to result from the operation of the asset group and its eventual disposition to the carrying value. If the sum of the undiscounted future cash flows is less than the carrying value, the fair value of the asset group is determined. The amount of impairment is calculated by subtracting the fair value of the asset group from the carrying value of the asset group. Included in equipment leased to others are trucks that we produced or acquired to lease to customers as well as equipment that is financed by BMO that does not qualify for revenue recognition, as we retained substantial risks of ownership in the leased property, which are accounted for as operating leases and borrowings, respectively. In the Consolidated Statement of Cash Flows the related expenditures are reflected as the Purchases of equipment leased to others in the investing section. |
Standard Product Warranty, Policy [Policy Text Block] | Warranty We generally offer one to five -year warranty coverage for our truck, bus, and engine products, as well as our service parts. Terms and conditions vary by product, customer, and country. We accrue warranty related costs under standard warranty terms and for certain claims outside the contractual obligation period that we choose to pay as accommodations to our customers. Our warranty estimates are established using historical information about the nature, frequency, timing, and average cost of warranty claims. Warranty claims are influenced by numerous factors, including new product introductions, technological developments, the competitive environment, the design and manufacturing process, and the complexity and related costs of component parts. We estimate our warranty accrual for our engines and trucks based on engine types and model years. Our warranty accruals take into account the projected ultimate cost-per-unit ("CPU") utilizing historical claims information. The CPU represents the total cash projected to be spent for warranty claims for a particular model year during the warranty period, divided by the number of units sold. The projection of the ultimate CPU is affected by component failure rates, repair costs, and the timing of failures in the product life cycle. Warranty claims inherently have a high amount of variability in timing and severity and can be influenced by external factors. Our warranty estimation process takes into consideration numerous variables that contribute to the precision of the estimate, but also add to the complexity of the model. Including numerous variables also reduces the sensitivity of the model to any one variable. We perform periodic reviews of warranty spend data to allow for timely consideration of the effects on warranty accruals. Initial warranty estimates for new model year products are based on the previous model year product's warranty experience until the new product progresses sufficiently through its life cycle and related claims data becomes mature. Historically, warranty claims experience for launch-year products has been higher compared to the prior model-year engines; however, over time we have been able to refine both the design and manufacturing process to reduce both the volume and the severity of warranty claims. New product launches require a greater use of judgment in developing estimates until historical experience becomes available. We record adjustments to pre-existing warranties for changes in our estimate of warranty costs for products sold in prior fiscal years. Such adjustments typically occur when claims experience deviates from historic and expected trends. In 2016 , we recognized additional charges for adjustments to pre-existing warranties of $77 million . Future events and circumstances could materially change these estimates and require additional adjustments to our liability. When we identify cost effective opportunities to address issues in products sold or corrective actions for safety issues, we initiate product recalls or field campaigns. As a result of the uncertainty surrounding the nature and frequency of product recalls and field campaigns, the liability for such actions are generally recorded when we commit to a product recall or field campaign. Each subsequent quarter after a recall or campaign is initiated the recorded liability balance is analyzed, reviewed, and adjusted if necessary to reflect any changes in the anticipated average cost of repair or number of repairs to be completed prospectively. Included in 2016 warranty expense were $17 million of charges related to new campaign issuances as well as change in estimates of previously issued campaigns, as compared to $12 million and $13 million in 2015 and 2014 , respectively. The charges were primarily recognized as adjustments to pre-existing warranties. As we continue to identify opportunities to improve the design and manufacturing of our engines we may incur additional charges for product recalls and field campaigns to address identified issues. Optional extended warranty contracts can be purchased for periods ranging from one to ten years. Warranty revenues related to extended warranty contracts are amortized to income, over the life of the contract using the straight-line method. Costs under extended warranty contracts are expensed as incurred. We recognize losses on defined pools of extended warranty contracts when the expected costs for a given pool of contracts exceed related unearned revenue. When collection is reasonably assured, we also estimate the amount of warranty claim recoveries to be received from our suppliers and record them in Other current assets and Other noncurrent assets . Recoveries related to specific product recalls, in which a supplier confirms its liability under the recall, are recorded in Trade and other receivables, net . Warranty costs and recoveries are included in Costs of products sold . Although we believe that the estimates and judgments discussed herein are reasonable, actual results could differ and we may be exposed to increases or decreases in our warranty accrual that could be material. Product Warranty Liability The following table presents accrued product warranty and deferred warranty revenue activity: For the Years Ended October 31, (in millions) 2016 2015 2014 Balance at beginning of period $ 994 $ 1,197 $ 1,349 Costs accrued and revenues deferred (B) 186 260 354 Currency translation adjustment 3 (9 ) (4 ) Adjustments to pre-existing warranties (A) 77 1 55 Payments and revenues recognized (B) (442 ) (455 ) (557 ) Balance at end of period 818 994 1,197 Less: Current portion 396 429 535 Noncurrent accrued product warranty and deferred warranty revenue $ 422 $ 565 $ 662 _________________________ (A) Adjustments to pre-existing warranties reflect changes in our estimate of warranty costs for products sold in prior periods. Such adjustments typically occur when claims experience deviates from historic and expected trends. Our warranty liability is generally affected by component failure rates, repair costs, and the timing of failures. Future events and circumstances related to these factors could materially change our estimates and require adjustments to our liability. In addition, new product launches require a greater use of judgment in developing estimates until historical experience becomes available. In the second quarter of 2016, we recorded a charge for adjustments to pre-existing warranties of $46 million or a charge of $0.56 per diluted share. The charge primarily relates to increases in both claim frequency and cost of repair across both the Medium Duty and Big Bore engine families. The charge increased the reserve for our standard warranty obligations as well as the loss positions related to our Big Bore extended service contracts. Adjustments to pre-existing warranties in 2016 include a benefit of $1 million related to our Workhorse Custom Chassis operations, which are reported in Discontinued Operations in our Consolidated Statements of Operations. In the first quarter of 2015, we recognized a benefit for adjustments to pre-existing warranties of $57 million or a benefit of $0.70 per diluted share. In the fourth quarter of 2015, we recognized a charge for adjustments to pre-existing warranties from continuing operations of $40 million or a charge of $0.49 per diluted share. Adjustments to pre-existing warranties in 2015 include a benefit of $3 million related to our Workhorse Custom Chassis operations, which are reported in Discontinued Operations in our Consolidated Statements of Operations. In the first quarter of 2014, we recorded adjustments for changes in estimates of $52 million or charges of $0.64 per diluted share. In the second quarter of 2014, we recorded adjustments for changes in estimates of $42 million , or charges of $0.52 per diluted share. In the third quarter of 2014, we recognized a benefit for adjustments to pre-existing warranties of $29 million , or a benefit of $0.36 per diluted share. Included in the 2014 adjustments is a $36 million correction of prior-period errors, primarily related to pre-existing warranties. For more information on the errors identified, see 2014 Out-of-Period Adjustments . The impact of income taxes on the 2016 , 2015 , and 2014 adjustments are not material due to our deferred tax valuation allowances on our U.S. deferred tax assets. (B) During 2016, we identified an error in amounts included in Costs accrued and revenues deferred and Payments and revenues recognized for the year ended October 31, 2015. As a result, the respective amounts were reclassified by $36 million . The reclassification did not impact our Consolidated Statements of Operations or our Consolidated Balance Sheets . During the third quarter of 2016, we determined that the amortization of loss reserves for Big Bore extended service contracts, which were included within Costs accrued and revenues deferred, should now be applied to Payments and revenues recognized. As a result, for the years ended October 31, 2015 and 2014 we have reclassified $34 million and $52 million , respectively, of amortization of loss reserves in order to conform to our current presentation. The reclassification did not impact our Consolidated Statements of Operations or our Consolidated Balance Sheets . Extended Warranty Programs The amount of deferred revenue related to extended warranty programs was $325 million , $401 million , and $437 million at October 31, 2016 , 2015 , and 2014 , respectively. Revenue recognized under our extended warranty programs was $150 million , $154 million , and $132 million for the years ended October 31, 2016 , 2015 , and 2014 , respectively. In 2016, we recognized net charges of $34 million related to extended warranty contracts on our proprietary Big-Bore engines, which includes charges of $26 million related to pre-existing warranties. In 2015, we recognized a net benefit of $56 million related to extended warranty contracts on our proprietary Big-Bore engines, which includes a benefit of $54 million related to pre-existing warranties. In 2014, amounts recognized related to extended warranty contracts on our proprietary Big-Bore engines was not material to our Consolidated Statements of Operations. |
Goodwill and Intangible Assets, Policy [Policy Text Block] | Goodwill and Indefinite-Lived Intangible Assets Goodwill represents the excess of the cost of an acquired business over the amounts assigned to the net assets. Goodwill is not amortized but is tested for impairment at a reporting unit level on an annual basis or more frequently, if circumstances change or an event occurs that would more likely than not reduce the fair value of a reporting unit below its carrying amount. Qualitative factors may be assessed to determine whether it is more likely than not that the fair value of the reporting unit is less than its carrying amount. If the qualitative assessment indicates that the carrying amount is more likely than not higher than the fair value, goodwill is tested for impairment based on a two-step test. The first step compares the fair value of a reporting unit with its carrying amount, including goodwill. If the fair value of a reporting unit exceeds its carrying amount, goodwill of the reporting unit is considered not impaired, thus the second step of the impairment test is unnecessary. If the carrying amount of a reporting unit exceeds its fair value, the second step of the goodwill impairment test shall be performed to measure the amount of impairment loss, if any. The second step compares the implied fair value of reporting unit goodwill with the carrying amount of that goodwill. If the carrying amount of reporting unit goodwill exceeds the implied fair value of that goodwill, an impairment loss shall be recognized in an amount equal to that excess. Significant judgment is applied when goodwill is assessed for impairment. This judgment includes developing cash flow projections, selecting appropriate discount rates, identifying relevant market comparables, incorporating general economic and market conditions, and selecting an appropriate control premium. The income approach is based on discounted cash flows which are derived from internal forecasts and economic expectations for each respective reporting unit. An intangible asset determined to have an indefinite useful life is not amortized until its useful life is determined to no longer be indefinite. Indefinite-lived intangible assets are evaluated each reporting period to determine whether events and circumstances continue to support an indefinite useful life. Indefinite-lived intangible assets are tested for impairment annually or more frequently if events or changes in circumstances indicate that the asset might be impaired. The impairment test consists of a comparison of the fair value of the indefinite-lived intangible asset with its carrying amount. If the carrying amount of an indefinite-lived intangible asset exceeds its fair value, an impairment loss is recognized in an amount equal to that excess. Significant judgment is applied when evaluating if an intangible asset has a finite useful life. In addition, for indefinite-lived intangible assets, significant judgment is applied in testing for impairment. This judgment includes developing cash flow projections, selecting appropriate discount rates, identifying relevant market comparables, and incorporating general economic and market conditions. Intangible assets subject to amortization are also evaluated for impairment periodically or when indicators of impairment are determined to exist. We test for impairment of intangible assets, subject to amortization, by comparing the sum of the estimated undiscounted future cash flows expected to result from the operation of the asset group and its eventual disposition to the carrying value. If the sum of the undiscounted future cash flows is less than the carrying value, the fair value of the asset group is determined. The amount of impairment is calculated by subtracting the fair value of the asset group from the carrying value of the asset group. Intangible assets, subject to amortization, could become impaired in the future or require additional charges as a result of declines in profitability due to changes in volume, market pricing, cost, manner in which an asset is used, physical condition of an asset, laws and regulations, or the business environment. We amortize the cost of intangible assets over their respective estimated useful lives, generally on a straight-line basis. The ranges for the amortization periods are generally as follows: Years Customer base and relationships 3 - 15 Trademarks 20 Other 3 - 18 During the third quarter of 2015, the economic downturn in Brazil resulted in the continued decline in actual and forecasted results for the Brazilian engine reporting unit with an indefinite-lived intangible asset, a trademark, of $24 million . As a result, we performed an impairment analysis in the third quarter of 2015 utilizing the income approach, based on discounted cash flows, which are derived from internal forecasts and economic expectations. It was determined that the carrying value of the trademark exceeded its fair value. As a result, we determined that the trademark was impaired and recognized an impairment charge of $3 million . In the third quarter of 2016, we recognized an additional impairment charge of $1 million related to this trademark. The non-cash impairment charges were included in Asset impairment charges in our Consolidated Statements of Operations. The Brazilian engine reporting unit is included in the Global Operations segment. |
Basis of Presentation and Consolidation | Basis of Presentation and Consolidation The accompanying audited consolidated financial statements include the assets, liabilities, and results of operations of our Manufacturing operations, which include majority-owned dealers ("Dealcors"), and our Financial Services operations, including VIEs of which we are the primary beneficiary. The effects of transactions among consolidated entities have been eliminated to arrive at the consolidated amounts. |
Variable Interest Entities | Variable Interest Entities We have an interest in several VIEs, primarily joint ventures, established to manufacture or distribute products and enhance our operational capabilities. We have determined for certain of our VIEs that we are the primary beneficiary because we have the power to direct the activities of the VIE that most significantly impact its economic performance and we have the obligation to absorb losses of, or the right to receive benefits from, the VIE that could potentially be significant to the VIE. Accordingly, we include in our consolidated financial statements the assets and liabilities and results of operations of those entities, even though we may not own a majority voting interest. The liabilities recognized as a result of consolidating these VIEs do not represent additional claims on our general assets; rather they represent claims against the specific assets of these VIEs. Assets of these entities are not readily available to satisfy claims against our general assets. We are the primary beneficiary of our Blue Diamond Parts, LLC ("BDP") joint venture with Ford Motor Company ("Ford"). As a result, our Consolidated Balance Sheets include assets of $51 million and $50 million and liabilities of $16 million and $7 million as of October 31, 2016 and 2015 , respectively, including $6 million and $7 million of cash and cash equivalents, at the respective dates, which are not readily available to satisfy claims against our general assets. The creditors of BDP do not have recourse to our general credit. On May 29, 2015, we acquired Ford's remaining 25% ownership in our Blue Diamond Truck, LLC ("BDT") joint venture for $27 million . The acquisition of Ford's remaining ownership of the BDT joint venture did not have a material impact on our consolidated net loss for the year ended October 31, 2015 . Our Financial Services segment consolidates several VIEs. As a result, our Consolidated Balance Sheets include secured assets of $865 million and $1.1 billion as of October 31, 2016 and 2015 , respectively, and liabilities of $722 million and $844 million as of October 31, 2016 and 2015 , respectively, all of which are involved in securitizations that are treated as asset-backed debt. In addition, our Consolidated Balance Sheets include secured assets of $249 million and $235 million as of October 31, 2016 and 2015 , respectively, and corresponding liabilities of $136 million and $107 million , at the respective dates, which are related to other secured transactions that do not qualify for sale accounting treatment, and therefore, are treated as borrowings secured by operating and finance leases. Investors that hold securitization debt have a priority claim on the cash flows generated by their respective securitized assets to the extent that the related VIEs are required to make principal and interest payments. Investors in securitizations of these entities have no recourse to our general credit. We also have an interest in other VIEs, which we do not consolidate because we are not the primary beneficiary. Our financial support and maximum loss exposure relating to these non-consolidated VIEs are not material to our financial condition, results of operations, or cash flows. We use the equity method to account for our investments in entities that we do not control under the voting interest or variable interest models, but where we have the ability to exercise significant influence over operating and financial policies. Equity in income of non-consolidated affiliates includes our share of the net income of these entities. |
Equity Method Investments, Policy [Policy Text Block] | We use the equity method to account for our investments in entities that we do not control under the voting interest or variable interest models, but where we have the ability to exercise significant influence over operating and financial policies. Equity in income of non-consolidated affiliates includes our share of the net income of these entities. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses for the periods presented. Significant estimates and assumptions are used for, but are not limited to, pension and other postretirement benefits, allowance for doubtful accounts, income tax contingency accruals and valuation allowances, product warranty accruals, used truck inventory valuations, asbestos and other product liability accruals, asset impairment charges, restructuring charges and litigation-related accruals. Actual results could differ from our estimates. Concentration Risks Our financial condition, results of operations, and cash flows are subject to concentration risks related to our significant unionized workforce. As of October 31, 2016 , approximately 5,400 , or 82% , of our hourly workers and approximately 300 , or 6% , of our salaried workers, are represented by labor unions and are covered by collective bargaining agreements. Our future operations may be affected by changes in governmental procurement policies, budget considerations, changing national defense requirements, and political, regulatory and economic developments in the U.S. and certain foreign countries (primarily Canada, Mexico, and Brazil). Revenue Recognition Our Manufacturing operations recognize revenue when we meet four basic criteria: (i) persuasive evidence that a customer arrangement exists, (ii) the price is fixed or determinable, (iii) collectability is reasonably assured, and (iv) delivery of product has occurred or services have been rendered. Sales are generally recognized when risk of ownership passes. Sales to fleet customers and governmental entities are recognized in accordance with the terms of each contract. Revenue on certain customer requested bill and hold arrangements is not recognized until after the customer is notified that the product (i) has been completed according to customer specifications, (ii) has passed our quality control inspections, and (iii) is ready for delivery based upon the established delivery terms and risk of loss has transferred. An allowance for sales returns is recorded as a reduction to revenue based upon estimates using historical information about returns. For the sale of service parts that include a core component, we record revenue on a gross basis including the fair market value of the core. A core component is the basic forging or casting, such as an engine block, that can be remanufactured by a certified remanufacturing supplier. When a dealer returns a core within the specified eligibility period, we provide a core return credit, which is applied to the customer's account balance. At times, we may mark up the core charge beyond the amount we are charged by the supplier. This mark-up is recorded as a liability, as it represents the amount that will be paid to the dealer upon return of the core component and is in excess of the fair value to be received from the supplier. Concurrent with our recognition of revenue, we recognize price allowances and the cost of incentive programs in the normal course of business based on programs offered to dealers or fleet customers. Estimates are made for sales incentives on certain vehicles in dealer stock inventory based on historical experience and announced special programs. Historically, we have had an increase in net orders for stock inventory from our dealers at the end of the year due to a combination of demand and, from time to time, incentives to dealers. Truck sales to the U.S. and foreign governments, of non-commercial products manufactured to government specifications, are recognized using the units-of-delivery measure under the percentage-of-completion accounting method as units are delivered and accepted by the government. Certain terms or modifications to U.S. and foreign government contracts may be unpriced; that is, the work to be performed is defined, but the related contract price is to be negotiated at a later date. In situations where we can reliably estimate a profit margin in excess of costs incurred, revenue and gross margin are recorded for delivered contract items. Otherwise, revenue is recognized when the price has been agreed with the government and costs are deferred when it is probable that the costs will be recovered. Shipping and handling amounts billed to our customers are included in Sales of manufactured products, net and the related shipping and handling costs incurred are included in Costs of products sold. Financial Services operations recognize revenue from retail notes, finance leases, wholesale notes, retail accounts, and wholesale accounts as Finance revenues over the term of the receivables utilizing the effective interest method. Certain direct origination costs and fees are deferred and recognized as adjustments to yield and are reported as part of interest income over the life of the receivable. Loans are considered to be impaired when we conclude it is probable the customer will not be able to make full payment after reviewing the customer's financial performance, payment ability, capital-raising potential, management style, economic situation, and other factors. The accrual of interest on such loans is discontinued when the loan becomes 90 days or more past due. Finance revenues on these loans are recognized only to the extent cash payments are received. We resume accruing interest on these accounts when payments are current according to the terms of the loans and future payments are reasonably assured. Operating lease revenues are recognized on a straight-line basis over the life of the lease. Recognition of revenue is suspended when management determines the collection of future revenue is not probable. Recognition of revenue is resumed if collection again becomes probable. Selected receivables are securitized and sold to public and private investors with limited recourse. Our Financial Services operations continue to service the sold receivables. Cash and Cash Equivalents All highly liquid financial instruments with original maturities of 90 days or less, consisting primarily of U.S. Treasury bills, federal agency securities, and commercial paper, are classified as cash equivalents. Restricted cash is related to our securitization facilities, senior and subordinated floating rate asset-backed notes, wholesale trust agreements, indentured trust agreements, letters of credit, Environmental Protection Agency ("EPA") requirements, and workers compensation requirements. The restricted cash and cash equivalents for our securitized facilities is restricted to pay interest expense, principal, or other amounts associated with our securitization agreements. Marketable Securities Marketable securities consist of available-for-sale securities and are measured and reported at fair value. The difference between amortized cost and fair value is recorded as a component of Accumulated other comprehensive loss ("AOCL") in Stockholders' Deficit, net of taxes. Most securities with remaining maturities of less than twelve months and other investments needed for current cash requirements are classified as current in our Consolidated Balance Sheets . Gains and losses on the sale of marketable securities are determined using the specific identification method and are recorded in Other income, net . We evaluate our investments in marketable securities at the end of each reporting period to determine if a decline in fair value is other than temporary. When a decline in fair value is determined to be other than temporary, an impairment charge is recorded and a new cost basis in the investment is established. Our marketable securities are classified as Level 1 in the fair value hierarchy. Derivative Instruments We utilize derivative instruments to manage certain exposure to changes in foreign currency exchange rates, interest rates, and commodity prices. The fair values of all derivative instruments are recognized as assets or liabilities at the balance sheet date. Changes in the fair value of these derivative instruments are recognized in our operating results or included in AOCL , depending on whether the derivative instrument is a fair value or cash flow hedge and whether it qualifies for hedge accounting treatment. We elected to apply the normal purchase and normal sale exclusion to certain commodity contracts that are entered into to be used in production within a reasonable time during the normal course of business. For the years ended October 31, 2016 , 2015 , and 2014 , none of our derivatives qualified for hedge accounting and all changes in the fair value of our derivatives, except for those qualifying under the normal purchases and normal sales exception, were recognized in our operating results. Gains and losses on derivative instruments are recognized in Costs of products sold , Interest expense , or Other income, net depending on the underlying exposure. The exchange of cash associated with derivative transactions is classified in the Consolidated Statements of Cash Flows in the same category as the cash flows from the items subject to the economic hedging relationships. Trade and Finance Receivables Trade Receivables Trade accounts receivable and trade notes receivable primarily arise from sales of goods to independently owned and operated dealers, original equipment manufacturers ("OEMs"), and commercial customers in the normal course of business. Finance Receivables Finance receivables consist of the following: • Retail notes —Retail notes primarily consist of fixed rate loans to commercial customers to facilitate their purchase of new and used trucks, trailers, and related equipment. • Finance leases —Finance leases consist of direct financing leases to commercial customers for acquisition of new and used trucks, trailers, and related equipment. • Wholesale notes —Wholesale notes primarily consist of variable rate loans to our dealers for the purchase of new and used trucks, trailers, and related equipment. • Retail accounts —Retail accounts consist of short-term accounts receivable that finance the sale of products to commercial customers. • Wholesale accounts —Wholesale accounts consist of short-term accounts receivable primarily related to the sales of items other than trucks, trailers, and related equipment (e.g. service parts) to dealers. Finance receivables are classified as held-to-maturity and are recorded at gross value less unearned income and are reported net of allowances for doubtful accounts. Unearned revenue is amortized to revenue over the life of the receivable using the effective interest method. Our Financial Services operations purchase the majority of the wholesale notes receivable and some retail notes and accounts receivable arising from our Manufacturing operations. The Financial Services operations retain as collateral a security interest in the equipment associated with retail notes, wholesale notes, and finance leases. Sales of Trade and Finance Receivables We sell finance receivables using a process commonly known as securitization, whereby asset-backed securities are sold via public offering or private placement. None of our securitizations qualify for sales accounting treatment or as an off-balance sheet arrangement. As a result, the transferred receivables and the associated secured borrowings are included in our Consolidated Balance Sheets and no gain or loss is recorded on the sale. We also act as servicer of transferred receivables. The servicing duties include collecting payments on receivables and preparing monthly investor reports on the performance of the receivables that are used by the trustee to distribute monthly interest and principal payments to investors. While servicing the receivables, we apply the same servicing policies and procedures that are applied to our owned receivables. On a limited basis, we have sold certain receivables to third party lenders, without recourse or future obligations, and generally with no gain or loss. Allowance for Doubtful Accounts An allowance for doubtful accounts is established through a charge to Selling, general and administrative ("SG&A") expenses . The allowance is an estimate of the amount required to absorb probable losses on trade and finance receivables that may become uncollectible. The receivables are charged off when amounts due are determined to be uncollectible. We have two portfolio segments of finance receivables based on the type of financing inherent to each portfolio. The retail portfolio segment represents loans or leases to end-users for the purchase or lease of vehicles. The wholesale portfolio segment represents loans to dealers to finance their inventory. As the initial measurement attributes and the monitoring and assessment of credit risk or the performance of the receivables are consistent within each of our receivable portfolios, we determined that each portfolio consisted of one class of receivable. Impaired receivables are specifically identified and segregated from the remaining portfolio. The expected loss on impaired receivables is fully reserved in a separate calculation as a specific reserve based on the unique ability of the customer to pay and the estimated value of the collateral. The historical loss experience and portfolio quality trends of the retail portfolio segment compared to the wholesale portfolio segment are inherently different. A specific reserve on impaired retail receivables is recorded if the estimated fair value of the underlying collateral, net of selling costs, is less than the principal balance of the receivable. We calculate a general reserve on the remaining loan portfolio by applying loss ratios which are determined using actual loss experience and customer payment history, in conjunction with current economic and portfolio quality trends. In addition, we analyze specific economic indicators such as tonnage, fuel prices, and gross domestic product for additional insight into the overall state of the economy and its potential impact on our portfolio. To establish a specific reserve for impaired wholesale receivables, we consider the same factors discussed above but also consider the financial strength of the dealer and key management, the timeliness of payments, the number and location of satellite locations, the number of dealers of competitor manufacturers in the market area, the type of equipment normally financed, and the seasonality of the business. Repossessions Gains or losses arising from the sale of repossessed collateral supporting finance receivables and operating leases are recognized in Selling, general and administrative expenses . Repossessed assets are recorded within Inventories at the lower of historical cost or fair value, less estimated costs to sell. Inventories Inventories are valued at the lower of cost or market. Cost is principally determined using the first-in, first-out method. Our gross used truck inventory increased to approximately $410 million at October 31, 2016 from $390 million at October 31, 2015 , offset by reserves of $208 million and $110 million , respectively. During the year ended October 31, 2016 , the net increase in reserves of $98 million were recorded primarily in Costs of products sold . In valuing our used truck inventory, we are required to make assumptions regarding the level of reserves required to value inventories at their net realizable value ("NRV"). Our judgments and estimates for used truck inventory are based on an analysis of current and forecasted sales prices, aging of and demand for used trucks, and the mix of sales through various market channels. The NRV is subject to change based on numerous conditions, including age, specifications, mileage, timing of sales, market mix and current and forecasted pricing. While calculations are made after taking these factors into account, significant management judgment regarding expectations for future events is involved. Future events that could significantly influence our judgment and related estimates include general economic conditions in markets where our products are sold, actions of our competitors, and the ability to sell used trucks in a timely manner. The following table presents our used truck reserve: For the Years Ended October 31, (in millions) 2016 2015 2014 Balance at beginning of period $ 110 $ 43 $ 17 Additions charged to expense (A) 187 117 52 Deductions/Other adjustments (B) (89 ) (50 ) (26 ) Balance at end of period $ 208 $ 110 $ 43 _________________________ (A) Additions charged to expense reflects the increase of the reserve for inventory on hand. (B) Deductions/Other adjustments include reductions of the reserve related to the sale of units and our Mexican subsidiary currency translation adjustments. Property and Equipment We report land, buildings, leasehold improvements, machinery and equipment (including tooling and pattern equipment), furniture, fixtures, and equipment, and equipment leased to others at cost, net of depreciation. We initially record assets under capital lease obligations at the lower of their fair value or the present value of the aggregate future minimum lease payments. We depreciate our assets using the straight-line method over the shorter of the lease term or the estimated useful lives of the assets. The ranges of estimated useful lives are as follows: Years Buildings 20 - 50 Leasehold improvements 3 - 20 Machinery and equipment 3 - 12 Furniture, fixtures, and equipment 3 - 15 Equipment leased to others 1 - 10 Long-lived assets are evaluated periodically to determine if an adjustment to the depreciation and amortization period or to the unamortized balance is warranted. Such evaluation is based principally on the expected utilization of the long-lived assets. We depreciate trucks, tractors, and trailers leased to customers under operating lease agreements on a straight-line basis to the equipment's estimated residual value over the lease term. The residual values of the equipment represent estimates of the value of the assets at the end of the lease contracts and are initially recorded based on estimates of future market values. Realization of the residual values is dependent on our future ability to market the equipment. We review residual values periodically to determine that recorded amounts are appropriate and the equipment is not impaired. Maintenance and repairs of property and equipment are expensed as incurred. We capitalize replacements and improvements that increase the estimated useful life or productive capacity of an asset and we capitalize interest on major construction and development projects while in progress. Gains or losses on disposition of property and equipment are recognized in Other income, net . We test for impairment of long-lived assets whenever events or changes in circumstances indicate that the carrying value of an asset or asset group (hereinafter referred to as "asset group") may not be recoverable by comparing the sum of the estimated undiscounted future cash flows expected to result from the operation of the asset group and its eventual disposition to the carrying value. If the sum of the undiscounted future cash flows is less than the carrying value, the fair value of the asset group is determined. The amount of impairment is calculated by subtracting the fair value of the asset group from the carrying value of the asset group. Included in equipment leased to others are trucks that we produced or acquired to lease to customers as well as equipment that is financed by BMO that does not qualify for revenue recognition, as we retained substantial risks of ownership in the leased property, which are accounted for as operating leases and borrowings, respectively. In the Consolidated Statement of Cash Flows the related expenditures are reflected as the Purchases of equipment leased to others in the investing section. Goodwill and Indefinite-Lived Intangible Assets Goodwill represents the excess of the cost of an acquired business over the amounts assigned to the net assets. Goodwill is not amortized but is tested for impairment at a reporting unit level on an annual basis or more frequently, if circumstances change or an event occurs that would more likely than not reduce the fair value of a reporting unit below its carrying amount. Qualitative factors may be assessed to determine whether it is more likely than not that the fair value of the reporting unit is less than its carrying amount. If the qualitative assessment indicates that the carrying amount is more likely than not higher than the fair value, goodwill is tested for impairment based on a two-step test. The first step compares the fair value of a reporting unit with its carrying amount, including goodwill. If the fair value of a reporting unit exceeds its carrying amount, goodwill of the reporting unit is considered not impaired, thus the second step of the impairment test is unnecessary. If the carrying amount of a reporting unit exceeds its fair value, the second step of the goodwill impairment test shall be performed to measure the amount of impairment loss, if any. The second step compares the implied fair value of reporting unit goodwill with the carrying amount of that goodwill. If the carrying amount of reporting unit goodwill exceeds the implied fair value of that goodwill, an impairment loss shall be recognized in an amount equal to that excess. Significant judgment is applied when goodwill is assessed for impairment. This judgment includes developing cash flow projections, selecting appropriate discount rates, identifying relevant market comparables, incorporating general economic and market conditions, and selecting an appropriate control premium. The income approach is based on discounted cash flows which are derived from internal forecasts and economic expectations for each respective reporting unit. An intangible asset determined to have an indefinite useful life is not amortized until its useful life is determined to no longer be indefinite. Indefinite-lived intangible assets are evaluated each reporting period to determine whether events and circumstances continue to support an indefinite useful life. Indefinite-lived intangible assets are tested for impairment annually or more frequently if events or changes in circumstances indicate that the asset might be impaired. The impairment test consists of a comparison of the fair value of the indefinite-lived intangible asset with its carrying amount. If the carrying amount of an indefinite-lived intangible asset exceeds its fair value, an impairment loss is recognized in an amount equal to that excess. Significant judgment is applied when evaluating if an intangible asset has a finite useful life. In addition, for indefinite-lived intangible assets, significant judgment is applied in testing for impairment. This judgment includes developing cash flow projections, selecting appropriate discount rates, identifying relevant market comparables, and incorporating general economic and market conditions. Intangible assets subject to amortization are also evaluated for impairment periodically or when indicators of impairment are determined to exist. We test for impairment of intangible assets, subject to amortization, by comparing the sum of the estimated undiscounted future cash flows expected to result from the operation of the asset group and its eventual disposition to the carrying value. If the sum of the undiscounted future cash flows is less than the carrying value, the fair value of the asset group is determined. The amount of impairment is calculated by subtracting the fair value of the asset group from the carrying value of the asset group. Intangible assets, subject to amortization, could become impaired in the future or require additional charges as a result of declines in profitability due to changes in volume, market pricing, cost, manner in which an asset is used, physical condition of an asset, laws and regulations, or the business environment. We amortize the cost of intangible assets over their respective estimated useful lives, generally on a straight-line basis. The ranges for the amortization periods are generally as follows: Years Customer base and relationships 3 - 15 Trademarks 20 Other 3 - 18 During the third quarter of 2015, the economic downturn in Brazil resulted in the continued decline in actual and forecasted results for the Brazilian engine reporting unit with an indefinite-lived intangible asset, a trademark, of $24 million . As a result, we performed an impairment analysis in the third quarter of 2015 utilizing the income approach, based on discounted cash flows, which are derived from internal forecasts and economic expectations. It was determined that the carrying value of the trademark exceeded its fair value. As a result, we determined that the trademark was impaired and recognized an impairment charge of $3 million . In the third quarter of 2016, we recognized an additional impairment charge of $1 million related to this trademark. The non-cash impairment charges were included in Asset impairment charges in our Consolidated Statements of Operations. The Brazilian engine reporting unit is included in the Global Operations segment. Investments in Non-consolidated Affiliates Equity method investments are recorded at original cost and adjusted periodically to recognize (i) our proportionate share of the investees' net income or losses after the date of investment, (ii) additional contributions made and dividends or distributions received, and (iii) impairment losses resulting from adjustments to fair value. We assess the potential impairment of our equity method investments and determine fair value based on valuation methodologies, as appropriate, including the present value of estimated future cash flows, estimates of sales proceeds, and market multiples. If an investment is determined to be impaired and the decline in value is other than temporary, we record an appropriate write-down. Debt Issuance Costs We amortize debt issuance costs, discounts and premiums over the remaining life of the related debt using the effective interest method. The related income or expense is included in Interest expense . We record debt issuance costs, discounts and premiums associated with term debt as a direct deduction from, or addition to, the face amount of the debt. We record debt issuance costs associated with line-of-credit debt as noncurrent assets. Pensions and Postretirement Benefits We use actuarial methods and assumptions to account for our pension plans and other postretirement benefit plans. Pension and other postretirement benefits expense includes the actuarially computed cost of benefits earned during the current service period, the interest cost on accrued obligations, the expected return on plan assets, the straight-line amortization of net actuarial gains and losses and plan amendments, and adjustments due to settlements and curtailments. Engineering and Product Development Costs Engineering and product development costs arise from ongoing costs associated with improving existing products and manufacturing processes and for the introduction of new truck and engine components and products, and are expensed as incurred. Advertising Costs Advertising costs are expensed as incurred and are included in Selling, general and administrative expenses . These costs totaled $13 million , $26 million , and $39 million for the years ended October 31, 2016 , 2015 , and 2014 , respectively. Contingency Accruals We accrue for loss contingencies associated with outstanding litigation for which we have determined it is probable that a loss has occurred and the amount of loss can be reasonably estimated. Our asbestos, product liability, environmental, and workers compensation accruals also include estimated future legal fees associated with the loss contingencies, as we believe we can reasonably estimate those costs. In all other instances, legal fees are expensed as incurred. These expenses may be recorded in Costs of products sold, Selling, general and administrative expenses, or Other income, net . These estimates are based on our expectations of the scope, length to complete, and complexity of the claims. In the future, additional adjustments may be recorded as the scope, length, or complexity of outstanding litigation changes. Warranty We generally offer one to five -year warranty coverage for our truck, bus, and engine products, as well as our service parts. Terms and conditions vary by product, customer, and country. We accrue warranty related costs under standard warranty terms and for certain claims outside the contractual obligation period that we choose to pay as accommodations to our customers. Our warranty estimates are established using historical information about the nature, frequency, timing, and average cost of warranty claims. Warranty claims are influenced by numerous factors, including new product introductions, technological developments, the competitive environment, the design and manufacturing process, and the complexity and related costs of component parts. We estimate our warranty accrual for our engines and trucks based on engine types and model years. Our warranty accruals take into account the projected ultimate cost-per-unit ("CPU") utilizing historical claims information. The CPU represents the total cash projected to be spent for warranty claims for a particular model year during the warranty period, divided by the number of units sold. The projection of the ultimate CPU is affected by component failure rates, repair costs, and the timing of failures in the product life cycle. Warranty claims inherently have a high amount of variability in timing and severity and can be influenced by external factors. Our warranty estimation process takes into consideration numerous variables that contribute to the precision of the estimate, but also add to the complexity of the model. Including numerous variables also reduces the sensitivity of the model to any one variable. We perform periodic reviews of warranty spend data to allow for timely consideration of the effects on warranty accruals. Initial warranty estimates for new model year products are based on the previous model year product's warranty experience until the new product progresses sufficiently through its life cycle and related claims data becomes mature. Historically, warranty claims experience for launch-year products has been higher compared to the prior model-year engines; however, over time we have been able to refine both the design and manufacturing process to reduce both the volume and the severity of warranty claims. New product launches require a greater use of judgment in developing estimates until historical experience becomes available. We record adjustments to pre-existing warranties for changes in our estimate of warranty costs for products sold in prior fiscal years. Such adjustments typically occur when claims experience deviates from historic and expected trends. In 2016 , we recognized additional charges for adjustments to pre-existing warranties of $77 million . Future events and circumstances could materially change these estimates and require additional adjustments to our liability. When we identify cost effective opportunities to address issues in products sold or corrective actions for safety issues, we initiate product recalls or field campaigns. As a result of the uncertainty surrounding the nature and frequency of product recalls and field campaigns, the liability for such actions are generally recorded when we commit to a product recall or field campaign. Each subsequent quarter after a recall or campaign is initiated the recorded liability balance is analyzed, reviewed, and adjusted if necessary to reflect any changes in the anticipated average cost of repair or number of repairs to be completed prospectively. Included in 2016 warranty expense were $17 million of charges related to new campaign issuances as well as change in estimates of previously issued campaigns, as compared to $12 million |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses for the periods presented. Significant estimates and assumptions are used for, but are not limited to, pension and other postretirement benefits, allowance for doubtful accounts, income tax contingency accruals and valuation allowances, product warranty accruals, used truck inventory valuations, asbestos and other product liability accruals, asset impairment charges, restructuring charges and litigation-related accruals. Actual results could differ from our estimates. |
Concentration Risk Disclosure [Text Block] | Concentration Risks Our financial condition, results of operations, and cash flows are subject to concentration risks related to our significant unionized workforce. As of October 31, 2016 , approximately 5,400 , or 82% , of our hourly workers and approximately 300 , or 6% , of our salaried workers, are represented by labor unions and are covered by collective bargaining agreements. Our future operations may be affected by changes in governmental procurement policies, budget considerations, changing national defense requirements, and political, regulatory and economic developments in the U.S. and certain foreign countries (primarily Canada, Mexico, and Brazil). |
Inventory, Policy [Policy Text Block] | Inventories Inventories are valued at the lower of cost or market. Cost is principally determined using the first-in, first-out method. Our gross used truck inventory increased to approximately $410 million at October 31, 2016 from $390 million at October 31, 2015 , offset by reserves of $208 million and $110 million , respectively. During the year ended October 31, 2016 , the net increase in reserves of $98 million were recorded primarily in Costs of products sold . In valuing our used truck inventory, we are required to make assumptions regarding the level of reserves required to value inventories at their net realizable value ("NRV"). Our judgments and estimates for used truck inventory are based on an analysis of current and forecasted sales prices, aging of and demand for used trucks, and the mix of sales through various market channels. The NRV is subject to change based on numerous conditions, including age, specifications, mileage, timing of sales, market mix and current and forecasted pricing. While calculations are made after taking these factors into account, significant management judgment regarding expectations for future events is involved. Future events that could significantly influence our judgment and related estimates include general economic conditions in markets where our products are sold, actions of our competitors, and the ability to sell used trucks in a timely manner. The following table presents our used truck reserve: For the Years Ended October 31, (in millions) 2016 2015 2014 Balance at beginning of period $ 110 $ 43 $ 17 Additions charged to expense (A) 187 117 52 Deductions/Other adjustments (B) (89 ) (50 ) (26 ) Balance at end of period $ 208 $ 110 $ 43 _________________________ (A) Additions charged to expense reflects the increase of the reserve for inventory on hand. (B) Deductions/Other adjustments include reductions of the reserve related to the sale of units and our Mexican subsidiary currency translation adjustments. |
New Accounting Pronouncements, Policy [Policy Text Block] | cently Adopted Accounting Standards In November 2015, the FASB issued ASU 2015-17, “Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes.” This ASU requires the offset of all deferred tax assets and liabilities, including valuation allowances, for each tax-paying jurisdiction within each tax-paying component. The net deferred tax must be presented as a single noncurrent amount for each jurisdiction. The ASU is effective for annual and interim reporting periods beginning after December 15, 2016, and early adoption is permitted. We elected to early adopt the provisions of this ASU during 2016. See Note 11, Income Taxes for further discussion. In April 2015, the FASB issued ASU No. 2015-03, "Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs". The amendments in this ASU require that debt issuance costs related to certain recognized debt liabilities be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The ASU is effective for annual and interim reporting periods beginning after December 15, 2015, and early adoption is permitted. We elected to early adopt the provisions of this ASU during 2016. See Note 9, Debt for further discussion. In May 2015, the FASB issued ASU 2015-07, “Fair Value Measurement (Topic 820): Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or Its Equivalent)”. This ASU removes the requirement to categorize within the fair value hierarchy all investments for which fair value is measured at the net asset value per share practical expedient. In addition, it also limits disclosure investments for which the entity has elected to measure the fair value using the practical expedient. The ASU is effective for annual and interim reporting periods beginning after December 15, 2015, and early adoption is permitted. We elected to early adopt the provisions of this ASU during 2016. See Note 10, Postretirement Benefits for further discussion. Recently Issued Accounting Standards In October 2016, the FASB issued ASU No. 2016-16, "Income Taxes” (Topic 740). This ASU update requires entities to recognize the income tax consequences of many intercompany asset transfers at the transaction date. The seller and buyer will immediately recognize the current and deferred income tax consequences of an intercompany transfer of an asset other than inventory. The tax consequences were previously deferred. The ASU is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017, with early adoption permitted. Our effective date for this ASU is November 1, 2018. Adoption will require a modified retrospective transition. We are currently evaluating the impact of this ASU on our consolidated financial statements. In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments - Credit Losses” (Topic 326). The ASU sets forth an expected credit loss model which requires the measurement of expected credit losses for financial instruments based on historical experience, current conditions and reasonable and supportable forecasts. This replaces the existing incurred loss model and is applicable to the measurement of credit losses on financial assets measured at amortized cost, and certain off-balance sheet credit exposures. This ASU is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019, with early adoption permitted. Adoption will require a modified retrospective transition. Our effective date is November 1, 2020. We are currently evaluating the impact of this ASU on our consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-02, "Leases" (Topic 842). This ASU requires lessees to recognize, on the balance sheet, assets and liabilities for the rights and obligations created by leases of greater than twelve months. The accounting by lessors will remain largely unchanged. The ASU is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2018, with early adoption permitted. Our effective date for this ASU is November 1, 2019. Adoption will require a modified retrospective transition. We are currently evaluating the impact of this ASU on our consolidated financial statements. In May 2014, the FASB issued ASU No. 2014-09, "Revenue from Contracts with Customers" (Topic 606), which supersedes the revenue recognition requirements in ASC 605, "Revenue Recognition." This ASU is based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. In August 2015, the FASB issued ASU No. 2015-14, which postponed the effective date of ASU No. 2014-09 to fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017, with early adoption permitted on the original effective date for fiscal years beginning after December 15, 2016. Our effective date for this ASU is November 1, 2018. We are in the process of completing our initial assessment of the potential impact on our consolidated financial statements and have not concluded on our adoption methodology. |
Summary of Significant Accoun30
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Accounting Policies [Abstract] | |
Schedule of Truck Reserve | The following table presents our used truck reserve: For the Years Ended October 31, (in millions) 2016 2015 2014 Balance at beginning of period $ 110 $ 43 $ 17 Additions charged to expense (A) 187 117 52 Deductions/Other adjustments (B) (89 ) (50 ) (26 ) Balance at end of period $ 208 $ 110 $ 43 _________________________ (A) Additions charged to expense reflects the increase of the reserve for inventory on hand. (B) Deductions/Other adjustments include reductions of the reserve related to the sale of units and our Mexican subsidiary currency translation adjustments. |
Property, Plant And Equipment, Useful Life | The ranges of estimated useful lives are as follows: Years Buildings 20 - 50 Leasehold improvements 3 - 20 Machinery and equipment 3 - 12 Furniture, fixtures, and equipment 3 - 15 Equipment leased to others 1 - 10 |
Intangible Assets, Useful Life | The ranges for the amortization periods are generally as follows: Years Customer base and relationships 3 - 15 Trademarks 20 Other 3 - 18 |
Schedule of Product Warranty Liability [Table Text Block] | Product Warranty Liability The following table presents accrued product warranty and deferred warranty revenue activity: For the Years Ended October 31, (in millions) 2016 2015 2014 Balance at beginning of period $ 994 $ 1,197 $ 1,349 Costs accrued and revenues deferred (B) 186 260 354 Currency translation adjustment 3 (9 ) (4 ) Adjustments to pre-existing warranties (A) 77 1 55 Payments and revenues recognized (B) (442 ) (455 ) (557 ) Balance at end of period 818 994 1,197 Less: Current portion 396 429 535 Noncurrent accrued product warranty and deferred warranty revenue $ 422 $ 565 $ 662 _________________________ (A) Adjustments to pre-existing warranties reflect changes in our estimate of warranty costs for products sold in prior periods. Such adjustments typically occur when claims experience deviates from historic and expected trends. Our warranty liability is generally affected by component failure rates, repair costs, and the timing of failures. Future events and circumstances related to these factors could materially change our estimates and require adjustments to our liability. In addition, new product launches require a greater use of judgment in developing estimates until historical experience becomes available. In the second quarter of 2016, we recorded a charge for adjustments to pre-existing warranties of $46 million or a charge of $0.56 per diluted share. The charge primarily relates to increases in both claim frequency and cost of repair across both the Medium Duty and Big Bore engine families. The charge increased the reserve for our standard warranty obligations as well as the loss positions related to our Big Bore extended service contracts. Adjustments to pre-existing warranties in 2016 include a benefit of $1 million related to our Workhorse Custom Chassis operations, which are reported in Discontinued Operations in our Consolidated Statements of Operations. In the first quarter of 2015, we recognized a benefit for adjustments to pre-existing warranties of $57 million or a benefit of $0.70 per diluted share. In the fourth quarter of 2015, we recognized a charge for adjustments to pre-existing warranties from continuing operations of $40 million or a charge of $0.49 per diluted share. Adjustments to pre-existing warranties in 2015 include a benefit of $3 million related to our Workhorse Custom Chassis operations, which are reported in Discontinued Operations in our Consolidated Statements of Operations. In the first quarter of 2014, we recorded adjustments for changes in estimates of $52 million or charges of $0.64 per diluted share. In the second quarter of 2014, we recorded adjustments for changes in estimates of $42 million , or charges of $0.52 per diluted share. In the third quarter of 2014, we recognized a benefit for adjustments to pre-existing warranties of $29 million , or a benefit of $0.36 per diluted share. Included in the 2014 adjustments is a $36 million correction of prior-period errors, primarily related to pre-existing warranties. For more information on the errors identified, see 2014 Out-of-Period Adjustments . The impact of income taxes on the 2016 , 2015 , and 2014 adjustments are not material due to our deferred tax valuation allowances on our U.S. deferred tax assets. (B) During 2016, we identified an error in amounts included in Costs accrued and revenues deferred and Payments and revenues recognized for the year ended October 31, 2015. As a result, the respective amounts were reclassified by $36 million . The reclassification did not impact our Consolidated Statements of Operations or our Consolidated Balance Sheets . During the third quarter of 2016, we determined that the amortization of loss reserves for Big Bore extended service contracts, which were included within Costs accrued and revenues deferred, should now be applied to Payments and revenues recognized. As a result, for the years ended October 31, 2015 and 2014 we have reclassified $34 million and $52 million , respectively, of amortization of loss reserves in order to conform to our current presentation. The reclassification did not impact our Consolidated Statements of Operations or our Consolidated Balance Sheets . |
Restructuring and Impairments (
Restructuring and Impairments (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Restructuring and Related Activities [Abstract] | |
Schedule of Restructuring Reserve by Type of Cost [Table Text Block] | The following tables summarize the activity in the restructuring liability, which includes amounts related to discontinued operations and excludes pension and other postretirement contractual termination benefits: (in millions) Balance at October 31, 2015 Additions Payments Adjustments Balance at October 31, 2016 Employee termination charges $ 62 $ 4 $ (63 ) $ 2 $ 5 Lease vacancy 5 — (4 ) — 1 Other 1 — — — 1 Restructuring liability $ 68 $ 4 $ (67 ) $ 2 $ 7 (in millions) Balance at Additions Payments Adjustments Balance at October 31, 2015 Employee termination charges $ 8 $ 68 $ (11 ) $ (3 ) $ 62 Lease vacancy 11 3 (8 ) (1 ) 5 Other 1 — (1 ) 1 1 Restructuring liability $ 20 $ 71 $ (20 ) $ (3 ) $ 68 (in millions) Balance at Additions Payments Adjustments Balance at October 31, 2014 Employee termination charges $ 15 $ 15 $ (19 ) $ (3 ) $ 8 Employee relocation costs — 1 (1 ) — — Lease vacancy 18 — (8 ) 1 11 Other 1 2 (2 ) — 1 Restructuring liability $ 34 $ 18 $ (30 ) $ (2 ) $ 20 |
Finance Receivables (Tables)
Finance Receivables (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Receivables [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | ur Finance receivables, net in our Consolidated Balance Sheets consist of the following: As of October 31, (in millions) 2016 2015 Retail portfolio $ 499 $ 554 Wholesale portfolio 1,199 1,467 Total finance receivables 1,698 2,021 Less: Allowance for doubtful accounts 21 26 Total finance receivables, net 1,677 1,995 Less: Current portion, net (A) 1,457 1,779 Noncurrent portion, net $ 220 $ 216 _________________________ (A) The current portion of finance receivables is computed based on contractual maturities. Actual cash collections typically vary from the contractual cash flows because of prepayments, extensions, delinquencies, credit losses, and renewals. |
Finance Revenues Derived From Receivables [Table Text Block] | The following table presents the components of our Finance revenues in our Consolidated Statements of Operations : As of October 31, (in millions) 2016 2015 2014 Retail notes and finance leases revenue $ 38 $ 48 $ 64 Wholesale notes interest 107 97 80 Operating lease revenue 66 63 60 Retail and wholesale accounts interest 24 33 28 Gross finance revenues 235 241 232 Less: Intercompany revenues 100 96 79 Finance revenues $ 135 $ 145 $ 153 |
Allowance for Doubtful Accoun33
Allowance for Doubtful Accounts (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Allowance for Doubtful Accounts [Abstract] | |
Allowance For Credit Losses On Receivables [Table Text Block] | The following tables present the activity related to our allowance for doubtful accounts for our retail portfolio segment, wholesale portfolio segment, and trade and other receivables: For the Year Ended October 31, 2016 (in millions) Retail Wholesale Trade and Total Allowance for doubtful accounts, at beginning of period $ 22 $ 4 $ 22 $ 48 Provision for doubtful accounts, net of recoveries 8 (2 ) 6 12 Charge-off of accounts (9 ) — (3 ) (12 ) Other (A) (2 ) — 3 1 Allowance for doubtful accounts, at end of period $ 19 $ 2 $ 28 $ 49 For the Year Ended October 31, 2015 (in millions) Retail Wholesale Trade and Total Allowance for doubtful accounts, at beginning of period $ 24 $ 3 $ 38 $ 65 Provision for doubtful accounts, net of recoveries 6 1 — 7 Charge-off of accounts (3 ) — (5 ) (8 ) Other (A) (5 ) — (11 ) (16 ) Allowance for doubtful accounts, at end of period $ 22 $ 4 $ 22 $ 48 For the Year Ended October 31, 2014 (in millions) Retail Portfolio Wholesale Portfolio Trade and Other Receivables Total Allowance for doubtful accounts, at beginning of period $ 21 $ 2 $ 37 $ 60 Provision for doubtful accounts, net of recoveries 13 1 10 24 Charge-off of accounts (9 ) — (6 ) (15 ) Other (A) (1 ) — (3 ) (4 ) Allowance for doubtful accounts, at end of period $ 24 $ 3 $ 38 $ 65 ____________________ (A) Amounts include impact from currency translation. |
Impaired Financing Receivables [Table Text Block] | The following table presents information regarding impaired finance receivables: October 31, 2016 October 31, 2015 (in millions) Retail Wholesale Total Retail Wholesale Total Impaired finance receivables with specific loss reserves $ 15 $ — $ 15 $ 21 $ — $ 21 Impaired finance receivables without specific loss reserves — — — — — — Specific loss reserves on impaired finance receivables 8 — 8 9 — 9 Finance receivables on non-accrual status 15 — 15 21 — 21 |
Allowance for Credit Losses on Financing Receivables [Table Text Block] | use the aging of our receivables as well as other inputs when assessing credit quality. The following table presents the aging analysis for finance receivables: As of October 31, 2016 (in millions) Retail Wholesale Total Current, and up to 30 days past due $ 449 $ 1,198 $ 1,647 30-90 days past due 37 — 37 Over 90 days past due 13 1 14 Total finance receivables $ 499 $ 1,199 $ 1,698 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Inventory Disclosure [Abstract] | |
Schedule of inventories | he following table presents the components of Inventories in our Consolidated Balance Sheets : As of October 31, (in millions) 2016 2015 Finished products $ 678 $ 837 Work in process 46 34 Raw materials 220 264 Total inventories, net $ 944 $ 1,135 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment Disclosure [Text Block] | 6. Property and Equipment, Net The following table presents the components of Property and equipment, net in our Consolidated Balance Sheets : As of October 31, (in millions) 2016 2015 Land $ 89 $ 87 Buildings 562 493 Leasehold improvements 49 56 Machinery and equipment 2,013 2,097 Furniture, fixtures, and equipment 477 478 Equipment leased to others 525 613 Construction in progress 79 67 Total property and equipment, at cost 3,794 3,891 Less: Accumulated depreciation and amortization 2,553 2,546 Property and equipment, net $ 1,241 $ 1,345 Certain of our property and equipment serve as collateral for borrowings. See Note 9, Debt , for description of borrowings. Equipment leased to others and assets under financing arrangements and capital lease obligations are as follows: As of October 31, (in millions) 2016 2015 Equipment leased to others $ 525 $ 613 Less: Accumulated depreciation 193 220 Equipment leased to others, net $ 332 $ 393 Buildings, machinery, and equipment under financing arrangements and capital lease obligations $ 61 $ 70 Less: Accumulated depreciation and amortization 38 34 Assets under financing arrangements and capital lease obligations, net $ 23 $ 36 For the years ended October 31, 2016 , 2015 , and 2014 , depreciation expense, amortization expense related to assets under financing arrangements and capital lease obligations, and interest capitalized on construction projects are as follows: For the Years Ended October 31, (in millions) 2016 2015 2014 Depreciation expense $ 134 $ 190 $ 206 Depreciation of equipment leased to others 79 76 105 Amortization expense 5 5 3 Interest capitalized 3 1 — Certain depreciation expense on buildings used for administrative purposes is recorded in Selling, general and administrative expenses. Capital Expenditures At October 31, 2016 , 2015 , and 2014 , commitments for capital expenditures were $24 million , $17 million , and $15 million , respectively. At October 31, 2016 , 2015 , and 2014 , liabilities related to capital expenditures that are included in accounts payable were $1 million , $2 million , and $1 million , respectively. Leases We lease certain land, buildings, and equipment under non-cancelable operating leases and capital leases expiring at various dates through 2025 . Operating leases generally have 1 to 20 year terms, with one or more renewal options, with terms to be negotiated at the time of renewal. Various leases include provisions for rent escalation to recognize increased operating costs or require us to pay certain maintenance and utility costs. Our rent expense for the years ended October 31, 2016 , 2015 , and 2014 was $53 million , $57 million , and $62 million , respectively. Rental income from subleases for the years ended October 31, 2016 , 2015 , and 2014 was $12 million , $11 million , and $10 million , respectively. Future minimum lease payments at October 31, 2016 , for those leases having an initial or remaining non-cancelable lease term in excess of one year and certain leases that are treated as finance lease obligations, are as follows: (in millions) Financing Operating Total 2017 $ 10 $ 52 $ 62 2018 10 45 55 2019 9 36 45 2020 9 33 42 2021 9 29 38 Thereafter 2 21 23 49 $ 216 $ 265 Less: Interest portion 7 Total $ 42 Asset Retirement Obligations We have a number of asset retirement obligations in connection with certain owned and leased locations, leasehold improvements, and sale and leaseback arrangements. Certain of our production facilities contain asbestos that would have to be removed if such facilities were to be demolished or undergo a major renovation. The fair value of the conditional asset retirement obligations as of the balance sheet date has been determined to be immaterial. Asset retirement obligations relating to the cost of removing improvements to leased facilities or returning leased equipment at the end of the associated agreements are not material. |
Schedule Of Property Plant And Equipment [Table Text Block] | The following table presents the components of Property and equipment, net in our Consolidated Balance Sheets : As of October 31, (in millions) 2016 2015 Land $ 89 $ 87 Buildings 562 493 Leasehold improvements 49 56 Machinery and equipment 2,013 2,097 Furniture, fixtures, and equipment 477 478 Equipment leased to others 525 613 Construction in progress 79 67 Total property and equipment, at cost 3,794 3,891 Less: Accumulated depreciation and amortization 2,553 2,546 Property and equipment, net $ 1,241 $ 1,345 |
Schedule Of Equipment Leased To Others And Assets Under Financing Arrangements And Capital Lease Obligations [Table Text Block] | Equipment leased to others and assets under financing arrangements and capital lease obligations are as follows: As of October 31, (in millions) 2016 2015 Equipment leased to others $ 525 $ 613 Less: Accumulated depreciation 193 220 Equipment leased to others, net $ 332 $ 393 Buildings, machinery, and equipment under financing arrangements and capital lease obligations $ 61 $ 70 Less: Accumulated depreciation and amortization 38 34 Assets under financing arrangements and capital lease obligations, net $ 23 $ 36 |
Schedule Of Depreciation Amortization Expenses And Interest Capitalized [Table Text Block] | For the years ended October 31, 2016 , 2015 , and 2014 , depreciation expense, amortization expense related to assets under financing arrangements and capital lease obligations, and interest capitalized on construction projects are as follows: For the Years Ended October 31, (in millions) 2016 2015 2014 Depreciation expense $ 134 $ 190 $ 206 Depreciation of equipment leased to others 79 76 105 Amortization expense 5 5 3 Interest capitalized 3 1 — |
Schedule of Future Minimum Lease Payments for Capital Leases [Table Text Block] | Future minimum lease payments at October 31, 2016 , for those leases having an initial or remaining non-cancelable lease term in excess of one year and certain leases that are treated as finance lease obligations, are as follows: (in millions) Financing Operating Total 2017 $ 10 $ 52 $ 62 2018 10 45 55 2019 9 36 45 2020 9 33 42 2021 9 29 38 Thereafter 2 21 23 49 $ 216 $ 265 Less: Interest portion 7 Total $ 42 |
Goodwill and Other Intangible36
Goodwill and Other Intangible assets, Net (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Equity Method Investments, Summarized Financial Information, Balance Sheet [Table Text Block] | The following table presents the carrying amount of Goodwill in our Consolidated Balance Sheets for each operating segment: (in millions) Truck Parts Global Operations Total As of October 31, 2013 $ — $ 38 $ 146 $ 184 Impairments — — (142 ) (142 ) Currency translation — — (4 ) (4 ) As of October 31, 2014 $ — $ 38 $ — $ 38 Impairments and currency translation — — — — As of October 31, 2015 $ — $ 38 $ — $ 38 Impairments and currency translation — — — — As of October 31, 2016 $ — $ 38 $ — $ 38 |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | Information regarding our intangible assets that are subject to amortization is as follows: As of October 31, 2016 (in millions) Customer Trademarks, Patents and Other Total Gross carrying value $ 73 $ 121 $ 194 Accumulated amortization (65 ) (97 ) (162 ) Net of amortization $ 8 $ 24 $ 32 As of October 31, 2015 (in millions) Customer Trademarks, Patents and Other Total Gross carrying value $ 69 $ 89 $ 158 Accumulated amortization (58 ) (62 ) (120 ) Net of amortization $ 11 $ 27 $ 38 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | Future estimated amortization expense for our finite-lived intangible assets for the remaining years is as follows: (in millions) Estimated 2017 $ 13 2018 8 2019 4 2020 2 2021 1 Thereafter 4 |
Investments in Non-Consolidat37
Investments in Non-Consolidated Affiliates (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | |
Schedule of Equity Method Investments, Summarized Financial Information, Balance Sheet [Table Text Block] | The following table summarizes 100% of the combined assets, liabilities, and equity of our equity method affiliates as of October 31: (Unaudited) (in millions) 2016 2015 Assets: Current assets $ 300 $ 240 Noncurrent assets 145 154 Total assets $ 445 $ 394 Liabilities and equity: Current liabilities $ 251 $ 195 Noncurrent liabilities 44 35 Total liabilities 295 230 Partners' capital and stockholders' equity: NIC 62 68 Third parties 88 96 Total partners' capital and stockholders' equity 150 164 Total liabilities and equity $ 445 $ 394 |
Schedule of Equity Method Investment, Summarized Financial Information, Income Statement [Table Text Block] | The following table summarizes 100% of the combined results of operations of our equity method affiliates for the years ended October 31: (Unaudited) (in millions) 2016 2015 2014 Net sales $ 584 $ 554 $ 527 Costs, expenses, and income tax expense 571 536 500 Net income $ 13 $ 18 $ 27 |
Schedule of transactions with affiliates [Table Text Block] | Amounts due to and due from our affiliates arising from the sale and purchase of products and services as of October 31 are as follows: (in millions) 2016 2015 Receivables due from affiliates $ — $ 1 Payables due to affiliates 22 30 |
Equity Method Investments [Table Text Block] |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Debt Disclosure [Abstract] | |
Debt | As of October 31, (in millions) 2016 2015 Manufacturing operations Senior Secured Term Loan Credit Facility, as amended, due 2020, net of unamortized discount of $14 and $17, respectively, and unamortized debt issuance costs of $7 and $9, respectively $ 1,009 $ 1,014 8.25% Senior Notes, due 2022, net of unamortized discount of $15 and $18, respectively, and unamortized debt issuance costs of $12 and $14, respectively 1,173 1,168 4.50% Senior Subordinated Convertible Notes, due 2018, net of unamortized discount of $10 and $14, respectively, and unamortized debt issuance costs of $1 and $2, respectively 189 184 4.75% Senior Subordinated Convertible Notes, due 2019, net of unamortized discount of $24 and $32, respectively, and unamortized debt issuance costs of $4 and $6, respectively 383 373 Financing arrangements and capital lease obligations 42 49 Loan Agreement related to 6.5% Tax Exempt Bonds, due 2040, net of unamortized debt issuance costs of $5 at both dates 220 220 Financed lease obligations 52 111 Other 28 43 Total Manufacturing operations debt 3,096 3,162 Less: Current portion 71 103 Net long-term Manufacturing operations debt $ 3,025 $ 3,059 As of October 31, (in millions) 2016 2015 Financial Services operations Asset-backed debt issued by consolidated SPEs, at fixed and variable rates, due serially through 2022 , net of unamortized debt issuance costs of $6 at both dates $ 753 $ 864 Bank credit facilities, at fixed and variable rates, due dates from 2017 through 2021 , net of unamortized debt issuance costs of $3 and $1, respectively 861 1,062 Commercial paper, at variable rates, program matures in 2017 96 86 Borrowings secured by operating and finance leases, at various rates, due serially through 2021 98 81 Total Financial Services operations debt 1,808 2,093 Less: Current portion 836 1,005 Net long-term Financial Services operations debt $ 972 $ 1,088 |
(Tables)
(Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
Schedule of Effect of One-Percentage-Point Change in Assumed Health Care Cost Trend Rates [Table Text Block] | The effect of changing the health care cost trend rate by one-percentage point for each future year is as follows: (in millions) One-Percentage One-Percentage Effect on total of service and interest cost components $ 12 $ (10 ) Effect on postretirement benefit obligation 205 (159 ) |
Components Of Postretirement Benefits Income Expense Included in Statement Of Operations [Table Text Block] | The components of our postretirement benefits expense included in our Consolidated Statements of Operations consist of the following: For the Years Ended October 31, (in millions) 2016 2015 2014 Pension expense $ 82 $ 69 $ 106 Health and life insurance expense 71 81 54 Total postretirement benefits expense $ 153 $ 150 $ 160 |
Schedule of Accumulated Benefit Obligations in Excess of Fair Value of Plan Assets [Table Text Block] | Information for pension plans with accumulated benefit obligations in excess of plan assets were as follows: As of October 31, (in millions) 2016 2015 Projected benefit obligations $ 3,946 $ 3,631 Accumulated benefit obligations 3,934 3,612 Fair value of plan assets 2,224 2,061 |
Schedule of Defined Benefit Plans Disclosures [Table Text Block] | A summary of the changes in benefit obligations and plan assets is as follows: Pension Benefits Health and Life (in millions) 2016 2015 2016 2015 Change in benefit obligations Benefit obligations at beginning of year $ 3,979 $ 4,041 $ 1,887 $ 1,957 Service cost 9 13 5 6 Interest on obligations 118 142 58 71 Actuarial loss (gain) 225 146 (138 ) (34 ) Contractual termination benefits 3 (1 ) 4 (1 ) Currency translation (7 ) (53 ) — — Plan participants' contributions — — 34 31 Subsidy receipts — — 37 40 Benefits paid (300 ) (309 ) (179 ) (183 ) Benefit obligations at end of year $ 4,027 $ 3,979 $ 1,708 $ 1,887 Change in plan assets Fair value of plan assets at beginning of year $ 2,422 $ 2,627 $ 369 $ 415 Actual return on plan assets 79 27 3 3 Currency translation (6 ) (51 ) — — Employer contributions 100 113 2 2 Benefits paid (285 ) (294 ) (41 ) (51 ) Fair value of plan assets at end of year $ 2,310 $ 2,422 $ 333 $ 369 Funded status at year end $ (1,717 ) $ (1,557 ) $ (1,375 ) $ (1,518 ) |
Schedule of Expected Benefit Payments [Table Text Block] | The expected future benefit payments for the years ending October 31, 2017 through 2021 and the five years ending October 31, 2026 are estimated as follows: (in millions) Pension Benefit Payments Other Postretirement Benefit Payments (A) 2017 $ 306 $ 100 2018 293 105 2019 287 111 2020 281 111 2021 273 112 2022 through 2026 1,252 532 ________________________ (A) Payments are net of expected participant contributions and expected federal subsidy receipts. |
Schedule of Allocation of Plan Assets [Table Text Block] | Pension Assets The fair value of the pension plan assets by category is summarized below: As of October 31, 2016 As of October 31, 2015 (in millions) Level 1 Level 2 Level 3 NAV Total Level 1 Level 2 Level 3 NAV Total Asset Category Cash and Cash Equivalents $ 76 $ — $ — $ — $ 76 $ 126 $ — $ — $ — $ 126 Equity U.S. Large Cap — — — — — 209 — — — 209 U.S. Small-Mid Cap — — — — — 253 — — — 253 Canadian — — — — — 30 — — — 30 International — — — — — 216 — — — 216 Emerging Markets — — — — — 77 — — — 77 Equity derivative — — — — — — — — — — Fixed Income Corporate and Government Bonds — — — — — — 792 — — 792 Asset Backed Securities — — — — — — 7 — — 7 Collective Trusts and Other U.S. Equity 294 — — — 294 — — — — — Canadian Equity 29 — — — 29 — — — — — International Equity 291 — — — 291 — — — — — Global Equity 227 — — — 227 — — — — — Fixed Income - Long Duration Credit — 530 — — 530 — — — — — Fixed Income - High Yield — 204 — — 204 — — — — — Fixed Income - Canadian Bond — 203 — — 203 — — — — — Global Real Estate — 141 — — 141 — — — — — Global Infrastructure — — — 14 14 — — — — — Common and Preferred Stock — — — — — — 449 — — 449 Commodities — — — — — — 21 — — 21 Hedge Fund of Funds — — — 230 230 — — — 109 109 Private Equity — — — 57 57 — — — 79 79 Exchange Traded Funds — — — — — 6 — — — 6 Mutual Funds — — — — — 29 — — — 29 Real Estate — — 1 — 1 — — 1 — 1 Total (A) $ 917 $ 1,078 $ 1 $ 301 $ 2,297 $ 946 $ 1,269 $ 1 $ 188 $ 2,404 ___________________ (A) In addition, the table above includes the fair value of Canadian pension assets translated at the exchange rates as of October 31, 2016 and 2015 , respectively, while the change in plan asset table includes the fair value of Canadian pension assets translated at historical foreign currency rates. The fair value of other postretirement benefit plan assets by category is summarized below: As of October 31, 2016 As of October 31, 2015 (in millions) Level 1 Level 2 Level 3 NAV Total Level 1 Level 2 Level 3 NAV Total Asset Category Cash and Cash Equivalents $ 19 $ — $ — $ — $ 19 $ 29 $ — $ — $ — $ 29 Equity U.S. Large Cap — — — — — 25 — — — 25 U.S. Small-Mid Cap — — — — — 42 — — — 42 International — — — — — 53 — — — 53 Emerging Markets — — — — — 14 — — — 14 Fixed Income Corporate and Government Bonds — 80 — — 80 — 100 — — 100 Asset Backed Securities — — — — — — 3 — — 3 Collective Trusts and Other U.S. Equity 66 — — — 66 — — — — — International Equity 71 — — — 71 — — — — — Fixed Income - Multi-Asset Credit — 41 — — 41 — — — — — Common Stock — — — — — — 59 — — 59 Commodities — — — — — — 1 — — 1 Hedge Fund of Funds — — — 42 42 — — — 22 22 Private Equity — — — 14 14 — — — 20 20 Total $ 156 $ 121 $ — $ 56 $ 333 $ 163 $ 163 $ — $ 42 $ 368 |
Schedule of Net Benefit Costs [Table Text Block] | Pension Benefits Health and Life (in millions) 2016 2015 2014 2016 2015 2014 Service cost for benefits earned during the period $ 9 $ 13 $ 12 $ 5 $ 6 $ 5 Interest on obligation 118 142 158 58 71 68 Amortization of cumulative loss 104 97 94 31 39 16 Amortization of prior service cost (benefit) — 1 — (1 ) (4 ) (4 ) Contractual termination benefits 3 (1 ) 23 4 (1 ) 2 Premiums on pension insurance 15 11 12 — — — Expected return on assets (167 ) (194 ) (193 ) (26 ) (30 ) (33 ) Net periodic benefit expense $ 82 $ 69 $ 106 $ 71 $ 81 $ 54 Other Changes in plan assets and benefit obligations recognized in other comprehensive loss (income) Actuarial net loss (gain) $ 313 $ 312 $ 164 $ (115 ) $ (7 ) $ 326 Amortization of cumulative loss (104 ) (97 ) (94 ) (31 ) (39 ) (16 ) Amortization of prior service benefit (cost) — (1 ) — 1 4 4 Currency translation (1 ) — 1 — — — Total recognized in other comprehensive loss (income) $ 208 $ 214 $ 71 $ (145 ) $ (42 ) $ 314 Total net postretirement benefits expense and other comprehensive loss (income) $ 290 $ 283 $ 177 $ (74 ) $ 39 $ 368 |
Schedule of Amounts in Accumulated Other Comprehensive Income (Loss) to be Recognized over Next Fiscal Year [Table Text Block] | Pension Benefits Health and Life (in millions) 2016 2015 2016 2015 Amounts recognized in our Consolidated Balance Sheets consist of: Noncurrent asset $ 6 $ 13 $ — $ — Current liability (17 ) (15 ) (58 ) (78 ) Noncurrent liability (1,706 ) (1,555 ) (1,317 ) (1,440 ) Net liability recognized $ (1,717 ) $ (1,557 ) $ (1,375 ) $ (1,518 ) Amounts recognized in our accumulated other comprehensive loss consist of: Net actuarial loss $ 2,442 $ 2,234 $ 472 $ 618 Net prior service benefit — — — (1 ) Net amount recognized $ 2,442 $ 2,234 $ 472 $ 617 The estimated amounts for the defined benefit pension plans and the other postretirement benefit plans that will be amortized from AOCL into net periodic benefit expense over the next fiscal year are as follows: (in millions) Pension Benefits Health and Life Insurance Benefits Amortization of prior service cost (benefit) $ — $ — Amortization of cumulative losses 117 23 |
Schedule of Assumptions Used [Table Text Block] | Assumptions The weighted average rate assumptions used in determining benefit obligations for the years ended October 31, 2016 and 2015 were: Pension Benefits Health and Life Insurance Benefits 2016 2015 2016 2015 Discount rate used to determine present value of benefit obligation at end of year 3.5 % 4.0 % 3.5 % 4.1 % Expected rate of increase in future compensation levels 3.5 % 3.5 % — — The weighted average rate assumptions used in determining net postretirement benefits expense for 2016 , 2015 , and 2014 were: Pension Benefits Health and Life Insurance Benefits 2016 2015 2014 2016 2015 2014 Discount rate used to determine service cost 4.5 % 3.7 % 4.1 % 4.6 % 3.7 % 4.1 % Discount rate used to determine interest cost 3.1 % 3.7 % 4.1 % 3.3 % 3.7 % 4.1 % Expected long-term rate of return on plan assets 7.5 % 7.8 % 7.8 % 7.5 % 7.8 % 7.8 % Expected rate of increase in future compensation levels 3.5 % 3.5 % 3.5 % — — — |
Income Taxes Income Taxes (Tabl
Income Taxes Income Taxes (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income before Income Tax, Domestic and Foreign | The following table presents the domestic and foreign components of Loss from continuing operations before income taxes in our Consolidated Statements of Operations : For the Years Ended October 31, (in millions) 2016 2015 2014 Domestic $ (95 ) $ (215 ) $ (398 ) Foreign 63 112 (158 ) Loss from continuing operations before income taxes $ (32 ) $ (103 ) $ (556 ) |
Schedule of Components of Income Tax Expense (Benefit) | The following table presents the components of Income tax expense in our Consolidated Statements of Operations : For the Years Ended October 31, (in millions) 2016 2015 2014 Current: Federal $ (1 ) $ (2 ) $ — State and local (4 ) (1 ) 7 Foreign (36 ) (64 ) (48 ) Total current expense $ (41 ) $ (67 ) $ (41 ) Deferred: Federal 13 2 13 State and local (1 ) — — Foreign (4 ) 14 2 Total deferred benefit $ 8 $ 16 $ 15 Total income tax expense $ (33 ) $ (51 ) $ (26 ) |
Schedule of Effective Income Tax Rate Reconciliation | The following table presents a reconciliation of statutory federal income tax benefit (expense) recorded in Income tax expense in our Consolidated Statements of Operations : For the Years Ended October 31, (in millions) 2016 2015 2014 Federal income tax benefit at the statutory rate of 35% $ 11 $ 36 $ 195 State income taxes, net of federal benefit (3 ) — (4 ) Credits and incentives 3 4 (5 ) Adjustments to valuation allowances (132 ) (41 ) (234 ) Foreign operations 53 (48 ) (31 ) Unremitted foreign earnings 37 (31 ) (6 ) Adjustments to uncertain tax positions (10 ) (1 ) 15 Income tax related to equity components — — 13 Non-controlling interest adjustment 11 11 14 Other (3 ) 19 17 Recorded income tax expense $ (33 ) $ (51 ) $ (26 ) |
Schedule of Deferred Tax Assets and Liabilities | The following table presents the components of the deferred tax asset (liability): As of October 31, (in millions) 2016 2015 Deferred tax assets attributable to: Employee benefits liabilities $ 1,274 $ 1,253 Net operating loss ("NOL") carryforwards 1,324 1,161 Product liability and warranty accruals 362 419 Research and development 172 135 Tax credit carryforwards 262 266 Other 232 239 Gross deferred tax assets 3,626 3,473 Less: Valuation allowances 3,434 3,260 Net deferred tax assets $ 192 $ 213 Deferred tax liabilities attributable to: Unremitted foreign earnings $ — $ (37 ) Other (31 ) (26 ) Total deferred tax liabilities $ (31 ) $ (63 ) |
Summary of Positions for which Significant Change in Unrecognized Tax Benefits is Reasonably Possible | Changes in the liability for uncertain tax positions are summarized as follows: (in millions) For the Year Ended October 31, 2016 Liability for uncertain tax positions at November 1 $ 41 Increase as a result of positions taken in prior periods 9 Decrease as a result of foreign currency translation adjustments — Settlements — Liability for uncertain tax positions at October 31 $ 50 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Financial instruments measured at fair value, recurring basis | The following table presents the financial instruments measured at fair value on a recurring basis: As of October 31, 2016 As of October 31, 2015 (in millions) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Assets Marketable securities: U.S. Treasury bills $ 6 $ — $ — $ 6 $ 53 $ — $ — $ 53 Other 40 — — 40 106 — — 106 Derivative financial instruments: Commodity forward contracts (A) — 2 — 2 — — — — Foreign currency contracts (A) — — — — — 1 — 1 Interest rate caps (B) — 1 — 1 — — — — Total assets $ 46 $ 3 $ — $ 49 $ 159 $ 1 $ — $ 160 Liabilities Derivative financial instruments: Commodity forward contracts (C) $ — $ — $ — $ — $ — $ 2 $ — $ 2 Foreign currency contracts (C) — — — — — 2 — 2 Guarantees — — 23 23 — — 10 10 Total liabilities $ — $ — $ 23 $ 23 $ — $ 4 $ 10 $ 14 _________________________ (A) The asset value of commodity forward contracts and foreign currency contracts is included in Other current assets in the accompanying Consolidated Balance Sheets . (B) The asset value of interest rate caps is included in Other noncurrent assets in the accompanying Consolidated Balance Sheets. (C) The liability value of commodity forward contracts and foreign currency contracts is included in Other current liabilities in the accompanying Consolidated Balance Sheets. |
Financial instruments classified within Level 3 | The following table presents the changes for those financial instruments classified within Level 3 of the valuation hierarchy: (in millions) October 31, 2016 October 31, 2015 Guarantees, at beginning of period $ (10 ) $ (8 ) Transfers out of Level 3 — — Issuances (17 ) (5 ) Settlements 4 3 Guarantees, at end of period $ (23 ) $ (10 ) Change in unrealized gains on assets (liabilities) still held $ — $ — |
Financial instruments measured at fair value, nonrecurring basis | The following table presents the financial instruments measured at fair value on a nonrecurring basis: (in millions) October 31, 2016 October 31, 2015 Level 2 financial instruments Carrying value of impaired finance receivables (A) $ 15 $ 21 Specific loss reserve (8 ) (9 ) Fair value $ 7 $ 12 _________________________ (A) Certain impaired finance receivables are measured at fair value on a nonrecurring basis. An impairment charge is recorded for the amount by which the carrying value of the receivables exceeds the fair value of the underlying collateral, net of remarketing costs. Fair values of the underlying collateral are determined by reference to dealer vehicle value publications adjusted for certain market factors. |
Carrying values and estimated fair values of financial instruments | The following tables present the carrying values and estimated fair values of financial instruments: As of October 31, 2016 Estimated Fair Value Carrying Value (in millions) Level 1 Level 2 Level 3 Total Assets Retail notes $ — $ — $ 153 $ 153 $ 151 Notes receivable — — 1 1 1 Liabilities Debt: Manufacturing operations Senior Secured Term Loan Credit Facility, as Amended, due 2020 — — 1,037 1,037 1,009 8.25% Senior Notes, due 2022 1,180 — — 1,180 1,173 4.50% Senior Subordinated Convertible Notes, due 2018 (A) — — 189 189 189 4.75% Senior Subordinated Convertible Notes, due 2019 (A) — — 382 382 383 Financing arrangements — — 17 17 37 Loan Agreement related to 6.50% Tax Exempt Bonds, due 2040 — 233 — 233 220 Financed lease obligations — — 52 52 52 Other — — 26 26 28 Financial Services operations Asset-backed debt issued by consolidated SPEs, at various rates, due serially through 2022 — — 754 754 753 Bank credit facilities, at fixed and variable rates, due dates from 2017 through 2021 — — 851 851 861 Commercial paper, at variable rates, program matures in 2017 96 — — 96 96 Borrowings secured by operating and finance leases, at various rates, due serially through 2021 — — 98 98 98 As of October 31, 2015 Estimated Fair Value Carrying Value (in millions) Level 1 Level 2 Level 3 Total Assets Retail notes $ — $ — $ 170 $ 170 $ 166 Notes receivable — — 3 3 3 Liabilities Debt: Manufacturing operations Senior Secured Term Loan Credit Facility, as Amended, due 2020 — — 1,014 1,014 1,014 8.25% Senior Notes, due 2022 998 — — 998 1,168 4.50% Senior Subordinated Convertible Notes, due 2018 (A) — — 148 148 184 4.75% Senior Subordinated Convertible Notes, due 2019 (A) — — 289 289 373 Financing arrangements — — 17 17 43 Loan Agreement related to 6.50% Tax Exempt Bonds, due 2040 — 233 — 233 220 Financed lease obligations — — 111 111 111 Other — — 45 45 43 Financial Services operations Asset-backed debt issued by consolidated SPEs, at various rates, due serially through 2018 — — 865 865 864 Bank credit facilities, at fixed and variable rates, due dates from 2016 through 2020 — — 1,048 1,048 1,062 Commercial paper, at variable rates, program matures in 2017 86 — — 86 86 Borrowings secured by operating and finance leases, at various rates, due serially through 2020 — — 80 80 81 _________________________ (A) The carrying value represents the consolidated financial statement amount of the debt which excludes the allocation of the conversion feature to equity, while the fair value is based on internally developed valuation techniques such as discounted cash flow modeling for Level 3 convertible notes which include the equity feature. |
Financial Instruments and Com42
Financial Instruments and Commodity Contracts (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance [Table Text Block] | The following table presents the location and amount of (gain) loss recognized in our Consolidated Statements of Operations related to derivatives: For the Years Ended October 31, (in millions) Location in Consolidated Statements of Operations 2016 2015 2014 Interest rate caps Interest expense $ — $ 1 $ 1 Cross currency swaps Other income, net — 2 3 Foreign currency contracts Other income, net — (9 ) (1 ) Commodity forward contracts Costs of products sold (1 ) 12 1 Total (gain) loss $ (1 ) $ 6 $ 4 |
Schedule of Notional Amounts of Outstanding Derivative Positions [Table Text Block] | The following table presents the outstanding foreign currency contracts: (in millions) Currency Notional Amount Maturity As of October 31, 2016 Forward exchange contract EUR € 4 November 2016 - January 2017 (A) Forward exchange contract MXN ₱ 1,064 November 2016 - January 2017 (B) As of October 31, 2015 Forward exchange contract EUR € 30 November 2015 - October 2016 (C) Forward exchange contract CAD C$ 25 November 2015 Forward exchange contract MXN ₱ 1,270 November 2015 _________________________ (A) Forward exchange contracts of €1 million matured in November 2016, €1 million mature in December 2016, and €2 million mature in January 2017. (B) Forward exchange contracts of ₱404 million matured in November 2016 and ₱660 million mature in January 2017. (C) Forward exchange contracts of €2 million settled in November 2015, €3 million matured in November 2015, €3 million matured in December 2015, €4 million matured in January 2016, and €2 million matured each month from February 2016 through October 2016. |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Segment Reporting [Abstract] | |
Revenue from External Customers by Products and Services [Table Text Block] | Sales and revenues to external customers classified by significant products and services were as follows: For the Years Ended October 31, (in millions) 2016 2015 2014 Sales and revenues: Trucks $ 5,176 $ 6,845 $ 7,137 Parts 2,216 2,399 2,424 Engine 583 751 1,092 Financial Services 136 145 153 |
Schedule of selected financial information, by segment | The following tables present selected financial information for our reporting segments: (in millions) Truck Parts Global Operations Financial (A) Corporate Total Year Ended October 31, 2016 External sales and revenues, net $ 5,271 $ 2,398 $ 296 $ 135 $ 10 $ 8,110 Intersegment sales and revenues 132 29 45 100 (305 ) 1 Total sales and revenues, net $ 5,403 $ 2,427 $ 341 $ 235 $ (295 ) $ 8,111 Income (loss) from continuing operations attributable to NIC, net of tax $ (189 ) $ 640 $ (21 ) $ 100 $ (627 ) $ (97 ) Income tax expense — — — — (33 ) (33 ) Segment profit (loss) $ (189 ) $ 640 $ (21 ) $ 100 $ (594 ) $ (64 ) Depreciation and amortization $ 129 $ 13 $ 18 $ 50 $ 15 $ 225 Interest expense — — — 80 247 327 Equity in income (loss) of non-consolidated affiliates 5 4 (3 ) — — 6 Capital expenditures (B) 97 2 4 2 11 116 (in millions) Truck Parts Global Operations Financial (A) Corporate Total Year Ended October 31, 2015 External sales and revenues, net $ 7,055 $ 2,475 $ 455 $ 145 $ 10 $ 10,140 Intersegment sales and revenues 158 38 51 96 (343 ) — Total sales and revenues, net $ 7,213 $ 2,513 $ 506 $ 241 $ (333 ) $ 10,140 Income (loss) from continuing operations attributable to NIC, net of tax $ (141 ) $ 592 $ (67 ) $ 98 $ (669 ) $ (187 ) Income tax expense — — — — (51 ) (51 ) Segment profit (loss) $ (141 ) $ 592 $ (67 ) $ 98 $ (618 ) $ (136 ) Depreciation and amortization $ 173 $ 14 $ 23 $ 51 $ 20 $ 281 Interest expense — — — 74 233 307 Equity in income (loss) of non-consolidated affiliates 5 4 (3 ) — — 6 Capital expenditures (B) 92 3 4 4 12 115 (in millions) Truck Parts Global Operations Financial (A) Corporate Total Year Ended October 31, 2014 External sales and revenues, net $ 7,255 $ 2,493 $ 905 $ 153 $ — $ 10,806 Intersegment sales and revenues 218 58 35 79 (390 ) — Total sales and revenues, net $ 7,473 $ 2,551 $ 940 $ 232 $ (390 ) $ 10,806 Income (loss) from continuing operations attributable to NIC, net of tax $ (380 ) $ 528 $ (274 ) $ 97 $ (593 ) $ (622 ) Income tax expense — — — — (26 ) (26 ) Segment profit (loss) $ (380 ) $ 528 $ (274 ) $ 97 $ (567 ) $ (596 ) Depreciation and amortization $ 216 $ 15 $ 28 $ 46 $ 27 $ 332 Interest expense — — — 71 243 314 Equity in income of non-consolidated affiliates 5 4 — — — 9 Capital expenditures (B) 65 6 8 1 8 88 (in millions) Truck Parts Global Operations Financial Services Corporate and Eliminations Total Segment assets, as of: October 31, 2016 $ 1,520 $ 594 $ 407 $ 2,116 $ 1,016 $ 5,653 October 31, 2015 1,876 641 409 2,448 1,275 6,649 _________________________ (A) Total sales and revenues in the Financial Services segment include interest revenues of $167 million , $175 million , and $170 million for the years ended October 31, 2016 , 2015 , and 2014 , respectively. (B) Exclusive of purchases of equipment leased to others. |
Reconciliation of Assets from Segment to Consolidated [Table Text Block] | Information concerning principal geographic areas is presented as follows: For the Years Ended October 31, (in millions) 2016 2015 2014 Sales and revenues: (A) United States $ 6,186 $ 7,699 $ 7,760 Canada 604 774 749 Mexico 575 653 657 Brazil 240 383 833 Other 506 631 807 As of October 31, (in millions) 2016 2015 Long-lived assets: (B) United States $ 999 $ 1,126 Canada 20 19 Mexico 202 186 Brazil 103 98 Other 8 11 __________________________ (A) During 2016, we identified certain sales included in Brazil which should have been classified as Other. As a result, for the year ended October 31, 2015 we have reclassified $103 million of sales. Also during 2016, we identified certain parts sales which were included in United States which should have been classified as Other due to a 2015 change in our segment reporting presentation. As a result, for the year ended October 31, 2015 we have reclassified $23 million of sales. These reclassifications did not impact our Consolidated Statements of Operations or our segment sales and revenues. (B) Long-lived assets consist of Property and equipment, net , Goodwill, and Intangible assets, net . |
Stockholders' Deficit (Tables)
Stockholders' Deficit (Tables) (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | (in millions) Unrealized Gain on Marketable Securities Foreign Currency Translation Adjustments Defined Benefit Plans Total Balance as of October 31, 2015 $ 1 $ (287 ) $ (2,315 ) $ (2,601 ) Other comprehensive income (loss) before reclassifications — 7 (177 ) (170 ) Amounts reclassified out of accumulated other comprehensive loss — — 131 131 Net current-period other comprehensive income (loss) — 7 (46 ) (39 ) Balance as of October 31, 2016 $ 1 $ (280 ) $ (2,361 ) $ (2,640 ) (in millions) Unrealized Gain on Marketable Securities Foreign Currency Translation Adjustments Defined Benefit Plans Total Balance as of October 31, 2014 $ 1 $ (127 ) $ (2,137 ) $ (2,263 ) Other comprehensive loss before reclassifications — (160 ) (309 ) (469 ) Amounts reclassified out of accumulated other comprehensive loss — — 131 131 Net current-period other comprehensive loss — (160 ) (178 ) (338 ) Balance as of October 31, 2015 $ 1 $ (287 ) $ (2,315 ) $ (2,601 ) (in millions) Unrealized Gain on Marketable Securities Foreign Currency Translation Adjustments Defined Benefit Plans Total Balance as of October 31, 2013 $ — $ (75 ) $ (1,749 ) $ (1,824 ) Other comprehensive income (loss) before reclassifications 1 (52 ) (491 ) (542 ) Amounts reclassified out of accumulated other comprehensive loss — — 103 103 Net current-period other comprehensive income (loss) 1 (52 ) (388 ) (439 ) Balance as of October 31, 2014 $ 1 $ (127 ) $ (2,137 ) $ (2,263 ) |
Reclassification out of Accumulated Other Comprehensive Income [Table Text Block] | The following table presents the amounts reclassified from Accumulated other comprehensive loss and the affected line item in our Consolidated Statements of Operations: For the Years Ended October 31, Location in Consolidated 2016 2015 2014 Defined benefit plans Amortization of prior service benefit Selling, general and administrative expenses $ (1 ) $ (4 ) $ (4 ) Amortization of actuarial loss Selling, general and administrative expenses 133 136 109 Total before tax 132 132 105 Income tax expense (1 ) (1 ) (2 ) Total reclassifications for the period, net of tax $ 131 $ 131 $ 103 |
Earnings (Loss) Per Share Att45
Earnings (Loss) Per Share Attributable to Navistar International Corporation (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share Reconciliation [Table Text Block] | For the Years Ended October 31, (in millions, except per share data) 2016 2015 2014 Numerator: Amounts attributable to Navistar International Corporation common stockholders: Loss from continuing operations, net of tax $ (97 ) $ (187 ) $ (622 ) Income from discontinued operations, net of tax — 3 3 Net loss $ (97 ) $ (184 ) $ (619 ) Denominator: Weighted average shares outstanding: Basic 81.7 81.6 81.4 Effect of dilutive securities — — — Diluted 81.7 81.6 81.4 Earnings (loss) per share attributable to Navistar International Corporation: Basic: Continuing operations $ (1.19 ) $ (2.29 ) $ (7.64 ) Discontinued operations — 0.04 0.04 Net loss $ (1.19 ) $ (2.25 ) $ (7.60 ) Diluted: Continuing operations $ (1.19 ) $ (2.29 ) $ (7.64 ) Discontinued operations — 0.04 0.04 Net loss $ (1.19 ) $ (2.25 ) $ (7.60 ) |
Stock-based Compensation Plan46
Stock-based Compensation Plans (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | The following table summarizes the performance-based stock options subject to service and performance conditions activity: For the Years Ended October 31, 2016 2015 2014 Shares Weighted Average Exercise Price Shares Weighted Average Exercise Price Shares Weighted Average Exercise Price (in thousands) (in thousands) (in thousands) Options outstanding, at beginning of year 1,409 $ 31.64 941 $ 35.41 299 $ 34.47 Granted — — 729 27.61 651 35.83 Forfeited (436 ) 34.22 (261 ) 33.99 (9 ) 35.09 Options outstanding, at end of year 973 30.47 1,409 31.64 941 35.41 The following table summarizes stock options activity: For the Years Ended October 31, 2016 2015 2014 Shares Weighted Average Exercise Price Shares Weighted Average Exercise Price Shares Weighted Average Exercise Price (in thousands) (in thousands) (in thousands) Options outstanding, at beginning of year 2,886 $ 39.33 3,657 $ 39.46 5,000 $ 37.94 Granted 35 10.60 40 37.03 251 38.51 Exercised — — (44 ) 25.68 (784 ) 24.33 Forfeited/expired (86 ) 42.30 (767 ) 40.60 (810 ) 44.41 Options outstanding, at end of year 2,835 38.89 2,886 39.33 3,657 39.46 Options exercisable, at end of year 2,695 39.29 2,407 40.27 2,637 41.34 The following table summarizes the performance-based stock options subject to service and market conditions activity: For the Years Ended October 31, 2016 2015 2014 Shares Weighted Average Exercise Price Shares Weighted Average Exercise Price Shares Weighted Average Exercise Price (in thousands) (in thousands) (in thousands) Options outstanding, at beginning of year 615 $ 27.24 670 $ 27.24 759 $ 27.24 Forfeited (48 ) 27.24 (55 ) 27.24 (89 ) 27.24 Options outstanding, at end of year 567 27.24 615 27.24 670 27.24 Options exercisable, at end of year 567 27.24 — — — — |
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range [Table Text Block] | The following table summarizes information about stock options outstanding: Shares Weighted Average Remaining Contractual Life Weighted Average Exercise Price Aggregate Intrinsic Value Range of Exercise Prices: (in thousands) (in years) (in millions) $ 10.60 - $ 31.19 807 3.2 $ 26.67 $ 0.5 $ 31.20 - $ 39.32 1,343 2.4 36.85 — $ 39.33 - $ 68.65 685 1.5 57.28 — Options Outstanding 2,835 The following table summarizes information about stock options exercisable: Shares Weighted Average Remaining Contractual Life Weighted Average Exercise Price Aggregate Intrinsic Value Range of Exercise Prices: (in thousands) (in years) (in millions) $ 10.60 - $ 31.19 772 3.1 $ 27.40 $ 0.1 $ 31.20 - $ 39.32 1,265 2.2 36.89 — $ 39.33 - $ 68.65 658 1.4 57.83 — Options Exercisable 2,695 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | The following table summarizes the annual weighted average assumptions: For the Years Ended October 31, 2015 2014 Risk-free interest rate 1.4 % 1.6 % Expected volatility 42.9 % 45.5 % Expected life (in years) 4.7 4.9 The following table summarizes the annual weighted average assumptions: For the Years Ended October 31, 2016 2015 2014 Risk-free interest rate 1.7 % 1.6 % 1.6 % Expected volatility 56.8 % 40.2 % 45.6 % Expected life (in years) 4.8 4.9 4.9 |
Nonvested Restricted Stock Shares Activity [Table Text Block] | The following table summarizes restricted stock activity: For the Years Ended October 31, 2016 2015 2014 Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value (in thousands) (in thousands) (in thousands) Nonvested, at beginning of year — $ — 41 $ 24.13 41 $ 24.13 Granted 5 12.52 2 29.50 4 33.70 Vested (5 ) 12.52 (43 ) 24.38 (4 ) 33.70 Nonvested, at end of year — — — — 41 24.13 |
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity [Table Text Block] | The following tables summarize RSUs activity for the years ended October 31: Share-Settled RSUs 2016 2015 2014 Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value (in thousands) (in thousands) (in thousands) Nonvested, at beginning of year 69 $ 28.60 188 $ 28.75 299 $ 29.54 Granted 624 8.76 — — — — Vested (66 ) 28.66 (114 ) 28.91 (90 ) 31.74 Forfeited (14 ) 13.07 (5 ) 27.24 (21 ) 27.24 Nonvested, at end of year 613 8.74 69 28.60 188 28.75 Cash-Settled RSUs 2016 2015 2014 Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value (in thousands) (in thousands) (in thousands) Nonvested, at beginning of year 498 $ 29.96 469 $ 33.00 194 $ 43.74 Granted 650 7.26 280 27.67 470 32.44 Vested (231 ) 26.06 (190 ) 33.82 (124 ) 47.48 Forfeited (100 ) 22.19 (61 ) 30.75 (71 ) 33.24 Nonvested, at end of year 817 13.95 498 29.96 469 33.00 |
Schedule of Nonvested Performance-based Units Activity [Table Text Block] | The following tables summarize PSUs activity for the years ended October 31: Share-Settled PSUs subject to Service and Performance Conditions 2016 2015 2014 Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value (in thousands) (in thousands) (in thousands) Nonvested, at beginning of year 244 $ 28.73 292 $ 28.48 326 $ 28.35 Forfeited (244 ) 28.73 (48 ) 27.24 (34 ) 27.24 Nonvested, at end of year — — 244 28.73 292 28.48 Cash-Settled PSUs subject to Service and Performance Conditions 2016 2015 2014 Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value (in thousands) (in thousands) (in thousands) Nonvested, at beginning of year 434 $ 30.64 221 $ 35.11 $ — $ — Granted — — 277 27.61 225 35.10 Forfeited (55 ) 30.65 (64 ) 32.95 (4 ) 35.09 Nonvested, at end of year 379 30.63 434 30.64 221 35.11 Cash Settled PSUs subject to Service and Market Conditions 2016 2015 2014 Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value Shares Weighted Average Grant Date Fair Value (in thousands) (in thousands) (in thousands) Nonvested, at beginning of year 172 $ 69.64 172 $ 69.64 172 $ 69.64 Forfeited (102 ) 82.86 — — — — Nonvested, at end of year 70 50.52 172 69.64 172 69.64 |
Supplemental Cash Flow Inform47
Supplemental Cash Flow Information (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of Cash Flow, Supplemental Disclosures [Table Text Block] | The following table provides additional information about our Consolidated Statements of Cash Flows : For the Years Ended October 31, (in millions) 2016 2015 2014 Equity in income of affiliated companies, net of dividends Equity in income of non-consolidated affiliates $ (6 ) $ (6 ) $ (9 ) Dividends from non-consolidated affiliates 12 12 12 Equity in income of non-consolidated affiliates, net of dividends $ 6 $ 6 $ 3 Other non-cash operating activities Loss (gain) on sale of property and equipment $ 2 $ (4 ) $ (9 ) Loss on sale and impairment of repossessed collateral 6 2 3 Loss on repurchase of debt — — 11 Income from operating leases (20 ) (33 ) (46 ) Other non-cash operating activities $ (12 ) $ (35 ) $ (41 ) Changes in other assets and liabilities Other current assets $ 8 $ (4 ) $ 62 Other noncurrent assets (11 ) 12 2 Other current liabilities (165 ) 79 (206 ) Postretirement benefits liabilities (47 ) (54 ) (82 ) Other noncurrent liabilities (114 ) (135 ) (78 ) Other, net (41 ) 25 20 Changes in other assets and liabilities $ (370 ) $ (77 ) $ (282 ) Cash paid during the year Interest, net of amounts capitalized $ 291 $ 239 $ 258 Income taxes, net of refunds 44 52 15 Non-cash investing and financing activities Property and equipment acquired under capital leases $ 1 $ 2 $ 3 Transfers to inventories from property and equipment for leases to others (27 ) (7 ) (14 ) |
Condensed Consolidating Guara48
Condensed Consolidating Guarantor and Non-Guarantor Financial Information (Tables) | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Condensed Consolidating Guarantor and Non-Guarantor [Abstract] | |||
Schedule of Condensed Income Statement [Table Text Block] | Condensed Consolidating Statement of Operations for the Year Ended October 31, 2016 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Sales and revenues, net $ — $ 5,926 $ 5,432 $ (3,247 ) $ 8,111 Costs of products sold — 5,358 4,628 (3,174 ) 6,812 Restructuring charges — 3 7 — 10 Asset impairment charges — 11 16 — 27 All other operating expenses (income) 101 862 398 (61 ) 1,300 Total costs and expenses 101 6,234 5,049 (3,235 ) 8,149 Equity in income (loss) of affiliates 4 181 2 (181 ) 6 Income (loss) before income taxes (97 ) (127 ) 385 (193 ) (32 ) Income tax benefit (expense) — 20 (55 ) 2 (33 ) Earnings (loss) from continuing operations (97 ) (107 ) 330 (191 ) (65 ) Income (loss) from discontinued operations, net of tax — — — — — Net income (loss) (97 ) (107 ) 330 (191 ) (65 ) Less: Net income attributable to non-controlling interests — — 32 — 32 Net income (loss) attributable to Navistar International Corporation $ (97 ) $ (107 ) $ 298 $ (191 ) $ (97 ) | Condensed Consolidating Statement of Operations for the Year Ended October 31, 2015 (in millions) NIC Navistar, Inc. Non-Guarantor Subsidiaries Eliminations and Other Consolidated Sales and revenues, net $ — $ 7,267 $ 7,413 $ (4,540 ) $ 10,140 Costs of products sold — 6,614 6,510 (4,454 ) 8,670 Restructuring charges — 50 26 — 76 Asset impairment charges — 13 17 — 30 All other operating expenses (income) 88 1,054 399 (68 ) 1,473 Total costs and expenses 88 7,731 6,952 (4,522 ) 10,249 Equity in income (loss) of affiliates (96 ) 225 2 (125 ) 6 Income (loss) before income taxes (184 ) (239 ) 463 (143 ) (103 ) Income tax benefit (expense) — 1 (52 ) — (51 ) Earnings (loss) from continuing operations (184 ) (238 ) 411 (143 ) (154 ) Income from discontinued operations, net of tax — — 3 — 3 Net income (loss) (184 ) (238 ) 414 (143 ) (151 ) Less: Net income attributable to non-controlling interests — — 33 — 33 Net income (loss) attributable to Navistar International Corporation $ (184 ) $ (238 ) $ 381 $ (143 ) $ (184 ) | Condensed Consolidating Statement of Operations for the Year Ended October 31, 2014 (in millions) NIC Navistar, Inc. Non-Guarantor Subsidiaries Eliminations and Other Consolidated Sales and revenues, net $ — $ 7,269 $ 8,196 $ (4,659 ) $ 10,806 Costs of products sold — 6,794 7,337 (4,597 ) 9,534 Restructuring charges — 8 34 — 42 Asset impairment charges — 16 167 — 183 All other operating expenses (income) (48 ) 1,003 541 116 1,612 Total costs and expenses (48 ) 7,821 8,079 (4,481 ) 11,371 Equity in income (loss) of affiliates (680 ) (169 ) 5 853 9 Income (loss) before income taxes (632 ) (721 ) 122 675 (556 ) Income tax benefit (expense) 13 25 (64 ) — (26 ) Earnings (loss) from continuing operations (619 ) (696 ) 58 675 (582 ) Income from discontinued operations, net of tax — — 3 — 3 Net income (loss) (619 ) (696 ) 61 675 (579 ) Less: Net income attributable to non-controlling interests — — 40 — 40 Net income (loss) attributable to Navistar International Corporation $ (619 ) $ (696 ) $ 21 $ 675 $ (619 ) |
Condensed Statement of Comprehensive Income [Table Text Block] | Condensed Consolidating Statement of Comprehensive Income (Loss) for the Year Ended October 31, 2014 (in millions) NIC Navistar, Inc. Non-Guarantor Subsidiaries Eliminations and Other Consolidated Net income (loss) $ (619 ) $ (696 ) $ 61 $ 675 $ (579 ) Other comprehensive income (loss): Foreign currency translation adjustment (52 ) — (52 ) 52 (52 ) Unrealized gain on marketable securities 1 — 1 (1 ) 1 Defined benefit plans, net of tax (388 ) (397 ) 9 388 (388 ) Total other comprehensive income (loss) (439 ) (397 ) (42 ) 439 (439 ) Comprehensive income (loss) (1,058 ) (1,093 ) 19 1,114 (1,018 ) Less: Net income attributable to non-controlling interests — — 40 — 40 Total comprehensive income (loss) attributable to Navistar International Corporation $ (1,058 ) $ (1,093 ) $ (21 ) $ 1,114 $ (1,058 ) | ||
Schedule of Condensed Statement of Comprehensive Income [Table Text Block] | Condensed Consolidating Statement of Comprehensive Income (Loss) for the Year Ended October 31, 2016 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Net income (loss) $ (97 ) $ (107 ) $ 330 $ (191 ) $ (65 ) Other comprehensive income (loss): Foreign currency translation adjustment 7 — 7 (7 ) 7 Defined benefit plans, net of tax (46 ) 1 (47 ) 46 (46 ) Total other comprehensive income (loss) (39 ) 1 (40 ) 39 (39 ) Comprehensive income (loss) (136 ) (106 ) 290 (152 ) (104 ) Less: Net income attributable to non-controlling interests — — 32 — 32 Total comprehensive income (loss) attributable to Navistar International Corporation $ (136 ) $ (106 ) $ 258 $ (152 ) $ (136 ) | Condensed Consolidating Statement of Comprehensive Income (Loss) for the Year Ended October 31, 2015 (in millions) NIC Navistar, Inc. Non-Guarantor Subsidiaries Eliminations and Other Consolidated Net income (loss) $ (184 ) $ (238 ) $ 414 $ (143 ) $ (151 ) Other comprehensive income (loss): Foreign currency translation adjustment (160 ) — (160 ) 160 (160 ) Defined benefit plans, net of tax (178 ) (192 ) 14 178 (178 ) Total other comprehensive income (loss) (338 ) (192 ) (146 ) 338 (338 ) Comprehensive income (loss) (522 ) (430 ) 268 195 (489 ) Less: Net income attributable to non-controlling interests — — 33 — 33 Total comprehensive income (loss) attributable to Navistar International Corporation $ (522 ) $ (430 ) $ 235 $ 195 $ (522 ) | |
Schedule of Condensed Balance Sheet [Table Text Block] | Condensed Consolidating Balance Sheet as of October 31, 2016 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Assets Cash and cash equivalents $ 435 $ 117 $ 252 $ — $ 804 Marketable securities 27 — 19 — 46 Restricted cash 16 6 90 — 112 Finance and other receivables, net (1 ) 171 1,883 (84 ) 1,969 Inventories — 639 313 (8 ) 944 Investments in non-consolidated affiliates (7,714 ) 6,253 57 1,457 53 Property and equipment, net — 669 580 (8 ) 1,241 Goodwill — — 38 — 38 Deferred taxes, net — 10 150 1 161 Other 2 110 175 (2 ) 285 Total assets $ (7,235 ) $ 7,975 $ 3,557 $ 1,356 $ 5,653 Liabilities and stockholders’ equity (deficit) Debt $ 1,965 $ 1,100 $ 1,841 $ (2 ) $ 4,904 Postretirement benefits liabilities — 2,865 233 — 3,098 Amounts due to (from) affiliates (7,724 ) 10,709 (3,040 ) 55 — Other liabilities 3,822 (152 ) (665 ) (61 ) 2,944 Total liabilities (1,937 ) 14,522 (1,631 ) (8 ) 10,946 Stockholders’ equity attributable to non-controlling interest — — 5 — 5 Stockholders’ equity (deficit) attributable to Navistar International Corporation (5,298 ) (6,547 ) 5,183 1,364 (5,298 ) Total liabilities and stockholders’ equity (deficit) $ (7,235 ) $ 7,975 $ 3,557 $ 1,356 $ 5,653 | Condensed Consolidating Balance Sheet as of October 31, 2015 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Assets Cash and cash equivalents $ 456 $ 81 $ 375 $ — $ 912 Marketable securities 112 — 47 — 159 Restricted cash 16 7 98 — 121 Finance and other receivables, net 1 99 2,440 (103 ) 2,437 Inventories — 809 342 (16 ) 1,135 Investments in non-consolidated affiliates (7,679 ) 6,204 64 1,477 66 Property and equipment, net — 737 616 (8 ) 1,345 Goodwill — — 38 — 38 Deferred taxes, net 7 20 137 — 164 Other 6 119 148 (1 ) 272 Total assets $ (7,081 ) $ 8,076 $ 4,305 $ 1,349 $ 6,649 Liabilities and stockholders’ equity (deficit) Debt $ 1,944 $ 1,171 $ 2,144 $ (4 ) $ 5,255 Postretirement benefits liabilities — 2,909 179 — 3,088 Amounts due to (from) affiliates (7,574 ) 10,280 (2,879 ) 173 — Other liabilities 3,716 207 (388 ) (69 ) 3,466 Total liabilities (1,914 ) 14,567 (944 ) 100 11,809 Stockholders’ equity attributable to non-controlling interest — — 7 — 7 Stockholders’ equity (deficit) attributable to Navistar International Corporation (5,167 ) (6,491 ) 5,242 1,249 (5,167 ) Total liabilities and stockholders’ equity (deficit) $ (7,081 ) $ 8,076 $ 4,305 $ 1,349 $ 6,649 Condensed Consolidating Statement of Cash Flows for the Year Ended October 31, 2015 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Net cash provided by (used in) operating activities $ 87 $ 184 $ 168 $ (393 ) $ 46 Cash flows from investing activities Net change in restricted cash and cash equivalents 3 (4 ) 43 — 42 Net sales of marketable securities 266 — 180 — 446 Capital expenditures and purchase of equipment leased to others — (82 ) (116 ) — (198 ) Other investing activities — 3 23 — 26 Net cash provided by (used in) investing activities 269 (83 ) 130 — 316 Cash flows from financing activities Net borrowings (repayments) of debt (2 ) (38 ) (113 ) 268 115 Other financing activities 1 (35 ) (108 ) 125 (17 ) Net cash provided by (used in) financing activities (1 ) (73 ) (221 ) 393 98 Effect of exchange rate changes on cash and cash equivalents — — (45 ) — (45 ) Increase in cash and cash equivalents 355 28 32 — 415 Cash and cash equivalents at beginning of the year 101 53 343 — 497 Cash and cash equivalents at end of the year $ 456 $ 81 $ 375 $ — $ 912 | |
Schedule of Condensed Cash Flow Statement [Table Text Block] | Condensed Consolidating Statement of Cash Flows for the Year Ended October 31, 2016 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Net cash provided by (used in) operating activities $ (106 ) $ 187 $ 337 $ (151 ) $ 267 Cash flows from investing activities Net change in restricted cash and cash equivalents — 1 4 — 5 Net sales of marketable securities 85 — 28 — 113 Capital expenditures and purchase of equipment leased to others — (94 ) (154 ) — (248 ) Other investing activities — 2 61 — 63 Net cash provided by (used in) investing activities 85 (91 ) (61 ) — (67 ) Cash flows from financing activities Net repayments of debt — (82 ) (191 ) (69 ) (342 ) Other financing activities — 22 (253 ) 220 (11 ) Net cash provided by (used in) financing activities — (60 ) (444 ) 151 (353 ) Effect of exchange rate changes on cash and cash equivalents — — 45 — 45 Increase (decrease) in cash and cash equivalents (21 ) 36 (123 ) — (108 ) Cash and cash equivalents at beginning of the year 456 81 375 — 912 Cash and cash equivalents at end of the year $ 435 $ 117 $ 252 $ — $ 804 | Condensed Consolidating Statement of Cash Flows for the Year Ended October 31, 2015 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Net cash provided by (used in) operating activities $ 87 $ 184 $ 168 $ (393 ) $ 46 Cash flows from investing activities Net change in restricted cash and cash equivalents 3 (4 ) 43 — 42 Net sales of marketable securities 266 — 180 — 446 Capital expenditures and purchase of equipment leased to others — (82 ) (116 ) — (198 ) Other investing activities — 3 23 — 26 Net cash provided by (used in) investing activities 269 (83 ) 130 — 316 Cash flows from financing activities Net borrowings (repayments) of debt (2 ) (38 ) (113 ) 268 115 Other financing activities 1 (35 ) (108 ) 125 (17 ) Net cash provided by (used in) financing activities (1 ) (73 ) (221 ) 393 98 Effect of exchange rate changes on cash and cash equivalents — — (45 ) — (45 ) Increase in cash and cash equivalents 355 28 32 — 415 Cash and cash equivalents at beginning of the year 101 53 343 — 497 Cash and cash equivalents at end of the year $ 456 $ 81 $ 375 $ — $ 912 | Consolidating Guarantor and Non-guarantor Financial Information The following tables set forth condensed consolidating balance sheets as of October 31, 2016 and 2015 , and condensed consolidating statements of operations and comprehensive income (loss) for the years ended October 31, 2016 , 2015 , and 2014 , and condensed consolidating statements of cash flows for the years ended October 31, 2016 , 2015 , and 2014 . The information is presented as a result of NI’s guarantee, exclusive of its subsidiaries, of NIC’s indebtedness under our 8.25% Senior Notes, due 2022, and obligations under our Loan Agreement related to the 6.5% Tax Exempt Bonds, due 2040. NI is a direct wholly-owned subsidiary of NIC. None of NIC’s other subsidiaries guarantee any of these notes or bonds. The guarantees are "full and unconditional," as those terms are used in Regulation S-X Rule 3-10, except that the guarantees will be automatically released in certain customary circumstances, such as when the subsidiary is sold or all of the assets of the subsidiary are sold, the capital stock is sold, when the subsidiary is designated as an "unrestricted subsidiary" for purposes of the respective indentures for each of the 8.25% Senior Notes, due 2022, and the 6.5% Tax Exempt Bonds, due 2040, upon liquidation or dissolution of the subsidiary or upon legal or covenant defeasance, or satisfaction and discharge of the notes or bonds. Separate financial statements and other disclosures concerning NI have not been presented because management believes that such information is not material to investors. Within this disclosure only, "NIC" includes the financial results of the parent company only, with all of its wholly-owned subsidiaries accounted for under the equity method. Likewise, "NI," for purposes of this disclosure only, includes the consolidated financial results of its wholly-owned subsidiaries accounted for under the equity method and its operating units accounted for on a consolidated basis. "Non-Guarantor Subsidiaries" includes the combined financial results of all other non-guarantor subsidiaries. "Eliminations and Other" includes all eliminations and reclassifications to reconcile to the consolidated financial statements. NIC files a consolidated U.S. federal income tax return that includes NI and its U.S. subsidiaries. NI has a tax allocation agreement ("Tax Agreement") with NIC which requires NI to compute its separate federal income tax liability and remit any resulting tax liability to NIC. Tax benefits that may arise from net operating losses of NI are not refunded to Navistar, Inc. but may be used to offset future required tax payments under the Tax Agreement. The effect of the Tax Agreement is to allow NIC, the parent company, rather than NI, to utilize current U.S. taxable losses of NI and all other direct or indirect subsidiaries of NIC. Condensed Consolidating Statement of Operations for the Year Ended October 31, 2016 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Sales and revenues, net $ — $ 5,926 $ 5,432 $ (3,247 ) $ 8,111 Costs of products sold — 5,358 4,628 (3,174 ) 6,812 Restructuring charges — 3 7 — 10 Asset impairment charges — 11 16 — 27 All other operating expenses (income) 101 862 398 (61 ) 1,300 Total costs and expenses 101 6,234 5,049 (3,235 ) 8,149 Equity in income (loss) of affiliates 4 181 2 (181 ) 6 Income (loss) before income taxes (97 ) (127 ) 385 (193 ) (32 ) Income tax benefit (expense) — 20 (55 ) 2 (33 ) Earnings (loss) from continuing operations (97 ) (107 ) 330 (191 ) (65 ) Income (loss) from discontinued operations, net of tax — — — — — Net income (loss) (97 ) (107 ) 330 (191 ) (65 ) Less: Net income attributable to non-controlling interests — — 32 — 32 Net income (loss) attributable to Navistar International Corporation $ (97 ) $ (107 ) $ 298 $ (191 ) $ (97 ) Condensed Consolidating Statement of Comprehensive Income (Loss) for the Year Ended October 31, 2016 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Net income (loss) $ (97 ) $ (107 ) $ 330 $ (191 ) $ (65 ) Other comprehensive income (loss): Foreign currency translation adjustment 7 — 7 (7 ) 7 Defined benefit plans, net of tax (46 ) 1 (47 ) 46 (46 ) Total other comprehensive income (loss) (39 ) 1 (40 ) 39 (39 ) Comprehensive income (loss) (136 ) (106 ) 290 (152 ) (104 ) Less: Net income attributable to non-controlling interests — — 32 — 32 Total comprehensive income (loss) attributable to Navistar International Corporation $ (136 ) $ (106 ) $ 258 $ (152 ) $ (136 ) Condensed Consolidating Balance Sheet as of October 31, 2016 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Assets Cash and cash equivalents $ 435 $ 117 $ 252 $ — $ 804 Marketable securities 27 — 19 — 46 Restricted cash 16 6 90 — 112 Finance and other receivables, net (1 ) 171 1,883 (84 ) 1,969 Inventories — 639 313 (8 ) 944 Investments in non-consolidated affiliates (7,714 ) 6,253 57 1,457 53 Property and equipment, net — 669 580 (8 ) 1,241 Goodwill — — 38 — 38 Deferred taxes, net — 10 150 1 161 Other 2 110 175 (2 ) 285 Total assets $ (7,235 ) $ 7,975 $ 3,557 $ 1,356 $ 5,653 Liabilities and stockholders’ equity (deficit) Debt $ 1,965 $ 1,100 $ 1,841 $ (2 ) $ 4,904 Postretirement benefits liabilities — 2,865 233 — 3,098 Amounts due to (from) affiliates (7,724 ) 10,709 (3,040 ) 55 — Other liabilities 3,822 (152 ) (665 ) (61 ) 2,944 Total liabilities (1,937 ) 14,522 (1,631 ) (8 ) 10,946 Stockholders’ equity attributable to non-controlling interest — — 5 — 5 Stockholders’ equity (deficit) attributable to Navistar International Corporation (5,298 ) (6,547 ) 5,183 1,364 (5,298 ) Total liabilities and stockholders’ equity (deficit) $ (7,235 ) $ 7,975 $ 3,557 $ 1,356 $ 5,653 Condensed Consolidating Statement of Cash Flows for the Year Ended October 31, 2016 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Net cash provided by (used in) operating activities $ (106 ) $ 187 $ 337 $ (151 ) $ 267 Cash flows from investing activities Net change in restricted cash and cash equivalents — 1 4 — 5 Net sales of marketable securities 85 — 28 — 113 Capital expenditures and purchase of equipment leased to others — (94 ) (154 ) — (248 ) Other investing activities — 2 61 — 63 Net cash provided by (used in) investing activities 85 (91 ) (61 ) — (67 ) Cash flows from financing activities Net repayments of debt — (82 ) (191 ) (69 ) (342 ) Other financing activities — 22 (253 ) 220 (11 ) Net cash provided by (used in) financing activities — (60 ) (444 ) 151 (353 ) Effect of exchange rate changes on cash and cash equivalents — — 45 — 45 Increase (decrease) in cash and cash equivalents (21 ) 36 (123 ) — (108 ) Cash and cash equivalents at beginning of the year 456 81 375 — 912 Cash and cash equivalents at end of the year $ 435 $ 117 $ 252 $ — $ 804 Condensed Consolidating Statement of Operations for the Year Ended October 31, 2015 (in millions) NIC Navistar, Inc. Non-Guarantor Subsidiaries Eliminations and Other Consolidated Sales and revenues, net $ — $ 7,267 $ 7,413 $ (4,540 ) $ 10,140 Costs of products sold — 6,614 6,510 (4,454 ) 8,670 Restructuring charges — 50 26 — 76 Asset impairment charges — 13 17 — 30 All other operating expenses (income) 88 1,054 399 (68 ) 1,473 Total costs and expenses 88 7,731 6,952 (4,522 ) 10,249 Equity in income (loss) of affiliates (96 ) 225 2 (125 ) 6 Income (loss) before income taxes (184 ) (239 ) 463 (143 ) (103 ) Income tax benefit (expense) — 1 (52 ) — (51 ) Earnings (loss) from continuing operations (184 ) (238 ) 411 (143 ) (154 ) Income from discontinued operations, net of tax — — 3 — 3 Net income (loss) (184 ) (238 ) 414 (143 ) (151 ) Less: Net income attributable to non-controlling interests — — 33 — 33 Net income (loss) attributable to Navistar International Corporation $ (184 ) $ (238 ) $ 381 $ (143 ) $ (184 ) Condensed Consolidating Statement of Comprehensive Income (Loss) for the Year Ended October 31, 2015 (in millions) NIC Navistar, Inc. Non-Guarantor Subsidiaries Eliminations and Other Consolidated Net income (loss) $ (184 ) $ (238 ) $ 414 $ (143 ) $ (151 ) Other comprehensive income (loss): Foreign currency translation adjustment (160 ) — (160 ) 160 (160 ) Defined benefit plans, net of tax (178 ) (192 ) 14 178 (178 ) Total other comprehensive income (loss) (338 ) (192 ) (146 ) 338 (338 ) Comprehensive income (loss) (522 ) (430 ) 268 195 (489 ) Less: Net income attributable to non-controlling interests — — 33 — 33 Total comprehensive income (loss) attributable to Navistar International Corporation $ (522 ) $ (430 ) $ 235 $ 195 $ (522 ) Condensed Consolidating Balance Sheet as of October 31, 2015 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Assets Cash and cash equivalents $ 456 $ 81 $ 375 $ — $ 912 Marketable securities 112 — 47 — 159 Restricted cash 16 7 98 — 121 Finance and other receivables, net 1 99 2,440 (103 ) 2,437 Inventories — 809 342 (16 ) 1,135 Investments in non-consolidated affiliates (7,679 ) 6,204 64 1,477 66 Property and equipment, net — 737 616 (8 ) 1,345 Goodwill — — 38 — 38 Deferred taxes, net 7 20 137 — 164 Other 6 119 148 (1 ) 272 Total assets $ (7,081 ) $ 8,076 $ 4,305 $ 1,349 $ 6,649 Liabilities and stockholders’ equity (deficit) Debt $ 1,944 $ 1,171 $ 2,144 $ (4 ) $ 5,255 Postretirement benefits liabilities — 2,909 179 — 3,088 Amounts due to (from) affiliates (7,574 ) 10,280 (2,879 ) 173 — Other liabilities 3,716 207 (388 ) (69 ) 3,466 Total liabilities (1,914 ) 14,567 (944 ) 100 11,809 Stockholders’ equity attributable to non-controlling interest — — 7 — 7 Stockholders’ equity (deficit) attributable to Navistar International Corporation (5,167 ) (6,491 ) 5,242 1,249 (5,167 ) Total liabilities and stockholders’ equity (deficit) $ (7,081 ) $ 8,076 $ 4,305 $ 1,349 $ 6,649 Condensed Consolidating Statement of Cash Flows for the Year Ended October 31, 2015 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Net cash provided by (used in) operating activities $ 87 $ 184 $ 168 $ (393 ) $ 46 Cash flows from investing activities Net change in restricted cash and cash equivalents 3 (4 ) 43 — 42 Net sales of marketable securities 266 — 180 — 446 Capital expenditures and purchase of equipment leased to others — (82 ) (116 ) — (198 ) Other investing activities — 3 23 — 26 Net cash provided by (used in) investing activities 269 (83 ) 130 — 316 Cash flows from financing activities Net borrowings (repayments) of debt (2 ) (38 ) (113 ) 268 115 Other financing activities 1 (35 ) (108 ) 125 (17 ) Net cash provided by (used in) financing activities (1 ) (73 ) (221 ) 393 98 Effect of exchange rate changes on cash and cash equivalents — — (45 ) — (45 ) Increase in cash and cash equivalents 355 28 32 — 415 Cash and cash equivalents at beginning of the year 101 53 343 — 497 Cash and cash equivalents at end of the year $ 456 $ 81 $ 375 $ — $ 912 Condensed Consolidating Statement of Operations for the Year Ended October 31, 2014 (in millions) NIC Navistar, Inc. Non-Guarantor Subsidiaries Eliminations and Other Consolidated Sales and revenues, net $ — $ 7,269 $ 8,196 $ (4,659 ) $ 10,806 Costs of products sold — 6,794 7,337 (4,597 ) 9,534 Restructuring charges — 8 34 — 42 Asset impairment charges — 16 167 — 183 All other operating expenses (income) (48 ) 1,003 541 116 1,612 Total costs and expenses (48 ) 7,821 8,079 (4,481 ) 11,371 Equity in income (loss) of affiliates (680 ) (169 ) 5 853 9 Income (loss) before income taxes (632 ) (721 ) 122 675 (556 ) Income tax benefit (expense) 13 25 (64 ) — (26 ) Earnings (loss) from continuing operations (619 ) (696 ) 58 675 (582 ) Income from discontinued operations, net of tax — — 3 — 3 Net income (loss) (619 ) (696 ) 61 675 (579 ) Less: Net income attributable to non-controlling interests — — 40 — 40 Net income (loss) attributable to Navistar International Corporation $ (619 ) $ (696 ) $ 21 $ 675 $ (619 ) Condensed Consolidating Statement of Comprehensive Income (Loss) for the Year Ended October 31, 2014 (in millions) NIC Navistar, Inc. Non-Guarantor Subsidiaries Eliminations and Other Consolidated Net income (loss) $ (619 ) $ (696 ) $ 61 $ 675 $ (579 ) Other comprehensive income (loss): Foreign currency translation adjustment (52 ) — (52 ) 52 (52 ) Unrealized gain on marketable securities 1 — 1 (1 ) 1 Defined benefit plans, net of tax (388 ) (397 ) 9 388 (388 ) Total other comprehensive income (loss) (439 ) (397 ) (42 ) 439 (439 ) Comprehensive income (loss) (1,058 ) (1,093 ) 19 1,114 (1,018 ) Less: Net income attributable to non-controlling interests — — 40 — 40 Total comprehensive income (loss) attributable to Navistar International Corporation $ (1,058 ) $ (1,093 ) $ (21 ) $ 1,114 $ (1,058 ) Condensed Consolidating Statement of Cash Flows for the Year Ended October 31, 2014 (in millions) NIC Navistar, Non-Guarantor Eliminations Consolidated Net cash provided by (used in) operating activities $ (285 ) $ (1,287 ) $ (112 ) $ 1,348 $ (336 ) Cash flows from investing activities Net change in restricted cash and cash equivalents 5 (1 ) (84 ) — (80 ) Net sales of marketable securities 203 — 22 — 225 Capital expenditures and purchase of equipment leased to others — (114 ) (163 ) — (277 ) Other investing activities — 17 40 — 57 Net cash provided by (used in) investing activities 208 (98 ) (185 ) — (75 ) Cash flows from financing activities Net borrowings (repayments) of debt (176 ) 1,306 409 (1,389 ) 150 Other financing activities 18 60 (90 ) 41 29 Net cash provided by (used in) financing activities (158 ) 1,366 319 (1,348 ) 179 Effect of exchange rate changes on cash and cash equivalents — — (26 ) — (26 ) Decrease in cash and cash equivalents (235 ) (19 ) (4 ) — (258 ) Cash and cash equivalents at beginning of the year 336 72 347 — 755 Cash and cash equivalents at end of the year $ 101 $ 53 $ 343 $ — $ 497 |
Selected Quarterly Financial 49
Selected Quarterly Financial Data (unaudited) (Tables) | 12 Months Ended |
Oct. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information [Table Text Block] | The following tables provide our quarterly condensed consolidated statements of operations and financial data: First Quarter Ended January 31, Second Quarter Ended April 30, (in millions, except for per share data and stock prices) 2016 2015 2016 2015 Sales and revenues, net $ 1,765 $ 2,421 $ 2,197 $ 2,693 Manufacturing gross margin (A) 264 340 319 298 Amounts attributable to Navistar International Corporation common shareholders: Income (loss) from continuing operations, net of tax $ (33 ) $ (42 ) $ 4 $ (64 ) Income (loss) from discontinued operations, net of tax — — — — Net income (loss) $ (33 ) $ (42 ) $ 4 $ (64 ) Earnings (loss) per share attributable to Navistar International Corporation: Basic: Continuing operations $ (0.40 ) $ (0.52 ) $ 0.05 $ (0.78 ) Discontinued operations — — — — $ (0.40 ) $ (0.52 ) $ 0.05 $ (0.78 ) Diluted: Continuing operations $ (0.40 ) $ (0.52 ) $ 0.05 $ (0.78 ) Discontinued operations — — — — $ (0.40 ) $ (0.52 ) $ 0.05 $ (0.78 ) Market price range-common stock: High $ 15.21 $ 38.05 $ 16.39 $ 31.28 Low 5.78 28.99 6.24 27.50 Third Quarter Ended July 31, Fourth Quarter Ended October 31, (in millions, except for per share data and stock prices) 2016 2015 2016 2015 Sales and revenues, net $ 2,086 $ 2,538 $ 2,063 $ 2,488 Manufacturing gross margin (A) 295 329 286 358 Amounts attributable to Navistar International Corporation common shareholders: Loss from continuing operations, net of tax $ (34 ) $ (30 ) $ (34 ) $ (51 ) Income from discontinued operations, net of tax — 2 — 1 Net loss $ (34 ) $ (28 ) $ (34 ) $ (50 ) Earnings (loss) per share attributable to Navistar International Corporation: Basic: Continuing operations $ (0.42 ) $ (0.37 ) $ (0.42 ) $ (0.62 ) Discontinued operations — 0.03 — 0.01 $ (0.42 ) $ (0.34 ) $ (0.42 ) $ (0.61 ) Diluted: Continuing operations $ (0.42 ) $ (0.37 ) $ (0.42 ) $ (0.62 ) Discontinued operations — 0.03 — 0.01 $ (0.42 ) $ (0.34 ) $ (0.42 ) $ (0.61 ) Market price range-common stock: High $ 15.77 $ 30.41 $ 24.04 $ 19.91 Low 10.30 16.32 11.59 11.21 _______________________ (A) Manufacturing gross margin is calculated by subtracting Costs of products sold from Sales of manufactured products, net . |
Summary of Significant Accoun50
Summary of Significant Accounting Policies - Narrative (Details) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||
Oct. 31, 2016USD ($)employeessegments | Jul. 31, 2016USD ($) | Apr. 30, 2016USD ($) | Oct. 31, 2015USD ($) | Jul. 31, 2015USD ($) | Jan. 31, 2015USD ($) | Jul. 31, 2014USD ($) | Apr. 30, 2014USD ($) | Jan. 31, 2014USD ($) | Oct. 31, 2016USD ($)employeessegments | Oct. 31, 2015USD ($) | Oct. 31, 2014USD ($) | Oct. 31, 2013USD ($) | |
Accounting Policies [Line Items] | |||||||||||||
Foreign Currency Transaction Gain (Loss), before Tax | $ 1 | $ 17 | $ 21 | ||||||||||
Advertising Expense | 13 | 26 | 39 | ||||||||||
Costs of products sold | 6,812 | 8,670 | 9,534 | ||||||||||
Net loss attributable to Navistar International Corporation | $ (97) | (184) | (619) | ||||||||||
Number Of Segments | segments | 4 | 4 | |||||||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 1 | 7 | 7 | ||||||||||
Goodwill | $ 38 | $ 38 | 38 | 38 | 38 | $ 184 | |||||||
Sales of manufactured products, net | 7,976 | 9,995 | 10,653 | ||||||||||
Depreciation, Depletion and Amortization | 225 | 281 | 332 | ||||||||||
Interest expense | 327 | 307 | 314 | ||||||||||
Capital expenditures | 116 | 115 | 88 | ||||||||||
Proceeds from financed lease obligations | 22 | 33 | 60 | ||||||||||
Product Warranty Accrual, Preexisting, Increase (Decrease) | $ 77 | 1 | 55 | ||||||||||
Unionized Employees Concentration Risk [Member] | Number Of Employees Hourly Workers [Member] | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Concentration Risk Number Of Employees | employees | 5,400 | 5,400 | |||||||||||
concentration risk number of employees percentage | 82.00% | 82.00% | |||||||||||
Unionized Employees Concentration Risk [Member] | Number of Employees Salaried Workers [Member] | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Concentration Risk Number Of Employees | employees | 300 | 300 | |||||||||||
concentration risk number of employees percentage | 6.00% | 6.00% | |||||||||||
Brazilian Reporting Unit [Member] | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 1 | $ 3 | $ 7 | ||||||||||
Goodwill | 142 | ||||||||||||
Indefinite-Lived Intangible Assets (Excluding Goodwill) | $ 24 | 43 | |||||||||||
Warranty Liability Prior Period Adjustment [Member] | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Costs of products sold | 36 | ||||||||||||
Product Warranty Accrual [Member] | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Product Warranty Accrual, Preexisting, Increase (Decrease) | $ 46 | 40 | $ (57) | $ (29) | $ 42 | $ 52 | |||||||
North America Truck [Member] | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 8 | 9 | |||||||||||
Goodwill | $ 0 | 0 | 0 | 0 | 0 | $ 0 | |||||||
Depreciation, Depletion and Amortization | 129 | 173 | 216 | ||||||||||
Interest expense | 0 | 0 | 0 | ||||||||||
Capital expenditures | 97 | 92 | 65 | ||||||||||
Extended Warranty Programs [Member] | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Deferred Revenue, Revenue Recognized | 150 | 154 | 132 | ||||||||||
Deferred Revenue | $ 325 | $ 401 | $ 325 | 401 | $ 437 | ||||||||
Minimum [Member] | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Product Warranty Coverage Period | 1 year | ||||||||||||
Maximum [Member] | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Product Warranty Coverage Period | 5 years | ||||||||||||
Discontinued Operations [Member] | Product Warranty Accrual [Member] | |||||||||||||
Accounting Policies [Line Items] | |||||||||||||
Product Warranty Accrual, Preexisting, Increase (Decrease) | $ (1) | $ (3) |
Summary of Significant Accoun51
Summary of Significant Accounting Policies - Variable Interest Entities (Details) - USD ($) $ in Millions | May 28, 2015 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | Oct. 31, 2013 |
Variable Interest Entity [Line Items] | |||||
Cash and cash equivalents | $ 804 | $ 912 | $ 497 | $ 755 | |
Variable Interest Entity Primary Beneficiary, Blue Diamond Parts [Member] | |||||
Variable Interest Entity [Line Items] | |||||
Variable Interest Entity, Consolidated, Carrying Amount, Assets | 51 | 50 | |||
Cash and cash equivalents | 6 | 7 | |||
Variable Interest Entity, Consolidated, Carrying Amount, Liabilities | 16 | 7 | |||
Variable Interest Entity Primary Beneficiary, Blue Diamond Trucks [Member] | |||||
Variable Interest Entity [Line Items] | |||||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 25.00% | ||||
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | $ 27 | ||||
Variable Interest Entity Primary Beneficiary Securitizations Treated As Borrowings [Member] | Financial Services Operations | |||||
Variable Interest Entity [Line Items] | |||||
Variable Interest Entity, Consolidated, Carrying Amount, Assets | 900 | 1,100 | |||
Variable Interest Entity, Consolidated, Carrying Amount, Liabilities | 722 | 844 | |||
Transaction Does Not Qualify for Sale Accounting [Member] | Financial Services Operations | |||||
Variable Interest Entity [Line Items] | |||||
Variable Interest Entity, Consolidated, Carrying Amount, Assets | 249 | 235 | |||
Variable Interest Entity, Consolidated, Carrying Amount, Liabilities | $ 136 | $ 107 |
Summary of Significant Accoun52
Summary of Significant Accounting Policies - Product Warranty Liability (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||
Apr. 30, 2016 | Oct. 31, 2015 | Jan. 31, 2015 | Jul. 31, 2014 | Apr. 30, 2014 | Jan. 31, 2014 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | Oct. 31, 2013 | |
Product Liability Contingency [Line Items] | ||||||||||
Document Type | 10-K | |||||||||
Product Warranty Accrual | $ 994 | $ 818 | $ 994 | $ 1,197 | $ 1,349 | |||||
Product Warranty Accrual, Warranties Issued | 186 | 260 | 354 | |||||||
Product Warranty Accrual, Currency Translation, Increase (Decrease) | 3 | (9) | (4) | |||||||
Accrued Product Warranty And Deferred Warranty Revenue, Standard And Extended Warranty Programs, Roll Forward: | ||||||||||
Adjustments to pre-existing warranties(A)(B) | 77 | 1 | 55 | |||||||
Extended Warranty Program: | ||||||||||
Product Warranty Accrual, Payments | (442) | (455) | (557) | |||||||
Product Warranty Accrual, Current | 429 | 396 | 429 | 535 | ||||||
Product Warranty Accrual, Noncurrent | 565 | 422 | 565 | 662 | ||||||
North America Truck [Member] | ||||||||||
Accrued Product Warranty And Deferred Warranty Revenue, Standard And Extended Warranty Programs, Roll Forward: | ||||||||||
Product Warranty Expense | 34 | 56 | ||||||||
Extended Warranty Programs [Member] | ||||||||||
Extended Warranty Program: | ||||||||||
Deferred Revenue, Revenue Recognized | 150 | 154 | 132 | |||||||
Deferred Revenue | 401 | 325 | 401 | 437 | ||||||
Product Warranty Costs Accrued And Revenues Deferred And Payments And Revenues Recognized | ||||||||||
Accrued Product Warranty And Deferred Warranty Revenue, Standard And Extended Warranty Programs, Roll Forward: | ||||||||||
Prior Period Reclassification Adjustment | 36 | |||||||||
Product Warranty Accrual [Member] | ||||||||||
Accrued Product Warranty And Deferred Warranty Revenue, Standard And Extended Warranty Programs, Roll Forward: | ||||||||||
Adjustments to pre-existing warranties(A)(B) | $ 46 | $ 40 | $ (57) | $ (29) | $ 42 | $ 52 | ||||
Product Warranty Accrual, Preexisting Increase Decrease Per Share, Net of Tax | $ 0.56 | $ 0.49 | $ (0.70) | $ (0.36) | $ 0.52 | $ 0.64 | ||||
Amortization of Loss Reserves [Member] | ||||||||||
Accrued Product Warranty And Deferred Warranty Revenue, Standard And Extended Warranty Programs, Roll Forward: | ||||||||||
Prior Period Reclassification Adjustment | 34 | 52 | ||||||||
Discontinued Operations [Member] | Product Warranty Accrual [Member] | ||||||||||
Accrued Product Warranty And Deferred Warranty Revenue, Standard And Extended Warranty Programs, Roll Forward: | ||||||||||
Adjustments to pre-existing warranties(A)(B) | (1) | (3) | ||||||||
Field Campaign to address issues in products sold [Member] | North America Truck [Member] | ||||||||||
Accrued Product Warranty And Deferred Warranty Revenue, Standard And Extended Warranty Programs, Roll Forward: | ||||||||||
Product Warranty Expense | 17 | 12 | $ 13 | |||||||
Pre-existing Warranty [Member] | North America Truck [Member] | ||||||||||
Accrued Product Warranty And Deferred Warranty Revenue, Standard And Extended Warranty Programs, Roll Forward: | ||||||||||
Product Warranty Expense | $ 26 | $ 54 | ||||||||
Minimum [Member] | ||||||||||
Product Liability Contingency [Line Items] | ||||||||||
Product Warranty Coverage Period | 1 year | |||||||||
Maximum [Member] | ||||||||||
Product Liability Contingency [Line Items] | ||||||||||
Product Warranty Coverage Period | 5 years |
Summary of Significant Accoun53
Summary of Significant Accounting Policies - Property, Plant and Equipment (Details) | 12 Months Ended |
Oct. 31, 2016 | |
Buildings | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 20 years |
Buildings | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 50 years |
Leasehold improvements | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
Leasehold improvements | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 20 years |
Machinery and equipment | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
Machinery and equipment | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 12 years |
Furniture, fixtures, and equipment | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
Furniture, fixtures, and equipment | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 15 years |
Equipment leased to others | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 1 year |
Equipment leased to others | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 10 years |
Summary of Significant Accoun54
Summary of Significant Accounting Policies - Inventory (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Inventory [Line Items] | |||
Gross truck bed inventory | $ 410 | $ 390 | |
Inventory reserves | 208 | 110 | |
Inventory Valuation Reserve | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of period | 110 | 43 | $ 17 |
Additions charged to expense | 187 | 117 | 52 |
Deductions/Other additions | (89) | (50) | (26) |
Balance at end of period | 208 | $ 110 | $ 43 |
Cost of Goods [Member] | Inventory Valuation Reserve | |||
Inventory [Line Items] | |||
Additional reserves added during period | $ 98 |
Summary of Significant Accoun55
Summary of Significant Accounting Policies - Goodwill and Intangible Assets (Details) | 12 Months Ended |
Oct. 31, 2016 | |
Trademarks | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 20 years |
Minimum [Member] | Customer base and relationships | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 3 years |
Minimum [Member] | Other | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 3 years |
Maximum [Member] | Customer base and relationships | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 15 years |
Maximum [Member] | Other | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 18 years |
Restructuring and Impairments -
Restructuring and Impairments - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||
Jul. 31, 2016 | Apr. 30, 2016 | Oct. 31, 2015 | Jul. 31, 2015 | Oct. 31, 2014 | Jul. 31, 2014 | Apr. 30, 2014 | Jan. 31, 2014 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | Oct. 31, 2013 | |
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Restructuring charges | $ 10 | $ 76 | $ 42 | |||||||||
Restructuring and Related Cost, Incurred Cost | 4 | 71 | 18 | |||||||||
Asset impairment charges | 27 | 30 | 183 | |||||||||
Goodwill | $ 38 | $ 38 | 38 | 38 | 38 | $ 184 | ||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 1 | 7 | 7 | |||||||||
Other Restructuring [Member] | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Restructuring and Related Cost, Incurred Cost | 0 | 0 | 2 | |||||||||
Employee Severance [Member] | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Restructuring charges | 10 | $ 13 | $ 8 | |||||||||
Restructuring and Related Cost, Incurred Cost | 4 | 68 | 15 | |||||||||
Lease Vacancy [Member] [Domain] | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Restructuring and Related Cost, Incurred Cost | 0 | 3 | 0 | |||||||||
North America Truck [Member] | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Asset impairment charges | 17 | 11 | 33 | |||||||||
Goodwill | 0 | 0 | 0 | 0 | 0 | 0 | ||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 8 | 9 | ||||||||||
Global Operations [Member] | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Asset impairment charges | 3 | |||||||||||
Asset Impairment Charges Including Intangible Assets | 7 | 32 | ||||||||||
Goodwill | 0 | 0 | 0 | 0 | $ 0 | $ 146 | ||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 4 | |||||||||||
Indianapolis and Waukesha Foundry [Member] | North America Truck [Member] | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Restructuring charges | 13 | 2 | $ 28 | |||||||||
Asset impairment charges | 7 | |||||||||||
Indianapolis and Waukesha Foundry [Member] | North America Truck [Member] | Employee Severance [Member] | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Restructuring charges | 2 | |||||||||||
Indianapolis and Waukesha Foundry [Member] | North America Truck [Member] | Pension And Other Postretirement Contractual Termination Benefits [Member] | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Restructuring charges | 11 | |||||||||||
Indianapolis and Waukesha Foundry [Member] | North America Truck [Member] | Restructuring Inventory Adjustments [Member] | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Restructuring charges | $ 7 | |||||||||||
Huntsville Engine Plant [Member] | North America Truck [Member] | Employee Severance [Member] | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Restructuring charges | $ 1 | |||||||||||
Huntsville Engine Plant [Member] | North America Truck [Member] | Engine Plant Consolidation [Member] | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Restructuring charges | $ 2 | |||||||||||
Minimum [Member] | Chatham [Member] | North America Truck [Member] | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Restructuring and Related Cost, Expected Cost | 0 | |||||||||||
Maximum [Member] | Chatham [Member] | North America Truck [Member] | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Restructuring and Related Cost, Expected Cost | $ 60 | |||||||||||
Brazilian Reporting Unit [Member] | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Goodwill | 142 | |||||||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 1 | 3 | 7 | |||||||||
Indefinite-Lived Intangible Assets (Excluding Goodwill) | $ 24 | $ 43 | ||||||||||
Other Postretirement Benefit Plan [Member] | Chatham [Member] | Facility Closing [Member] | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Postemployment Benefits, Period Expense | $ 5 | $ 2 | $ 14 | |||||||||
Voluntary Separation Program [Member] | ||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||
Restructuring charges | $ 37 |
Restructuring and Impairments57
Restructuring and Impairments - Restructuring Reserve by Type (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||
Oct. 31, 2015 | Jul. 31, 2015 | Oct. 31, 2014 | Apr. 30, 2014 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | Oct. 31, 2013 | |
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring charges | $ 10 | $ 76 | $ 42 | |||||
Restructuring Reserve | $ 68 | $ 20 | 7 | 68 | 20 | $ 34 | ||
Restructuring and Related Cost, Incurred Cost | 4 | 71 | 18 | |||||
Payments for Restructuring | (67) | (20) | (30) | |||||
Restructuring Reserve, Accrual Adjustment | 2 | (3) | (2) | |||||
Employee Relocation [Member] | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring Reserve | 0 | 0 | 0 | |||||
Restructuring and Related Cost, Incurred Cost | 1 | |||||||
Payments for Restructuring | (1) | |||||||
Restructuring Reserve, Accrual Adjustment | 0 | |||||||
Employee Severance [Member] | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring charges | 10 | $ 13 | $ 8 | |||||
Restructuring Reserve | 62 | 8 | 5 | 62 | 8 | 15 | ||
Restructuring and Related Cost, Incurred Cost | 4 | 68 | 15 | |||||
Payments for Restructuring | (63) | (11) | (19) | |||||
Restructuring Reserve, Accrual Adjustment | 2 | (3) | (3) | |||||
Lease Vacancy [Member] [Domain] | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring Reserve | 5 | 11 | 1 | 5 | 11 | 18 | ||
Restructuring and Related Cost, Incurred Cost | 0 | 3 | 0 | |||||
Payments for Restructuring | (4) | (8) | (8) | |||||
Restructuring Reserve, Accrual Adjustment | 0 | (1) | 1 | |||||
Other Restructuring [Member] | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring Reserve | $ 1 | 1 | 1 | 1 | 1 | $ 1 | ||
Restructuring and Related Cost, Incurred Cost | 0 | 0 | 2 | |||||
Payments for Restructuring | 0 | (1) | (2) | |||||
Restructuring Reserve, Accrual Adjustment | 0 | 1 | $ 0 | |||||
Indianapolis and Waukesha Foundry [Member] | North America Truck [Member] | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring charges | 13 | $ 2 | $ 28 | |||||
Indianapolis and Waukesha Foundry [Member] | North America Truck [Member] | Employee Severance [Member] | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Restructuring charges | $ 2 |
Restructuring and Impairments58
Restructuring and Impairments - Schedule of Impairment Charges (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||
Jul. 31, 2016 | Oct. 31, 2015 | Jul. 31, 2015 | Apr. 30, 2014 | Jul. 31, 2016 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Restructuring Cost and Reserve [Line Items] | ||||||||
Cost of Goods Sold | $ 0 | $ 0 | $ 142 | |||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 1 | 7 | 7 | |||||
Other Asset Impairment Charges | 26 | 23 | 34 | |||||
Asset impairment charges | 27 | 30 | 183 | |||||
Brazilian Reporting Unit [Member] | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 1 | $ 3 | $ 7 | |||||
North America Truck [Member] | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 8 | 9 | ||||||
Asset impairment charges | $ 17 | $ 11 | 33 | |||||
Global Operations [Member] | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 4 | |||||||
Asset impairment charges | 3 | |||||||
Asset Impairment Charges Including Intangible Assets | $ 7 | $ 32 | ||||||
Pure Power Technologies [Member] | North America Truck [Member] | ||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||
Asset impairment charges | $ 3 |
Finance Receivables - Narrative
Finance Receivables - Narrative (Details) $ in Millions | Oct. 31, 2016USD ($)segments | Oct. 31, 2015USD ($) |
Schedule of Securitization [Line Items] | ||
Loans and Leases Receivable, Net Amount | $ 1,700 | $ 2,000 |
Number of Portfolio Segments for Finance Receivables | segments | 2 | |
Trac Funding Facility [Member] | ||
Schedule of Securitization [Line Items] | ||
Finance Receivables Retail Accounts Collateral For Borrowed Securities | $ 829 | 1,000 |
Cash Collateral for Borrowed Securities | 108 | 96 |
Financial Services Operations | ||
Schedule of Securitization [Line Items] | ||
Assets Net Of Intercompany Balances | $ 2,100 | $ 2,500 |
Finance Receivables - Finance R
Finance Receivables - Finance Receivables (Details) - USD ($) $ in Millions | Oct. 31, 2016 | Oct. 31, 2015 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and Leases Receivable Due In One Year | $ 1,493 | ||
Loans and Leases Receivable, Gross, Carrying Amount, Covered | 1,698 | $ 2,021 | |
Less: Allowance for Doubtful accounts | 21 | 26 | |
Total finance receivables, net | 1,677 | 1,995 | |
Financing Receivable, Recorded Investment, Current | [1] | 1,457 | 1,779 |
Finance Receivables, Noncurrent | 220 | 216 | |
Loans and Leases Receivable Due In Two Years | 106 | ||
Loans and Leases Receivable Due In Three Years | 77 | ||
Loans and Leases Receivable Due In Four Years | 43 | ||
Loans and Leases Receivable Due In Five Years | 14 | ||
Loans and Leases Receivable Due Thereafter | 3 | ||
Finance Receivables Gross | 1,736 | ||
Loans and Leases Receivable, Gross | 1,698 | ||
Loans and Leases Receivable, Deferred Income | 38 | ||
Retail Portfolio [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and Leases Receivable Due In One Year | 294 | ||
Loans and Leases Receivable, Gross, Carrying Amount, Covered | 499 | 554 | |
Loans and Leases Receivable Due In Two Years | 106 | ||
Loans and Leases Receivable Due In Three Years | 77 | ||
Loans and Leases Receivable Due In Four Years | 43 | ||
Loans and Leases Receivable Due In Five Years | 14 | ||
Loans and Leases Receivable Due Thereafter | 3 | ||
Finance Receivables Gross | 537 | ||
Loans and Leases Receivable, Gross | 499 | ||
Loans and Leases Receivable, Deferred Income | 38 | ||
Wholesale Portfolio [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans and Leases Receivable Due In One Year | 1,199 | ||
Loans and Leases Receivable, Gross, Carrying Amount, Covered | 1,199 | $ 1,467 | |
Loans and Leases Receivable Due In Two Years | 0 | ||
Loans and Leases Receivable Due In Three Years | 0 | ||
Loans and Leases Receivable Due In Four Years | 0 | ||
Loans and Leases Receivable Due In Five Years | 0 | ||
Loans and Leases Receivable Due Thereafter | 0 | ||
Finance Receivables Gross | 1,199 | ||
Loans and Leases Receivable, Gross | 1,199 | ||
Loans and Leases Receivable, Deferred Income | $ 0 | ||
[1] | The current portion of finance receivables is computed based on contractual maturities. Actual cash collections typically vary from the contractual cash flows because of prepayments, extensions, delinquencies, credit losses, and renewals. |
Finance Receivables - Schedule
Finance Receivables - Schedule of Finance Revenues (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Finance Revenues [Line Items] | |||
Retail notes and finance leases revenue | $ 38 | $ 48 | $ 64 |
Operating lease revenue | 20 | 33 | 46 |
Gross finance revenues | 235 | 241 | 232 |
Less: Intercompany revenues | 100 | 96 | 79 |
Finance revenues | 135 | 145 | 153 |
Financing Receivable [Member] | |||
Finance Revenues [Line Items] | |||
Operating lease revenue | 66 | 63 | 60 |
Wholesale Portfolio [Member] | Notes Receivable [Member] | |||
Finance Revenues [Line Items] | |||
Interest Income, Operating | 107 | 97 | 80 |
Retail And Wholesale Portfolios [Member] | |||
Finance Revenues [Line Items] | |||
Interest Income, Operating | $ 24 | $ 33 | $ 28 |
Allowance for Doubtful Accoun62
Allowance for Doubtful Accounts - Schedule of Allowance for Retail, Wholesale, Trade & Other (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Allowance for Doubtful Accounts Receivable [Roll Forward] | |||
Allowance for doubtful accounts at beginning of period | $ 48 | $ 65 | $ 60 |
Provision for doubtful accounts, net of recoveries | 12 | 7 | 24 |
Charge-off of accounts | (12) | (8) | (15) |
Financing Receivable, Allowance for Credit Losses, Other | 1 | (16) | (4) |
Allowance for doubtful accounts at end of period | 49 | 48 | 65 |
Retail Portfolio [Member] | |||
Allowance for Doubtful Accounts Receivable [Roll Forward] | |||
Allowance for doubtful accounts at beginning of period | 22 | 24 | 21 |
Provision for doubtful accounts, net of recoveries | 8 | 6 | 13 |
Charge-off of accounts | (9) | (3) | (9) |
Financing Receivable, Allowance for Credit Losses, Other | (2) | (5) | (1) |
Allowance for doubtful accounts at end of period | 19 | 22 | 24 |
Impaired Financing Receivable, Average Recorded Investment | 18 | 21 | |
Wholesale Portfolio [Member] | |||
Allowance for Doubtful Accounts Receivable [Roll Forward] | |||
Allowance for doubtful accounts at beginning of period | 4 | 3 | 2 |
Provision for doubtful accounts, net of recoveries | (2) | 1 | 1 |
Charge-off of accounts | 0 | 0 | 0 |
Financing Receivable, Allowance for Credit Losses, Other | 0 | 0 | 0 |
Allowance for doubtful accounts at end of period | 2 | 4 | 3 |
Trade and Other Receivables [Member] | |||
Allowance for Doubtful Accounts Receivable [Roll Forward] | |||
Allowance for doubtful accounts at beginning of period | 22 | 38 | 37 |
Provision for doubtful accounts, net of recoveries | 6 | 0 | 10 |
Charge-off of accounts | (3) | (5) | (6) |
Financing Receivable, Allowance for Credit Losses, Other | 3 | (11) | (3) |
Allowance for doubtful accounts at end of period | $ 28 | $ 22 | $ 38 |
Allowance for Doubtful Accoun63
Allowance for Doubtful Accounts - Schedule of Impaired Finance Receivables (Details) - USD ($) $ in Millions | 12 Months Ended | |
Oct. 31, 2016 | Oct. 31, 2015 | |
Retail Portfolio [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Impaired Financing Receivable, Average Recorded Investment | $ 18 | $ 21 |
Impaired finance receivables with specific loss reserves [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Impaired Financing Receivable, Recorded Investment | 15 | 21 |
Impaired finance receivables with specific loss reserves [Member] | Retail Portfolio [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Impaired Financing Receivable, Recorded Investment | 15 | 21 |
Impaired finance receivables with specific loss reserves [Member] | Wholesale Portfolio [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Impaired Financing Receivable, Recorded Investment | 0 | 0 |
Impaired financing receivable without specific loss reserves [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Impaired Financing Receivable, Recorded Investment | 0 | 0 |
Impaired financing receivable without specific loss reserves [Member] | Retail Portfolio [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Impaired Financing Receivable, Recorded Investment | 0 | 0 |
Impaired financing receivable without specific loss reserves [Member] | Wholesale Portfolio [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Impaired Financing Receivable, Recorded Investment | 0 | 0 |
Specific loss reserves on impaired finance receivables [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Specific loss reserves on impaired finance receivables | 8 | 9 |
Specific loss reserves on impaired finance receivables [Member] | Retail Portfolio [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Specific loss reserves on impaired finance receivables | 8 | 9 |
Specific loss reserves on impaired finance receivables [Member] | Wholesale Portfolio [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Specific loss reserves on impaired finance receivables | 0 | 0 |
Finance receivable non-accrual status [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Finance receivables on non-accrual status | 15 | 21 |
Finance receivable non-accrual status [Member] | Retail Portfolio [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Finance receivables on non-accrual status | 15 | 21 |
Finance receivable non-accrual status [Member] | Wholesale Portfolio [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Finance receivables on non-accrual status | $ 0 | $ 0 |
Allowance for Doubtful Accoun64
Allowance for Doubtful Accounts - Schedule of Allowance Aging Analysis (Details) $ in Millions | Oct. 31, 2016USD ($) |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Finance Receivables, Current | $ 1,647 |
30-90 days past due | 37 |
Total finance receivables | 1,698 |
Retail Portfolio [Member] | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Finance Receivables, Current | 449 |
30-90 days past due | 37 |
Total finance receivables | 499 |
Wholesale Portfolio [Member] | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Finance Receivables, Current | 1,198 |
30-90 days past due | 0 |
Total finance receivables | 1,199 |
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Over 90 days past due | 14 |
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Retail Portfolio [Member] | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Over 90 days past due | 13 |
Financing Receivables, Equal to Greater than 90 Days Past Due [Member] | Wholesale Portfolio [Member] | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Over 90 days past due | $ 1 |
Allowance for Doubtful Accoun65
Allowance for Doubtful Accounts - Narrative (Details) $ in Millions | 12 Months Ended | |
Oct. 31, 2016USD ($)segmentsclass | Oct. 31, 2015USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Number of Portfolio Segments for Finance Receivables | segments | 2 | |
Classes Of Receivables In Each Portfolio | class | 1 | |
Retail Portfolio [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Impaired Financing Receivable, Average Recorded Investment | $ | $ 18 | $ 21 |
Inventories - Inventory (Detail
Inventories - Inventory (Details) - USD ($) $ in Millions | Oct. 31, 2016 | Oct. 31, 2015 |
Inventory Disclosure [Abstract] | ||
Finished products | $ 678 | $ 837 |
Work in process | 46 | 34 |
Raw materials | 220 | 264 |
Total inventories, net | $ 944 | $ 1,135 |
Property and Equipment, Net Nar
Property and Equipment, Net Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Property, Plant and Equipment [Line Items] | |||
Commitments For Capital Expenditures In Progress | $ 24 | $ 17 | $ 15 |
Capital Expenditures Incurred but Not yet Paid | 1 | 2 | 1 |
Operating Leases, Rent Expense | 53 | 57 | 62 |
Operating Leases, Income Statement, Sublease Revenue | $ 12 | $ 11 | $ 10 |
Minimum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Lessee Leasing Arrangements, Operating Leases, Term of Contract | 1 year | ||
Maximum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Lessee Leasing Arrangements, Operating Leases, Term of Contract | 20 years |
Property and Equipment, Net Sch
Property and Equipment, Net Schedule of Property and Equipment, Net (Details) - USD ($) $ in Millions | Oct. 31, 2016 | Oct. 31, 2015 |
Property, Plant and Equipment [Line Items] | ||
Land | $ 89 | $ 87 |
Buildings and Improvements, Gross | 562 | 493 |
Leasehold Improvements, Gross | 49 | 56 |
Machinery and Equipment, Gross | 2,013 | 2,097 |
Furniture and Fixtures, Gross | 477 | 478 |
Equipment leased to others | 525 | 613 |
Construction in Progress, Gross | 79 | 67 |
Property, Plant and Equipment, Gross | 3,794 | 3,891 |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | 2,553 | 2,546 |
Property and equipment, net | $ 1,241 | $ 1,345 |
Property and Equipment, Net Equ
Property and Equipment, Net Equipment Leased to Others (Details) (Details) - USD ($) $ in Millions | Oct. 31, 2016 | Oct. 31, 2015 |
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 3,794 | $ 3,891 |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | 2,553 | 2,546 |
Property and equipment, net | 1,241 | 1,345 |
Capital Leased Assets, Gross | 61 | 70 |
Capital Leases, Lessee Balance Sheet, Assets by Major Class, Accumulated Depreciation | 38 | 34 |
Capital Leases, Balance Sheet, Assets by Major Class, Net | 23 | 36 |
Equipment leased to others | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 525 | 613 |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | 193 | 220 |
Property and equipment, net | $ 332 | $ 393 |
Property and Equipment, Net Dep
Property and Equipment, Net Depreciation Expense, Amortization Expense, and Interest Capitalized (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation | $ 134 | $ 190 | $ 206 |
Amortization | 5 | 5 | 3 |
Interest Costs Capitalized | 3 | 1 | 0 |
Equipment leased to others | |||
Property, Plant and Equipment [Line Items] | |||
Depreciation | $ 79 | $ 76 | $ 105 |
Property and Equipment, Net S71
Property and Equipment, Net Schedule of Future Minimum Lease Payments (Details) $ in Millions | Oct. 31, 2016USD ($) |
Capital Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
Capital Leases, Future Minimum Payments Due, Next Twelve Months | $ 10 |
Capital Leases, Future Minimum Payments Due in Two Years | 10 |
Capital Leases, Future Minimum Payments Due in Three Years | 9 |
Capital Leases, Future Minimum Payments Due in Four Years | 9 |
Capital Leases, Future Minimum Payments Due in Five Years | 9 |
Capital Leases, Future Minimum Payments Due Thereafter | 2 |
Capital Leases, Future Minimum Payments Due | 49 |
Capital Leases, Future Minimum Payments, Interest Included in Payments | 7 |
Capital Leases, Future Minimum Payments, Present Value of Net Minimum Payments | 42 |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
Operating Leases, Future Minimum Payments Due, Next Twelve Months | 52 |
Operating Leases, Future Minimum Payments, Due in Two Years | 45 |
Operating Leases, Future Minimum Payments, Due in Three Years | 36 |
Operating Leases, Future Minimum Payments, Due in Four Years | 33 |
Operating Leases, Future Minimum Payments, Due in Five Years | 29 |
Operating Leases, Future Minimum Payments, Due Thereafter | 21 |
Operating Leases, Future Minimum Payments Due | 216 |
Future Minimum Lease Payments Due Current | 62 |
Future Minimum Lease Payments Due in Two Years | 55 |
Future Minimum Lease Payments Due in Three Years | 45 |
Future Minimum Lease Payments Due in Four Years | 42 |
Future Minimum Lease Payments Due in Five Years | 38 |
Future Minimum Lease Payments Due Thereafter | 23 |
Future Minimum Lease Payments Due | $ 265 |
Goodwill and Other Intangible72
Goodwill and Other Intangible assets, Net - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||
Jul. 31, 2016 | Jul. 31, 2015 | Apr. 30, 2014 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | Oct. 31, 2013 | |
Goodwill [Line Items] | |||||||
Goodwill | $ 38 | $ 38 | $ 38 | $ 184 | |||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 1 | 7 | 7 | ||||
Goodwill, Impairment Loss | 0 | 0 | 142 | ||||
Amortization of Intangible Assets | 12 | 10 | 18 | ||||
North America Truck [Member] | |||||||
Goodwill [Line Items] | |||||||
Goodwill | 0 | 0 | 0 | $ 0 | |||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 8 | 9 | |||||
Goodwill, Impairment Loss | $ 0 | $ 0 | $ 0 | ||||
Brazilian Reporting Unit [Member] | |||||||
Goodwill [Line Items] | |||||||
Goodwill | $ 142 | ||||||
Indefinite-Lived Intangible Assets (Excluding Goodwill) | $ 24 | 43 | |||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 1 | $ 3 | $ 7 |
Goodwill and Other Intangible73
Goodwill and Other Intangible assets, Net Changes in Carrying Amounts of Goodwill (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Goodwill [Roll Forward] | |||
Goodwill | $ 38 | $ 38 | $ 184 |
Goodwill, Translation Adjustments | (4) | ||
Goodwill, Impairment Loss | 0 | 0 | (142) |
Goodwill | 38 | 38 | 38 |
North America Truck [Member] | |||
Goodwill [Roll Forward] | |||
Goodwill | 0 | 0 | 0 |
Goodwill, Translation Adjustments | 0 | ||
Goodwill, Impairment Loss | 0 | 0 | 0 |
Goodwill | 0 | 0 | 0 |
North America Parts [Member] | |||
Goodwill [Roll Forward] | |||
Goodwill | 38 | 38 | 38 |
Goodwill, Translation Adjustments | 0 | ||
Goodwill, Impairment Loss | 0 | 0 | 0 |
Goodwill | 38 | 38 | 38 |
Global Operations [Member] | |||
Goodwill [Roll Forward] | |||
Goodwill | 0 | 0 | 146 |
Goodwill, Translation Adjustments | (4) | ||
Goodwill, Impairment Loss | 0 | 0 | (142) |
Goodwill | $ 0 | $ 0 | $ 0 |
Goodwill and Other Intangible74
Goodwill and Other Intangible assets, Net Intangible Assets Not Subject to Amortization (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||
Jul. 31, 2016 | Jul. 31, 2015 | Apr. 30, 2014 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Indefinite-lived Intangible Assets [Line Items] | ||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 1 | $ 7 | $ 7 | |||
Trademarks | ||||||
Indefinite-lived Intangible Assets [Line Items] | ||||||
Indefinite-Lived Intangible Assets (Excluding Goodwill) | $ 21 | $ 19 | ||||
Brazilian Reporting Unit [Member] | ||||||
Indefinite-lived Intangible Assets [Line Items] | ||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 1 | $ 3 | $ 7 | |||
Indefinite-Lived Intangible Assets (Excluding Goodwill) | $ 24 | $ 43 |
Goodwill and Other Intangible75
Goodwill and Other Intangible assets, Net Intangible Assets Subject to Amortization (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of Intangible Assets | $ 12 | $ 10 | $ 18 |
Finite-Lived Intangible Assets, Gross | 194 | 158 | |
Finite-Lived Intangible Assets, Accumulated Amortization | (162) | (120) | |
Finite-Lived Intangible Assets, Net | 32 | 38 | |
Customer base and relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Gross | 73 | 69 | |
Finite-Lived Intangible Assets, Accumulated Amortization | (65) | (58) | |
Finite-Lived Intangible Assets, Net | 8 | 11 | |
Other | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Gross | 121 | 89 | |
Finite-Lived Intangible Assets, Accumulated Amortization | (97) | (62) | |
Finite-Lived Intangible Assets, Net | $ 24 | $ 27 |
Goodwill and Other Intangible76
Goodwill and Other Intangible assets, Net Future Amortization Expense (Details) $ in Millions | Oct. 31, 2016USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months | $ 13 |
Finite-Lived Intangible Assets, Amortization Expense, Year Two | 8 |
Finite-Lived Intangible Assets, Amortization Expense, Year Three | 4 |
Finite-Lived Intangible Assets, Amortization Expense, Year Four | 2 |
Finite-Lived Intangible Assets, Amortization Expense, Year Five | 1 |
Finite-Lived Intangible Assets, Amortization Expense, after Year Five | $ 4 |
Goodwill and Other Intangible77
Goodwill and Other Intangible assets, Net Carrying Amount of Goodwill for Each Operating Segment (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | Oct. 31, 2013 | |
Goodwill [Line Items] | ||||
Goodwill | $ 38 | $ 38 | $ 38 | $ 184 |
Goodwill, Impairment Loss | 0 | 0 | (142) | |
Goodwill, Translation Adjustments | (4) | |||
North America Truck [Member] | ||||
Goodwill [Line Items] | ||||
Goodwill | 0 | 0 | 0 | 0 |
Goodwill, Impairment Loss | 0 | 0 | 0 | |
Goodwill, Translation Adjustments | 0 | |||
North America Parts [Member] | ||||
Goodwill [Line Items] | ||||
Goodwill | 38 | 38 | 38 | 38 |
Goodwill, Impairment Loss | 0 | 0 | 0 | |
Goodwill, Translation Adjustments | 0 | |||
Global Operations [Member] | ||||
Goodwill [Line Items] | ||||
Goodwill | 0 | 0 | 0 | $ 146 |
Goodwill, Impairment Loss | $ 0 | $ 0 | (142) | |
Goodwill, Translation Adjustments | $ (4) |
Investments in Non-Consolidat78
Investments in Non-Consolidated Affiliates - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Investments in and Advances to Affiliates, at Fair Value, Gross Additions | $ 0 | ||
Related Party Transaction, Other Revenues from Transactions with Related Party | 6 | $ 7 | $ 8 |
Related Party Transaction, Expenses from Transactions with Related Party | 207 | 245 | $ 219 |
Equity Method Investment Summarized Financial Information Undistributed Earnings | $ (4) | $ (16) | |
Minimum [Member] | |||
Equity Method Investment, Ownership Percentage | 30.00% | ||
Maximum [Member] | |||
Equity Method Investment, Ownership Percentage | 50.00% |
Investments in Non-Consolidat79
Investments in Non-Consolidated Affiliates Combined Assets, Liabilities and Equity of Equity Method Investments (Details) - USD ($) $ in Millions | Oct. 31, 2016 | Oct. 31, 2015 |
Equity Method Investment, Summarized Financial Information, Assets [Abstract] | ||
Equity Method Investment, Summarized Financial Information, Current Assets | $ 300 | $ 240 |
Equity Method Investment, Summarized Financial Information, Noncurrent Assets | 145 | 154 |
Equity Method Investment, Summarized Financial Information, Assets | 445 | 394 |
Equity Method Investment, Summarized Financial Information, Liabilities and Equity [Abstract] | ||
Equity Method Investment, Summarized Financial Information, Current Liabilities | 251 | 195 |
Equity Method Investment, Summarized Financial Information, Noncurrent Liabilities | 44 | 35 |
Equity Method Investment, Summarized Financial Information, Liabilities | 295 | 230 |
Equity Method Investment Summarized Financial Information, Equity [Abstract] | ||
Equity Method Investment, Summarized Financial Information, Equity Excluding Noncontrolling Interests | 62 | 68 |
Equity Method Investment, Summarized Financial Information, Noncontrolling Interest | 88 | 96 |
Equity Method Investment Summarized Financial Information, Equity | 150 | 164 |
Equity Method Investment, Summarized Financial Information, Liabilities and Equity | $ 445 | $ 394 |
Investments in Non-Consolidat80
Investments in Non-Consolidated Affiliates Combined Results of Operations of Equity Method Investments (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | |||
Equity Method Investment, Summarized Financial Information, Revenue | $ 584 | $ 554 | $ 527 |
Equity Method Investment, Summarized Financial Information, Cost of Sales, Expenses and Income Tax Expense | 571 | 536 | 500 |
Equity Method Investment, Summarized Financial Information, Net Income (Loss) | $ 13 | $ 18 | $ 27 |
Investments in Non-Consolidat81
Investments in Non-Consolidated Affiliates Amounts Due To and From Affiliates (Details) - USD ($) $ in Millions | Oct. 31, 2016 | Oct. 31, 2015 |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | ||
Due from Affiliates | $ 0 | $ 1 |
Due to Affiliate | $ 22 | $ 30 |
Investments in Non-Consolidat82
Investments in Non-Consolidated Affiliates - Anhui Jianghuai Navistar Diesel Engine Co., Ltd. ("JND") (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Schedule of Equity Method Investments [Line Items] | |||
Net revenue | $ 584 | $ 554 | $ 527 |
Net Loss | 13 | 18 | $ 27 |
Current assets | 300 | 240 | |
Noncurrent assets | 145 | 154 | |
Total assets | 445 | 394 | |
Current liabilities | 251 | 195 | |
Noncurrent liabilities | 44 | 35 | |
Total liabilities | 295 | $ 230 | |
Anhui Jianghuai Navistar Diesel Engine Co., Ltd. (JND) | |||
Schedule of Equity Method Investments [Line Items] | |||
Net revenue | 241 | ||
Net expenses | 252 | ||
Loss before tax expense | (11) | ||
Net Loss | (11) | ||
Current assets | 170 | ||
Noncurrent assets | 141 | ||
Total assets | 311 | ||
Current liabilities | 194 | ||
Noncurrent liabilities | 43 | ||
Total liabilities | $ 237 |
Debt - Schedule of Debt Instrum
Debt - Schedule of Debt Instruments (Details) - USD ($) | 12 Months Ended | ||||||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | Aug. 31, 2015 | Apr. 30, 2014 | Oct. 31, 2013 | Oct. 31, 2012 | |
Debt Instrument [Line Items] | |||||||
Debt Instrument, Unamortized Discount | $ 101,000,000 | ||||||
Long-term Debt | 4,904,000,000 | ||||||
Long-term Debt and Capital Lease Obligations | 3,997,000,000 | $ 4,147,000,000 | |||||
Payments to subsidiary to meet convenant requirement | 0 | 0 | $ 0 | ||||
Line of Credit [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Unamortized Discount | $ 10,000,000 | ||||||
Convertible Subordinated Debt [Member] | Four Point Five Zero Senior Subordinated Convertible Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Unamortized Discount | $ 1,000,000 | ||||||
Convertible Subordinated Debt [Member] | Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Unamortized Discount | $ 1,000,000 | ||||||
Asset-Based Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Long-term Line of Credit | 0 | 0 | |||||
Financial Services Operations | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Unamortized Discount | 9,000,000 | ||||||
Long-term Debt | 1,808,000,000 | ||||||
Long-term Debt and Capital Lease Obligations, Including Current Maturities | 1,808,000,000 | 2,093,000,000 | |||||
Long-term Debt and Capital Lease Obligations, Current | 836,000,000 | 1,005,000,000 | |||||
Long-term Debt and Capital Lease Obligations | 972,000,000 | 1,088,000,000 | |||||
Financial Services Operations | Secured Debt [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Long-term Debt | 753,000,000 | 864,000,000 | |||||
Financial Services Operations | Line of Credit [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Long-term Debt | 861,000,000 | 1,062,000,000 | |||||
Financial Services Operations | Commercial Paper [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Long-term Debt | 96,000,000 | 86,000,000 | |||||
Financial Services Operations | Borrowings Secured By Operating and Finance Leases [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Long-term Debt | 98,000,000 | 81,000,000 | |||||
Manufacturing Operations [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Unamortized Discount | 92,000,000 | ||||||
Long-term Debt | 3,096,000,000 | ||||||
Long-term Debt and Capital Lease Obligations, Including Current Maturities | 3,096,000,000 | 3,162,000,000 | |||||
Long-term Debt and Capital Lease Obligations, Current | 71,000,000 | 103,000,000 | |||||
Long-term Debt and Capital Lease Obligations | 3,025,000,000 | 3,059,000,000 | |||||
Manufacturing Operations [Member] | Line of Credit [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Unamortized Discount | 14,000,000 | 17,000,000 | |||||
Long-term Debt | 1,009,000,000 | 1,014,000,000 | |||||
Manufacturing Operations [Member] | Notes Payable to Banks [Member] | Eight Point Two Five Percent Senior Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Unamortized Discount | $ 15,000,000 | 18,000,000 | |||||
Debt Instrument, Interest Rate, Stated Percentage | 8.25% | ||||||
Long-term Debt | $ 1,173,000,000 | 1,168,000,000 | |||||
Manufacturing Operations [Member] | Convertible Subordinated Debt [Member] | Four Point Five Zero Senior Subordinated Convertible Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Unamortized Discount | $ 10,000,000 | 14,000,000 | |||||
Debt Instrument, Interest Rate, Stated Percentage | 4.50% | 4.50% | |||||
Long-term Debt | $ 189,000,000 | 184,000,000 | |||||
Manufacturing Operations [Member] | Convertible Subordinated Debt [Member] | Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Unamortized Discount | $ 24,000,000 | 32,000,000 | |||||
Debt Instrument, Interest Rate, Stated Percentage | 4.75% | 4.75% | |||||
Long-term Debt | $ 383,000,000 | 373,000,000 | |||||
Manufacturing Operations [Member] | Financing Arrangements and Capital Lease Obligations [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Long-term Debt | $ 42,000,000 | 49,000,000 | |||||
Manufacturing Operations [Member] | Tax Exempt Bond [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 6.50% | 6.50% | |||||
Long-term Debt | $ 220,000,000 | 220,000,000 | |||||
Manufacturing Operations [Member] | Financed lease obligations [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Long-term Debt | 52,000,000 | 111,000,000 | |||||
Manufacturing Operations [Member] | Notes Payable, Other Payables [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Long-term Debt | $ 28,000,000 | $ 43,000,000 |
Debt - Narrative (Details)
Debt - Narrative (Details) | 1 Months Ended | 3 Months Ended | 9 Months Ended | 11 Months Ended | 12 Months Ended | |||||||||||||||||||||||||||
Dec. 31, 2016USD ($) | Oct. 31, 2015USD ($) | Aug. 31, 2015USD ($) | Jan. 31, 2012USD ($) | Dec. 31, 2011USD ($) | Sep. 30, 2011USD ($)Installments | Oct. 31, 2009USD ($)$ / sharesshares | Oct. 31, 2016USD ($)$ / shares | Oct. 31, 2015USD ($) | Jul. 31, 2015USD ($) | Jan. 31, 2015USD ($)shares | Oct. 31, 2014 | Apr. 30, 2014USD ($)Daysshares | Oct. 31, 2013USD ($) | Apr. 30, 2013USD ($) | Jul. 31, 2014 | Jul. 31, 2012USD ($) | Sep. 29, 2011 | Oct. 31, 2016USD ($)Days$ / shares | Oct. 31, 2015USD ($) | Oct. 31, 2014USD ($) | Oct. 31, 2012USD ($) | Nov. 30, 2016USD ($) | May 31, 2016USD ($) | Apr. 30, 2016USD ($) | Feb. 29, 2016USD ($) | Aug. 07, 2015USD ($) | Jul. 15, 2015USD ($) | Apr. 30, 2015USD ($) | Jul. 03, 2014USD ($) | Aug. 31, 2012USD ($) | Oct. 31, 2010USD ($) | |
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | $ 907,000,000 | $ 907,000,000 | ||||||||||||||||||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 100,000,000 | |||||||||||||||||||||||||||||||
Cash Dividends Paid to Parent Company by Consolidated Subsidiaries | 220,000,000 | $ 125,000,000 | $ 30,000,000 | |||||||||||||||||||||||||||||
Debt Instrument, Unamortized Discount | 101,000,000 | 101,000,000 | ||||||||||||||||||||||||||||||
Charge Related to Repurchase of Debt | $ 11,000,000 | |||||||||||||||||||||||||||||||
Shares of Call Options Unwound | shares | 8,026,456 | |||||||||||||||||||||||||||||||
Shares of Warrants Unwound | shares | 1,939,376 | 6,523,319 | ||||||||||||||||||||||||||||||
Warrants and Rights Outstanding | $ 2,875,175 | |||||||||||||||||||||||||||||||
Payments of Debt Issuance Costs | 16,000,000 | 25,000,000 | 15,000,000 | |||||||||||||||||||||||||||||
Long-term Debt | 4,904,000,000 | 4,904,000,000 | ||||||||||||||||||||||||||||||
Proceeds from issuance of securitized debt | 413,000,000 | 549,000,000 | 82,000,000 | |||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Two | 1,041,000,000 | 1,041,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Three | 580,000,000 | 580,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Four | 1,037,000,000 | 1,037,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Five | 13,000,000 | 13,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Rolling after Year Five | 1,427,000,000 | 1,427,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt, Gross | $ 5,005,000,000 | 5,005,000,000 | ||||||||||||||||||||||||||||||
Payments to subsidiary to meet convenant requirement | 0 | 0 | $ 0 | |||||||||||||||||||||||||||||
Three Point Zero Percent Senior Subordinated Convertible Notes [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Proceeds from Issuance of Warrants | $ 87,000,000 | |||||||||||||||||||||||||||||||
Shares of Warrants Unwound | shares | 1,939,376 | 6,523,319 | ||||||||||||||||||||||||||||||
Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Convertible, Conversion Ratio | 18.4946 | |||||||||||||||||||||||||||||||
Option Indexed to Issuer's Equity, Strike Price | $ / shares | $ 54.07 | |||||||||||||||||||||||||||||||
Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | $ 71,000,000 | 71,000,000 | ||||||||||||||||||||||||||||||
Debt Instrument, Unamortized Discount | 92,000,000 | 92,000,000 | ||||||||||||||||||||||||||||||
Present Value of Future Minimum Lease Payments, Sale Leaseback Transactions | $ 43,000,000 | 37,000,000 | $ 43,000,000 | 37,000,000 | 43,000,000 | |||||||||||||||||||||||||||
Capital Lease Obligations | 6,000,000 | 5,000,000 | 6,000,000 | 5,000,000 | 6,000,000 | |||||||||||||||||||||||||||
Long-term Debt | 3,096,000,000 | 3,096,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Two | 242,000,000 | 242,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Three | 432,000,000 | 432,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Four | 1,008,000,000 | 1,008,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Five | 9,000,000 | 9,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Rolling after Year Five | 1,426,000,000 | 1,426,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt, Gross | 3,188,000,000 | 3,188,000,000 | ||||||||||||||||||||||||||||||
Manufacturing Operations [Member] | Promissory Note With Lessor In Cherokee, Alabama [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Long-term Debt, Fair Value | $ 58,000,000 | |||||||||||||||||||||||||||||||
Long-term Debt | $ 40,000,000 | |||||||||||||||||||||||||||||||
Financial Services Operations | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | 836,000,000 | 836,000,000 | ||||||||||||||||||||||||||||||
Pledged Assets, Other, Not Separately Reported on Statement of Financial Position | 1,300,000,000 | 1,100,000,000 | 1,300,000,000 | 1,100,000,000 | 1,300,000,000 | |||||||||||||||||||||||||||
Debt Instrument, Unamortized Discount | 9,000,000 | 9,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt | 1,808,000,000 | 1,808,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Two | 799,000,000 | 799,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Three | 148,000,000 | 148,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Four | 29,000,000 | 29,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Five | 4,000,000 | 4,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Rolling after Year Five | 1,000,000 | 1,000,000 | ||||||||||||||||||||||||||||||
Long-term Debt, Gross | 1,817,000,000 | 1,817,000,000 | ||||||||||||||||||||||||||||||
Financial Services Operations | VFN Facility [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Face Amount | $ 500,000,000 | $ 375,000,000 | $ 500,000,000 | |||||||||||||||||||||||||||||
Letter of Credit [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 40,000,000 | |||||||||||||||||||||||||||||||
Line of Credit Facility, Participation Fee Reduction, Percentage | 1.00% | |||||||||||||||||||||||||||||||
Line of Credit Facility, Participation Fee Reduction, Amount Outstanding in Excess of Maximum Borrowing Capacity | $ 50,000,000 | |||||||||||||||||||||||||||||||
Revolving Credit Facility [Member] | Financial Services Operations | Bank Facility [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 500,000,000 | $ 400,000,000 | ||||||||||||||||||||||||||||||
Line of Credit Facility, Fair Value of Amount Outstanding | 239,000,000 | 239,000,000 | ||||||||||||||||||||||||||||||
Line of Credit Facility, Accordion Feature, Higher Borrowing Capacity Option | $ 700,000,000 | |||||||||||||||||||||||||||||||
Term Loan [Member] | Financial Services Operations | Bank Facility [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Line of Credit Facility, Fair Value of Amount Outstanding | 211,000,000 | 211,000,000 | ||||||||||||||||||||||||||||||
Scenario, Forecast [Member] | Revolving Credit Facility [Member] | Financial Services Operations | Bank Facility [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 275,000,000 | |||||||||||||||||||||||||||||||
Scenario, Forecast [Member] | Term Loan [Member] | Financial Services Operations | Bank Facility [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | 82,000,000 | |||||||||||||||||||||||||||||||
Installment Payments Set Two [Member] | Term Loan [Member] | Financial Services Operations | Bank Facility [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Periodic Payment, Principal | $ 9,000,000 | |||||||||||||||||||||||||||||||
Installment Payments Set Two [Member] | Scenario, Forecast [Member] | Term Loan [Member] | Financial Services Operations | Bank Facility [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Periodic Payment, Principal | $ 2,000,000 | |||||||||||||||||||||||||||||||
Asset-Based Credit Facility [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 175,000,000 | |||||||||||||||||||||||||||||||
Debt Instrument, Liquidity Block | 35,000,000 | |||||||||||||||||||||||||||||||
Long-term Line of Credit | 0 | 0 | $ 0 | 0 | 0 | |||||||||||||||||||||||||||
Debt Instrument, Permitted Receivables Financing | $ 50,000,000 | 25,000,000 | ||||||||||||||||||||||||||||||
Asset-Based Credit Facility [Member] | Senior Notes [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Line of Credit Facility, Increase to Borrowing Capacity | 200,000,000 | |||||||||||||||||||||||||||||||
Asset-Based Credit Facility [Member] | Term Loan [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Line of Credit Facility, Increase to Borrowing Capacity | $ 352,500,000 | |||||||||||||||||||||||||||||||
Line of Credit [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 1,000,000,000 | $ 1,040,000,000 | $ 1,000,000,000 | |||||||||||||||||||||||||||||
Debt Instrument, Periodic Payment, Principal, Percentage | 0.25% | 0.25% | ||||||||||||||||||||||||||||||
Debt Instrument, Permitted Receivables Financing | $ 50,000,000 | $ 25,000,000 | ||||||||||||||||||||||||||||||
Debt Instrument, Call Premium | 1.00% | |||||||||||||||||||||||||||||||
Amortization of Debt Discount (Premium) | $ 3,000,000 | |||||||||||||||||||||||||||||||
Debt Instrument, Unamortized Discount | $ 10,000,000 | |||||||||||||||||||||||||||||||
Payments of Financing Costs | $ 12,000,000 | |||||||||||||||||||||||||||||||
Amortization of Debt Issuance Costs | 11,000,000 | |||||||||||||||||||||||||||||||
Line of Credit [Member] | Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Unamortized Discount | 17,000,000 | 14,000,000 | 17,000,000 | 14,000,000 | 17,000,000 | |||||||||||||||||||||||||||
Debt Issuance Costs, Net | 9,000,000 | 7,000,000 | 9,000,000 | 7,000,000 | 9,000,000 | |||||||||||||||||||||||||||
Long-term Debt | 1,014,000,000 | 1,009,000,000 | 1,014,000,000 | 1,009,000,000 | 1,014,000,000 | |||||||||||||||||||||||||||
Line of Credit [Member] | Financial Services Operations | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Issuance Costs, Net | 1,000,000 | 3,000,000 | 1,000,000 | 3,000,000 | 1,000,000 | |||||||||||||||||||||||||||
Long-term Debt | 1,062,000,000 | 861,000,000 | 1,062,000,000 | 861,000,000 | 1,062,000,000 | |||||||||||||||||||||||||||
Notes Payable to Banks [Member] | Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Face Amount | $ 1,000,000,000 | 0 | ||||||||||||||||||||||||||||||
Proceeds from Issuance of Senior Long-term Debt | 310,000,000 | |||||||||||||||||||||||||||||||
Debt Instrument, Unamortized Premium | 4,000,000 | |||||||||||||||||||||||||||||||
Accrued Interest Received | $ 10,000,000 | |||||||||||||||||||||||||||||||
Debt Instrument, Interest Rate, Effective Percentage | 8.50% | |||||||||||||||||||||||||||||||
Debt Issuance Costs, Gross | $ 4,000,000 | |||||||||||||||||||||||||||||||
Notes Payable to Banks [Member] | Manufacturing Operations [Member] | Eight Point Two Five Percent Senior Notes [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Unamortized Discount | 18,000,000 | 15,000,000 | 18,000,000 | 15,000,000 | 18,000,000 | |||||||||||||||||||||||||||
Debt Issuance Costs, Net | 14,000,000 | $ 12,000,000 | 14,000,000 | $ 12,000,000 | 14,000,000 | |||||||||||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 8.25% | 8.25% | ||||||||||||||||||||||||||||||
Long-term Debt | $ 1,168,000,000 | $ 1,173,000,000 | 1,168,000,000 | $ 1,173,000,000 | 1,168,000,000 | |||||||||||||||||||||||||||
Convertible Subordinated Debt [Member] | Four Point Five Zero Senior Subordinated Convertible Notes [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Unamortized Discount | $ 1,000,000 | |||||||||||||||||||||||||||||||
Long-term Debt, Fair Value | 177,000,000 | |||||||||||||||||||||||||||||||
Debt Instrument, Convertible, Carrying Amount of Equity Component | 22,000,000 | |||||||||||||||||||||||||||||||
Convertible Subordinated Debt [Member] | Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Unamortized Discount | $ 1,000,000 | |||||||||||||||||||||||||||||||
Long-term Debt, Fair Value | 367,000,000 | |||||||||||||||||||||||||||||||
Debt Instrument, Convertible, Carrying Amount of Equity Component | $ 44,000,000 | |||||||||||||||||||||||||||||||
Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument Convertible Conversion Ratio Basis | $ 1,000 | |||||||||||||||||||||||||||||||
Debt Instrument, Convertible, Conversion Ratio | 17.1233 | |||||||||||||||||||||||||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | |||||||||||||||||||||||||||||||
Debt Instrument, Convertible, Threshold Percentage of Stock Price Trigger | 130.00% | 130.00% | ||||||||||||||||||||||||||||||
Debt Instrument, Convertible, Threshold Consecutive Trading Days | 30 days | 30 days | ||||||||||||||||||||||||||||||
Debt Instrument, Convertible, Measurement Period, Trading Days, Ending | Days | 10 | |||||||||||||||||||||||||||||||
Debt Instrument, Convertible, Measurement Period, Business Days | 10 | 5 | 5 | |||||||||||||||||||||||||||||
Debt Instrument Convertible Conversion Price Percent | 100.00% | |||||||||||||||||||||||||||||||
Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | Three Point Zero Percent Senior Subordinated Convertible Notes [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Proceeds from Issuance of Warrants | 87,000,000 | |||||||||||||||||||||||||||||||
Debt Instrument, Face Amount | $ 570,000,000 | |||||||||||||||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 3.00% | |||||||||||||||||||||||||||||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | $ 60.14 | |||||||||||||||||||||||||||||||
Repayments of Long-term Debt | $ 404,000,000 | |||||||||||||||||||||||||||||||
Debt Instrument Convertible Conversion Price Percent | 100.00% | |||||||||||||||||||||||||||||||
Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | Four Point Five Zero Senior Subordinated Convertible Notes [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Face Amount | $ 200,000,000 | |||||||||||||||||||||||||||||||
Debt Instrument, Unamortized Discount | $ 14,000,000 | 10,000,000 | 14,000,000 | $ 10,000,000 | 14,000,000 | |||||||||||||||||||||||||||
Debt Issuance Costs, Net | 2,000,000 | $ 1,000,000 | 2,000,000 | $ 1,000,000 | 2,000,000 | |||||||||||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 4.50% | 4.50% | 4.50% | |||||||||||||||||||||||||||||
Proceeds from Convertible Debt | $ 196,000,000 | |||||||||||||||||||||||||||||||
Payments of Debt Issuance Costs | 3,000,000 | |||||||||||||||||||||||||||||||
Issuance Costs | 1,000,000 | |||||||||||||||||||||||||||||||
Long-term Debt, Fair Value | 177,000,000 | |||||||||||||||||||||||||||||||
Debt Instrument, Convertible, Carrying Amount of Equity Component | 22,000,000 | |||||||||||||||||||||||||||||||
Debt Issuance Costs, Gross | $ 3,000,000 | |||||||||||||||||||||||||||||||
Long-term Debt | 184,000,000 | $ 189,000,000 | 184,000,000 | $ 189,000,000 | 184,000,000 | |||||||||||||||||||||||||||
Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Face Amount | 411,000,000 | |||||||||||||||||||||||||||||||
Debt Instrument, Unamortized Discount | 32,000,000 | 24,000,000 | 32,000,000 | 24,000,000 | 32,000,000 | |||||||||||||||||||||||||||
Debt Issuance Costs, Net | 6,000,000 | $ 4,000,000 | 6,000,000 | $ 4,000,000 | 6,000,000 | |||||||||||||||||||||||||||
Proceeds from Issuance of Senior Long-term Debt | 402,000,000 | |||||||||||||||||||||||||||||||
Debt Related Commitment Fees and Debt Issuance Costs | $ 9,000,000 | |||||||||||||||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 4.75% | 4.75% | 4.75% | |||||||||||||||||||||||||||||
Long-term Debt, Fair Value | $ 367,000,000 | |||||||||||||||||||||||||||||||
Debt Instrument, Convertible, Carrying Amount of Equity Component | $ 44,000,000 | |||||||||||||||||||||||||||||||
Long-term Debt | 373,000,000 | $ 383,000,000 | 373,000,000 | $ 383,000,000 | 373,000,000 | |||||||||||||||||||||||||||
Notes Payable, Other Payables [Member] | Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Long-term Debt | 43,000,000 | 28,000,000 | 43,000,000 | 28,000,000 | 43,000,000 | |||||||||||||||||||||||||||
Notes Payable, Other Payables [Member] | Manufacturing Operations [Member] | Promissory Note [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Face Amount | $ 40,000,000 | |||||||||||||||||||||||||||||||
Debt Instrument, Term | 4 years | |||||||||||||||||||||||||||||||
Debt Instrument, Number Of Installment Payments | Installments | 16 | |||||||||||||||||||||||||||||||
Notes Payable, Other Payables [Member] | Manufacturing Operations [Member] | Promissory Note With Lessor In Cherokee, Alabama [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Term | 10 years | |||||||||||||||||||||||||||||||
Notes Payable, Other Payables [Member] | Financial Services Operations | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Face Amount | $ 300,000,000 | $ 250,000,000 | 300,000,000 | |||||||||||||||||||||||||||||
Notes Payable, Other Payables [Member] | Financial Services Operations | Investor Notes Maturing Two Thousand and Fifteen [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Face Amount | $ 250,000,000 | |||||||||||||||||||||||||||||||
Notes Payable, Other Payables [Member] | Financial Services Operations | Secured Debt [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Term | 2 years | 2 years | 2 years | |||||||||||||||||||||||||||||
Notes Payable, Other Payables [Member] | Financial Services Operations | Investor Notes Sold to Initial Purchasers [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Face Amount | $ 240,000,000 | |||||||||||||||||||||||||||||||
Notes Payable, Other Payables [Member] | Financial Services Operations | Investor Notes Maturing October Two Thousand Thirteen [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Face Amount | $ 200,000,000 | |||||||||||||||||||||||||||||||
Financed lease obligations [Member] | Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Long-term Debt | 111,000,000 | $ 52,000,000 | 111,000,000 | 52,000,000 | 111,000,000 | |||||||||||||||||||||||||||
Tax Exempt Bond [Member] | Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Face Amount | $ 225,000,000 | |||||||||||||||||||||||||||||||
Debt Issuance Costs, Net | 5,000,000 | $ 5,000,000 | 5,000,000 | 5,000,000 | 5,000,000 | |||||||||||||||||||||||||||
Proceeds from Issuance of Long-term Debt | $ 0 | |||||||||||||||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 6.50% | 6.50% | 6.50% | |||||||||||||||||||||||||||||
Long-term Debt | 220,000,000 | $ 220,000,000 | 220,000,000 | $ 220,000,000 | 220,000,000 | |||||||||||||||||||||||||||
Tax Exempt Bond [Member] | Manufacturing Operations [Member] | Illinois Finance Authority Recovery Zone Facility Revenue Bond [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Face Amount | 135,000,000 | |||||||||||||||||||||||||||||||
Tax Exempt Bond [Member] | Manufacturing Operations [Member] | County of Cook Recovery Zone Facility Revenue Bonds [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Face Amount | $ 90,000,000 | |||||||||||||||||||||||||||||||
Secured Debt [Member] | Financial Services Operations | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Issuance Costs, Net | 6,000,000 | 6,000,000 | 6,000,000 | 6,000,000 | 6,000,000 | |||||||||||||||||||||||||||
Long-term Debt | 864,000,000 | 753,000,000 | $ 864,000,000 | $ 753,000,000 | 864,000,000 | |||||||||||||||||||||||||||
Base Rate [Member] | Line of Credit [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 4.50% | 3.50% | ||||||||||||||||||||||||||||||
Eurodollar [Member] | Line of Credit [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 5.50% | 4.50% | ||||||||||||||||||||||||||||||
London Interbank Offered Rate (LIBOR) [Member] | Amended and Restated Asset-Based Credit Facility [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 275.00% | |||||||||||||||||||||||||||||||
London Interbank Offered Rate (LIBOR) [Member] | Notes Payable, Other Payables [Member] | Manufacturing Operations [Member] | Promissory Note [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 2.75% | |||||||||||||||||||||||||||||||
Minimum [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Convertible, Threshold Trading Days | Days | 20 | 20 | ||||||||||||||||||||||||||||||
Minimum [Member] | Base Rate [Member] | Amended and Restated Asset-Based Credit Facility [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 175.00% | |||||||||||||||||||||||||||||||
Minimum [Member] | Eurodollar [Member] | Line of Credit [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 1.00% | |||||||||||||||||||||||||||||||
Minimum [Member] | London Interbank Offered Rate (LIBOR) [Member] | Amended and Restated Asset-Based Credit Facility [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 275.00% | |||||||||||||||||||||||||||||||
Minimum [Member] | London Interbank Offered Rate (LIBOR) [Member] | Line of Credit [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 1.25% | |||||||||||||||||||||||||||||||
Maximum [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Threshold percentage of last reported sale price of common stock | 98.00% | |||||||||||||||||||||||||||||||
Maximum [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | Three Point Zero Percent Senior Subordinated Convertible Notes [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Threshold percentage of last reported sale price of common stock | 98.00% | |||||||||||||||||||||||||||||||
Maximum [Member] | Base Rate [Member] | Amended and Restated Asset-Based Credit Facility [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 225.00% | |||||||||||||||||||||||||||||||
Maximum [Member] | London Interbank Offered Rate (LIBOR) [Member] | Amended and Restated Asset-Based Credit Facility [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 325.00% | |||||||||||||||||||||||||||||||
Debt Instrument, Redemption, Period Six [Member] | Tax Exempt Bond [Member] | Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | |||||||||||||||||||||||||||||||
Debt Instrument, Redemption, Scenario One [Member] | Debt Instrument, Redemption, Period Two [Member] | Notes Payable to Banks [Member] | Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Redemption Price, Percentage | 104.125% | |||||||||||||||||||||||||||||||
Debt Instrument, Redemption, Scenario One [Member] | Debt Instrument, Redemption, Period Three [Member] | Notes Payable to Banks [Member] | Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Redemption Price, Percentage | 102.75% | |||||||||||||||||||||||||||||||
Debt Instrument, Redemption, Scenario One [Member] | Debt Instrument, Redemption, Period Four [Member] | Notes Payable to Banks [Member] | Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Redemption Price, Percentage | 101.375% | |||||||||||||||||||||||||||||||
Debt Instrument, Redemption, Scenario One [Member] | Debt Instrument, Redemption, Period Five [Member] | Notes Payable to Banks [Member] | Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | |||||||||||||||||||||||||||||||
Debt Instrument, Redemption, Scenario Three [Member] | Notes Payable to Banks [Member] | Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | |||||||||||||||||||||||||||||||
Call Option [Member] | Convertible Subordinated Debt [Member] | Three Point Zero Percent Senior Subordinated Convertible Notes [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Payments for Derivative Instrument, Investing Activities | $ 125,000,000 | |||||||||||||||||||||||||||||||
Call Option [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Option Indexed to Issuer's Equity, Strike Price | $ / shares | $ 58.40 | |||||||||||||||||||||||||||||||
Call Option [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | Three Point Zero Percent Senior Subordinated Convertible Notes [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Option Indexed to Issuer's Equity, Strike Price | $ / shares | $ 50.27 | |||||||||||||||||||||||||||||||
Payments for Derivative Instrument, Investing Activities | $ 125,000,000 | |||||||||||||||||||||||||||||||
Option Indexed to Issuer's Equity, Indexed Shares | shares | 11,337,870 | |||||||||||||||||||||||||||||||
Other Noncurrent Assets [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Related Commitment Fees and Debt Issuance Costs | $ 8,000,000 | |||||||||||||||||||||||||||||||
Additional Paid-in Capital [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Related Commitment Fees and Debt Issuance Costs | $ 1,000,000 | |||||||||||||||||||||||||||||||
United States Dollars and Mexican Pesos [Member] | Financial Services Operations | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Long-term Debt | 435,000,000 | $ 411,000,000 | $ 435,000,000 | $ 411,000,000 | 435,000,000 | |||||||||||||||||||||||||||
Mexico, Pesos | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Commercial Paper | $ 1,800,000,000 | |||||||||||||||||||||||||||||||
Mexico, Pesos | Financial Services Operations | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Long-term Debt | $ 0 | $ 0 | $ 0 | |||||||||||||||||||||||||||||
Debt instrument, percentage of borrowings denominated in countries currency | 63.00% | 63.00% | ||||||||||||||||||||||||||||||
United States of America, Dollars | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Commercial Paper | $ 96,000,000 | $ 96,000,000 | ||||||||||||||||||||||||||||||
United States of America, Dollars | Financial Services Operations | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt instrument, percentage of borrowings denominated in countries currency | 54.00% | 37.00% | 54.00% | 37.00% | 54.00% | |||||||||||||||||||||||||||
International Truck Leasing Corporation [Member] | Financial Services Operations | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Proceeds from issuance of securitized debt | $ 41,000,000 | $ 59,000,000 | ||||||||||||||||||||||||||||||
Secured Debt | $ 81,000,000 | $ 98,000,000 | $ 81,000,000 | 98,000,000 | 81,000,000 | |||||||||||||||||||||||||||
Loans Pledged as Collateral | $ 99,000,000 | $ 119,000,000 | $ 99,000,000 | $ 119,000,000 | $ 99,000,000 | |||||||||||||||||||||||||||
Navistar Financial Corporation [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Covenant Compliance, Fixed Charge Coverage Ratio, Maximum | 125.00% | 125.00% | ||||||||||||||||||||||||||||||
Interest Rate Floor [Member] | Financed lease obligations [Member] | Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 4.10% | |||||||||||||||||||||||||||||||
Interest Rate Cap [Member] | Financed lease obligations [Member] | Manufacturing Operations [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 12.52% | |||||||||||||||||||||||||||||||
Subsequent Event [Member] | Financial Services Operations | VFN Facility [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Debt Instrument, Face Amount | $ 450,000,000 | |||||||||||||||||||||||||||||||
Affiliated Entity [Member] | NFM [Member] | Secured Debt [Member] | ||||||||||||||||||||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||||||||||||||||||||
Long-term Debt | $ 82,000,000 | $ 82,000,000 |
Postretirement Benefits - Narra
Postretirement Benefits - Narrative (Details) employees in Thousands, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||
Oct. 31, 2016USD ($) | Jul. 31, 2016USD ($) | Apr. 30, 2016USD ($) | Oct. 31, 2015USD ($) | Oct. 31, 2014USD ($) | Jul. 31, 2014USD ($) | Oct. 31, 2016USD ($)employees | Oct. 31, 2015USD ($) | Oct. 31, 2014USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Defined Benefit Plan, Net Periodic Benefit Cost | $ 153 | $ 150 | $ 160 | ||||||
Defined Benefit Plan, Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets, Aggregate Projected Benefit Obligation | $ 3,946 | $ 3,631 | 3,946 | 3,631 | |||||
Defined Benefit Plan, Accumulated Benefit Obligation | 4,000 | 4,000 | |||||||
Defined Benefit Plans, Estimated Future Employer Contributions in Current Fiscal Year | 110 | ||||||||
Restructuring Charges | 10 | 76 | 42 | ||||||
Defined Contribution Plan, Cost Recognized | 29 | 29 | 27 | ||||||
Defined Benefit Plan, Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets, Aggregate Accumulated Benefit Obligation | 3,934 | 3,612 | 3,934 | 3,612 | |||||
Defined Benefit Plan, Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets, Aggregate Fair Value of Plan Assets | 2,224 | 2,061 | 2,224 | 2,061 | |||||
Defined Benefit Plan, Benefits Paid | $ 15 | ||||||||
Number Of Former Employees And Their Beneficiaries Included In Retiree Population | employees | 33 | ||||||||
Defined benefit plan, weighted average rate of increase in in per capita cost percent of benefit obligation | 8.20% | ||||||||
Other Pension Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Defined Benefit Plan, Benefits Paid | 15 | ||||||||
United States Postretirement Benefit Plan of US Entity [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Deferred Income Taxes and Other Assets, Noncurrent | 548 | $ 548 | |||||||
Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Defined Benefit Plan, Expected Future Benefit Payments, Next Twelve Months | 306 | 306 | |||||||
Fair Value of Plan Assets | $ 2,310 | $ 2,422 | $ 2,627 | $ 2,310 | $ 2,422 | $ 2,627 | |||
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Expected Long-term Return on Assets | 7.50% | 7.80% | 7.80% | ||||||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 3.50% | 4.00% | 3.50% | 4.00% | |||||
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Discount Rate | 4.50% | 3.70% | 4.10% | ||||||
Defined Benefit Plan, Assumptions Used in Calculating Interest Cost, Discount Rate | 3.10% | 3.70% | 4.10% | ||||||
Defined Benefit Plan, Future Amortization of Prior Service Cost (Credit) | $ 0 | ||||||||
Defined Benefit Plan, Net Periodic Benefit Cost | 82 | $ 69 | $ 106 | ||||||
Employer contributions | 100 | 113 | |||||||
Effect of change in estimate approach on interest cost | 36 | ||||||||
Defined Benefit Plan, Benefits Paid | 300 | $ 309 | |||||||
Defined Benefit Plan, Future Amortization of Gain (Loss) | $ 117 | ||||||||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 3.50% | 3.50% | 3.50% | 3.50% | |||||
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Rate of Compensation Increase | 3.50% | 3.50% | 3.50% | ||||||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | $ 2,297 | $ 2,404 | $ 2,297 | $ 2,404 | |||||
Defined Benefit Plan, Expected Future Benefit Payments, Year Two | 293 | 293 | |||||||
Defined Benefit Plan, Expected Future Benefit Payments, Year Three | 287 | 287 | |||||||
Defined Benefit Plan, Expected Future Benefit Payments, Year Four | 281 | 281 | |||||||
Defined Benefit Plan, Expected Future Benefit Payments, Year Five | 273 | 273 | |||||||
Defined Benefit Plan, Expected Future Benefit Payments, Five Fiscal Years Thereafter | 1,252 | 1,252 | |||||||
Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Defined Benefit Plan, Expected Future Benefit Payments, Next Twelve Months | 100 | 100 | |||||||
Fair Value of Plan Assets | $ 333 | $ 369 | 415 | 333 | $ 369 | $ 415 | |||
Defined Benefit Plan, Effect of One Percentage Point Increase on Service and Interest Cost Components | $ 12 | ||||||||
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Expected Long-term Return on Assets | 7.50% | 7.80% | 7.80% | ||||||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 3.50% | 4.10% | 3.50% | 4.10% | |||||
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Discount Rate | 4.60% | 3.70% | 4.10% | ||||||
Defined Benefit Plan, Assumptions Used in Calculating Interest Cost, Discount Rate | 3.30% | 3.70% | 4.10% | ||||||
Defined Benefit Plan, Future Amortization of Prior Service Cost (Credit) | $ 0 | ||||||||
Defined Benefit Plan, Net Periodic Benefit Cost | 71 | $ 81 | $ 54 | ||||||
Employer contributions | 2 | 2 | |||||||
Defined Benefit Plans, Estimated Future Employer Contributions in Next Fiscal Year | 2 | ||||||||
Effect of change in estimate approach on interest cost | 17 | ||||||||
Defined Benefit Plan, Benefits Paid | 179 | 183 | |||||||
Defined benefit plan, benefits paid from Company assets | 66 | $ 61 | |||||||
Defined Benefit Plan, Future Amortization of Gain (Loss) | $ 23 | ||||||||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 0.00% | 0.00% | 0.00% | 0.00% | |||||
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Rate of Compensation Increase | 0.00% | 0.00% | 0.00% | ||||||
Defined benefit plan, weighted average rate of increase in in per capita cost percent of benefit obligation | 88.00% | ||||||||
Defined Benefit Plan, Ultimate Health Care Cost Trend Rate | 5.00% | ||||||||
Defined Benefit Plan, Health Care Cost Trend Rate Assumed for Next Fiscal Year | 9.00% | ||||||||
Defined Benefit Plan, Effect of One Percentage Point Decrease on Service and Interest Cost Components | $ (10) | ||||||||
Defined Benefit Plan, Effect of One Percentage Point Increase on Accumulated Postretirement Benefit Obligation | 205 | ||||||||
Defined Benefit Plan, Effect of One Percentage Point Decrease on Accumulated Postretirement Benefit Obligation | (159) | ||||||||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | $ 333 | $ 368 | 333 | $ 368 | |||||
Defined Benefit Plan, Expected Future Benefit Payments, Year Two | 105 | 105 | |||||||
Defined Benefit Plan, Expected Future Benefit Payments, Year Three | 111 | 111 | |||||||
Defined Benefit Plan, Expected Future Benefit Payments, Year Four | 111 | 111 | |||||||
Defined Benefit Plan, Expected Future Benefit Payments, Year Five | 112 | 112 | |||||||
Defined Benefit Plan, Expected Future Benefit Payments, Five Fiscal Years Thereafter | 532 | 532 | |||||||
Chatham [Member] | Facility Closing [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Postemployment Benefits, Period Expense | $ 5 | $ 2 | $ 14 | ||||||
Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 917 | 946 | 917 | 946 | |||||
Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 156 | 163 | 156 | 163 | |||||
Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 1,078 | 1,269 | 1,078 | 1,269 | |||||
Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 121 | 163 | 121 | 163 | |||||
Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Alternative Investments, Fair Value of Plan Assets, NAV | 301 | 188 | 301 | 188 | |||||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 1 | 1 | 1 | 1 | |||||
Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Alternative Investments, Fair Value of Plan Assets, NAV | 56 | 42 | 56 | 42 | |||||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 0 | 0 | 0 | 0 | |||||
Cash and Cash Equivalents [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 76 | 126 | 76 | 126 | |||||
Cash and Cash Equivalents [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 19 | 29 | 19 | 29 | |||||
Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 76 | 126 | 76 | 126 | |||||
Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 19 | 29 | 19 | 29 | |||||
Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
US Large Cap [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 209 | 0 | 209 | |||||
US Large Cap [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 25 | 0 | 25 | |||||
US Large Cap [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 209 | 0 | 209 | |||||
US Large Cap [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 25 | 0 | 25 | |||||
US Large Cap [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
US Large Cap [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
US Large Cap [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
US Large Cap [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
US Smid Cap [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 253 | 0 | 253 | |||||
US Smid Cap [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 42 | 0 | 42 | |||||
US Smid Cap [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 253 | 0 | 253 | |||||
US Smid Cap [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 42 | 0 | 42 | |||||
US Smid Cap [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
US Smid Cap [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
US Smid Cap [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
US Smid Cap [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Canadian Equity [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 30 | 0 | 30 | |||||
Canadian Equity [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 30 | 0 | 30 | |||||
Canadian Equity [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Canadian Equity [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
International Equity [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 216 | 0 | 216 | |||||
International Equity [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 53 | 0 | 53 | |||||
International Equity [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 216 | 0 | 216 | |||||
International Equity [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 53 | 0 | 53 | |||||
International Equity [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
International Equity [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
International Equity [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
International Equity [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Emerging Markets Equity [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 77 | 0 | 77 | |||||
Emerging Markets Equity [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 14 | 0 | 14 | |||||
Emerging Markets Equity [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 77 | 0 | 77 | |||||
Emerging Markets Equity [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 14 | 0 | 14 | |||||
Emerging Markets Equity [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Emerging Markets Equity [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Emerging Markets Equity [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Emerging Markets Equity [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Equity [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Equity [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Equity [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Equity [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Corporate Bond Securities [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 792 | 0 | 792 | |||||
Corporate Bond Securities [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 80 | 100 | 80 | 100 | |||||
Corporate Bond Securities [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Corporate Bond Securities [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Corporate Bond Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 792 | 0 | 792 | |||||
Corporate Bond Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 80 | 100 | 80 | 100 | |||||
Corporate Bond Securities [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Corporate Bond Securities [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Asset-backed Securities [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 7 | 0 | 7 | |||||
Asset-backed Securities [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 3 | 0 | 3 | |||||
Asset-backed Securities [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Asset-backed Securities [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Asset-backed Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 7 | 0 | 7 | |||||
Asset-backed Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 3 | 0 | 3 | |||||
Asset-backed Securities [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Asset-backed Securities [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Common And Preferred Stock [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 449 | 0 | 449 | |||||
Common And Preferred Stock [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Common And Preferred Stock [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 449 | 0 | 449 | |||||
Common And Preferred Stock [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
U.S. Equity [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 294 | 0 | 294 | 0 | |||||
U.S. Equity [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 66 | 0 | 66 | 0 | |||||
U.S. Equity [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 294 | 0 | 294 | 0 | |||||
U.S. Equity [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 66 | 0 | 66 | 0 | |||||
U.S. Equity [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
U.S. Equity [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
U.S. Equity [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
U.S. Equity [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Canadian Equity Other [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 29 | 0 | 29 | 0 | |||||
Canadian Equity Other [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 29 | 0 | 29 | 0 | |||||
Canadian Equity Other [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Canadian Equity Other [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
International Equity Other [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 291 | 0 | 291 | 0 | |||||
International Equity Other [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 71 | 0 | 71 | 0 | |||||
International Equity Other [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 291 | 0 | 291 | 0 | |||||
International Equity Other [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 71 | 0 | 71 | 0 | |||||
International Equity Other [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
International Equity Other [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
International Equity Other [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
International Equity Other [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Fixed Income, Multi Asset Credit [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 41 | 0 | 41 | 0 | |||||
Fixed Income, Multi Asset Credit [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Fixed Income, Multi Asset Credit [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 41 | 0 | 41 | 0 | |||||
Fixed Income, Multi Asset Credit [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Global Equity [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 227 | 0 | 227 | 0 | |||||
Global Equity [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 227 | 0 | 227 | 0 | |||||
Global Equity [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Global Equity [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Fixed Income, Long Duration Credit [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 530 | 0 | 530 | 0 | |||||
Fixed Income, Long Duration Credit [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Fixed Income, Long Duration Credit [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 530 | 0 | 530 | 0 | |||||
Fixed Income, Long Duration Credit [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Fixed Income, High Yield [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 204 | 0 | 204 | 0 | |||||
Fixed Income, High Yield [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Fixed Income, High Yield [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 204 | 0 | 204 | 0 | |||||
Fixed Income, High Yield [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Fixed Income, Canadian Bond [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 203 | 0 | 203 | 0 | |||||
Fixed Income, Canadian Bond [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Fixed Income, Canadian Bond [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 203 | 0 | 203 | 0 | |||||
Fixed Income, Canadian Bond [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Global Real Estate [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 141 | 0 | 141 | 0 | |||||
Global Real Estate [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Global Real Estate [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 141 | 0 | 141 | 0 | |||||
Global Real Estate [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Global Infrastructure [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 14 | 0 | 14 | 0 | |||||
Global Infrastructure [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Global Infrastructure [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Global Infrastructure [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 14 | 0 | 14 | 0 | |||||
Commodities Investment [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 21 | 0 | 21 | |||||
Commodities Investment [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 1 | 0 | 1 | |||||
Commodities Investment [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Commodities Investment [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Commodities Investment [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 21 | 0 | 21 | |||||
Commodities Investment [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 1 | 0 | 1 | |||||
Commodities Investment [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Commodities Investment [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Hedge Funds [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 230 | 109 | 230 | 109 | |||||
Hedge Funds [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 42 | 22 | 42 | 22 | |||||
Hedge Funds [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Hedge Funds [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Hedge Funds [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Hedge Funds [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Hedge Funds [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 230 | 109 | 230 | 109 | |||||
Hedge Funds [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 42 | 22 | 42 | 22 | |||||
Private Equity Funds [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 57 | 79 | 57 | 79 | |||||
Private Equity Funds [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 14 | 20 | 14 | 20 | |||||
Private Equity Funds [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Private Equity Funds [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Private Equity Funds [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Private Equity Funds [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Private Equity Funds [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 57 | 79 | 57 | 79 | |||||
Private Equity Funds [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 14 | 20 | 14 | 20 | |||||
Exchange Traded Funds [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 6 | 0 | 6 | |||||
Exchange Traded Funds [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 6 | 0 | 6 | |||||
Exchange Traded Funds [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Exchange Traded Funds [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Mutual Funds [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 29 | 0 | 29 | |||||
Mutual Funds [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 29 | 0 | 29 | |||||
Mutual Funds [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Mutual Funds [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Real Estate [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 1 | 1 | 1 | 1 | |||||
Real Estate [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Real Estate [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Real Estate [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 1 | 1 | 1 | 1 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | 0 | 0 | |||||
Common Stock [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 59 | 0 | 59 | |||||
Common Stock [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Common Stock [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 59 | 0 | 59 | |||||
Common Stock [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Fair Value of Plan Assets | 0 | 0 | 0 | 0 | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | $ 0 | 0 | |||||
Return-seeking Assets [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Defined Benefit Plan, Target Allocation Percentage | 70.00% | ||||||||
Liability-hedging Assets [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Defined Benefit Plan, Target Allocation Percentage | 30.00% | ||||||||
North America Truck [Member] | Indianapolis and Waukesha Foundry [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Restructuring Charges | 13 | $ 2 | $ 28 | ||||||
North America Truck [Member] | Indianapolis and Waukesha Foundry [Member] | Pension And Other Postretirement Contractual Termination Benefits [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Restructuring Charges | $ 11 | ||||||||
Accounting Standards Update 2015-07 [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Defined Benefit Plan, Transfers Between Measurement Levels | (301) | (188) | |||||||
Accounting Standards Update 2015-07 [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefit Plan [Member] | |||||||||
Defined Benefit Plan Disclosure [Line Items] | |||||||||
Defined Benefit Plan, Transfers Between Measurement Levels | $ (56) | $ 42 |
Postretirement Benefits - Sched
Postretirement Benefits - Schedule of Net Benefit (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Net postretirement benefits expense | $ 153 | $ 150 | $ 160 |
Defined Benefit Plan, Benefits Paid | (15) | ||
Pension and Other Postretirement Defined Benefit Plans, Liabilities, Noncurrent | (3,023) | (2,995) | |
Pension and Other Postretirement Defined Benefit Plans, Liabilities | (3,098) | (3,088) | |
Pension Benefits | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assets for Plan Benefits, Noncurrent | 6 | 13 | |
Defined Benefit Plan, Benefit Obligation | 4,027 | 3,979 | 4,041 |
Service cost | (9) | (13) | (12) |
Interest on obligations | 118 | 142 | 158 |
Amortization of cumulative loss | 104 | 97 | 94 |
Amortization of cumulative loss | 0 | 1 | 0 |
Contractual termination benefits | 3 | (1) | 23 |
Premiums on pension insurance | 15 | 11 | 12 |
Expected return on assets | (167) | (194) | (193) |
Net postretirement benefits expense | 82 | 69 | 106 |
Defined Benefit Plan, Actuarial Gain (Loss) | 225 | 146 | |
Defined Benefit Plan, Special Termination Benefits | 3 | (1) | |
Defined Benefit Plan, Foreign Currency Exchange Rate Gain (Loss) | (7) | (53) | |
Defined Benefit Plan, Contributions by Plan Participants | 0 | 0 | |
Defined Benefit Plan, Gross Prescription Drug Subsidy Receipts Received | 0 | 0 | |
Defined Benefit Plan, Benefits Paid | (300) | (309) | |
Fair Value of Plan Assets | 2,310 | 2,422 | 2,627 |
Defined Benefit Plan, Actual Return on Plan Assets | 79 | 27 | |
Defined Benefit Plan, Foreign Currency Exchange Rate Changes, Plan Assets | (6) | (51) | |
Defined Benefit Plan, Contributions by Employer | 100 | 113 | |
Defined Benefit Plan Change In Fair Value Of Plan Assets Benefits Paid | (285) | (294) | |
Defined Benefit Plan, Funded Status of Plan | (1,717) | (1,557) | |
Pension and Other Postretirement Defined Benefit Plans, Current Liabilities | (17) | (15) | |
Pension and Other Postretirement Defined Benefit Plans, Liabilities, Noncurrent | (1,706) | (1,555) | |
Pension and Other Postretirement Defined Benefit Plans, Liabilities | (1,717) | (1,557) | |
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), Net Gains (Losses), before Tax | 2,442 | 2,234 | |
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), Net Prior Service Cost (Credit), before Tax | 0 | 0 | |
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), before Tax | 2,442 | 2,234 | |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Net Unamortized Gain (Loss) Arising During Period, before Tax | 313 | 312 | 164 |
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, for Net Gain (Loss), before Tax | (104) | (97) | (94) |
Other Comprehensive (Income) Loss, Amortization Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, for Net Prior Service Cost (Credit), before Tax | 0 | (1) | 0 |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Currancy Translation Adjustment, before Tax | (1) | 0 | 1 |
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax | 208 | 214 | 71 |
Net postretirement benefit expense (income) and other comprehensive loss (income) | 290 | 283 | 177 |
Health and Life Insurance Benefits | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Assets for Plan Benefits, Noncurrent | 0 | 0 | |
Defined Benefit Plan, Benefit Obligation | 1,708 | 1,887 | 1,957 |
Service cost | (5) | (6) | (5) |
Interest on obligations | 58 | 71 | 68 |
Amortization of cumulative loss | 31 | 39 | 16 |
Amortization of cumulative loss | (1) | (4) | (4) |
Contractual termination benefits | 4 | (1) | 2 |
Premiums on pension insurance | 0 | 0 | 0 |
Expected return on assets | (26) | (30) | (33) |
Net postretirement benefits expense | 71 | 81 | 54 |
Defined Benefit Plan, Actuarial Gain (Loss) | (138) | (34) | |
Defined Benefit Plan, Special Termination Benefits | 4 | (1) | |
Defined Benefit Plan, Foreign Currency Exchange Rate Gain (Loss) | 0 | 0 | |
Defined Benefit Plan, Contributions by Plan Participants | 34 | 31 | |
Defined Benefit Plan, Gross Prescription Drug Subsidy Receipts Received | 37 | 40 | |
Defined Benefit Plan, Benefits Paid | (179) | (183) | |
Fair Value of Plan Assets | 333 | 369 | 415 |
Defined Benefit Plan, Actual Return on Plan Assets | 3 | 3 | |
Defined Benefit Plan, Foreign Currency Exchange Rate Changes, Plan Assets | 0 | 0 | |
Defined Benefit Plan, Contributions by Employer | 2 | 2 | |
Defined Benefit Plan Change In Fair Value Of Plan Assets Benefits Paid | (41) | (51) | |
Defined Benefit Plan, Funded Status of Plan | (1,375) | (1,518) | |
Pension and Other Postretirement Defined Benefit Plans, Current Liabilities | (58) | (78) | |
Pension and Other Postretirement Defined Benefit Plans, Liabilities, Noncurrent | (1,317) | (1,440) | |
Pension and Other Postretirement Defined Benefit Plans, Liabilities | (1,375) | (1,518) | |
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), Net Gains (Losses), before Tax | 472 | 618 | |
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), Net Prior Service Cost (Credit), before Tax | 0 | (1) | |
Pension and Other Postretirement Benefit Plans, Accumulated Other Comprehensive Income (Loss), before Tax | 472 | 617 | |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Net Unamortized Gain (Loss) Arising During Period, before Tax | (115) | (7) | 326 |
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, for Net Gain (Loss), before Tax | (31) | (39) | (16) |
Other Comprehensive (Income) Loss, Amortization Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, for Net Prior Service Cost (Credit), before Tax | 1 | 4 | 4 |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Currancy Translation Adjustment, before Tax | 0 | 0 | 0 |
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, before Tax | (145) | (42) | 314 |
Net postretirement benefit expense (income) and other comprehensive loss (income) | $ (74) | $ 39 | $ 368 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||
Jan. 31, 2016 | Oct. 31, 2014 | Apr. 30, 2014 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Operating Loss Carryforwards [Line Items] | ||||||
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits, Employee Benefits | $ 1,274 | $ 1,253 | ||||
Effective Income Tax Rate Reconciliation at Federal Statutory Income Tax Rate, Amount | 11 | 36 | $ 195 | |||
Current Federal Tax Expense (Benefit) | (1) | (2) | 0 | |||
Income (Loss) from Continuing Operations before Income Taxes, Domestic | (95) | (215) | (398) | |||
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | $ (132) | (41) | (234) | |||
Income Taxes Percent Likelihood Of Being Realized Upon Settlement | 50.00% | |||||
Income tax expense | $ (33) | (51) | (26) | |||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense | 1 | (1) | 4 | |||
Unrecognized Tax Benefits | 50 | 41 | ||||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense | 8 | 8 | ||||
Income (Loss) from Continuing Operations before Income Taxes, Foreign | 63 | 112 | (158) | |||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | (32) | (103) | (556) | |||
Current State and Local Tax Expense (Benefit) | (4) | (1) | 7 | |||
Current Foreign Tax Expense (Benefit) | (36) | (64) | (48) | |||
Current Income Tax Expense (Benefit) | (41) | (67) | (41) | |||
Deferred Federal Income Tax Expense (Benefit) | 13 | 2 | 13 | |||
Deferred State and Local Income Tax Expense (Benefit) | (1) | 0 | 0 | |||
Deferred Foreign Income Tax Expense (Benefit) | (4) | 14 | 2 | |||
Deferred Income Tax Expense (Benefit) | 8 | 16 | 15 | |||
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Amount | (3) | 0 | (4) | |||
Effective Income Tax Rate Reconciliation, Tax Credit, Amount | (3) | (4) | (5) | |||
Effective Income Tax Rate Reconciliation, Foreign Income Tax Rate Differential, Amount | 53 | (48) | (31) | |||
Effective Income Tax Rate Reconciliation, Repatriation of Foreign Earnings, Amount | 37 | 31 | 6 | |||
Effective Income Tax Rate Reconciliation, Tax Contingency, Amount | (10) | (1) | 15 | |||
Effective Income Tax Rate Reconciliation, Tax Expense related to Equity Components | 0 | 0 | 13 | |||
Effective Income Tax Rate Reconciliation, Noncontrolling Interest Income (Loss), Amount | 11 | 11 | 14 | |||
Effective Income Tax Rate Reconciliation, Other Adjustments, Amount | (3) | 19 | $ 17 | |||
Deferred Tax Assets, Operating Loss Carryforwards | 1,324 | 1,161 | ||||
Deferred Tax Assets, Tax Deferred Expense, Reserves and Accruals, Warranty Reserves | 362 | 419 | ||||
Deferred Tax Assets, in Process Research and Development | 172 | 135 | ||||
Deferred Tax Assets, Tax Credit Carryforwards | 262 | 266 | ||||
Deferred Tax Assets, Other | 232 | 239 | ||||
Deferred Tax Assets, Gross | 3,626 | 3,473 | ||||
Deferred Tax Assets, Valuation Allowance | 3,434 | 3,260 | ||||
Deferred Tax Assets, Net of Valuation Allowance | 192 | 213 | ||||
Deferred Tax Liabilities, Undistributed Foreign Earnings | 0 | (37) | ||||
Deferred Tax Liabilities, Other | (31) | (26) | ||||
Deferred Tax Liabilities, Net | (31) | (63) | ||||
Deferred Tax Assets, Operating Loss Carryforwards, Domestic | 945 | |||||
Deferred Tax Assets, Operating Loss Carryforwards, State and Local | 150 | |||||
Deferred Tax Assets, Operating Loss Carryforwards, Foreign | 229 | |||||
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | $ (16) | $ 29 | 132 | $ 41 | ||
Undistributed Earnings of Foreign Subsidiaries | 551 | |||||
Unrecognized Tax Benefits, Decrease Resulting from Prior Period Tax Positions | 9 | |||||
Unrecognized Tax Benefits, Decrease Resulting from Foreign Currency Translation | 0 | |||||
Unrecognized Tax Benefits, Decrease Resulting from Settlements with Taxing Authorities | 0 | |||||
Other Comprehensive Income (Loss) [Member] | ||||||
Operating Loss Carryforwards [Line Items] | ||||||
Income tax expense | $ 12 | |||||
Alternative Minimum Tax [Member] | ||||||
Operating Loss Carryforwards [Line Items] | ||||||
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | $ (13) | |||||
Minimum [Member] | ||||||
Operating Loss Carryforwards [Line Items] | ||||||
Operating Loss Carryforwards, Duration of Carryforward | 5 years | |||||
Maximum [Member] | ||||||
Operating Loss Carryforwards [Line Items] | ||||||
Operating Loss Carryforwards, Duration of Carryforward | 20 years | |||||
Stock Option Tax Benefits [Member] | ||||||
Operating Loss Carryforwards [Line Items] | ||||||
Deferred Tax Assets, Operating Loss Carryforwards | $ 63 | |||||
Convertible Subordinated Debt [Member] | ||||||
Operating Loss Carryforwards [Line Items] | ||||||
Income tax expense | $ 13 |
Fair Value Measurements - Finan
Fair Value Measurements - Financial Instruments Measured on Recurring Basis (Details) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Millions | Oct. 31, 2016 | Oct. 31, 2015 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | $ 46 | $ 159 |
Guarantees, Fair Value Disclosure | 0 | 0 |
Liabilities, Fair Value Disclosure | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 3 | 1 |
Guarantees, Fair Value Disclosure | 0 | 0 |
Liabilities, Fair Value Disclosure | 0 | 4 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 0 | 0 |
Guarantees, Fair Value Disclosure | 23 | 10 |
Liabilities, Fair Value Disclosure | 23 | 10 |
US Treasury Bill Securities [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 6 | 53 |
US Treasury Bill Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
US Treasury Bill Securities [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Other Investment Companies [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 40 | 106 |
Other Investment Companies [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Other Investment Companies [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 0 | 0 |
Other Current Assets [Member] | Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency contracts | 0 | 0 |
Other Current Assets [Member] | Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency contracts | 0 | 1 |
Other Current Assets [Member] | Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency contracts | 0 | 0 |
Other Current Assets [Member] | Commodity Contract [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 0 | 0 |
Other Current Assets [Member] | Commodity Contract [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 2 | 0 |
Other Current Assets [Member] | Commodity Contract [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 0 | 0 |
Other Noncurrent Assets [Member] | Interest Rate Cap [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency contracts | 0 | 0 |
Other Noncurrent Assets [Member] | Interest Rate Cap [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency contracts | 1 | 0 |
Other Noncurrent Assets [Member] | Interest Rate Cap [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency contracts | 0 | 0 |
Other Current Liabilities [Member] | Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 0 | 0 |
Other Current Liabilities [Member] | Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 0 | 2 |
Other Current Liabilities [Member] | Foreign Exchange Contract [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 0 | 0 |
Other Current Liabilities [Member] | Commodity Contract [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 0 | 0 |
Other Current Liabilities [Member] | Commodity Contract [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 0 | 2 |
Other Current Liabilities [Member] | Commodity Contract [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 0 | 0 |
Estimate of Fair Value Measurement [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | 49 | 160 |
Guarantees, Fair Value Disclosure | 23 | 10 |
Liabilities, Fair Value Disclosure | 23 | 14 |
Estimate of Fair Value Measurement [Member] | US Treasury Bill Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 6 | 53 |
Estimate of Fair Value Measurement [Member] | Other Investment Companies [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale Securities, Fair Value Disclosure | 40 | 106 |
Estimate of Fair Value Measurement [Member] | Other Current Assets [Member] | Foreign Exchange Contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency contracts | 0 | 1 |
Estimate of Fair Value Measurement [Member] | Other Current Assets [Member] | Commodity Contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 2 | 0 |
Estimate of Fair Value Measurement [Member] | Other Noncurrent Assets [Member] | Interest Rate Cap [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Foreign currency contracts | 1 | 0 |
Estimate of Fair Value Measurement [Member] | Other Current Liabilities [Member] | Foreign Exchange Contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | 0 | 2 |
Estimate of Fair Value Measurement [Member] | Other Current Liabilities [Member] | Commodity Contract [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative Liability, Fair Value, Gross Liability | $ 0 | $ 2 |
Fair Value Measurements - Level
Fair Value Measurements - Level 3 Reconciliation (Details) - Guarantees [Member] - USD ($) $ in Millions | 12 Months Ended | |
Oct. 31, 2016 | Oct. 31, 2015 | |
Fair Value Assets And Liablities Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | ||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset (Liability) Beginning Value | $ (10) | $ (8) |
Transfers out of Level 3 | 0 | 0 |
Issuances | (17) | (5) |
Settlements | 4 | 3 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset (Liability) Ending Value | (23) | (10) |
Change in unrealized gains on assets and liabilities still held | $ 0 | $ 0 |
Fair Value Measurements - Fin90
Fair Value Measurements - Financial Instruments Measured on Nonrecurring Basis (Details) - USD ($) $ in Millions | Oct. 31, 2016 | Oct. 31, 2015 | |
Impaired finance receivables with specific loss reserves [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Financing Receivable, Recorded Investment | $ 15 | $ 21 | |
Impaired finance receivables with specific loss reserves [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired Financing Receivable, Recorded Investment | [1] | 15 | 21 |
Specific loss reserves on impaired finance receivables [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Specific loss reserve | (8) | (9) | |
Specific loss reserves on impaired finance receivables [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Specific loss reserve | (8) | (9) | |
Estimate of Fair Value Measurement [Member] | Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Finance Receivables Fair Value Disclosure | $ 7 | $ 12 | |
[1] | Certain impaired finance receivables are measured at fair value on a nonrecurring basis. An impairment charge is recorded for the amount by which the carrying value of the receivables exceeds the fair value of the underlying collateral, net of remarketing costs. Fair values of the underlying collateral are determined by reference to dealer vehicle value publications adjusted for certain market factors. |
Fair Value Measurements - Carry
Fair Value Measurements - Carrying Values and Estimated Fair Values of Financial Instruments (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||
Jul. 31, 2016 | Jul. 31, 2015 | Apr. 30, 2014 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | Oct. 31, 2013 | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Goodwill | $ 38 | $ 38 | $ 38 | $ 184 | |||||
Long-term Debt | 4,904 | ||||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 1 | 7 | 7 | ||||||
Asset impairment charges | 27 | 30 | 183 | ||||||
Reported Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Retail Notes | 151 | 166 | |||||||
Notes Receivable | 1 | 3 | |||||||
Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Retail Notes | 153 | 170 | |||||||
Notes Receivable | 1 | 3 | |||||||
Fair Value, Inputs, Level 1 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Retail Notes | 0 | 0 | |||||||
Notes Receivable | 0 | 0 | |||||||
Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Retail Notes | 0 | 0 | |||||||
Notes Receivable | 0 | 0 | |||||||
Fair Value, Inputs, Level 3 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Retail Notes | 153 | 170 | |||||||
Notes Receivable | 1 | 3 | |||||||
North America Truck [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Goodwill | 0 | 0 | 0 | 0 | |||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 8 | 9 | |||||||
Asset impairment charges | 17 | 11 | $ 33 | ||||||
Manufacturing Operations [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 3,096 | ||||||||
Financial Services Operations | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 1,808 | ||||||||
Line of Credit [Member] | Manufacturing Operations [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 1,009 | 1,014 | |||||||
Line of Credit [Member] | Manufacturing Operations [Member] | Reported Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 1,009 | 1,014 | |||||||
Line of Credit [Member] | Manufacturing Operations [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 1,037 | 1,014 | |||||||
Line of Credit [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 1 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Line of Credit [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Line of Credit [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 3 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 1,037 | 1,014 | |||||||
Line of Credit [Member] | Financial Services Operations | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 861 | 1,062 | |||||||
Line of Credit [Member] | Financial Services Operations | Reported Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 861 | 1,062 | |||||||
Line of Credit [Member] | Financial Services Operations | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 851 | 1,048 | |||||||
Line of Credit [Member] | Financial Services Operations | Fair Value, Inputs, Level 1 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Line of Credit [Member] | Financial Services Operations | Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Line of Credit [Member] | Financial Services Operations | Fair Value, Inputs, Level 3 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 851 | 1,048 | |||||||
Financing Arrangements [Member] | Manufacturing Operations [Member] | Reported Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 37 | 43 | |||||||
Financing Arrangements [Member] | Manufacturing Operations [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 17 | 17 | |||||||
Financing Arrangements [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 1 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Financing Arrangements [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Financing Arrangements [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 3 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 17 | 17 | |||||||
Tax Exempt Bond [Member] | Manufacturing Operations [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 220 | 220 | |||||||
Tax Exempt Bond [Member] | Manufacturing Operations [Member] | Reported Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 220 | 220 | |||||||
Tax Exempt Bond [Member] | Manufacturing Operations [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 233 | 233 | |||||||
Tax Exempt Bond [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 1 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Tax Exempt Bond [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 233 | 233 | |||||||
Tax Exempt Bond [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 3 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Financed lease obligations [Member] | Manufacturing Operations [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 52 | 111 | |||||||
Financed lease obligations [Member] | Manufacturing Operations [Member] | Reported Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 52 | 111 | |||||||
Financed lease obligations [Member] | Manufacturing Operations [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 52 | 111 | |||||||
Financed lease obligations [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 1 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Financed lease obligations [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Financed lease obligations [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 3 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 52 | 111 | |||||||
Notes Payable, Other Payables [Member] | Manufacturing Operations [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 28 | 43 | |||||||
Notes Payable, Other Payables [Member] | Manufacturing Operations [Member] | Reported Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 28 | 43 | |||||||
Notes Payable, Other Payables [Member] | Manufacturing Operations [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 26 | 45 | |||||||
Notes Payable, Other Payables [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 1 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Notes Payable, Other Payables [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Notes Payable, Other Payables [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 3 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 26 | 45 | |||||||
Secured Debt [Member] | Financial Services Operations | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 753 | 864 | |||||||
Secured Debt [Member] | Financial Services Operations | Reported Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 753 | 864 | |||||||
Secured Debt [Member] | Financial Services Operations | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 754 | 865 | |||||||
Secured Debt [Member] | Financial Services Operations | Fair Value, Inputs, Level 1 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Secured Debt [Member] | Financial Services Operations | Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Secured Debt [Member] | Financial Services Operations | Fair Value, Inputs, Level 3 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 754 | 865 | |||||||
Commercial Paper [Member] | Financial Services Operations | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 96 | 86 | |||||||
Commercial Paper [Member] | Financial Services Operations | Reported Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 96 | 86 | |||||||
Commercial Paper [Member] | Financial Services Operations | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 96 | 86 | |||||||
Commercial Paper [Member] | Financial Services Operations | Fair Value, Inputs, Level 1 [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 96 | ||||||||
Commercial Paper [Member] | Financial Services Operations | Fair Value, Inputs, Level 1 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 86 | ||||||||
Commercial Paper [Member] | Financial Services Operations | Fair Value, Inputs, Level 2 [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | ||||||||
Commercial Paper [Member] | Financial Services Operations | Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | ||||||||
Commercial Paper [Member] | Financial Services Operations | Fair Value, Inputs, Level 3 [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | ||||||||
Commercial Paper [Member] | Financial Services Operations | Fair Value, Inputs, Level 3 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | ||||||||
Borrowings Secured By Operating and Finance Leases [Member] | Financial Services Operations | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 98 | 81 | |||||||
Borrowings Secured By Operating and Finance Leases [Member] | Financial Services Operations | Reported Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 98 | 81 | |||||||
Borrowings Secured By Operating and Finance Leases [Member] | Financial Services Operations | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 98 | 80 | |||||||
Borrowings Secured By Operating and Finance Leases [Member] | Financial Services Operations | Fair Value, Inputs, Level 1 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Borrowings Secured By Operating and Finance Leases [Member] | Financial Services Operations | Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Borrowings Secured By Operating and Finance Leases [Member] | Financial Services Operations | Fair Value, Inputs, Level 3 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 98 | 80 | |||||||
Eight Point Two Five Percent Senior Notes [Member] | Notes Payable to Banks [Member] | Manufacturing Operations [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 1,173 | 1,168 | |||||||
Eight Point Two Five Percent Senior Notes [Member] | Notes Payable to Banks [Member] | Manufacturing Operations [Member] | Reported Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | 1,173 | 1,168 | |||||||
Eight Point Two Five Percent Senior Notes [Member] | Notes Payable to Banks [Member] | Manufacturing Operations [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 1,180 | 998 | |||||||
Eight Point Two Five Percent Senior Notes [Member] | Notes Payable to Banks [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 1 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 1,180 | 998 | |||||||
Eight Point Two Five Percent Senior Notes [Member] | Notes Payable to Banks [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Eight Point Two Five Percent Senior Notes [Member] | Notes Payable to Banks [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 3 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | 0 | |||||||
Four Point Five Zero Senior Subordinated Convertible Notes [Member] | Convertible Subordinated Debt [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 177 | ||||||||
Four Point Five Zero Senior Subordinated Convertible Notes [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | $ 177 | ||||||||
Long-term Debt | 189 | 184 | |||||||
Four Point Five Zero Senior Subordinated Convertible Notes [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | Reported Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | [1] | 189 | 184 | ||||||
Four Point Five Zero Senior Subordinated Convertible Notes [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | [1] | 189 | 148 | ||||||
Four Point Five Zero Senior Subordinated Convertible Notes [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 1 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | [1] | 0 | 0 | ||||||
Four Point Five Zero Senior Subordinated Convertible Notes [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | [1] | 0 | 0 | ||||||
Four Point Five Zero Senior Subordinated Convertible Notes [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 3 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | [1] | 189 | 148 | ||||||
Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | Convertible Subordinated Debt [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | $ 367 | ||||||||
Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 367 | ||||||||
Long-term Debt | 383 | 373 | |||||||
Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | Reported Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt | [1] | 383 | 373 | ||||||
Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | [1] | 382 | 289 | ||||||
Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 1 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | [1] | 0 | 0 | ||||||
Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 2 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | 0 | [1] | 0 | ||||||
Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | Fair Value, Inputs, Level 3 [Member] | Estimate of Fair Value Measurement [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Long-term Debt, Fair Value | [1] | $ 382 | $ 289 | ||||||
Brazilian Reporting Unit [Member] | |||||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||||||||
Goodwill | 142 | ||||||||
Indefinite-Lived Intangible Assets (Excluding Goodwill) | $ 24 | 43 | |||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 1 | $ 3 | $ 7 | ||||||
[1] | The carrying value represents the consolidated financial statement amount of the debt which excludes the allocation of the conversion feature to equity, while the fair value is based on internally developed valuation techniques such as discounted cash flow modeling for Level 3 convertible notes which include the equity feature. |
Fair Value Measurements - Narra
Fair Value Measurements - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||
Oct. 31, 2016 | Jul. 31, 2016 | Jul. 31, 2015 | Apr. 30, 2014 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | Oct. 31, 2013 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Asset impairment charges | $ 27 | $ 30 | $ 183 | |||||
Goodwill | $ 38 | 38 | 38 | 38 | $ 184 | |||
Cash and Cash Equivalents, Maturity Term | 90 days | |||||||
Marketable Securities, Maturity Term | 90 days | |||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 1 | 7 | 7 | |||||
Brazilian Reporting Unit [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Indefinite-Lived Intangible Assets (Excluding Goodwill) | $ 24 | $ 43 | ||||||
Goodwill | 142 | |||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 1 | $ 3 | $ 7 | |||||
North America Truck [Member] | ||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||||
Asset impairment charges | 17 | 11 | 33 | |||||
Goodwill | $ 0 | 0 | 0 | $ 0 | $ 0 | |||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 8 | $ 9 |
Financial Instruments and Com93
Financial Instruments and Commodity Contracts - Narrative (Details) - USD ($) | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 |
Derivative [Line Items] | |||
Derivative, Amount of Hedged Item | $ 0 | $ 0 | $ 0 |
Derivative, Collateral, Obligation to Return Cash | 1,000,000 | 1,000,000 | |
Exposure to Credit Risk | 3,000,000 | 1,000,000 | |
Commodity Contract [Member] | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | 8,000,000 | 6,000,000 | |
Commodity Contract, Diesel Fuel [Member] | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | 4,000,000 | 24,000,000 | |
ERROR in label resolution. | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | 0 | 0 | |
Mexican Financial Services [Member] | Asset-backed Securities [Member] | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | $ 156,000,000 | $ 108,000,000 |
Financial Instruments and Com94
Financial Instruments and Commodity Contracts - Derivative Financial Instruments (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Derivative [Line Items] | |||
Derivative Instruments,Derivative, Gain (Loss) on Derivative, Net | $ 1 | $ (6) | $ (4) |
Interest Rate Cap [Member] | Interest Expense [Member] | |||
Derivative [Line Items] | |||
Derivative Instruments,Derivative, Gain (Loss) on Derivative, Net | 0 | (1) | (1) |
Cross currency swaps | Other Income Expense Net [Member] | |||
Derivative [Line Items] | |||
Derivative Instruments,Derivative, Gain (Loss) on Derivative, Net | 0 | (2) | (3) |
Foreign Exchange Contract [Member] | Other Income Expense Net [Member] | |||
Derivative [Line Items] | |||
Derivative Instruments,Derivative, Gain (Loss) on Derivative, Net | 0 | 9 | 1 |
Commodity Contract [Member] | Cost of Sales [Member] | |||
Derivative [Line Items] | |||
Derivative Instruments,Derivative, Gain (Loss) on Derivative, Net | $ 1 | $ (12) | $ (1) |
Financial Instruments and Com95
Financial Instruments and Commodity Contracts - Foreign Currency Contracts (Details) € in Millions, MXN in Millions, CAD in Millions | 1 Months Ended | ||||||||||||||||||||
Nov. 30, 2015EUR (€) | Jan. 31, 2017EUR (€) | Jan. 31, 2017MXN | Dec. 31, 2016EUR (€) | Nov. 30, 2016EUR (€) | Nov. 30, 2016MXN | Oct. 31, 2016EUR (€) | Oct. 31, 2016MXN | Sep. 30, 2016EUR (€) | Aug. 31, 2016EUR (€) | Jun. 30, 2016EUR (€) | May 31, 2016EUR (€) | Mar. 31, 2016EUR (€) | Feb. 29, 2016EUR (€) | Jan. 31, 2016EUR (€) | Dec. 31, 2015EUR (€) | Oct. 31, 2015EUR (€) | [2] | Oct. 31, 2015MXN | Oct. 31, 2015CAD | ||
Foreign Exchange Contract [Member] | Euro Member Countries, Euro | |||||||||||||||||||||
Derivative [Line Items] | |||||||||||||||||||||
Derivative, Notional Amount | € 4 | [1] | € 30 | ||||||||||||||||||
Foreign Exchange Contract [Member] | Canada, Dollars | |||||||||||||||||||||
Derivative [Line Items] | |||||||||||||||||||||
Derivative, Notional Amount | CAD | CAD 25 | ||||||||||||||||||||
Foreign Exchange Contract [Member] | Mexican Pesos | |||||||||||||||||||||
Derivative [Line Items] | |||||||||||||||||||||
Derivative, Notional Amount | MXN | MXN 1,064 | MXN 1,270 | |||||||||||||||||||
Foreign Exchange Contract, Maturing November 2015 to October 2016 [Member] | Euro Member Countries, Euro | |||||||||||||||||||||
Derivative [Line Items] | |||||||||||||||||||||
Derivative, Notional Amount Expiring Monthly | € 3 | € 2 | € 2 | € 2 | € 2 | € 2 | € 2 | € 2 | € 4 | € 3 | |||||||||||
Derivative, Cash Received on Hedge | € 2 | ||||||||||||||||||||
Subsequent Event [Member] | Foreign Exchange Contract [Member] | Euro Member Countries, Euro | |||||||||||||||||||||
Derivative [Line Items] | |||||||||||||||||||||
Derivative, Notional Amount Expiring Monthly | € 1 | ||||||||||||||||||||
Subsequent Event [Member] | Foreign Exchange Contract [Member] | Mexican Pesos | |||||||||||||||||||||
Derivative [Line Items] | |||||||||||||||||||||
Derivative, Notional Amount Expiring Monthly | MXN | MXN 404 | ||||||||||||||||||||
Scenario, Forecast [Member] | Foreign Exchange Contract [Member] | Euro Member Countries, Euro | |||||||||||||||||||||
Derivative [Line Items] | |||||||||||||||||||||
Derivative, Notional Amount Expiring Monthly | € 2 | € 1 | |||||||||||||||||||
Scenario, Forecast [Member] | Foreign Exchange Contract [Member] | Mexican Pesos | |||||||||||||||||||||
Derivative [Line Items] | |||||||||||||||||||||
Derivative, Notional Amount Expiring Monthly | MXN | MXN 660 | ||||||||||||||||||||
[1] | Forward exchange contracts of €1 million matured in November 2016, €1 million mature in December 2016, and €2 million mature in January 2017. | ||||||||||||||||||||
[2] | (C) Forward exchange contracts of €2 million settled in November 2015, €3 million matured in November 2015, €3 million matured in December 2015, €4 million matured in January 2016, and €2 million matured each month from February 2016 through October 2016. |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) BRL in Millions | Jun. 01, 2016USD ($)bus | Mar. 31, 2016USD ($) | Jul. 16, 2015USD ($) | Mar. 31, 2014BRL | Oct. 31, 2016USD ($)site | Oct. 31, 2016BRL | Jan. 31, 2014BRL | Oct. 31, 2016USD ($)dealersite | Oct. 31, 2016BRLsite | Oct. 31, 2015USD ($) | Jul. 31, 2015engine |
Loss Contingencies [Line Items] | |||||||||||
Equipment leased to others | $ 525,000,000 | $ 525,000,000 | $ 613,000,000 | ||||||||
Long-term Debt | 4,904,000,000 | 4,904,000,000 | |||||||||
Available stand-by letters of credit and surety bonds | 88,000,000 | 88,000,000 | |||||||||
Purchase commitments | $ 22,000,000 | 22,000,000 | |||||||||
Long Term Purchase Commitment Cancellation Fees | $ 52,000,000 | ||||||||||
Number of Contaminated Sites | site | 2 | 2 | 2 | ||||||||
Number of Contaminated Sites in Sao Paulo, Brazil | site | 2 | 2 | 2 | ||||||||
Accrual for environmental loss contingencies | $ 20,000,000 | $ 20,000,000 | |||||||||
Sao Paulo Groundwater Notice [Member] | Sanctions [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Damages sought, value | BRL 3 | 1,000,000 | |||||||||
International Chamber of Commerce [Member] | Penalties and Interest [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Damages sought, value | 20,000,000 | ||||||||||
Navitrucks [Member] | Alleged Unfulfilled Promises and Injury to Reputation [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Damages sought, value | $ 40,000,000 | ||||||||||
Damages from Product Defects [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Notice of Violation, number | engine | 7,749 | ||||||||||
Civil penalties sought, per violation | $ 37,500 | ||||||||||
G E Operating Agreement [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Operating Agreement Excess Loss Percentage | 10.00% | ||||||||||
Loss Sharing Agreement, Percentage | 9.50% | 9.50% | 9.50% | ||||||||
Off Balance Sheet Finance Receivables | $ 1,500,000,000 | $ 1,500,000,000 | 1,400,000,000 | ||||||||
Off Balance Sheet Finance Receivables Related Originations1 | 2,400,000,000 | 2,400,000,000 | 2,300,000,000 | ||||||||
G E Operating Agreement [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Equipment leased to others | 48,000,000 | 48,000,000 | 102,000,000 | ||||||||
Manufacturing Operations [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Long-term Debt | 3,096,000,000 | 3,096,000,000 | |||||||||
Manufacturing Operations [Member] | Financed lease obligations [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Long-term Debt | 52,000,000 | 52,000,000 | 111,000,000 | ||||||||
Manufacturing Operations [Member] | G E Operating Agreement [Member] | Financed lease obligations [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Long-term Debt | 51,000,000 | 51,000,000 | $ 110,000,000 | ||||||||
Pending Litigation [Member] | Disputes [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Damages sought, value | 50,000,000 | ||||||||||
Pending Litigation [Member] | FATMA Notice, Trial [Member] | Penalties [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Damages sought, value | 1,000,000 | BRL 2 | |||||||||
IIAA Vs. Navitrucks [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Gain Contingency, Unrecorded Amount | 42,000,000 | 42,000,000 | |||||||||
IIAA Vs. Navitrucks [Member] | International Chamber of Commerce [Member] | Penalties and Interest [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Damages sought, value | 24,000,000 | ||||||||||
Navitrucks Vs. IIAA [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Loss Contingency, Estimate of Possible Loss | $ 45,000,000 | $ 45,000,000 | |||||||||
Polar Express School Bus and Lakeview Bus Lines v. Navistar, Inc and IC Bus LLC [Member] | Pending Litigation [Member] | Damages from Product Defects [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Loss Contingency, Number of Buses | bus | 40 | ||||||||||
Loss Contingency, Damages Sought, Value, Compensatory Damages | $ 7,000,000 | ||||||||||
Loss Contingency, Damages Sought, Value, Punitive Damages | $ 50,000,000 | ||||||||||
SEC v. Navistar [Member] | Settled Litigation [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Loss Contingency, Damages Paid, Value | $ 7,500,000 | ||||||||||
Brazil, Brazil Real | International Chamber of Commerce [Member] | Penalties and Interest [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Damages sought, value | BRL | BRL 64 | ||||||||||
Brazil, Brazil Real | Navitrucks [Member] | Alleged Unfulfilled Promises and Injury to Reputation [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Damages sought, value | BRL | BRL 128 | ||||||||||
Brazil, Brazil Real | IIAA Vs. Navitrucks [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Gain Contingency, Unrecorded Amount | BRL | BRL 135 | ||||||||||
Brazil, Brazil Real | IIAA Vs. Navitrucks [Member] | International Chamber of Commerce [Member] | Penalties and Interest [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Damages sought, value | BRL | BRL 75 | ||||||||||
Brazil, Brazil Real | Navitrucks Vs. IIAA [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Loss Contingency, Estimate of Possible Loss | BRL | BRL 144 | ||||||||||
International Indústria de Motores da América do Sul Ltda [Member] | Other Cases Vs. International Indústria de Motores da América do Sul Ltda [Member] | Pending Litigation [Member] | |||||||||||
Loss Contingencies [Line Items] | |||||||||||
Loss Contingency, Number of Truck Dealers | dealer | 2 | ||||||||||
Loss Contingency, Number of Truck Fleet Owners | dealer | 2 |
Segment Reporting - Narrative (
Segment Reporting - Narrative (Details) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Oct. 31, 2016USD ($)segments | Jul. 31, 2016USD ($) | Apr. 30, 2016USD ($) | Jan. 31, 2016USD ($) | Oct. 31, 2015USD ($) | Jul. 31, 2015USD ($) | Apr. 30, 2015USD ($) | Jan. 31, 2015USD ($) | Oct. 31, 2016USD ($)segments | Oct. 31, 2015USD ($) | Oct. 31, 2014USD ($) | |
Segment Reporting [Abstract] | |||||||||||
Concentration Risk, Customer | 0 | 0 | 0 | ||||||||
Segment Reporting Information [Line Items] | |||||||||||
Number Of Segments | segments | 4 | 4 | |||||||||
Intersegment sales and revenues | $ 1 | $ 0 | $ 0 | ||||||||
Sales and revenues, net | $ 2,063 | $ 2,086 | $ 2,197 | $ 1,765 | $ 2,488 | $ 2,538 | $ 2,693 | $ 2,421 | 8,111 | 10,140 | 10,806 |
Financial Services Operations | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Investment Income, Interest | 167 | 175 | 170 | ||||||||
Intersegment sales and revenues | 100 | 96 | 79 | ||||||||
Sales and revenues, net | 235 | 241 | 232 | ||||||||
North America Truck [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Intersegment sales and revenues | 132 | 158 | 218 | ||||||||
Sales and revenues, net | 5,403 | 7,213 | 7,473 | ||||||||
North America Parts [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Intersegment sales and revenues | 29 | 38 | 58 | ||||||||
Sales and revenues, net | 2,427 | 2,513 | 2,551 | ||||||||
Corporate And Eliminations [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Intersegment sales and revenues | (305) | (343) | (390) | ||||||||
Sales and revenues, net | $ (295) | $ (333) | $ (390) |
Segment Reporting - Summary of
Segment Reporting - Summary of Segment Assets (Details) - USD ($) $ in Millions | Oct. 31, 2016 | Oct. 31, 2015 |
Segment Reporting Information [Line Items] | ||
Segment Assets | $ 5,653 | $ 6,649 |
North America Truck [Member] | ||
Segment Reporting Information [Line Items] | ||
Segment Assets | 1,520 | 1,876 |
North America Parts [Member] | ||
Segment Reporting Information [Line Items] | ||
Segment Assets | 594 | 641 |
Global Operations [Member] | ||
Segment Reporting Information [Line Items] | ||
Segment Assets | 407 | 409 |
Financial Services Operations | ||
Segment Reporting Information [Line Items] | ||
Segment Assets | 2,116 | 2,448 |
Corporate And Eliminations [Member] | ||
Segment Reporting Information [Line Items] | ||
Segment Assets | $ 1,016 | $ 1,275 |
Segment Reporting - Summary o99
Segment Reporting - Summary of Segment Operations (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Oct. 31, 2016 | Jul. 31, 2016 | Apr. 30, 2016 | Jan. 31, 2016 | Oct. 31, 2015 | Jul. 31, 2015 | Apr. 30, 2015 | Jan. 31, 2015 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Segment Reporting Information [Line Items] | |||||||||||
External sales and revenues, net | $ 8,110 | $ 10,140 | $ 10,806 | ||||||||
Sales and revenues, net | $ 2,063 | $ 2,086 | $ 2,197 | $ 1,765 | $ 2,488 | $ 2,538 | $ 2,693 | $ 2,421 | 8,111 | 10,140 | 10,806 |
Loss from continuing operations, net of tax | (97) | (187) | (622) | ||||||||
Income tax expense | (33) | (51) | (26) | ||||||||
Interest expense | 327 | 307 | 314 | ||||||||
Equity in income of non-consolidated affiliates | 6 | 6 | 9 | ||||||||
Capital expenditures | 116 | 115 | 88 | ||||||||
Intersegment sales and revenues | 1 | 0 | 0 | ||||||||
Segment Profit Loss | (64) | (136) | (596) | ||||||||
Depreciation, Depletion and Amortization | 225 | 281 | 332 | ||||||||
North America Truck [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
External sales and revenues, net | 5,271 | 7,055 | 7,255 | ||||||||
Sales and revenues, net | 5,403 | 7,213 | 7,473 | ||||||||
Loss from continuing operations, net of tax | (189) | (141) | (380) | ||||||||
Income tax expense | 0 | 0 | 0 | ||||||||
Interest expense | 0 | 0 | 0 | ||||||||
Equity in income of non-consolidated affiliates | 5 | 5 | 5 | ||||||||
Capital expenditures | 97 | 92 | 65 | ||||||||
Intersegment sales and revenues | 132 | 158 | 218 | ||||||||
Segment Profit Loss | (189) | (141) | (380) | ||||||||
Depreciation, Depletion and Amortization | 129 | 173 | 216 | ||||||||
Corporate And Eliminations [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
External sales and revenues, net | 10 | 10 | 0 | ||||||||
Sales and revenues, net | (295) | (333) | (390) | ||||||||
Loss from continuing operations, net of tax | (627) | (669) | (593) | ||||||||
Income tax expense | (33) | (51) | (26) | ||||||||
Interest expense | 247 | 233 | 243 | ||||||||
Equity in income of non-consolidated affiliates | 0 | 0 | 0 | ||||||||
Capital expenditures | 11 | 12 | 8 | ||||||||
Intersegment sales and revenues | (305) | (343) | (390) | ||||||||
Segment Profit Loss | (594) | (618) | (567) | ||||||||
Depreciation, Depletion and Amortization | 15 | 20 | 27 | ||||||||
North America Parts [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
External sales and revenues, net | 2,398 | 2,475 | 2,493 | ||||||||
Sales and revenues, net | 2,427 | 2,513 | 2,551 | ||||||||
Loss from continuing operations, net of tax | 640 | 592 | 528 | ||||||||
Income tax expense | 0 | 0 | 0 | ||||||||
Interest expense | 0 | 0 | 0 | ||||||||
Equity in income of non-consolidated affiliates | 4 | 4 | 4 | ||||||||
Capital expenditures | 2 | 3 | 6 | ||||||||
Intersegment sales and revenues | 29 | 38 | 58 | ||||||||
Segment Profit Loss | 640 | 592 | 528 | ||||||||
Depreciation, Depletion and Amortization | 13 | 14 | 15 | ||||||||
Global Operations [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
External sales and revenues, net | 296 | 455 | 905 | ||||||||
Sales and revenues, net | 341 | 506 | 940 | ||||||||
Loss from continuing operations, net of tax | (21) | (67) | (274) | ||||||||
Income tax expense | 0 | 0 | 0 | ||||||||
Interest expense | 0 | 0 | 0 | ||||||||
Equity in income of non-consolidated affiliates | (3) | (3) | 0 | ||||||||
Capital expenditures | 4 | 4 | 8 | ||||||||
Intersegment sales and revenues | 45 | 51 | 35 | ||||||||
Segment Profit Loss | (21) | (67) | (274) | ||||||||
Depreciation, Depletion and Amortization | 18 | 23 | 28 | ||||||||
Financial Services Operations | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
External sales and revenues, net | 135 | 145 | 153 | ||||||||
Sales and revenues, net | 235 | 241 | 232 | ||||||||
Loss from continuing operations, net of tax | 100 | 98 | 97 | ||||||||
Income tax expense | 0 | 0 | 0 | ||||||||
Interest expense | 80 | 74 | 71 | ||||||||
Equity in income of non-consolidated affiliates | 0 | 0 | 0 | ||||||||
Capital expenditures | 2 | 4 | 1 | ||||||||
Investment Income, Interest | 167 | 175 | 170 | ||||||||
Intersegment sales and revenues | 100 | 96 | 79 | ||||||||
Segment Profit Loss | 100 | 98 | 97 | ||||||||
Depreciation, Depletion and Amortization | 50 | 51 | 46 | ||||||||
Truck | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales and revenues, net | 5,176 | 6,845 | 7,137 | ||||||||
Parts | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales and revenues, net | 2,216 | 2,399 | 2,424 | ||||||||
Engine | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales and revenues, net | 583 | 751 | 1,092 | ||||||||
Financial Services Operations | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales and revenues, net | $ 136 | $ 145 | $ 153 |
Segment Reporting - Summary 100
Segment Reporting - Summary of Segment Long Lived Assets and Revenue (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Oct. 31, 2016 | Jul. 31, 2016 | Apr. 30, 2016 | Jan. 31, 2016 | Oct. 31, 2015 | Jul. 31, 2015 | Apr. 30, 2015 | Jan. 31, 2015 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales and revenues, net | $ 2,063 | $ 2,086 | $ 2,197 | $ 1,765 | $ 2,488 | $ 2,538 | $ 2,693 | $ 2,421 | $ 8,111 | $ 10,140 | $ 10,806 |
UNITED STATES | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Long-Lived Assets | 999 | 1,126 | 999 | 1,126 | |||||||
Sales and revenues, net | 6,186 | 7,699 | 7,760 | ||||||||
Other Countries | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Long-Lived Assets | 8 | 11 | 8 | 11 | |||||||
Sales and revenues, net | 506 | 631 | 807 | ||||||||
CANADA | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Long-Lived Assets | 20 | 19 | 20 | 19 | |||||||
Sales and revenues, net | 604 | 774 | 749 | ||||||||
MEXICO | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Long-Lived Assets | 202 | 186 | 202 | 186 | |||||||
Sales and revenues, net | 575 | 653 | 657 | ||||||||
BRAZIL | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Long-Lived Assets | $ 103 | $ 98 | 103 | 98 | |||||||
Sales and revenues, net | 240 | 383 | 833 | ||||||||
Truck | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales and revenues, net | 5,176 | 6,845 | 7,137 | ||||||||
Financial Services Operations | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales and revenues, net | 136 | 145 | 153 | ||||||||
Parts | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales and revenues, net | 2,216 | 2,399 | 2,424 | ||||||||
Engine | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales and revenues, net | 583 | 751 | 1,092 | ||||||||
Financial Services Operations | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Investment Income, Interest | 167 | 175 | 170 | ||||||||
Sales and revenues, net | 235 | 241 | $ 232 | ||||||||
Reclassification of Sales | UNITED STATES | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales and revenues, net | (23) | ||||||||||
Reclassification of Sales | Other Countries | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales and revenues, net | 103 | $ 23 | |||||||||
Reclassification of Sales | BRAZIL | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Sales and revenues, net | $ (103) |
Stockholders' Deficit Accumulat
Stockholders' Deficit Accumulated Other Comprehensive Income (Details) - USD ($) $ / shares in Units, $ in Millions | Sep. 05, 2016 | Oct. 31, 2009 | Oct. 31, 2016 | Jul. 31, 2016 | Apr. 30, 2016 | Jan. 31, 2016 | Oct. 31, 2015 | Jul. 31, 2015 | Apr. 30, 2015 | Jan. 31, 2015 | Apr. 30, 2014 | Jul. 31, 2012 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | Oct. 31, 2013 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||||||||
Common Stock, Shares, Outstanding | 81,600,000 | 81,500,000 | 81,600,000 | 81,500,000 | ||||||||||||
Stock Issued During Period, Value, New Issues | $ (5) | |||||||||||||||
Preferred Stock, Shares Authorized | 30,000,000 | 30,000,000 | ||||||||||||||
Preferred Stock, Shares Issued | 0 | 0 | ||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||||||||||
Accumulated Other Comprehensive Loss, Beginning Balance | $ (2,601) | $ (2,263) | $ (2,601) | $ (2,263) | (1,824) | |||||||||||
Other comprehensive loss before reclassifications | (170) | (469) | (542) | |||||||||||||
Amounts reclassified out of accumulated other comprehensive loss | 131 | 131 | 103 | |||||||||||||
Net current-period other comprehensive income (loss) | (39) | (338) | (439) | |||||||||||||
Accumulated Other Comprehensive Loss, Ending Balance | $ (2,640) | $ (2,601) | (2,640) | (2,601) | (2,263) | |||||||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract] | ||||||||||||||||
Total before tax | $ 34 | $ 34 | $ (4) | 33 | $ 51 | $ 30 | $ 64 | 42 | 65 | 154 | 582 | |||||
Tax expense | (33) | (51) | (26) | |||||||||||||
Net income (loss) attributable to Navistar International Corporation | $ (97) | $ (184) | (619) | |||||||||||||
Preferred Stock, Par or Stated Value Per Share | $ 1 | $ 1 | ||||||||||||||
Debt Instrument, Unamortized Discount | $ 101 | $ 101 | ||||||||||||||
Common stock, shares authorized | 220,000,000 | 220,000,000 | 220,000,000 | 220,000,000 | ||||||||||||
Common stock, par value | $ 0.10 | $ 0.10 | $ 0.10 | $ 0.10 | ||||||||||||
Accumulated Net Unrealized Investment Gain (Loss) [Member] | ||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||||||||||
Accumulated Other Comprehensive Loss, Beginning Balance | 1 | 1 | $ 1 | $ 1 | 0 | |||||||||||
Other comprehensive loss before reclassifications | 0 | 0 | 1 | |||||||||||||
Amounts reclassified out of accumulated other comprehensive loss | 0 | 0 | 0 | |||||||||||||
Net current-period other comprehensive income (loss) | 0 | 0 | 1 | |||||||||||||
Accumulated Other Comprehensive Loss, Ending Balance | $ 1 | $ 1 | 1 | 1 | 1 | |||||||||||
Accumulated Translation Adjustment [Member] | ||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||||||||||
Accumulated Other Comprehensive Loss, Beginning Balance | (287) | (127) | (287) | (127) | (75) | |||||||||||
Other comprehensive loss before reclassifications | 7 | (160) | (52) | |||||||||||||
Amounts reclassified out of accumulated other comprehensive loss | 0 | 0 | 0 | |||||||||||||
Net current-period other comprehensive income (loss) | 7 | (160) | (52) | |||||||||||||
Accumulated Other Comprehensive Loss, Ending Balance | (280) | (287) | (280) | (287) | (127) | |||||||||||
Pension Benefits | ||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||||||||||||||
Accumulated Other Comprehensive Loss, Beginning Balance | $ (2,315) | $ (2,137) | (2,315) | (2,137) | (1,749) | |||||||||||
Other comprehensive loss before reclassifications | (177) | (309) | (491) | |||||||||||||
Amounts reclassified out of accumulated other comprehensive loss | 131 | 131 | 103 | |||||||||||||
Net current-period other comprehensive income (loss) | (46) | (178) | (388) | |||||||||||||
Accumulated Other Comprehensive Loss, Ending Balance | $ (2,361) | $ (2,315) | (2,361) | (2,315) | (2,137) | |||||||||||
Reclassification out of Accumulated Other Comprehensive Income [Member] | Pension Benefits | ||||||||||||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract] | ||||||||||||||||
Amortization of prior service costs (benefit) | (1) | (4) | (4) | |||||||||||||
Amortization of actuarial loss | 133 | 136 | 109 | |||||||||||||
Total before tax | 132 | 132 | 105 | |||||||||||||
Tax expense | (1) | (1) | (2) | |||||||||||||
Reclassification from AOCI, Current Period, Net of Tax, Attributable to Parent | $ 131 | $ 131 | $ 103 | |||||||||||||
Preference Stock [Member] | ||||||||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||||||||
Preferred Stock, Shares Authorized | 10,000,000 | |||||||||||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract] | ||||||||||||||||
Preferred Stock, Par or Stated Value Per Share | $ 1 | $ 1 | $ 1 | |||||||||||||
Convertible Junior Preference Stock Series D [Member] | ||||||||||||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract] | ||||||||||||||||
Preferred Stock, Par or Stated Value Per Share | 1 | |||||||||||||||
Preferred Stock, Shares Outstanding | 70,182 | 70,282 | 70,182 | 70,282 | ||||||||||||
Preferred Stock, Liquidation Preference Per Share | $ 25 | |||||||||||||||
Convertible Preferred Stock, Shares Issued upon Conversion | 0.3125 | |||||||||||||||
Preferred Stock, Dividend Rate, Percentage | 120.00% | |||||||||||||||
Three Point Zero Percent Senior Subordinated Convertible Notes [Member] | ||||||||||||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract] | ||||||||||||||||
Proceeds from Issuance of Warrants | $ 87 | |||||||||||||||
Convertible Subordinated Debt [Member] | ||||||||||||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract] | ||||||||||||||||
Tax expense | $ 13 | |||||||||||||||
Convertible Subordinated Debt [Member] | Four Point Five Zero Senior Subordinated Convertible Notes [Member] | ||||||||||||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract] | ||||||||||||||||
Long-term Debt, Fair Value | $ 177 | |||||||||||||||
Debt Instrument, Convertible, Carrying Amount of Equity Component | 22 | |||||||||||||||
Debt Instrument, Unamortized Discount | $ 1 | |||||||||||||||
Convertible Subordinated Debt [Member] | Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | ||||||||||||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract] | ||||||||||||||||
Long-term Debt, Fair Value | 367 | |||||||||||||||
Debt Instrument, Convertible, Carrying Amount of Equity Component | 44 | |||||||||||||||
Debt Instrument, Unamortized Discount | $ 1 | |||||||||||||||
Call Option [Member] | Convertible Subordinated Debt [Member] | Three Point Zero Percent Senior Subordinated Convertible Notes [Member] | ||||||||||||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract] | ||||||||||||||||
Payments for Derivative Instrument, Investing Activities | $ 125 | |||||||||||||||
Volkswagen Truck and Bus GmbH [Member] | ||||||||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||||||||
Stock Purchase Agreement, Ownership Percentage Transferred to Acquirer, Pro Forma | 16.60% | |||||||||||||||
Stock Purchase Agreement, Ownership Percentage Transferred to Acquirer | 19.90% | |||||||||||||||
Stock Issued During Period, Shares, New Issues | 16,200,000 | |||||||||||||||
Share Price | $ 15.76 | |||||||||||||||
Stock Issued During Period, Value, New Issues | $ 256 | |||||||||||||||
Maximum [Member] | Volkswagen Truck and Bus GmbH [Member] | ||||||||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||||||||||
Stock Purchase Agreement, Ownership Percentage Transferred to Acquirer | 20.00% |
Earnings (Loss) Per Share At102
Earnings (Loss) Per Share Attributable to Navistar International Corporation - Basic & Diluted Loss per Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Oct. 31, 2016 | Jul. 31, 2016 | Apr. 30, 2016 | Jan. 31, 2016 | Oct. 31, 2015 | Jul. 31, 2015 | Apr. 30, 2015 | Jan. 31, 2015 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Earnings Per Share [Abstract] | |||||||||||
Loss from continuing operations, net of tax | $ (97) | $ (187) | $ (622) | ||||||||
Income from discontinued operations, net of tax | 0 | 3 | 3 | ||||||||
Net loss attributable to Navistar International Corporation | $ (97) | $ (184) | $ (619) | ||||||||
Basic (in shares) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 81.7 | 81.6 | 81.4 |
Weighted Average Number Diluted Shares Outstanding Adjustment | 0 | 0 | 0 | ||||||||
Diluted (in shares) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 81.7 | 81.6 | 81.4 |
Basic: Loss from Continuing Operations (in dollars per share) | $ (0.42) | $ (0.42) | $ 0.05 | $ (0.40) | $ (0.62) | $ (0.37) | $ (0.78) | $ (0.52) | $ (1.19) | $ (2.29) | $ (7.64) |
Basic: Income (Loss) from Discontinued Operations (in dollars per share) | 0 | 0 | 0 | 0 | 0.01 | 0.03 | 0 | 0 | 0 | 0.04 | 0.04 |
Basic (in dollars per share) | (0.42) | (0.42) | 0.05 | (0.40) | (0.61) | (0.34) | (0.78) | (0.52) | (1.19) | (2.25) | (7.60) |
Diluted: Loss from Continuing Operations (in dollars per share) | (0.42) | (0.42) | 0.05 | (0.40) | (0.62) | (0.37) | (0.78) | (0.52) | (1.19) | (2.29) | (7.64) |
Diluted: Income (Loss) from Discontinued Operations (in dollars per share) | 0 | 0 | 0 | 0 | 0.01 | 0.03 | 0 | 0 | 0 | 0.04 | 0.04 |
Diluted (in dollars per share) | $ (0.42) | $ (0.42) | $ 0.05 | $ (0.40) | $ (0.61) | $ (0.34) | $ (0.78) | $ (0.52) | $ (1.19) | $ (2.25) | $ (7.60) |
Earnings (Loss) Per Share At103
Earnings (Loss) Per Share Attributable to Navistar International Corporation - Narrative (Details) | Sep. 05, 2016USD ($)$ / sharesshares | Oct. 31, 2009$ / shares | Oct. 31, 2016USD ($)$ / sharesshares | Jan. 31, 2015shares | Apr. 30, 2014shares | Oct. 31, 2016USD ($)$ / sharesshares | Oct. 31, 2015shares | Oct. 31, 2014USD ($)shares | Apr. 30, 2015shares |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 15,000,000 | 15,700,000 | 24,800,000 | ||||||
Shares related to warrants | 6,400,000 | ||||||||
Shares of Warrants Unwound | 1,939,376 | 6,523,319 | |||||||
Stock Issued During Period, Value, New Issues | $ | $ (5,000,000) | ||||||||
Three Point Zero Percent Senior Subordinated Convertible Notes [Member] | |||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||
Shares related to convertible notes | 4,500,000 | ||||||||
Shares of Warrants Unwound | 1,939,376 | 6,523,319 | |||||||
Class of Warrant or Right, Outstanding | 2,900,000 | ||||||||
Three Point Zero Percent Senior Subordinated Convertible Notes [Member] | Convertible Debt Securities [Member] | |||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||
Debt Instrument, Convertible, Conversion Ratio | 19.891 | ||||||||
Debt Instrument Convertible Conversion Ratio Basis | $ | $ 1,000 | ||||||||
Option Indexed to Issuer's Equity, Strike Price | $ / shares | $ 50.27 | ||||||||
Investment Warrants, Exercise Price | $ / shares | $ 60.14 | ||||||||
Four Point Five Zero Senior Subordinated Convertible Notes [Member] | |||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||
Shares related to convertible notes | 3,400,000 | 3,400,000 | 3,400,000 | 3,400,000 | |||||
Four Point Five Zero Senior Subordinated Convertible Notes [Member] | Convertible Debt Securities [Member] | |||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||
Debt Instrument, Convertible, Conversion Ratio | 17.1233 | ||||||||
Debt Instrument Convertible Conversion Ratio Basis | $ | $ 1,000 | ||||||||
Debt Instrument, Convertible, Conversion Price | $ / shares | $ 58.40 | $ 58.40 | |||||||
Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | |||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||
Debt Instrument, Convertible, Conversion Ratio | 18.4946 | ||||||||
Option Indexed to Issuer's Equity, Strike Price | $ / shares | $ 54.07 | ||||||||
Shares related to convertible notes | 7,600,000 | 7,600,000 | 7,600,000 | 5,700,000 | |||||
Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | Convertible Debt Securities [Member] | |||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||
Debt Instrument Convertible Conversion Ratio Basis | $ | $ 1,000 | ||||||||
Volkswagen Truck and Bus GmbH [Member] | |||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||
Stock Issued During Period, Shares, New Issues | 16,200,000 | ||||||||
Stock Issued During Period, Value, New Issues | $ | $ 256,000,000 | ||||||||
Share Price | $ / shares | $ 15.76 | ||||||||
Stock Purchase Agreement, Ownership Percentage Transferred to Acquirer | 19.90% | ||||||||
Stock Purchase Agreement, Ownership Percentage Transferred to Acquirer, Pro Forma | 16.60% |
Stock-based Compensation Pla104
Stock-based Compensation Plans - Narrative (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | Oct. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expected Dividend Rate | 0.00% | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 5.15 | $ 13.70 | $ 13.81 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value | $ 0 | $ 0 | $ 12 | |
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 10.53 | $ 14.12 | ||
Stock-based compensation | 15 | $ 9 | $ 16 | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 12 | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year 10 months 24 days | |||
Employee Service Share-based Compensation, Cash Received from Exercise of Stock Options | 1 | 19 | ||
Deferred Share Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Outstanding Number | 2,365 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested, Number Of Common Stock Delivered | 1 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Accelerated Vesting, Delivery Period of Shares | 10 days | |||
Deferred Fee Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Outstanding Number | 60,987 | |||
Employee Stock Option [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | |||
Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement By Share-based Payment Award, Equity Instruments Other than Options, Aggregate Grant Date Fair Value | $ 0.1 | $ 1.1 | $ 0.1 | |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | |||
Equity Instruments Other than Options, Grants in Period | 5,000 | 2,000 | 4,000 | |
Equity Instruments Other than Options, Vested in Period | 5,000 | 43,000 | 4,000 | |
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 12.52 | $ 29.50 | $ 33.70 | |
Restricted Stock Units (RSUs) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement By Share-based Payment Award, Equity Instruments Other than Options, Aggregate Grant Date Fair Value | $ 8 | $ 10 | $ 9 | |
Performance-based Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity Instruments Other than Options, Grants in Period | 0 | 729,000 | 651,000 | |
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 0 | $ 27.61 | $ 35.83 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other Than Options, Exercisable, Number | 0 | 0 | 0 | |
Premium Share Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Outstanding Number | 38,432 | |||
Cash-Settled Restricted Stock Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Equity Instruments Other than Options, Grants in Period | 650,000 | 280,000 | 470,000 | |
Equity Instruments Other than Options, Vested in Period | 231,000 | 190,000 | 124,000 | |
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 7.26 | $ 27.67 | $ 32.44 | |
Employee Service Share-based Compensation, Cash Flow Effect, Cash Used to Settle Awards | $ 2 | $ 6 | $ 5 | |
Plan 2013 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 3,665,500 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 1,984,673 | |||
Stock Options Granted Prior to December 2009 [Member] | Employee Stock Option [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | |||
Stock Options Granted After December 2009 [Member] | Employee Stock Option [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 7 years |
Stock-based Compensation Pla105
Stock-based Compensation Plans - Schedule of Stock Options (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | |||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | Oct. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 10.53 | $ 14.12 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||||
Options, Outstanding, Number | 2,886 | 3,657 | 5,000 | |
Options, Grants in Period, Net of Forfeitures | 35 | 40 | 251 | |
Options, Exercises in Period | 0 | (44) | (784) | |
Options, Forfeitures and Expirations in Period | (86) | (767) | (810) | |
Options, Outstanding, Number | 2,835 | 2,886 | 3,657 | |
Options, Exercisable, Number | 2,695 | 2,407 | 2,637 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | ||||
Options, Outstanding, Weighted Average Exercise Price | $ 39.33 | $ 39.46 | $ 37.94 | |
Options, Grants in Period, Weighted Average Exercise Price | 10.60 | 37.03 | 38.51 | |
Options, Exercises in Period, Weighted Average Exercise Price | 0 | 25.68 | 24.33 | |
Options, Forfeitures and Expirations in Period, Weighted Average Exercise Price | 42.30 | 40.60 | 44.41 | |
Options, Outstanding, Weighted Average Exercise Price | 38.89 | 39.33 | 39.46 | |
Options, Exercisable, Weighted Average Exercise Price | $ 39.29 | $ 40.27 | $ 41.34 | |
Performance-based Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number | 973 | 1,409 | 941 | 299 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 30.47 | $ 31.64 | $ 35.41 | $ 34.47 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 0 | 729 | 651 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 0 | $ 27.61 | $ 35.83 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period | 436 | 261 | 9 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | $ 34.22 | $ 33.99 | $ 35.09 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other Than Options, Exercisable, Number | 0 | 0 | 0 | |
Market-based Stock Options [Member] [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number | 567 | 615 | 670 | 759 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 27.24 | $ 27.24 | $ 27.24 | $ 27.24 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period | 48 | 55 | 89 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | $ 27.24 | $ 27.24 | $ 27.24 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other Than Options, Exercisable, Number | 567 | 0 | 0 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other Than Options, Exercisable, Weighted Average Grant Date Fair Value | $ 27.24 | $ 0 | $ 0 | |
Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement By Share-based Payment Award, Equity Instruments Other than Options, Aggregate Grant Date Fair Value | $ 0.1 | $ 1.1 | $ 0.1 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number | 0 | 0 | 41 | 41 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 0 | $ 0 | $ 24.13 | $ 24.13 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 5 | 2 | 4 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 12.52 | $ 29.50 | $ 33.70 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 5 | 43 | 4 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | $ 12.52 | $ 24.38 | $ 33.70 |
Stock-based Compensation Pla106
Stock-based Compensation Plans - Schedule of Option Exercise Prices (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | |||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | Oct. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 2,835 | 2,886 | 3,657 | 5,000 |
Options, Exercisable, Number | 2,695 | 2,407 | 2,637 | |
Exercise Price Range From $ 21.22 To $ 31.81 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Exercise Price Range, Number of Outstanding Options | 807 | |||
Stock Options Weighted Average Remaining Contractual Life | 3.2 | |||
Exercise Price Range, Outstanding Options, Weighted Average Exercise Price | $ 26.67 | |||
Options, Outstanding, Intrinsic Value | $ 1 | |||
Exercise Price Range, Number of Exercisable Options | 772 | |||
weighted average reamining contractual term | 3.1 | |||
Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $ 27.40 | |||
Options, Exercisable, Intrinsic Value | $ 0 | |||
Exercise Price Range From $ 32.18 To $ 40.92 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Exercise Price Range, Number of Outstanding Options | 1,343 | |||
Stock Options Weighted Average Remaining Contractual Life | 2.4 | |||
Exercise Price Range, Outstanding Options, Weighted Average Exercise Price | $ 36.85 | |||
Options, Outstanding, Intrinsic Value | $ 0 | |||
Exercise Price Range, Number of Exercisable Options | 1,265 | |||
weighted average reamining contractual term | 2.2 | |||
Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $ 36.89 | |||
Options, Exercisable, Intrinsic Value | $ 0 | |||
Exercise Price Range From $ 42.48 To $ 69.91 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Exercise Price Range, Number of Outstanding Options | 685 | |||
Stock Options Weighted Average Remaining Contractual Life | 1.5 | |||
Exercise Price Range, Outstanding Options, Weighted Average Exercise Price | $ 57.28 | |||
Options, Outstanding, Intrinsic Value | $ 0 | |||
Exercise Price Range, Number of Exercisable Options | 658 | |||
weighted average reamining contractual term | 1.4 | |||
Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $ 57.83 | |||
Options, Exercisable, Intrinsic Value | $ 0 |
Stock-based Compensation Pla107
Stock-based Compensation Plans - Schedule of Valuation Assumptions (Details) | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected Dividend Rate | 0.00% | ||
Employee Stock Option [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Risk Free Interest Rate | 1.70% | 1.60% | 1.60% |
Expected Volatility Rate | 56.80% | 40.20% | 45.60% |
Expected Term | 4 years 9 months 18 days | 4 years 10 months 24 days | 4 years 10 months 18 days |
Black Scholes [Member] | Performance-based Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Risk Free Interest Rate | 1.40% | 1.60% | |
Expected Volatility Rate | 42.90% | 45.50% | |
Expected Term | 4 years 8 months 12 days | 4 years 10 months 15 days |
Stock-based Compensation Pla108
Stock-based Compensation Plans - Schedule of Stock Based Compensation Other than Options (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 10.53 | $ 14.12 | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | 0.00% | ||
Allocated Share-based Compensation Expense | $ 15 | $ 9 | $ 16 |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 12 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year 10 months 24 days | ||
Employee Service Share-based Compensation, Cash Received from Exercise of Stock Options | $ 1 | $ 19 | |
Performance-based Stock Unit [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Equity Instruments Other than Options, Nonvested, Number | 244 | 292 | 326 |
Equity Instruments Other than Options, Forfeited in Period | (244) | (48) | (34) |
Equity Instruments Other than Options, Nonvested, Number | 0 | 244 | 292 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 28.73 | $ 28.48 | $ 28.35 |
Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | 28.73 | 27.24 | 27.24 |
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 0 | $ 28.73 | $ 28.48 |
Market-based Stock Options [Member] [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Equity Instruments Other than Options, Nonvested, Number | 615 | 670 | 759 |
Equity Instruments Other than Options, Forfeited in Period | (48) | (55) | (89) |
Equity Instruments Other than Options, Nonvested, Number | 567 | 615 | 670 |
Equity Instruments Other Than Options, Exercisable, Number | 567 | 0 | 0 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 27.24 | $ 27.24 | $ 27.24 |
Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | 27.24 | 27.24 | 27.24 |
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 27.24 | $ 27.24 | $ 27.24 |
Share-Settled Restricted Stock Units [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Equity Instruments Other than Options, Nonvested, Number | 69 | 188 | 299 |
Equity Instruments Other than Options, Grants in Period | 624 | 0 | 0 |
Equity Instruments Other than Options, Vested in Period | (66) | (114) | (90) |
Equity Instruments Other than Options, Forfeited in Period | (14) | (5) | (21) |
Equity Instruments Other than Options, Nonvested, Number | 613 | 69 | 188 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 28.60 | $ 28.75 | $ 29.54 |
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | 8.76 | 0 | 0 |
Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | 28.66 | 28.91 | 31.74 |
Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | 13.07 | 27.24 | 27.24 |
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 8.74 | $ 28.60 | $ 28.75 |
Performance-based Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Equity Instruments Other than Options, Nonvested, Number | 1,409 | 941 | 299 |
Equity Instruments Other than Options, Grants in Period | 0 | 729 | 651 |
Equity Instruments Other than Options, Forfeited in Period | (436) | (261) | (9) |
Equity Instruments Other than Options, Nonvested, Number | 973 | 1,409 | 941 |
Equity Instruments Other Than Options, Exercisable, Number | 0 | 0 | 0 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 31.64 | $ 35.41 | $ 34.47 |
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | 0 | 27.61 | 35.83 |
Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | 34.22 | 33.99 | 35.09 |
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 30.47 | $ 31.64 | $ 35.41 |
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement By Share-based Payment Award, Equity Instruments Other than Options, Aggregate Grant Date Fair Value | $ 0.1 | $ 1.1 | $ 0.1 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Equity Instruments Other than Options, Nonvested, Number | 0 | 41 | 41 |
Equity Instruments Other than Options, Grants in Period | 5 | 2 | 4 |
Equity Instruments Other than Options, Vested in Period | (5) | (43) | (4) |
Equity Instruments Other than Options, Nonvested, Number | 0 | 0 | 41 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 0 | $ 24.13 | $ 24.13 |
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | 12.52 | 29.50 | 33.70 |
Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | 12.52 | 24.38 | 33.70 |
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 0 | $ 0 | $ 24.13 |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | ||
Cash-Settled Restricted Stock Units [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Equity Instruments Other than Options, Nonvested, Number | 498 | 469 | 194 |
Equity Instruments Other than Options, Grants in Period | 650 | 280 | 470 |
Equity Instruments Other than Options, Vested in Period | (231) | (190) | (124) |
Equity Instruments Other than Options, Forfeited in Period | (100) | (61) | (71) |
Equity Instruments Other than Options, Nonvested, Number | 817 | 498 | 469 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 29.96 | $ 33 | $ 43.74 |
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | 7.26 | 27.67 | 32.44 |
Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | 26.06 | 33.82 | 47.48 |
Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | 22.19 | 30.75 | 33.24 |
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 13.95 | $ 29.96 | $ 33 |
Employee Service Share-based Compensation, Cash Flow Effect, Cash Used to Settle Awards | $ 2 | $ 6 | $ 5 |
Restricted Stock Units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement By Share-based Payment Award, Equity Instruments Other than Options, Aggregate Grant Date Fair Value | $ 8 | $ 10 | $ 9 |
Service and Market Measures [Member] | Cash-settled Performance-based Stock Unit [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Equity Instruments Other than Options, Nonvested, Number | 172 | 172 | 172 |
Equity Instruments Other than Options, Forfeited in Period | (102) | 0 | 0 |
Equity Instruments Other than Options, Nonvested, Number | 70 | 172 | 172 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 69.64 | $ 69.64 | $ 69.64 |
Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | 82.86 | 0 | 0 |
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 50.52 | $ 69.64 | $ 69.64 |
Service and Performance Measures [Member] | Cash-settled Performance-based Stock Unit [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Equity Instruments Other than Options, Nonvested, Number | 434 | 221 | 0 |
Equity Instruments Other than Options, Grants in Period | 0 | 277 | 225 |
Equity Instruments Other than Options, Forfeited in Period | (55) | (64) | (4) |
Equity Instruments Other than Options, Nonvested, Number | 379 | 434 | 221 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 30.64 | $ 35.11 | $ 0 |
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | 0 | 27.61 | 35.10 |
Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | 30.65 | 32.95 | 35.09 |
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 30.63 | $ 30.64 | $ 35.11 |
Black Scholes [Member] | Performance-based Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 1.40% | 1.60% | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 42.90% | 45.50% | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 4 years 8 months 12 days | 4 years 10 months 15 days |
Supplemental Cash Flow Infor109
Supplemental Cash Flow Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Supplemental Cash Flow Elements [Abstract] | |||
Equity in loss (income) of non-consolidated affiliates | $ (6) | $ (6) | $ (9) |
Dividends from non-consolidated affiliates | 12 | 12 | 12 |
Equity in loss of non-consolidated affiliates, net of dividends | 6 | 6 | 3 |
Loss (gain) on sale of property and equipment | 2 | (4) | (9) |
Loss on sale and impairment of repossessed collateral | 6 | 2 | 3 |
Loss on repurchased of debt | 0 | 0 | 11 |
Income from operating leases | (20) | (33) | (46) |
Other non-cash operating activities | (12) | (35) | (41) |
Other current assets | 8 | (4) | 62 |
Other noncurrent assets | (11) | 12 | 2 |
Other current liabilities | (165) | 79 | (206) |
Postretirement benefits liabilities | (47) | (54) | (82) |
Other noncurrent liabilities | (114) | (135) | (78) |
Other, net | (41) | 25 | 20 |
Changes in other assets and liabilities | (370) | (77) | (282) |
Interest, net of amounts capitalized | 291 | 239 | 258 |
Income taxes, net of refunds | 44 | 52 | 15 |
Property and equipment acquired under capital leases | 1 | 2 | 3 |
Transfers (to)/from inventories (from)/to property and equipment for leases to others | $ (27) | $ (7) | $ (14) |
Condensed Consolidating Guar110
Condensed Consolidating Guarantor and Non-Guarantor Financial Information - Statement of Operations (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Oct. 31, 2016 | Jul. 31, 2016 | Apr. 30, 2016 | Jan. 31, 2016 | Oct. 31, 2015 | Jul. 31, 2015 | Apr. 30, 2015 | Jan. 31, 2015 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Sales and revenues, net | $ 2,063 | $ 2,086 | $ 2,197 | $ 1,765 | $ 2,488 | $ 2,538 | $ 2,693 | $ 2,421 | $ 8,111 | $ 10,140 | $ 10,806 |
Costs of products sold | 6,812 | 8,670 | 9,534 | ||||||||
Restructuring charges | 10 | 76 | 42 | ||||||||
Asset impairment charges | 27 | 30 | 183 | ||||||||
All other operating expenses (income) | 1,300 | 1,473 | 1,612 | ||||||||
Total costs and expenses | 8,149 | 10,249 | 11,371 | ||||||||
Equity in income of non-consolidated affiliates | 6 | 6 | 9 | ||||||||
Income (loss) before income taxes | (32) | (103) | (556) | ||||||||
Income tax expense | (33) | (51) | (26) | ||||||||
Earnings (loss) from continuing operations | (34) | (34) | 4 | (33) | (51) | (30) | (64) | (42) | (65) | (154) | (582) |
Income from discontinued operations, net of tax | 0 | 0 | 0 | 0 | 1 | 2 | 0 | 0 | 0 | 3 | 3 |
Net income (loss) | $ (34) | $ (34) | $ 4 | $ (33) | $ (50) | $ (28) | $ (64) | $ (42) | (65) | (151) | (579) |
Less: Net income attributable to non-controlling interests | 32 | 33 | 40 | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | (136) | (522) | (1,058) | ||||||||
Net income (loss) attributable to Navistar International Corporation | (97) | (184) | (619) | ||||||||
Parent Company [Member] | |||||||||||
Sales and revenues, net | 0 | 0 | 0 | ||||||||
Costs of products sold | 0 | 0 | 0 | ||||||||
Restructuring charges | 0 | 0 | 0 | ||||||||
Asset impairment charges | 0 | 0 | 0 | ||||||||
All other operating expenses (income) | 101 | 88 | (48) | ||||||||
Total costs and expenses | 101 | 88 | (48) | ||||||||
Equity in income of non-consolidated affiliates | 4 | (96) | (680) | ||||||||
Income (loss) before income taxes | (97) | (184) | (632) | ||||||||
Income tax expense | 0 | 0 | 13 | ||||||||
Earnings (loss) from continuing operations | (97) | (184) | (619) | ||||||||
Income from discontinued operations, net of tax | 0 | 0 | 0 | ||||||||
Net income (loss) | (97) | (184) | (619) | ||||||||
Less: Net income attributable to non-controlling interests | 0 | 0 | 0 | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | (136) | (522) | (1,058) | ||||||||
Net income (loss) attributable to Navistar International Corporation | (97) | (184) | (619) | ||||||||
Guarantor Subsidiaries [Member] | |||||||||||
Sales and revenues, net | 5,926 | 7,267 | 7,269 | ||||||||
Costs of products sold | 5,358 | 6,614 | 6,794 | ||||||||
Restructuring charges | 3 | 50 | 8 | ||||||||
Asset impairment charges | 11 | 13 | 16 | ||||||||
All other operating expenses (income) | 862 | 1,054 | 1,003 | ||||||||
Total costs and expenses | 6,234 | 7,731 | 7,821 | ||||||||
Equity in income of non-consolidated affiliates | 181 | 225 | (169) | ||||||||
Income (loss) before income taxes | (127) | (239) | (721) | ||||||||
Income tax expense | 20 | 1 | 25 | ||||||||
Earnings (loss) from continuing operations | (107) | (238) | (696) | ||||||||
Income from discontinued operations, net of tax | 0 | 0 | 0 | ||||||||
Net income (loss) | (107) | (238) | (696) | ||||||||
Less: Net income attributable to non-controlling interests | 0 | 0 | 0 | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | (106) | (430) | (1,093) | ||||||||
Net income (loss) attributable to Navistar International Corporation | (107) | (238) | (696) | ||||||||
Non-Guarantor Subsidiaries [Member] | |||||||||||
Sales and revenues, net | 5,432 | 7,413 | 8,196 | ||||||||
Costs of products sold | 4,628 | 6,510 | 7,337 | ||||||||
Restructuring charges | 7 | 26 | 34 | ||||||||
Asset impairment charges | 16 | 17 | 167 | ||||||||
All other operating expenses (income) | 398 | 399 | 541 | ||||||||
Total costs and expenses | 5,049 | 6,952 | 8,079 | ||||||||
Equity in income of non-consolidated affiliates | 2 | 2 | 5 | ||||||||
Income (loss) before income taxes | 385 | 463 | 122 | ||||||||
Income tax expense | (55) | (52) | (64) | ||||||||
Earnings (loss) from continuing operations | 330 | 411 | 58 | ||||||||
Income from discontinued operations, net of tax | 0 | 3 | 3 | ||||||||
Net income (loss) | 330 | 414 | 61 | ||||||||
Less: Net income attributable to non-controlling interests | 32 | 33 | 40 | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | 258 | 235 | (21) | ||||||||
Net income (loss) attributable to Navistar International Corporation | 298 | 381 | 21 | ||||||||
Consolidation, Eliminations [Member] | |||||||||||
Sales and revenues, net | (3,247) | (4,540) | (4,659) | ||||||||
Costs of products sold | (3,174) | (4,454) | (4,597) | ||||||||
Restructuring charges | 0 | 0 | 0 | ||||||||
Asset impairment charges | 0 | 0 | 0 | ||||||||
All other operating expenses (income) | (61) | (68) | 116 | ||||||||
Total costs and expenses | (3,235) | (4,522) | (4,481) | ||||||||
Equity in income of non-consolidated affiliates | (181) | (125) | 853 | ||||||||
Income (loss) before income taxes | (193) | (143) | 675 | ||||||||
Income tax expense | 2 | 0 | 0 | ||||||||
Earnings (loss) from continuing operations | (191) | (143) | 675 | ||||||||
Income from discontinued operations, net of tax | 0 | 0 | 0 | ||||||||
Net income (loss) | (191) | (143) | 675 | ||||||||
Less: Net income attributable to non-controlling interests | 0 | 0 | 0 | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | (152) | 195 | 1,114 | ||||||||
Net income (loss) attributable to Navistar International Corporation | $ (191) | $ (143) | $ 675 |
Condensed Consolidating Guar111
Condensed Consolidating Guarantor and Non-Guarantor Financial Information - Statement of Comprehsive Income (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Oct. 31, 2016 | Jul. 31, 2016 | Apr. 30, 2016 | Jan. 31, 2016 | Oct. 31, 2015 | Jul. 31, 2015 | Apr. 30, 2015 | Jan. 31, 2015 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Net income (loss) | $ (34) | $ (34) | $ 4 | $ (33) | $ (50) | $ (28) | $ (64) | $ (42) | $ (65) | $ (151) | $ (579) |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | |||||||||||
Foreign currency translation adjustment | 7 | (160) | (52) | ||||||||
Unrealized gain on marketable securities | 1 | ||||||||||
Defined benefit plans (net of tax of $0, for all entities) | (46) | (178) | (388) | ||||||||
Total other comprehensive income (loss) | (39) | (338) | (439) | ||||||||
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | (104) | (489) | (1,018) | ||||||||
Less: Net income attributable to non-controlling interests | 32 | 33 | 40 | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | (136) | (522) | (1,058) | ||||||||
Parent Company [Member] | |||||||||||
Net income (loss) | (97) | (184) | (619) | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | |||||||||||
Foreign currency translation adjustment | 7 | (160) | (52) | ||||||||
Unrealized gain on marketable securities | 1 | ||||||||||
Defined benefit plans (net of tax of $0, for all entities) | (46) | (178) | (388) | ||||||||
Total other comprehensive income (loss) | (39) | (338) | (439) | ||||||||
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | (136) | (522) | (1,058) | ||||||||
Less: Net income attributable to non-controlling interests | 0 | 0 | 0 | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | (136) | (522) | (1,058) | ||||||||
Guarantor Subsidiaries [Member] | |||||||||||
Net income (loss) | (107) | (238) | (696) | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | |||||||||||
Foreign currency translation adjustment | 0 | 0 | 0 | ||||||||
Unrealized gain on marketable securities | 0 | ||||||||||
Defined benefit plans (net of tax of $0, for all entities) | 1 | (192) | (397) | ||||||||
Total other comprehensive income (loss) | 1 | (192) | (397) | ||||||||
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | (106) | (430) | (1,093) | ||||||||
Less: Net income attributable to non-controlling interests | 0 | 0 | 0 | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | (106) | (430) | (1,093) | ||||||||
Non-Guarantor Subsidiaries [Member] | |||||||||||
Net income (loss) | 330 | 414 | 61 | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | |||||||||||
Foreign currency translation adjustment | 7 | (160) | (52) | ||||||||
Unrealized gain on marketable securities | 1 | ||||||||||
Defined benefit plans (net of tax of $0, for all entities) | (47) | 14 | 9 | ||||||||
Total other comprehensive income (loss) | (40) | (146) | (42) | ||||||||
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | 290 | 268 | 19 | ||||||||
Less: Net income attributable to non-controlling interests | 32 | 33 | 40 | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | 258 | 235 | (21) | ||||||||
Consolidation, Eliminations [Member] | |||||||||||
Net income (loss) | (191) | (143) | 675 | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | |||||||||||
Foreign currency translation adjustment | (7) | 160 | 52 | ||||||||
Unrealized gain on marketable securities | (1) | ||||||||||
Defined benefit plans (net of tax of $0, for all entities) | 46 | 178 | 388 | ||||||||
Total other comprehensive income (loss) | 39 | 338 | 439 | ||||||||
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | (152) | 195 | 1,114 | ||||||||
Less: Net income attributable to non-controlling interests | 0 | 0 | 0 | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $ (152) | $ 195 | $ 1,114 |
Condensed Consolidating Guar112
Condensed Consolidating Guarantor and Non-Guarantor Financial Information - Balance Sheet (Details) - USD ($) $ in Millions | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | Oct. 31, 2013 |
Cash and cash equivalents | $ 804 | $ 912 | $ 497 | $ 755 |
Marketable securities | 46 | 159 | ||
Restricted cash | 112 | 121 | ||
Finance and other receivables, net | 1,969 | 2,437 | ||
Inventories, net | 944 | 1,135 | ||
Investments in non-consolidated affiliates | 53 | 66 | ||
Property and equipment, net | 1,241 | 1,345 | ||
Goodwill | 38 | 38 | $ 38 | $ 184 |
Deferred taxes, net | 161 | 164 | ||
Other | 285 | 272 | ||
Total assets | 5,653 | 6,649 | ||
Debt | 4,904 | 5,255 | ||
Postretirement benefits liabilities | 3,098 | 3,088 | ||
Amounts due to (from) affiliates | 0 | 0 | ||
Other liabilities | 2,944 | 3,466 | ||
Total liabilities | 10,946 | 11,809 | ||
Stockholders’ equity attributable to non-controlling interests | 5 | 7 | ||
Stockholders’ equity (deficit) attributable to Navistar International Corporation | (5,298) | (5,167) | ||
Total liabilities and stockholders’ deficit | 5,653 | 6,649 | ||
Parent Company [Member] | ||||
Cash and cash equivalents | 435 | 456 | ||
Marketable securities | 27 | 112 | ||
Restricted cash | 16 | 16 | ||
Finance and other receivables, net | (1) | 1 | ||
Inventories, net | 0 | 0 | ||
Investments in non-consolidated affiliates | (7,714) | (7,679) | ||
Property and equipment, net | 0 | 0 | ||
Goodwill | 0 | 0 | ||
Deferred taxes, net | 0 | 7 | ||
Other | 2 | 6 | ||
Total assets | (7,235) | (7,081) | ||
Debt | 1,965 | 1,944 | ||
Postretirement benefits liabilities | 0 | 0 | ||
Amounts due to (from) affiliates | (7,724) | (7,574) | ||
Other liabilities | 3,822 | 3,716 | ||
Total liabilities | (1,937) | (1,914) | ||
Stockholders’ equity attributable to non-controlling interests | 0 | 0 | ||
Stockholders’ equity (deficit) attributable to Navistar International Corporation | (5,298) | (5,167) | ||
Total liabilities and stockholders’ deficit | (7,235) | (7,081) | ||
Guarantor Subsidiaries [Member] | ||||
Cash and cash equivalents | 117 | 81 | ||
Marketable securities | 0 | 0 | ||
Restricted cash | 6 | 7 | ||
Finance and other receivables, net | 171 | 99 | ||
Inventories, net | 639 | 809 | ||
Investments in non-consolidated affiliates | 6,253 | 6,204 | ||
Property and equipment, net | 669 | 737 | ||
Goodwill | 0 | 0 | ||
Deferred taxes, net | 10 | 20 | ||
Other | 110 | 119 | ||
Total assets | 7,975 | 8,076 | ||
Debt | 1,100 | 1,171 | ||
Postretirement benefits liabilities | 2,865 | 2,909 | ||
Amounts due to (from) affiliates | 10,709 | 10,280 | ||
Other liabilities | (152) | 207 | ||
Total liabilities | 14,522 | 14,567 | ||
Stockholders’ equity attributable to non-controlling interests | 0 | 0 | ||
Stockholders’ equity (deficit) attributable to Navistar International Corporation | (6,547) | (6,491) | ||
Total liabilities and stockholders’ deficit | 7,975 | 8,076 | ||
Non-Guarantor Subsidiaries [Member] | ||||
Cash and cash equivalents | 252 | 375 | ||
Marketable securities | 19 | 47 | ||
Restricted cash | 90 | 98 | ||
Finance and other receivables, net | 1,883 | 2,440 | ||
Inventories, net | 313 | 342 | ||
Investments in non-consolidated affiliates | 57 | 64 | ||
Property and equipment, net | 580 | 616 | ||
Goodwill | 38 | 38 | ||
Deferred taxes, net | 150 | 137 | ||
Other | 175 | 148 | ||
Total assets | 3,557 | 4,305 | ||
Debt | 1,841 | 2,144 | ||
Postretirement benefits liabilities | 233 | 179 | ||
Amounts due to (from) affiliates | (3,040) | (2,879) | ||
Other liabilities | (665) | (388) | ||
Total liabilities | (1,631) | (944) | ||
Stockholders’ equity attributable to non-controlling interests | 5 | 7 | ||
Stockholders’ equity (deficit) attributable to Navistar International Corporation | 5,183 | 5,242 | ||
Total liabilities and stockholders’ deficit | 3,557 | 4,305 | ||
Consolidation, Eliminations [Member] | ||||
Cash and cash equivalents | 0 | 0 | ||
Marketable securities | 0 | 0 | ||
Restricted cash | 0 | 0 | ||
Finance and other receivables, net | (84) | (103) | ||
Inventories, net | (8) | (16) | ||
Investments in non-consolidated affiliates | 1,457 | 1,477 | ||
Property and equipment, net | (8) | (8) | ||
Goodwill | 0 | 0 | ||
Deferred taxes, net | 1 | 0 | ||
Other | (2) | (1) | ||
Total assets | 1,356 | 1,349 | ||
Debt | (2) | (4) | ||
Postretirement benefits liabilities | 0 | 0 | ||
Amounts due to (from) affiliates | 55 | 173 | ||
Other liabilities | (61) | (69) | ||
Total liabilities | (8) | 100 | ||
Stockholders’ equity attributable to non-controlling interests | 0 | 0 | ||
Stockholders’ equity (deficit) attributable to Navistar International Corporation | 1,364 | 1,249 | ||
Total liabilities and stockholders’ deficit | $ 1,356 | $ 1,349 | ||
Manufacturing Operations [Member] | Notes Payable to Banks [Member] | Eight Point Two Five Percent Senior Notes [Member] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 8.25% |
Condensed Consolidating Guar113
Condensed Consolidating Guarantor and Non-Guarantor Financial Information - Statement of Cash Flows (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Net cash provided by (used in) operations | $ 267 | $ 46 | $ (336) |
Net change in restricted cash and cash equivalents | 5 | 42 | (80) |
Net sales of marketable securities | 113 | 446 | 225 |
Capital expenditures and purchase of equipment leased to others | (248) | (198) | (277) |
Other investing activities | 63 | 26 | 57 |
Net cash provided by (used in) investing activities | (67) | 316 | (75) |
Net repayments of debt | (342) | 115 | 150 |
Other financing activities | (11) | (17) | 29 |
Net cash provided by (used in) financing activities | (353) | 98 | 179 |
Effect of exchange rate changes on cash and cash equivalents | 45 | (45) | (26) |
Increase (decrease) in cash and cash equivalents | (108) | 415 | (258) |
Cash and cash equivalents at beginning of the year | 912 | 497 | 755 |
Cash and cash equivalents at end of the year | 804 | 912 | 497 |
Parent Company [Member] | |||
Net cash provided by (used in) operations | (106) | 87 | (285) |
Net change in restricted cash and cash equivalents | 0 | 3 | 5 |
Net sales of marketable securities | 85 | 266 | 203 |
Capital expenditures and purchase of equipment leased to others | 0 | 0 | 0 |
Other investing activities | 0 | 0 | 0 |
Net cash provided by (used in) investing activities | 85 | 269 | 208 |
Net repayments of debt | 0 | (2) | (176) |
Other financing activities | 0 | 1 | 18 |
Net cash provided by (used in) financing activities | 0 | (1) | (158) |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 |
Increase (decrease) in cash and cash equivalents | (21) | 355 | (235) |
Cash and cash equivalents at beginning of the year | 456 | 101 | 336 |
Cash and cash equivalents at end of the year | 435 | 456 | 101 |
Guarantor Subsidiaries [Member] | |||
Net cash provided by (used in) operations | 187 | 184 | (1,287) |
Net change in restricted cash and cash equivalents | 1 | (4) | (1) |
Net sales of marketable securities | 0 | 0 | 0 |
Capital expenditures and purchase of equipment leased to others | (94) | (82) | (114) |
Other investing activities | 2 | 3 | 17 |
Net cash provided by (used in) investing activities | (91) | (83) | (98) |
Net repayments of debt | (82) | (38) | 1,306 |
Other financing activities | 22 | (35) | 60 |
Net cash provided by (used in) financing activities | (60) | (73) | 1,366 |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 |
Increase (decrease) in cash and cash equivalents | 36 | 28 | (19) |
Cash and cash equivalents at beginning of the year | 81 | 53 | 72 |
Cash and cash equivalents at end of the year | 117 | 81 | 53 |
Non-Guarantor Subsidiaries [Member] | |||
Net cash provided by (used in) operations | 337 | 168 | (112) |
Net change in restricted cash and cash equivalents | 4 | 43 | (84) |
Net sales of marketable securities | 28 | 180 | 22 |
Capital expenditures and purchase of equipment leased to others | (154) | (116) | (163) |
Other investing activities | 61 | 23 | 40 |
Net cash provided by (used in) investing activities | (61) | 130 | (185) |
Net repayments of debt | (191) | (113) | 409 |
Other financing activities | (253) | (108) | (90) |
Net cash provided by (used in) financing activities | (444) | (221) | 319 |
Effect of exchange rate changes on cash and cash equivalents | 45 | (45) | (26) |
Increase (decrease) in cash and cash equivalents | (123) | 32 | (4) |
Cash and cash equivalents at beginning of the year | 375 | 343 | 347 |
Cash and cash equivalents at end of the year | 252 | 375 | 343 |
Consolidation, Eliminations [Member] | |||
Net cash provided by (used in) operations | (151) | (393) | 1,348 |
Net change in restricted cash and cash equivalents | 0 | 0 | 0 |
Net sales of marketable securities | 0 | 0 | 0 |
Capital expenditures and purchase of equipment leased to others | 0 | 0 | 0 |
Other investing activities | 0 | 0 | 0 |
Net cash provided by (used in) investing activities | 0 | 0 | 0 |
Net repayments of debt | (69) | 268 | (1,389) |
Other financing activities | 220 | 125 | 41 |
Net cash provided by (used in) financing activities | 151 | 393 | (1,348) |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 |
Increase (decrease) in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents at beginning of the year | 0 | 0 | 0 |
Cash and cash equivalents at end of the year | $ 0 | $ 0 | $ 0 |
Selected Quarterly Financial114
Selected Quarterly Financial Data (unaudited) - Schedule of Selected Quarterly Data (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||||
Oct. 31, 2016 | Jul. 31, 2016 | Apr. 30, 2016 | Jan. 31, 2016 | Oct. 31, 2015 | Jul. 31, 2015 | Apr. 30, 2015 | Jan. 31, 2015 | Jul. 31, 2014 | Apr. 30, 2014 | Jan. 31, 2014 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | Oct. 31, 2013 | |
Sales and revenues, net | $ 2,063 | $ 2,086 | $ 2,197 | $ 1,765 | $ 2,488 | $ 2,538 | $ 2,693 | $ 2,421 | $ 8,111 | $ 10,140 | $ 10,806 | ||||
Gross Profit | 286 | 295 | 319 | 264 | 358 | 329 | 298 | 340 | |||||||
Total before tax | (34) | (34) | 4 | (33) | (51) | (30) | (64) | (42) | (65) | (154) | (582) | ||||
Income from discontinued operations, net of tax | 0 | 0 | 0 | 0 | 1 | 2 | 0 | 0 | 0 | 3 | 3 | ||||
Net income (loss) | $ (34) | $ (34) | $ 4 | $ (33) | $ (50) | $ (28) | $ (64) | $ (42) | $ (65) | $ (151) | $ (579) | ||||
Basic: Loss from Continuing Operations (in dollars per share) | $ (0.42) | $ (0.42) | $ 0.05 | $ (0.40) | $ (0.62) | $ (0.37) | $ (0.78) | $ (0.52) | $ (1.19) | $ (2.29) | $ (7.64) | ||||
Basic: Income (Loss) from Discontinued Operations (in dollars per share) | 0 | 0 | 0 | 0 | 0.01 | 0.03 | 0 | 0 | 0 | 0.04 | 0.04 | ||||
Basic (in dollars per share) | (0.42) | (0.42) | 0.05 | (0.40) | (0.61) | (0.34) | (0.78) | (0.52) | (1.19) | (2.25) | (7.60) | ||||
Diluted: Loss from Continuing Operations (in dollars per share) | (0.42) | (0.42) | 0.05 | (0.40) | (0.62) | (0.37) | (0.78) | (0.52) | (1.19) | (2.29) | (7.64) | ||||
Diluted: Income (Loss) from Discontinued Operations (in dollars per share) | 0 | 0 | 0 | 0 | 0.01 | 0.03 | 0 | 0 | 0 | 0.04 | 0.04 | ||||
Diluted (in dollars per share) | $ (0.42) | $ (0.42) | $ 0.05 | $ (0.40) | $ (0.61) | $ (0.34) | $ (0.78) | $ (0.52) | $ (1.19) | $ (2.25) | $ (7.60) | ||||
Basic (in shares) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 81.7 | 81.6 | 81.4 | ||||
Diluted (in shares) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 81.7 | 81.6 | 81.4 | ||||
Product Warranty Accrual, Preexisting, Increase (Decrease) | $ 77 | $ 1 | $ 55 | ||||||||||||
Asset impairment charges | 27 | 30 | 183 | ||||||||||||
Goodwill | $ 38 | $ 38 | 38 | 38 | 38 | $ 184 | |||||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 1 | 7 | 7 | ||||||||||||
North America Truck [Member] | |||||||||||||||
Sales and revenues, net | 5,403 | 7,213 | 7,473 | ||||||||||||
Asset impairment charges | 17 | 11 | 33 | ||||||||||||
Goodwill | $ 0 | 0 | 0 | 0 | $ 0 | $ 0 | |||||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 8 | $ 9 | |||||||||||||
Brazilian Reporting Unit [Member] | |||||||||||||||
Goodwill | $ 142 | ||||||||||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 1 | $ 3 | 7 | ||||||||||||
Product Warranty Accrual [Member] | |||||||||||||||
Product Warranty Accrual, Preexisting, Increase (Decrease) | $ 46 | $ 40 | $ (57) | $ (29) | $ 42 | $ 52 |