Document and Entity Information
Document and Entity Information Document $ in Millions | 12 Months Ended |
Oct. 31, 2018USD ($)shares | |
Document and Entity Information [Abstract] | |
Document Type | 10-K |
Amendment Flag | false |
Document Period End Date | Oct. 31, 2018 |
Document Fiscal Year Focus | 2,018 |
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 | Large Accelerated Filer |
Entity Common Stock, Shares Outstanding | shares | 98,900,635 |
Entity Public Float | $ | $ 1,272 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Sales and revenues | |||
Sales of manufactured products, net | $ 10,090 | $ 8,428 | $ 7,976 |
Finance revenues | 160 | 142 | 135 |
Sales and revenues, net | 10,250 | 8,570 | 8,111 |
Costs and expenses | |||
Costs of products sold | 8,317 | 7,037 | 6,812 |
Restructuring charges | (1) | 3 | 10 |
Asset impairment charges | 14 | 13 | 27 |
Selling, general and administrative expenses | 922 | 878 | 802 |
Engineering and product development costs | 297 | 251 | 247 |
Interest expense | 327 | 351 | 327 |
Other income, net | (46) | (21) | (76) |
Total costs and expenses | 9,830 | 8,512 | 8,149 |
Equity in income of non-consolidated affiliates | 0 | 6 | 6 |
Income (loss) before income taxes | 420 | 64 | (32) |
Income tax expense | (52) | (10) | (33) |
Earnings (loss) from continuing operations | 368 | 54 | (65) |
Income from discontinued operations, net of tax | 0 | 1 | 0 |
Net income (loss) | 368 | 55 | (65) |
Less: Net income attributable to non-controlling interests | 25 | 32 | |
Income (loss) from continuing operations, net of tax | 340 | 29 | (97) |
Income from discontinued operations, net of tax | 0 | 1 | 0 |
Net income (loss) attributable to Navistar International Corporation | $ 340 | $ 30 | $ (97) |
Earnings (loss) per share attributable to Navistar International Corporation: | |||
Basic: Loss from Continuing Operations (in dollars per share) | $ 3.44 | $ 0.31 | $ (1.19) |
Basic: Income (Loss) from Discontinued Operations (in dollars per share) | 0 | 0.01 | 0 |
Basic (in dollars per share) | 3.44 | 0.32 | (1.19) |
Diluted: Loss from Continuing Operations (in dollars per share) | 3.41 | 0.31 | (1.19) |
Diluted: Income (Loss) from Discontinued Operations (in dollars per share) | 0 | 0.01 | 0 |
Diluted (in dollars per share) | $ 3.41 | $ 0.32 | $ (1.19) |
Weighted average shares outstanding: | |||
Basic (in shares) | 98.9 | 93 | 81.7 |
Diluted (in shares) | 99.6 | 93.5 | 81.7 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income Statement - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | $ 368 | $ 55 | $ (65) |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent [Abstract] | |||
Foreign Currency Translation Adjustment | (32) | (3) | 7 |
Marketable Securities, Unrealized Loss | 0 | (1) | 0 |
Defined Benefit Plan Net of Tax | 323 | 433 | (46) |
Total Comprehensive Income (Loss) | 291 | 429 | (39) |
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest | 659 | 484 | (104) |
Less: Net income attributable to non-controlling interests | 25 | 32 | |
Comprehensive Income (Loss), Attributable to Navistar International Corporation | $ 631 | $ 459 | $ (136) |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Oct. 31, 2018 | Oct. 31, 2017 |
Current assets | ||
Cash and cash equivalents | $ 1,320 | $ 706 |
Restricted cash and cash equivalents | 62 | 83 |
Marketable securities | 101 | 370 |
Trade and other receivables, net | 456 | 391 |
Finance receivables, net | 1,898 | 1,565 |
Inventories, net | 1,110 | 857 |
Other current assets | 189 | 188 |
Total current assets | 5,136 | 4,160 |
Restricted cash | 63 | 51 |
Trade and other receivables, net | 49 | 13 |
Finance receivables, net | 260 | 220 |
Investments in non-consolidated affiliates | 50 | 56 |
Property and equipment, net | 1,370 | 1,326 |
Goodwill | 38 | 38 |
Intangible assets, net | 30 | 40 |
Deferred taxes, net | 121 | 129 |
Other noncurrent assets | 113 | 102 |
Total assets | 7,230 | 6,135 |
Current liabilities | ||
Notes payable and current maturities of long-term debt | 946 | 1,169 |
Accounts payable | 1,606 | 1,292 |
Other current liabilities | 1,255 | 1,184 |
Total current liabilities | 3,807 | 3,645 |
Long-term debt | 4,521 | 3,889 |
Postretirement benefits liabilities | 2,097 | 2,497 |
Other noncurrent liabilities | 731 | 678 |
Total liabilities | 11,156 | 10,709 |
Stockholders’ deficit | ||
Series D convertible junior preference stock | 2 | 2 |
Common stock, $0.10 par value per share (103.1 shares issued and 220 shares authorized at both dates) | 10 | 10 |
Additional paid-in capital | 2,731 | 2,733 |
Accumulated deficit | (4,593) | (4,933) |
Accumulated other comprehensive loss | (1,920) | (2,211) |
Common stock held in treasury, at cost (4.2 and 4.6 shares, respectively) | (161) | (179) |
Total stockholders’ deficit attributable to Navistar International Corporation | (3,931) | (4,578) |
Stockholders’ equity attributable to non-controlling interests | 5 | 4 |
Total stockholders’ deficit | (3,926) | (4,574) |
Total liabilities and stockholders’ deficit | $ 7,230 | $ 6,135 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares shares in Millions | Oct. 31, 2018 | Oct. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Common stock, par value | $ 0.10 | $ 0.10 |
Common stock, shares authorized | 220 | 220 |
Common stock, shares issued | 103.1 | 103.1 |
Common stock held in treasury, shares | 4.2 | 4.6 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Cash flows from operating activities | |||
Net income (loss) | $ 368 | $ 55 | $ (65) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Depreciation and amortization | 140 | 150 | 146 |
Depreciation of equipment leased to others | 71 | 73 | 79 |
Deferred taxes, including change in valuation allowance | 4 | (6) | (9) |
Asset impairment charges | 14 | 13 | 27 |
Loss (gain) on sales of investments and businesses, net | 0 | (5) | 2 |
Amortization of debt issuance costs and discount | 31 | 49 | 37 |
Stock-based compensation | 32 | 28 | 16 |
Provision for doubtful accounts, net of recoveries | 10 | 7 | 13 |
Equity in income of non-consolidated affiliates, net of dividends | 7 | 1 | 6 |
Write-off of debt issuance cost and discount | 43 | 5 | 0 |
Other non-cash operating activities | (23) | (28) | (12) |
Changes in other assets and liabilities, exclusive of the effects of businesses disposed: | |||
Trade and other receivables | (109) | (125) | 134 |
Finance receivables | (405) | (123) | 251 |
Inventories | (257) | 82 | 205 |
Accounts payable | 317 | 159 | (193) |
Other assets and liabilities | 26 | (226) | (370) |
Net cash provided by operating activities | 269 | 109 | 267 |
Cash flows from investing activities | |||
Purchases of marketable securities | (251) | (1,011) | (485) |
Sales of marketable securities | 460 | 659 | 555 |
Maturities of marketable securities | 60 | 28 | 43 |
Net change in restricted cash and cash equivalents | 9 | (22) | 5 |
Capital expenditures | (113) | (102) | (116) |
Purchases of equipment leased to others | (232) | (137) | (132) |
Proceeds from sales of property and equipment | 11 | 35 | 24 |
Investments in non-consolidated affiliates | 0 | (1) | (2) |
Payments for (Proceeds from) Businesses and Interest in Affiliates | (3) | 9 | 41 |
Net cash used in investing activities | (59) | (542) | (67) |
Cash flows from financing activities | |||
Proceeds from issuance of securitized debt | 339 | 322 | 413 |
Principal payments on securitized debt | (364) | (336) | (346) |
Net change in secured revolving credit facilities | 135 | 111 | (148) |
Proceeds from issuance of non-securitized debt | 3,248 | 582 | 222 |
Principal payments on non-securitized debt | (2,920) | (489) | (315) |
Net change in notes and debt outstanding under revolving credit facilities | (10) | (112) | (149) |
Principal payments under financing arrangements and capital lease obligations | 0 | 0 | (3) |
Debt issuance costs | (41) | (29) | (16) |
Proceeds from financed lease obligations | 63 | 61 | 22 |
Proceeds from Issuance of Common Stock | 0 | 256 | 0 |
Payments of Stock Issuance Costs | 0 | (11) | 0 |
Proceeds from exercise of stock options | 8 | 12 | 0 |
Dividends paid by subsidiaries to non-controlling interest | (27) | (26) | (34) |
Other financing activities | (17) | (3) | 1 |
Net cash provided by (used in) financing activities | 414 | 338 | (353) |
Effect of exchange rate changes on cash and cash equivalents | (10) | (3) | 45 |
Increase (decrease) in cash and cash equivalents | 614 | (98) | (108) |
Cash and cash equivalents at beginning of the year | 706 | 804 | 912 |
Cash and cash equivalents at end of the year | $ 1,320 | $ 706 | $ 804 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Deficit - USD ($) $ in Millions | Total | Convertible Junior Preference Stock Series D [Member] | Common Stock | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Treasury Stock | Noncontrolling Interest [Member] |
Stockholders' Equity balance at beginning of period at Oct. 31, 2015 | $ (5,160) | $ 2 | $ 9 | $ 2,499 | $ (4,866) | $ (2,601) | $ (210) | $ 7 |
Net income (loss) | (65) | 0 | 0 | 0 | (97) | 0 | 0 | 32 |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | (39) | 0 | 0 | 0 | 0 | (39) | 0 | 0 |
Stock-based compensation | 4 | 0 | 0 | 4 | 0 | 0 | 0 | 0 |
Stock ownership programs | 0 | 0 | 0 | (5) | 0 | 0 | 5 | 0 |
Dividends paid by subsidiaries to non-controlling interest | (34) | 0 | 0 | 0 | 0 | 0 | 0 | (34) |
Noncontrolling Interest, Increase from Subsidiary Equity Issuance | 1 | 0 | 0 | 1 | 0 | 0 | 0 | 0 |
Proceeds from Issuance of Common Stock | 0 | |||||||
Payments of Stock Issuance Costs | 0 | |||||||
Stockholders' Equity balance at end of period at Oct. 31, 2016 | (5,293) | 2 | 9 | 2,499 | (4,963) | (2,640) | (205) | 5 |
Net income (loss) | 55 | 0 | 0 | 0 | 30 | 0 | 0 | 25 |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | 429 | 0 | 0 | 0 | 0 | 429 | 0 | 0 |
Stock-based compensation | 6 | 0 | 0 | 6 | 0 | 0 | 0 | 0 |
Stock ownership programs | 11 | 0 | 0 | (15) | 0 | 0 | 26 | 0 |
Dividends paid by subsidiaries to non-controlling interest | (26) | 0 | 0 | 0 | 0 | 0 | 0 | (26) |
Proceeds from Issuance of Common Stock | 256 | 0 | 2 | 254 | 0 | 0 | 0 | 0 |
Payments of Stock Issuance Costs | (11) | 0 | 0 | (11) | 0 | 0 | 0 | 0 |
Stockholders' Equity, Other | (1) | 0 | (1) | 0 | 0 | 0 | 0 | 0 |
Stockholders' Equity balance at end of period at Oct. 31, 2017 | (4,574) | 2 | 10 | 2,733 | (4,933) | (2,211) | (179) | 4 |
Net income (loss) | 368 | 0 | 0 | 0 | 340 | 0 | 0 | 28 |
Other Comprehensive Income (Loss), Net of Tax, Portion Attributable to Parent | 291 | 0 | 0 | 0 | 0 | 291 | 0 | 0 |
Stock-based compensation | 10 | 0 | 0 | 10 | 0 | 0 | 0 | 0 |
Stock ownership programs | 7 | 0 | 0 | (11) | 0 | 0 | 18 | 0 |
Dividends paid by subsidiaries to non-controlling interest | (27) | 0 | 0 | 0 | 0 | 0 | 0 | (27) |
Proceeds from Issuance of Common Stock | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Payments of Stock Issuance Costs | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Stock Deferral and Issuance to Directors | (1) | 0 | 0 | (1) | 0 | 0 | 0 | 0 |
Stockholders' Equity, Other | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Stockholders' Equity balance at end of period at Oct. 31, 2018 | $ (3,926) | $ 2 | $ 10 | $ 2,731 | $ (4,593) | $ (1,920) | $ (161) | $ 5 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Oct. 31, 2018 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Organization and Description of the Business Navistar International Corporation ("NIC"), incorporated under the laws of the State of Delaware in 1993, is a holding company whose principal operating entities are Navistar, Inc. ("NI") and Navistar Financial Corporation ("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 14, Segment Reporting . Our fiscal year ends on October 31. As such, all references to 2018 , 2017 , and 2016 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. 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 $39 million and $49 million and liabilities of $4 million and $13 million as of October 31, 2018 and 2017 , respectively, including $4 million and $10 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. Our Financial Services segment consolidates several VIEs. As a result, our Consolidated Balance Sheets include secured assets of $994 million and $869 million as of October 31, 2018 and 2017 , respectively, and liabilities of $852 million and $754 million as of October 31, 2018 and 2017 , 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 $370 million and $278 million as of October 31, 2018 and 2017 , respectively, and corresponding liabilities of $205 million and $194 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. Related Party Transactions We have a series of commercial relationships and agreements with TRATON AG (formerly Volkswagen Truck & Bus AG) and certain of its subsidiaries and affiliates ("TRATON Group") for royalties related to use of certain engine technology, contract manufacturing operations performed by us, the sale of engines, the sale and purchase of parts, and a procurement joint venture. We have also entered into development agreements with TRATON Group involving certain engine and transmission projects. This development work is being expensed as incurred. Revenue recognized for the years ended October 31, 2018 and 2017 , was approximately $146 million and $119 million , respectively. Net expenses incurred for the years ended October 31, 2018 and 2017 were $27 million and $7 million , respectively, included primarily in Engineering and product development costs in our Consolidated Statements of Operations. Our receivable from TRATON Group was $10 million and $13 million as of October 31, 2018 and 2017 , respectively. Our payable to TRATON Group was $25 million and $5 million as of October 31, 2018 and 2017 , respectively. 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 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, and other contract manufacturing arrangements, are recognized using the units-of-delivery measure under the percentage-of-completion accounting method as units are delivered and accepted, if required, by the customer. 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 according to contractual terms 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. These transactions do not qualify for sale accounting under U.S. GAAP and are therefore accounted for as secured borrowing transactions. 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 are 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, 2018 , 2017 , and 2016 , we elected not to use 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, and related equipment. • Finance leases —Finance leases consist of direct financing leases to commercial customers for acquisition of new and used trucks, and related equipment. • Wholesale notes —Wholesale notes primarily consist of variable rate loans to our dealers for the purchase of new and used trucks, 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, 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 Other income, net . 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 net realizable value ("NRV"). Cost is principally determined using the first-in, first-out method. Our gross used truck inventory was $154 million at October 31, 2018 compared to $206 million at October 31, 2017 , offset by reserves of $31 million and $110 million , respectively. In valuing our used truck inventory, we are required to make assumptions regarding the level of reserves required to value inventories at their 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) 2018 2017 2016 Balance at beginning of period $ 110 $ 208 $ 110 Additions charged to expense (A) 50 111 187 Deductions/Other adjustments (B) (129 ) (209 ) (89 ) Balance at end of period $ 31 $ 110 $ 208 _________________________ (A) Additions charged to expense reflects the increase of the reserve for inventory on hand. During 2017, we implemented a shift in market mix to include an increase in volume to certain export markets, which have a lower price point as compared to sales through our domestic channels, and lower domestic pricing to enable higher sales velocity. (B) Deductions/Other adjustments include reductions of the reserve related to the sale of units. 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. During 2017, we identified a triggering event related to continued economic weakness in Brazil which resulted in the decline in forecasted results for the Brazilian asset group. The Brazilian asset group is included in our Global Operations segment. As a result, we estimated the recoverable amount of the asset group and determined that the sum of the estimated undiscounted future cash flows exceeds the carrying value and the asset group was not impaired. Significant adverse changes to our business environment and future cash flows could cause us to record impairment charges in future periods, which could be material. 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 2016, 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. As a result, we performed an impairment analysis in the third quarter of 2016 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 $1 million . 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 our 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 other 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 SG&A expenses . These costs totaled $31 million , $26 million , and $13 million for the years ended October 31, 2018 , 2017 , and 2016 , respectively. Contingency Accruals We accrue for loss contingencies associated with outstanding litigation for which we have determine |
Restructuring and Impairments
Restructuring and Impairments | 12 Months Ended |
Oct. 31, 2018 | |
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 excludes pension and other postretirement contractual termination benefits: (in millions) Balance at October 31, 2017 Additions Payments Adjustments Balance at October 31, 2018 Employee termination charges $ 14 $ 3 $ (10 ) $ (4 ) $ 3 Lease vacancy — — — — — Other 1 — — — 1 Restructuring liability $ 15 $ 3 $ (10 ) $ (4 ) $ 4 (in millions) Balance at October 31, 2016 Additions Payments Adjustments Balance at October 31, 2017 Employee termination charges $ 5 $ 22 $ (12 ) $ (1 ) $ 14 Lease vacancy 1 — (1 ) — — Other 1 — — — 1 Restructuring liability $ 7 $ 22 $ (13 ) $ (1 ) $ 15 (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 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 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. Global operations employee separation actions During 2017, we initiated cost-reduction actions impacting our workforce in Brazil. As a result of these actions, we recognized restructuring charges of $6 million in personnel costs for employee separation and related benefits. During 2018, we recognized a benefit of $1 million upon the completion of these separation actions. This benefit was recorded in our Global operations segment within Restructuring charges in our Consolidated Statements of Operations. 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 During 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. Unsuccessful efforts to appeal the ruling in the Ontario court system ended in December 2015. In April 2016, we filed a qualified partial wind-up report for approval by the Financial Services Commission of Ontario ("FSCO"). In January 2017, FSCO issued its approval of the partial wind-up report. In February 2017, we finalized the resolution of statutory severance pay for former employees related to the closure of our Chatham, Ontario plant, resulting in a charge of $6 million in the first quarter of 2017. During the third quarter of 2017, we finalized the Chatham closure agreement. This resulted in the release of $66 million in other post-employment benefit ("OPEB") liabilities. In addition, a pension settlement accounting charge of $23 million was recorded as a result of lump-sum payments made to certain pension plan participants. These charges and benefits were recorded in our Truck segment within Restructuring charges in our Consolidated Statements of Operations . Melrose Park Facility restructuring activities In the third quarter of 2017, we committed to a plan to cease engine production at our plant in Melrose Park, Illinois (“Melrose Park Facility”) in the third quarter of fiscal year 2018. As a result, in the third quarter of 2017, we recognized charges of $41 million in our Truck segment. The charges include $23 million related to pension and OPEB liabilities and $8 million for severance pay recorded in Restructuring charges in our Consolidated Statements of Operations. We also recorded $10 million of inventory reserves and other related charges Costs of products sold in our Consolidated Statements of Operations. During 2018, we recognized a benefit of $2 million related to the finalized cessation of production agreement. This benefit was recorded in our Truck segment within Restructuring charges in our Consolidated Statements of Operations. Production at the Melrose Park Facility ceased in May 2018. See Note 10, Postretirement benefits for further discussion. Asset Impairments The following table reconciles our Asset impairment charges in our Consolidated Statements of Operations : For the Years Ended October 31, (in millions) 2018 2017 2016 Intangible asset impairment charge $ — $ — $ 1 Other asset impairment charges related to continuing operations 14 13 26 Total asset impairment charges $ 14 $ 13 $ 27 As a result of the economic downturn in Brazil in 2016 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 for the year ended October 31, 2016. For more information, see Note 1, Summary of Significant Accounting Policies. During 2018, we concluded that we had triggering events related to the sale of our railcar business in Cherokee, Alabama requiring the impairment of certain long-lived assets. As a result, we recorded a charge of $2 million in our Truck segment. In February 2018, we completed the sale of the business. We also concluded that we had triggering events related to other certain long-lived assets, and recorded additional charges of $6 million in our Truck segment and a charge of $1 million in our Financial Services segment. During 2017, we concluded that we had a triggering event in connection with the sale of our fabrication business in Conway, Arkansas requiring the impairment of certain assets. As a result, we recorded charges of $5 million in our Truck segment. During 2018 and 2017, we concluded that we had triggering events related to certain assets under operating leases. As a result, we recorded charges of $5 million and $8 million , respectively, in our Truck segment. During 2016, we concluded that we had triggering events related to certain long-lived assets in our 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, we recorded $8 million of asset impairment charges in our Truck segment. These charges were recorded in Asset impairment charges in our Consolidated Statements of Operations. See Note 12, Fair Value Measurements , for information on the valuation of impaired operating leases and other assets. |
Finance Receivables
Finance Receivables | 12 Months Ended |
Oct. 31, 2018 | |
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 $2.6 billion and $2.2 billion as of October 31, 2018 and 2017 , respectively. Included in total assets of our Financial Services operations are finance receivables of $2.2 billion and $1.8 billion as of October 31, 2018 and 2017 , 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) 2018 2017 Retail portfolio $ 720 $ 559 Wholesale portfolio 1,460 1,246 Total finance receivables 2,180 1,805 Less: Allowance for doubtful accounts 22 20 Total finance receivables, net 2,158 1,785 Less: Current portion, net (A) 1,898 1,565 Noncurrent portion, net $ 260 $ 220 _________________________ (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, 2018 , contractual maturities of our finance receivables are as follows: (in millions) Retail Portfolio Wholesale Portfolio Total Due in: 2019 $ 471 $ 1,460 $ 1,931 2020 133 — 133 2021 94 — 94 2022 57 — 57 2023 18 — 18 Thereafter 4 — 4 Gross finance receivables 777 1,460 2,237 Less: Unearned finance income 57 — 57 Total finance receivables $ 720 $ 1,460 $ 2,180 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, 2018 and 2017 , 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 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 $956 million and $797 million as of October 31, 2018 and 2017 , respectively. Other finance receivables related to secured transactions that do not qualify for sale accounting treatment were $235 million and $163 million as of October 31, 2018 and 2017 , 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) 2018 2017 2016 Retail notes and finance leases revenue $ 50 $ 41 $ 38 Wholesale notes interest 105 102 107 Operating lease revenue 72 68 66 Retail and wholesale accounts interest 30 24 24 Gross finance revenues 257 235 235 Less: Intercompany revenues 97 93 100 Finance revenues $ 160 $ 142 $ 135 |
Allowance for Doubtful Accounts
Allowance for Doubtful Accounts | 12 Months Ended |
Oct. 31, 2018 | |
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, 2018 (in millions) Retail Wholesale Trade and Total Allowance for doubtful accounts, at beginning of period $ 17 $ 3 $ 28 $ 48 Provision for doubtful accounts 7 — 3 10 Charge-off of accounts (7 ) — (1 ) (8 ) Recoveries 3 — — 3 Other (A) (1 ) — (2 ) (3 ) Allowance for doubtful accounts, at end of period $ 19 $ 3 $ 28 $ 50 For the Year Ended October 31, 2017 (in millions) Retail Wholesale Trade and Total Allowance for doubtful accounts, at beginning of period $ 19 $ 2 $ 28 $ 49 Provision for doubtful accounts 4 1 2 7 Charge-off of accounts (7 ) — (1 ) (8 ) Recoveries 1 — — 1 Other (A) — — (1 ) (1 ) Allowance for doubtful accounts, at end of period $ 17 $ 3 $ 28 $ 48 For the Year Ended October 31, 2016 (in millions) Retail Portfolio Wholesale Portfolio Trade and Other Receivables Total Allowance for doubtful accounts, at beginning of period $ 22 $ 4 $ 22 $ 48 Provision for doubtful accounts 8 (2 ) 6 12 Charge-off of accounts (9 ) — (3 ) (12 ) Recoveries — — — — Other (A) (2 ) — 3 1 Allowance for doubtful accounts, at end of period $ 19 $ 2 $ 28 $ 49 ____________________ (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, 2018 October 31, 2017 (in millions) Retail Wholesale Total Retail Wholesale Total Impaired finance receivables with specific loss reserves $ 20 $ — $ 20 $ 16 $ — $ 16 Impaired finance receivables without specific loss reserves — — — — — — Specific loss reserves on impaired finance receivables 9 — 9 7 — 7 Finance receivables on non-accrual status 20 — 20 16 — 16 The average balances of the impaired finance receivables in the retail portfolio were $19 million and $18 million for the years ended October 31, 2018 and 2017 , respectively. See Note 12, Fair Value Measurements , for information on the valuation of impaired finance receivables. 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, 2018 (in millions) Retail Wholesale Total Current, and less than 30 days past due $ 655 $ 1,459 $ 2,114 30-90 days past due 51 1 52 Over 90 days past due 14 — 14 Total finance receivables $ 720 $ 1,460 $ 2,180 |
Inventories
Inventories | 12 Months Ended |
Oct. 31, 2018 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories The following table presents the components of Inventories in our Consolidated Balance Sheets : As of October 31, (in millions) 2018 2017 Finished products $ 671 $ 584 Work in process 118 33 Raw materials 321 240 Total inventories, net $ 1,110 $ 857 |
Property and Equipment, Net (No
Property and Equipment, Net (Notes) | 12 Months Ended |
Oct. 31, 2018 | |
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) 2018 2017 Land $ 92 $ 92 Buildings 554 548 Leasehold improvements 24 27 Machinery and equipment 2,028 2,057 Furniture, fixtures, and equipment 461 426 Equipment leased to others 665 586 Construction in progress 44 64 Total property and equipment, at cost 3,868 3,800 Less: Accumulated depreciation and amortization 2,498 2,474 Property and equipment, net $ 1,370 $ 1,326 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) 2018 2017 Equipment leased to others $ 665 $ 586 Less: Accumulated depreciation 177 191 Equipment leased to others, net $ 488 $ 395 Buildings, machinery, and equipment under financing arrangements and capital lease obligations $ 25 $ 61 Less: Accumulated depreciation and amortization 21 41 Assets under financing arrangements and capital lease obligations, net $ 4 $ 20 For the years ended October 31, 2018 , 2017 , and 2016 , 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) 2018 2017 2016 Depreciation expense $ 133 $ 138 $ 134 Depreciation of equipment leased to others 71 73 79 Amortization expense 2 3 5 Interest capitalized 2 2 3 Certain depreciation expense on buildings used for administrative purposes is recorded in SG&A expenses. Capital Expenditures At October 31, 2018 , 2017 , and 2016 , commitments for capital expenditures were $36 million , $27 million , and $24 million , respectively. At October 31, 2018 , 2017 , and 2016 , liabilities related to capital expenditures that are included in accounts payable were $50 million , $48 million , and $21 million , respectively. Leases We lease certain land, buildings, and equipment under non-cancelable operating leases and capital leases expiring at various dates through 2027 . 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, 2018 , 2017 , and 2016 was $40 million , $49 million , and $53 million , respectively. Rental income from subleases for the years ended October 31, 2018 , 2017 , and 2016 was $5 million , $11 million , and $12 million , respectively. Future minimum lease payments at October 31, 2018 , 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 2019 $ 5 $ 32 $ 37 2020 4 28 32 2021 4 23 27 2022 1 18 19 2023 1 14 15 Thereafter — 18 18 15 $ 133 $ 148 Less: Interest portion 2 Total $ 13 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, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets, Goodwill, Policy [Policy Text Block] | 7. Goodwill and Other Intangible Assets, Net For our reporting unit with goodwill, we perform a goodwill impairment test 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 the reporting unit below its carrying amount. All of our goodwill is included in our Parts segment. As part of our impairment analysis for this reporting unit in the current year, we performed a qualitative assessment. Our intangible assets that are not subject to amortization includes a trademark in our Brazilian engine reporting unit of $18 million and $21 million as of October 31, 2018 and 2017 , respectively. During the third quarter of 2016, we determined that $1 million 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, 2018 (in millions) Customer Trademarks, Patents and Other Total Gross carrying value $ 68 $ 84 $ 152 Accumulated amortization (66 ) (74 ) (140 ) Net of amortization $ 2 $ 10 $ 12 As of October 31, 2017 (in millions) Customer Trademarks, Patents and Other Total Gross carrying value (A) $ 71 $ 83 $ 154 Accumulated amortization (A) (67 ) (68 ) (135 ) Net of amortization $ 4 $ 15 $ 19 __________________________ (A) During 2018, we identified certain intangible assets subject to amortization which were fully amortized and no longer in use as of October 31, 2017. As a result, we have reduced both the Gross carrying value and Accumulated amortization by $2 million for Customer Base and Relationships and $34 million for Trademarks, Patents and Other. These reclassifications did not impact our Consolidated Statements of Operations or Consolidated Balance Sheets. We recorded amortization expense for our finite-lived intangible assets of $7 million , $12 million , and $12 million for the years ended October 31, 2018 , 2017 , and 2016 , respectively. Future estimated amortization expense for our finite-lived intangible assets for the remaining years is as follows: (in millions) Estimated 2019 $ 3 2020 2 2021 1 2022 1 2023 1 Thereafter 4 |
Investments in Non-Consolidated
Investments in Non-Consolidated Affiliates (Notes) | 12 Months Ended |
Oct. 31, 2018 | |
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 2018 and 2017 . The following table summarizes 100% of the combined assets, liabilities, and equity of our equity method affiliates as of October 31: (Unaudited) (in millions) 2018 2017 Assets: Current assets $ 336 $ 286 Noncurrent assets 168 179 Total assets $ 504 $ 465 Liabilities and equity: Current liabilities $ 307 $ 257 Noncurrent liabilities 38 38 Total liabilities 345 295 Partners' capital and stockholders' equity: NIC 53 56 Third parties 106 114 Total partners' capital and stockholders' equity 159 170 Total liabilities and equity $ 504 $ 465 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) 2018 2017 2016 Net sales $ 505 $ 497 $ 584 Costs, expenses, and income tax expense 507 488 571 Net income (loss) $ (2 ) $ 9 $ 13 We recorded sales to certain of these affiliates totaling $4 million , $5 million , and $6 million in 2018 , 2017 , and 2016 , respectively. We also purchased $166 million , $156 million , and $207 million of products and services from certain of these affiliates in 2018 , 2017 , and 2016 , 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) 2018 2017 Receivables due from affiliates $ 1 $ 1 Payables due to affiliates 22 19 As of October 31, 2018 and 2017 , our share of net unfunded earnings in non-consolidated affiliates totaled $1 million and $7 million , respectively. |
Debt
Debt | 12 Months Ended |
Oct. 31, 2018 | |
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) 2018 2017 Manufacturing operations Senior Secured Term Loan Credit Agreement, due 2025, net of unamortized discount of $7 and unamortized debt issuance costs of $11 $ 1,570 $ — Senior Secured Term Loan Credit Facility, as amended, due 2020, net of unamortized discount of $7, and unamortized debt issuance costs of $9 — 1,003 6.625% Senior Notes, due 2026, net of unamortized debt issuance costs of $17 1,083 — 8.25% Senior Notes, due 2022, net of unamortized discount of $13 and unamortized debt issuance costs of $14 — 1,423 4.50% Senior Subordinated Convertible Notes, due 2018, net of unamortized discount of $5 and unamortized debt issuance costs of $1 — 194 4.75% Senior Subordinated Convertible Notes, due 2019, net of unamortized discount of $5 and $14, respectively, and unamortized debt issuance costs of $1 and $3, respectively 405 394 Loan Agreement related to 6.75% Tax Exempt Bonds, due 2040, net of unamortized debt issuance costs of $5 at both dates 220 220 Financed lease obligations 122 130 Other 26 43 Total Manufacturing operations debt 3,426 3,407 Less: Current portion 461 286 Net long-term Manufacturing operations debt $ 2,965 $ 3,121 As of October 31, (in millions) 2018 2017 Financial Services operations Asset-backed debt issued by consolidated SPEs, at fixed and variable rates, due serially through 2023 , net of unamortized debt issuance costs of $4 and $5, respectively $ 948 $ 849 Senior secured NFC Term Loan, due 2025, net of unamortized discount of $2, and unamortized debt issuance costs of $4 394 — Bank credit facilities, at fixed and variable rates, due dates from 2019 through 2024 , net of unamortized debt issuance costs of $2 and $2, respectively 519 616 Commercial paper, at variable rates, program matures in 2022 75 92 Borrowings secured by operating and finance leases, at various rates, due serially through 2024 105 94 Total Financial Services operations debt 2,041 1,651 Less: Current portion 485 883 Net long-term Financial Services operations debt $ 1,556 $ 768 Manufacturing Operations Senior Secured Term Loan Credit Agreement On November 6, 2017, we signed a definitive credit agreement relating to a seven-year senior secured term loan credit facility in an aggregate principal amount of $1.6 billion (“Term Loan Credit Agreement”), guaranteed by Navistar International Corporation and twelve of its subsidiaries. Under the terms of the Term Loan Credit Agreement, the interest rate on the outstanding loan is based, at our option, on an adjusted Eurodollar Rate, plus a margin of 3.50% , or a Base Rate, plus a margin of 2.50% . The Term Loan Credit Agreement requires quarterly amortization payments of $4 million with the balance due at maturity on November 6, 2024. A portion of the proceeds from the Term Loan Credit Agreement was used to repay all outstanding loans under our previously existing Senior Secured Term Loan Credit Facility ("Term Loan"), to redeem a portion of the previously outstanding 8.25% Senior Notes and to pay accrued and unpaid interest thereon, and pay certain transaction fees and expenses incurred in connection with the new Term Loan Credit Agreement. The remainder of the proceeds of the Term Loan Credit Agreement will be used for ongoing working capital purposes and general corporate purposes. Senior Secured Term Loan Credit Facility In February 2017, the Term Loan was amended, pursuant to which the Company's remaining approximately $1.0 billion loan was repriced and provisions regarding European Union bail-in legislation were inserted. The amendment reduced the interest rate applicable to the outstanding loan by 1.50% . Under the terms of the amendment, the interest rate on the outstanding loan was based, at our option, on an adjusted Eurodollar Rate, plus a margin of 4.00% , or a Base Rate, plus a margin of 3.00% . In connection with the amendment, we paid a consent fee equal to 0.25% of the aggregate principal amount, a call protection fee equal to 1.00% of the aggregate principal amount, and certain other fees. During the second quarter of 2017, we recorded a charge of $4 million related to certain third party fees and debt issuance costs associated with the repricing of our Term Loan. The remaining debt issuance costs were recorded as a direct deduction from the carrying amount of the Term Loan and amortized through Interest expense over the remaining life of the Term Loan. Upon the full repayment in the first quarter of 2018, we recorded approximately $16 million of charges related to the extinguishment of unamortized debt issuance costs associated with the Term Loan, included in Other income, net on our Consolidated Statements of Operations. 6.625% Senior Notes On November 6, 2017, we issued $1.1 billion in aggregate principal amount of 6.625% senior notes, due 2026 ("6.625% Senior Notes"). Interest is payable on the 6.625% Senior Notes on May 1 and November 1 of each year beginning on May 1, 2018 until the maturity date of November 1, 2025. The proceeds from the 6.625% Senior Notes offering were used to redeem a portion of our previously existing 8.25% Senior Notes, to pay accrued and unpaid interest thereon, and pay the associated prepayment premiums, certain transaction fees and expenses incurred in connection with the new 6.625% Senior Notes. 8.25% Senior Notes In January 2017, we issued an additional $250 million principal amount of 8.25% Senior Notes, bringing the aggregate principal amount to $1.45 billion at that time. Debt issuance costs of $4 million were recorded as a direct deduction from the carrying amount and were amortized through Interest expense over the remaining life. As a result of the transaction, the effective interest rate of the 8.25% Senior Notes became 8.51% . The proceeds were used for general corporate purposes, including working capital and capital expenditures. In November 2017, the 8.25% Senior Notes, in the full aggregate principal amount of $1.45 billion , were redeemed using proceeds from the 6.625% Senior Notes and the Senior Secured Term Loan Credit Agreement. In the first quarter of 2018, we recorded approximately $30 million of charges related to the extinguishment of unamortized debt issuance costs and tender premiums associated with the 8.25% Senior Notes, included in Other income, net on our Consolidated Statements of Operations. 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. The 2018 Convertible Notes were senior subordinated unsecured obligations of the Company. The 2018 Convertible Notes were fully repaid upon maturity in October 2018, and none were converted into our common stock. 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 recorded as an offset of the 2019 Convertible Notes in Long-term debt 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 after October 15, 2018. Prior to October 15, 2018, holders could only convert upon the occurrence of specified trigger events, as more fully described in the 2019 Convertible Notes indenture. The conversion rate is 18.4946 shares of common stock per $1,000 principal amount of 2019 Convertible Notes (equivalent to a 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, at our election, in common stock, cash, or a combination of common stock and cash. 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 were restricted 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 payment of principal and interest on the Tax Exempt Bonds is 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. 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, 2018 , none of the $225 million remains to be reimbursed under the Tax Exempt Bonds. On November 6, 2017, the Company entered into the First Amendment to Loan Agreement with The County of Cook, Illinois and the First Amendment to Loan Agreement with the Illinois Finance Authority (“Tax Exempt Bond Amendments”) to adjust various covenants included in the loan agreements relating to the Tax Exempt Bonds, including to permit the Company to incur secured debt up to $1.7 billion , in exchange for a coupon increase from 6.50% to 6.75% and the grant of a junior priority lien on certain collateral securing the Company’s Term Loan Credit Agreement. 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 2023 with interest rates ranging from 3.98% to 12.52% . Amended and Restated Asset-Based Credit Facility In August 2017, we amended and extended our asset-based credit facility ("Amended and Restated Asset-Based Credit Facility") which was previously due in May 2018. The 2017 amendment extended the maturity date to August 2022 and reduced the revolving facility from $175 million to $125 million . The borrowing base of the facility is secured by a first priority security interest in certain of NI's aftermarket parts inventory locations and contains customary covenants, representations and warranties. Our borrowing capacity under the amended facility is subject to a $13 million liquidity block and is impacted by outstanding standby letters of credit issued under this facility and the amount of eligible inventory. 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 is 175 basis points for Base Rate borrowings and 275 basis points for LIBOR borrowings . As of October 31, 2018 , we had no borrowings but did have availability to borrow under the Amended and Restated Asset-Based Credit Facility. Financial Services Operations Asset-backed Debt In November 2016, the maturity date of the variable funding notes ("VFN") facility was extended from May 2017 to November 2017, and the maximum capacity was reduced from $500 million to $450 million . In May 2017, the VFN facility was extended to May 2018, and the maximum capacity was reduced to $425 million . In December 2017, the maturity date of our VFN facility was extended from May 2018 to December 2018, and the maximum capacity was reduced from $425 million to $350 million . In November 2018, the maturity of the VFN facility was extended from December 2018 to May 2020. The VFN facility is secured by assets of the wholesale note owner trust. In October 2016, Navistar Financial Securities Corporation ("NFSC") 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. In June 2017, NFSC issued $250 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 June 2017. In September 2018, NFSC 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 $300 million of investor notes that matured in September 2018. Our Mexican financial services affiliate, Navistar Financial, S.A. de C.V., Sociedad Financiera de Objeto Multiple, Entidad Regulada ("NFM"), issues secured notes, denominated in Mexican pesos, which are secured by retail finance receivables. The aggregate balance of these notes was $31 million and $67 million , net of issuance costs, at October 31, 2018 , and 2017 , respectively. These notes mature at various dates through March 2023. In December 2016, Truck Retail Accounts Corporation ("TRAC"), a special purpose, wholly-owned subsidiary of NFC, renewed the one-year revolving facility to October 2017. In May 2017, this facility was renewed to April 2018. In January 2018, the maturity date of our $100 million TRAC funding facility was extended from April 2018 to January 2019, and in December 2018, the maturity was further extended to January 2020. 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 were $1.4 billion and $1.1 billion at October 31, 2018 and 2017 , respectively. See Note 3, Finance Receivables , for more information on finance receivables used to secure asset-backed debt. Term Loan In July 2018, NFC entered into a $400 million seven-year senior secured term loan facility ("NFC Term Loan"). The NFC Term Loan is secured by a first-priority security interest in certain assets of NFC and ranks equal to that of NFC's bank credit facility. The initial funding interest rate is LIBOR plus a margin of 3.75%. NFC has the option to use a defined alternate base rate. Debt issuance costs and the original issuance discount of $4 million and $2 million , respectively, were recorded as a direct deduction from the carrying amount and will amortize through Interest expense over the life of the loan. The NFC Term Loan requires quarterly principal amortization payments of $1 million , with the balance due at maturity. Bank Credit Facilities In May 2016, NFC amended and extended its bank credit facility which was originally due in December 2016. The 2016 amendment extended the maturity date to June 2018 and initially reduced the revolving portion of the facility from $500 million to $400 million . 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. In September 2017, the revolving portion of the bank credit facility was amended and extended to a maturity date of September 2021. The capacity of the facility was reduced from $275 million to $269 million in June 2018. The borrowings on the revolving portion of the facility totaled $21 million and $127 million as of October 31, 2018 and 2017 , respectively. On June 1, 2018, in accordance with the terms of the May 2016 amended and extended bank credit facility of NFC, the term loan portion was paid in full and the revolving portion capacity was reduced from $275 million to $269 million . The balance of the term loan portion of the facility as of October 31, 2017, was $75 million . On June 12, 2018, certain leverage covenants and baskets under the NFC bank credit facility were amended to allow for completion of the NFC Term Loan in July 2018. 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, 2018 , borrowings outstanding under these arrangements were $498 million , of which 28% was denominated in U.S. dollars and 72% in Mexican pesos. As of October 31, 2017 , borrowings outstanding under these arrangements were $414 million , of which 35% was denominated in U.S. dollars and 65% in Mexican pesos. The interest rates on the dollar-denominated debt are at a negotiated fixed rate or at a variable rate based on LIBOR, and the interest rates on peso-denominated debt are based on the Interbank Interest Equilibrium Rate. Covenants of the NFC bank credit facility restrict certain payments such as dividends. In the years ended October 31, 2018 and 2017, NFC paid no dividends. In the year ended October 31, 2016, NFC paid cash dividends and returned capital to NI in the aggregate amount of $220 million . Commercial Paper Effective February 2017, our Mexican financial services operation entered into a five-year commercial paper program for up to P 1.8 billion (the equivalent of approximately $91 million at October 31, 2018 ). This program replaced the program that matured in December 2016. In October 2018, the commercial paper program was increased to P 3.0 billion (the equivalent of approximately $151 million at October 31, 2018 ). Borrowings Secured by Operating and Finance Leases International Truck Leasing Corporation ("ITLC"), a special purpose, wholly-owned subsidiary of NFC, provides NFC with another source to obtain borrowings secured by leases. The balances are classified under Financial Services operations debt as borrowings secured by leases. ITLC's assets are available to satisfy its creditors' claims prior to such assets becoming available for ITLC's use or to NFC or affiliated companies. For the years ended October 31, 2018 and 2017 , ITLC issued new borrowings of $38 million and $31 million , respectively. The balance of these secured borrowings issued by ITLC totaled $105 million and $94 million as of October 31, 2018 and 2017 , respectively. The carrying amount of assets used as collateral was $125 million and $117 million as of October 31, 2018 and 2017 , respectively. ITLC does not have any unsecured debt. Future Maturities The aggregate contractual annual maturities for debt as of October 31, 2018 , are as follows: Manufacturing (A) Financial Total (in millions) 2019 $ 467 $ 487 $ 954 2020 41 962 1,003 2021 80 187 267 2022 31 26 57 2023 20 10 30 Thereafter 2,833 381 3,214 Total debt 3,472 2,053 5,525 Less: Unamortized discount and unamortized debt issuance costs 46 12 58 Net debt $ 3,426 $ 2,041 $ 5,467 Debt and Lease Covenants We have certain public and private debt agreements, including the Senior Secured Term Loan Credit Agreement, the 6.625% Senior Notes, the loan agreements for the Tax Exempt Bonds, and the Amended and Restated Asset-Based Credit Facility, which limit our ability to incur additional indebtedness, pay dividends, buy back our stock, and take other actions. The terms of our 2019 Convertible Notes (the "Notes") do not contain covenants that could limit the amount of debt we may issue, or restrict us from paying dividends or repurchasing our other securities. However, the indentures for the Notes define circumstances under which we would be required to repurchase the Notes and include limitations on consolidation, merger, and sale of our assets. As of October 31, 2018 , we were in compliance with these covenants. We are also required under certain agreements with public and private lenders of NFC to ensure that NFC and its subsidiaries maintain their income before interest expense and income taxes at not less than 125% of their total interest expense. Under these agreements, if NFC's consolidated income, including capital contributions made by NIC or NI, before interest expense and income taxes is less than 125% of its interest expense, NIC or NI must make payments to NFC to achieve the required ratio. During the years ended October 31, 2018 , 2017 , and 2016 , no such payments were made. Our Mexican financial services operations also have debt covenants, which require the maintenance of certain financial ratios. As of October 31, 2018 , we were in compliance with those covenants. |
Postretirement Benefits
Postretirement Benefits | 12 Months Ended |
Oct. 31, 2018 | |
Retirement Benefits [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) 2018 2017 2018 2017 Change in benefit obligations Benefit obligations at beginning of year $ 3,799 $ 4,027 $ 1,435 $ 1,708 Service cost 7 7 4 5 Interest on obligations 108 107 43 47 Actuarial loss (gain) (251 ) (18 ) (159 ) (183 ) Settlements (25 ) (52 ) — — Contractual termination benefits — 10 — 4 Curtailments and other — (2 ) — (58 ) Currency translation (8 ) 17 — — Plan participants' contributions — — 40 36 Subsidy receipts — — 42 42 Benefits paid (286 ) (297 ) (160 ) (166 ) Benefit obligations at end of year $ 3,344 $ 3,799 $ 1,245 $ 1,435 Change in plan assets Fair value of plan assets at beginning of year $ 2,363 $ 2,310 $ 333 $ 333 Actual return on plan assets (30 ) 256 4 38 Settlements (25 ) (52 ) — — Currency translation (8 ) 18 — — Employer contributions 132 112 1 2 Benefits paid (270 ) (281 ) (41 ) (40 ) Fair value of plan assets at end of year $ 2,162 $ 2,363 $ 297 $ 333 Funded status at year end $ (1,182 ) $ (1,436 ) $ (948 ) $ (1,102 ) Pension Benefits Health and Life (in millions) 2018 2017 2018 2017 Amounts recognized in our Consolidated Balance Sheets consist of: Noncurrent asset $ 18 $ 16 $ — $ — Current liability (17 ) (16 ) (34 ) (41 ) Noncurrent liability (1,183 ) (1,436 ) (914 ) (1,061 ) Net liability recognized $ (1,182 ) $ (1,436 ) $ (948 ) $ (1,102 ) Amounts recognized in our accumulated other comprehensive loss consist of: Net actuarial loss $ 2,007 $ 2,183 $ 104 $ 252 Net prior service benefit — — — — Net amount recognized $ 2,007 $ 2,183 $ 104 $ 252 The accumulated benefit obligation for pension benefits, a measure that excludes the effect of prospective salary and wage increases, was $3.3 billion and $3.8 billion for October 31, 2018 and 2017 , respectively. The cumulative postretirement benefit adjustment included in the Consolidated Statement of Stockholders' Deficit at October 31, 2018 is net of $503 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) 2018 2017 Projected benefit obligations $ 3,065 $ 3,487 Accumulated benefit obligations 3,051 3,471 Fair value of plan assets 1,865 2,035 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, 2018 , we have met all regulatory funding requirements. In 2018 , we contributed $132 million to our pension plans to meet regulatory funding requirements. We expect to contribute approximately $140 million to our pension plans during 2019 . 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 2018 , we contributed $1 million to our OPEB plans to meet legal funding requirements. We expect to contribute $1 million to our OPEB plans during 2019 . We have certain unfunded pension plans, under which we make payments directly to employees. Benefit payments of $16 million for both October 31, 2018 and 2017 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 $37 million and $48 million for 2018 and 2017 , 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) 2018 2017 2016 Pension expense $ 72 $ 121 $ 82 Health and life insurance expense 33 (3 ) 71 Total postretirement benefits expense $ 105 $ 118 $ 153 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: For the Years Ended October 31, Pension Benefits Health and Life (in millions) 2018 2017 2016 2018 2017 2016 Service cost for benefits earned during the period $ 7 $ 7 $ 9 $ 4 $ 5 $ 5 Interest on obligation 108 107 118 43 47 58 Amortization of cumulative loss 106 116 104 9 22 31 Amortization of prior service cost (benefit) — — — — — (1 ) Settlements 9 23 — — — — Contractual termination benefits — 10 3 — 4 4 Curtailments and other — — — — (58 ) — Premiums on pension insurance 3 15 15 — — — Expected return on assets (161 ) (157 ) (167 ) (23 ) (23 ) (26 ) Net periodic benefit expense $ 72 $ 121 $ 82 $ 33 $ (3 ) $ 71 Other Changes in plan assets and benefit obligations recognized in other comprehensive loss (income) Actuarial net loss (gain) $ (61 ) $ (116 ) $ 313 $ (139 ) $ (197 ) $ (115 ) Amortization of cumulative loss (106 ) (116 ) (104 ) (9 ) (22 ) (31 ) Amortization of prior service benefit (cost) — — — — — 1 Settlements (9 ) (23 ) — — — — Curtailments — (2 ) — — — — Currency translation — — (1 ) — — — Total recognized in other comprehensive loss (income) $ (176 ) $ (257 ) $ 208 $ (148 ) $ (219 ) $ (145 ) Total net postretirement benefits (income) expense and other comprehensive loss (income) $ (104 ) $ (136 ) $ 290 $ (115 ) $ (222 ) $ (74 ) For the year ended October 31, 2018 , we purchased a group annuity contract for certain retired pension plan participants resulting in a plan remeasurement. As a result, a net actuarial loss of $2 million was recognized as a component of Accumulated other comprehensive loss and a pension settlement accounting expense of $9 million was recognized in SG&A expenses in our Consolidated Statements of Operations . In April 2016, we filed a qualified partial wind-up report for approval by FSCO related to the 2011 closure of our Chatham, Ontario plant. FSCO provided formal approval in January 2017. As a result of an ongoing administration review ordered in conjunction with the partial wind-up, we recognized $1 million of contractual termination charges in the first quarter of 2017. During the third quarter of 2017, we finalized the Chatham closure agreement. This resulted in the release of $66 million in other postemployment benefit ("OPEB") liabilities. In addition, a pension settlement accounting charge of $23 million was recorded as a result of lump-sum payments made to certain pension plan participants. These charges and benefits were recorded in our Truck segment within Restructuring charges in our Consolidated Statements of Operations . See Note 2, Restructurings and impairments for further discussion. As a result of the pension and OPEB plan remeasurements in connection with the finalization of the Chatham closure agreement, net actuarial gains of $21 million were recognized as a component of Accumulated other comprehensive loss in the third quarter of 2017. In the third quarter of 2017, we committed to a plan to cease engine production at our Melrose Park Facility in the third quarter of fiscal year 2018. As a result, in the third quarter of 2017, we recognized $9 million of pension and $4 million of OPEB contractual termination benefits charges and $10 million of OPEB curtailment charges. These charges were recorded in our Truck segment within Restructuring charges in our Consolidated Statements of Operations . See Note 2, Restructurings and impairments for further discussion. A pension curtailment gain of $2 million and net actuarial gains of $91 million resulting from pension and OPEB remeasurements in connection with our Melrose Park Facility announcement were recognized as a component of Accumulated other comprehensive loss in the third quarter of 2017. Also, during 2017, in accordance with the intraperiod tax allocation rules, we recorded a net benefit of $28 million related to domestic continuing operations in Income tax expense in our Consolidated Statements of Operations , and an offsetting reduction in Other comprehensive income due to the remeasurement of certain pension and OPEB plans. 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/(gains) 98 (1 ) 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, 2018 and 2017 are: Pension Benefits Health and Life Insurance Benefits 2018 2017 2018 2017 Discount rate used to determine present value of benefit obligation at end of year 4.4 % 3.5 % 4.4 % 3.6 % 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 2018 , 2017 , and 2016 were: Pension Benefits Health and Life Insurance Benefits 2018 2017 2016 2018 2017 2016 Discount rate used to determine service cost 3.9 % 3.9 % 4.5 % 3.9 % 4.0 % 4.6 % Discount rate used to determine interest cost 3.0 % 2.8 % 3.1 % 3.1 % 2.9 % 3.3 % Expected long-term rate of return on plan assets 7.2 % 7.2 % 7.5 % 7.5 % 7.5 % 7.5 % 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 30,000 ), 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 92% of our other postretirement benefit obligation, is projected to be 14.4% in 2019 and was estimated as 7.1% for 2018 . Our projections assume that the rate will decrease to 5% by the year 2023 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 $ 8 $ (7 ) Effect on postretirement benefit obligation 169 (143 ) 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. • Insurance Linked Securities —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, then 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. Pension Assets The fair value of the pension plan assets by category is summarized below: As of October 31, 2018 As of October 31, 2017 (in millions) Level 1 Level 2 Level 3 NAV Total Level 1 Level 2 Level 3 NAV Total Asset Category Cash and Cash Equivalents $ 77 $ — $ — $ — $ 77 $ 86 $ — $ — $ — $ 86 Collective Trusts and Other U.S. Equity 293 — — — 293 316 — — — 316 Canadian Equity 16 — — — 16 19 — — — 19 International Equity 270 — — — 270 327 — — — 327 Global Equity 205 — — — 205 235 — — — 235 Fixed Income - Long Duration Credit — 283 — — 283 — 508 — — 508 Fixed Income - Long Duration Government — 156 — — 156 — 20 — — 20 Fixed Income - Intermediate Duration Government — 48 — — 48 — — — — — Fixed Income - High Yield — 157 — — 157 — 214 — — 214 Fixed Income - Canadian Bond — 194 — — 194 — 213 — — 213 Global Real Estate — 135 — — 135 — 144 — — 144 Global Infrastructure — — — 9 9 — — — 10 10 Insurance linked Securities — — — 45 45 — — — — — Hedge Fund of Funds — — — 202 202 — — — 210 210 Private Equity — — — 32 32 — — — 43 43 Private Credit — — — 22 22 — — — — — Real Estate — — — — — — — 1 — 1 Total (A) $ 861 $ 973 $ — $ 310 $ 2,144 $ 983 $ 1,099 $ 1 $ 263 $ 2,346 ___________________ (A) In addition, the table above includes the fair value of Canadian pension assets translated at the exchange rates as of October 31, 2018 and 2017 , 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, 2018 As of October 31, 2017 (in millions) Level 1 Level 2 Level 3 NAV Total Level 1 Level 2 Level 3 NAV Total Asset Category Cash and Cash Equivalents $ 11 $ — $ — $ — $ 11 $ 6 $ — $ — $ — $ 6 Fixed Income U.S. Credit Bonds — 61 — — 61 — — — — — Corporate and Government Bonds — — — — — — 62 — — 62 Government Bonds — — — — — — 8 — — 8 Collective Trusts and Other U.S. Equity 59 — — — 59 71 — — — 71 International Equity 59 — — — 59 74 — — — 74 Fixed Income - Multi-Asset Credit 9 17 — — 26 — 29 — — 29 Real Estate (REITs) — — — 26 26 — — — 24 24 Mutual Fund — — — — — 9 — — — 9 Insurance Linked Securities — — — 8 8 — — — — — Hedge Fund of Funds — — — 39 39 — — — 39 39 Private Equity — — — 8 8 — — — 11 11 Total $ 138 $ 78 $ — $ 81 $ 297 $ 160 $ 99 $ — $ 74 $ 333 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, 2019 through 2023 and the five years ending October 31, 2028 are estimated as follows: (in millions) Pension Benefit Payments Other Postretirement Benefit Payments (A) 2019 $ 283 $ 76 2020 278 85 2021 271 91 2022 264 93 2023 257 95 2024 through 2028 1,173 454 ________________________ (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 $33 million in 2018 , and $29 million in both 2017 and 2016 . 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. In 2018, we recorded $30 million in 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 13, Commitments and Contingencies . |
Income Taxes
Income Taxes | 12 Months Ended |
Oct. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes On December 22, 2017, the Tax Act was signed into U.S. law. The Tax Act reduces the statutory corporate income tax rate from 35% to 21%, effective January 1, 2018. In accordance with the Internal Revenue Code, we have utilized a blended rate of 23.3% for our fiscal 2018 tax year by applying a prorated percentage of the number of days prior to and subsequent to the January 1, 2018 effective date. This rate reduction requires us to remeasure our deferred taxes as of the date the Tax Act was enacted. Our U.S. deferred tax assets, net of deferred tax liabilities, were remeasured and reduced by $983 million , entirely offset by a valuation allowance reduction. As a result, the remeasurement of our deferred tax assets, net of deferred tax liabilities, including the valuation allowance, did not impact our income tax expense or net income. The Tax Act includes a mandatory deemed repatriation of earnings of the Company’s foreign subsidiaries. We have provisionally calculated and included $147 million of foreign earnings in taxable income due to this deemed repatriation. The income tax effect of the deemed repatriation will be offset with existing deferred tax assets. The deferred tax impact has a valuation allowance offset, resulting in no impact on our income tax expense or net income. The Tax Act also adds many new provisions, including changes to limits on the deductions for executive compensation and interest expense, a tax on global intangible low‐taxed income (“GILTI”), the base erosion anti‐abuse tax (“BEAT”) and a deduction for foreign derived intangible income (“FDII”). We are still evaluating the impact of these provisions of the Tax Act, which do not apply until our taxable year beginning November 1, 2018. Companies can either account for taxes on GILTI as incurred or recognize deferred taxes when basis differences exist that are expected to affect the amount of the GILTI inclusion upon reversal. The Company is electing to account for taxes on GILTI as incurred. We have not completed our accounting for the income tax effects of the Tax Act. However, we have computed estimates or “provisional” amounts as permitted by the SEC’s Staff Accounting Bulletin No. 118 (“SAB”) issued on December 22, 2017. Under the SAB, companies are allowed a measurement period of up to one year from the date of enactment to complete the accounting for the effects of the Tax Act. We will continue to evaluate the Tax Act’s impact, which may change as a result of additional Treasury guidance, federal or state legislative actions, or changes in accounting standards or related interpretations. The Company’s analyses performed to date are sufficient to calculate a reasonable estimate of the impacts of the Tax Act. The following table presents the domestic and foreign components of Income (loss) from continuing operations before income taxes in our Consolidated Statements of Operations : For the Years Ended October 31, (in millions) 2018 2017 2016 Domestic $ 246 $ (74 ) $ (95 ) Foreign 174 138 63 Income (loss) from continuing operations before income taxes $ 420 $ 64 $ (32 ) The following table presents the components of Income tax expense in our Consolidated Statements of Operations : For the Years Ended October 31, (in millions) 2018 2017 2016 Current: Federal $ — $ 4 $ (1 ) State and local (1 ) 10 (4 ) Foreign (47 ) (30 ) (36 ) Total current expense $ (48 ) $ (16 ) $ (41 ) Deferred: Federal $ 2 $ 19 $ 13 State and local (1 ) 4 (1 ) Foreign (5 ) (17 ) (4 ) Total deferred benefit (expense) $ (4 ) $ 6 $ 8 Total income tax expense $ (52 ) $ (10 ) $ (33 ) 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) 2018 2017 2016 Federal income tax benefit (expense) (A) $ (98 ) $ (22 ) $ 11 State income taxes, net of federal benefit (3 ) (3 ) (3 ) Credits and incentives (50 ) 8 3 Adjustments to valuation allowances 1,120 (57 ) (132 ) Foreign operations (2 ) 4 53 Unremitted foreign earnings — — 37 Adjustments to uncertain tax positions (1 ) 15 (10 ) Intraperiod tax allocation offset to equity components — 28 — Non-controlling interest adjustment 6 9 11 Tax Act Mandatory Repatriation (34 ) — — Tax Act US Deferred Remeasurement (983 ) — — Other (7 ) 8 (3 ) Recorded income tax expense $ (52 ) $ (10 ) $ (33 ) _________________________ (A) Federal income tax benefit (expense) was taxed at a rate of 23.3% for the year ended 2018, and 35% for the years ended 2017 and 2016. 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, a 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 of income. During 2017, we recorded a $28 million intraperiod allocation benefit in domestic continuing operations associated with certain post retirement plan remeasurement gains. Not including the effect of the federal income tax rate change, we recognized an income tax benefit of $137 million and income tax expense of $57 million , for the change in the valuation allowance for the years ended October 31, 2018 and 2017, respectively. At October 31, 2018 , undistributed earnings of foreign subsidiaries were $308 million . Except for the tax effect of the Tax Act deemed repatriation, income taxes have not been provided on foreign undistributed earnings because they are either considered to be permanently invested in foreign subsidiaries or are expected to be repatriated without significant incremental U.S. federal, state or foreign withholding taxes. It is impracticable to determine the exact amount of unrecognized deferred tax liabilities. The following table presents the components of the deferred tax asset (liability): As of October 31, (in millions) 2018 2017 Deferred tax assets attributable to: Employee benefits liabilities $ 615 $ 1,073 Net operating loss ("NOL") carryforwards 979 1,383 Product liability and warranty accruals 172 290 Research and development 114 209 Tax credit carryforwards 212 262 Other 238 277 Gross deferred tax assets 2,330 3,494 Less: Valuation allowances 2,182 3,326 Net deferred tax assets $ 148 $ 168 Deferred tax liabilities attributable to: Other $ (27 ) $ (39 ) Total deferred tax liabilities $ (27 ) $ (39 ) At October 31, 2018 , deferred tax assets attributable to NOL carryforwards include $560 million attributable to U.S. federal NOL carryforwards, $178 million attributable to state NOL carryforwards, and $241 million attributable to foreign NOL carryforwards. If not used to reduce future taxable income, U.S. federal NOLs are scheduled to expire beginning in 2032. State NOLs can be carried forward for initial periods of 5 to 20 years, and are scheduled to expire in 2019 to 2038. Approximately one fourth of our foreign net operating losses will expire, beginning in 2029, while the majority of the remaining balance has no expiration date. The majority of our tax credits can be carried forward for initial periods of 20 years and are scheduled to expire between 2019 and 2038. 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, 2018 , 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 earned domestic income from continuing operations for the year ended October 31, 2018 and incurred domestic losses from continuing operations for the years ended October 31, 2017 and 2016 . The positive evidence of domestic income from the year ended October 31, 2018 does not outweigh the negative evidence of cumulative losses from prior years. 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, 2018 . 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 continue to maintain a valuation allowances on the majority of our U.S. deferred tax assets as well as certain 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 $2.2 billion and $3.3 billion at October 31, 2018 and 2017 , 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, 2018 , the amount of liability for uncertain tax positions was $27 million . The liability at October 31, 2018 has a recorded offsetting tax benefit associated with various issues that total $9 million . If the unrecognized tax benefits are recognized, all would impact our effective tax rate, except for positions for which we maintain a full valuation allowance against certain deferred tax assets. In this case, 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: For the years ended October 31, (in millions) 2018 2017 Liability for uncertain tax positions at November 1 $ 34 $ 50 Additions as a result of positions taken in prior periods 2 — Decrease as a result of positions taken in prior periods (7 ) (15 ) Settlements (2 ) (1 ) Liability for uncertain tax positions at October 31 $ 27 $ 34 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 income tax benefits of $1 million and $6 million and income tax expense of less than $1 million for the years ended October 31, 2018 , 2017 , and 2016, respectively. The total interest and penalties accrued were $3 million and $4 million for the years ended October 31, 2018 and 2017 , respectively. We released $14 million of uncertain tax positions based on administrative practice and precedents of relevant tax authorities in 2017. 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, 2018 | |
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 —Cash equivalents are highly liquid investments with an original maturity of 90 days or less which may include U.S. government and federal agency securities, commercial paper, and other highly liquid investments. 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 may include investments in U.S. government and federal agency securities, commercial paper and other investments 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. Guarantees —We provide certain guarantees of payments and residual values, to which losses are generally capped, to specific counterparties. The fair value of these guarantees includes a contingent component and a non-contingent component that are based upon internally developed models using unobservable inputs. We classify these liabilities within Level 3. For more information regarding guarantees, see Note 13, Commitments and Contingencies. Impaired Finance Receivables and Impaired Assets Under Operating Leases —Fair values of the underlying collateral are determined by current and forecasted sales prices, aging of and demand for used trucks, and the mix of sales through various market channels. For more information regarding impaired finance receivables, see Note 4, Allowance for Doubtful Accounts, and for more information regarding impaired assets under operating leases, see Note 2, Restructuring and Impairments. Impaired Property, Plant and Equipment —We measure the fair value by discounting future cash flows expected to be received from the operation of, or disposition of, the asset or asset group that has been determined to be impaired. For more information regarding the impairment of property, plant and equipment, see Note 2, Restructuring and Impairments. The following table presents the financial instruments measured at fair value on a recurring basis: As of October 31, 2018 As of October 31, 2017 (in millions) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Assets Marketable securities: U.S. government and federal agency securities $ 101 $ — $ — $ 101 $ 370 $ — $ — $ 370 Derivative financial instruments: Commodity forward contracts (A) — 2 — 2 — 3 — 3 Foreign currency contracts (A) — — — — — 3 — 3 Interest rate caps (B) — 2 — 2 — 1 — 1 Total assets $ 101 $ 4 $ — $ 105 $ 370 $ 7 $ — $ 377 Liabilities Derivative financial instruments: Commodity forward contracts (C) $ — $ — $ — $ — $ — $ 1 $ — $ 1 Foreign currency contracts (C) — — — — — 1 — 1 Guarantees — — 24 24 — — 21 21 Total liabilities $ — $ — $ 24 $ 24 $ — $ 2 $ 21 $ 23 _________________________ (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, 2018 October 31, 2017 Guarantees, at beginning of period $ (21 ) $ (23 ) Transfers out of Level 3 — — Issuances (7 ) (2 ) Settlements 4 4 Guarantees, at end of period $ (24 ) $ (21 ) 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, 2018 October 31, 2017 Level 2 financial instruments Impaired finance receivables (A) $ 20 $ 16 Specific loss reserve (9 ) (7 ) Fair value $ 11 $ 9 _________________________ (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 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 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 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 6.75% 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. Trading in our 6.625% Senior Notes is limited to qualified institutional buyers; therefore the notes are 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, 2018 Estimated Fair Value Carrying Value (in millions) Level 1 Level 2 Level 3 Total Assets Retail notes $ — $ — $ 180 $ 180 $ 183 Liabilities Debt: Manufacturing operations Senior Secured Term Loan Credit Agreement, due 2025 — — 1,597 1,597 1,570 6.625% Senior Notes, due 2026 — 1,122 — 1,122 1,083 4.75% Senior Subordinated Convertible Notes, due 2019 (A) 412 — — 412 405 Loan Agreement related to 6.75% Tax Exempt Bonds, due 2040 — 235 — 235 220 Financed lease obligations — — 122 122 122 Other — — 25 25 26 Financial Services operations Asset-backed debt issued by consolidated SPEs, due serially through 2023 — — 949 949 948 Senior secured NFC Term Loan, due 2025 — — 400 400 394 Bank credit facilities, due dates from 2019 through 2024 — — 511 511 519 Commercial paper, program matures in 2022 75 — — 75 75 Borrowings secured by operating and finance leases, due serially through 2024 — — 104 104 105 As of October 31, 2017 Estimated Fair Value Carrying Value (in millions) Level 1 Level 2 Level 3 Total Assets Retail notes $ — $ — $ 153 $ 153 $ 161 Liabilities Debt: Manufacturing operations Senior Secured Term Loan Credit Facility, due 2020 — — 1,019 1,019 1,003 8.25% Senior Notes, due 2022 1,450 — — 1,450 1,423 4.50% Senior Subordinated Convertible Notes, due 2018 (A) 208 — — 208 194 4.75% Senior Subordinated Convertible Notes, due 2019 (A) 446 — — 446 394 Loan Agreement related to 6.50% Tax Exempt Bonds, due 2040 — 243 — 243 220 Financed lease obligations — — 130 130 130 Other — — 23 23 39 Financial Services operations Asset-backed debt issued by consolidated SPEs, due serially through 2023 — — 851 851 849 Bank credit facilities, due dates from 2019 through 2024 — — 592 592 616 Commercial paper, program matures in 2022 92 — — 92 92 Borrowings secured by operating and finance leases, due serially through 2024 — — 94 94 94 _________________________ (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 estimated fair value is derived from quoted prices in active markets which include the equity feature. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Oct. 31, 2018 | |
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. Under the terms of the Navistar Capital Operating Agreement, Navistar Capital, ( a program of BMO Harris Bank N.A. and Bank of Montreal (together “BMO”)) is our third-party preferred source of retail and lease customer financing for equipment offered by us and our dealers in the U.S. The Navistar Capital Operating Agreement contains a loss sharing arrangement for certain credit losses. Under the loss sharing arrangement, as amended, we reimburse BMO for credit losses in excess of the first 10% of the financed value of a contract; for certain leases we reimburse BMO 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, 2018 and 2017 , 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 $2.5 billion and $2.4 billion at October 31, 2018 and 2017 , 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 $104 million and $116 million and financed lease obligations of $122 million and $129 million , in our Consolidated Balance Sheets as of October 31, 2018 and 2017 , respectively. We also have issued a limited number of residual value guarantees, for which losses are generally capped. If substantial risk of loss has not transferred, we account for these arrangements as operating leases and revenue is recognized on a straight-line basis 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. We have recognized liabilities for some of these guarantees in our Consolidated Balance Sheets as they meet recognition and measurement provisions. In addition to the liabilities that have been recognized, we are contingently liable for other potential losses under various guarantees that are not recognized in our Consolidated Balance Sheets . We do not believe claims that may be made under such guarantees would have a material effect on our financial condition, results of operations, or cash flows. 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, 2018 , the amount of stand-by letters of credit and surety bonds issued was $122 million . In addition, as of October 31, 2018 , we have $162 million of outstanding purchase commitments and contracts with $16 million of cancellations fees with expiration dates through 2026. We have entered into industrial participation agreements, commonly known as offset agreements, with customers outside of the U.S. to facilitate economic value back to entities within the foreign nations as the result of their procurement of goods and services from us. These commitments may be satisfied by our placement of supply contracts to established companies within the foreign nations, providing capabilities to the foreign nations, or the creation of joint ventures that generate profits and hire nationals from within the foreign nations. In certain cases, penalties could be imposed if we do not meet our industrial participation commitments. As of October 31, 2018 , we have outstanding industrial participation agreements totaling $228 million that extend through 2026. Purchase order commitments associated with fulfilling the industrial participation agreements are included in the purchase commitments amount above. 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. In addition, other sites formerly owned by us or where we are currently operating have been identified as having soil and groundwater contamination. While investigations and cleanup activities continue at these sites, we believe that we have appropriate accruals to cover costs to complete the cleanup of all sites. We have accrued $18 million for these and other environmental matters, which are included within Other current liabilities and Other noncurrent liabilities , as of October 31, 2018 . The majority of these accrued liabilities are expected to be paid subsequent to 2019 . 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. Following the resolution of a procedural dispute by the U.S. Court of Appeals for the 6th Circuit, 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 commenced. On August 1, 2016, the parties submitted briefs on issues related to the scope of the arbitration. On June 29, 2017, the arbitrator ruled, among other things, that the arbitration will include Supplemental Benefit Trust Profit Sharing Plan calculations for the years ending October 31, 2001 through October 31, 2014. On May 2, 2018, the Committee submitted to the arbitrator a proposed schedule for the presentation of the issues to be addressed in the arbitration. On September 21, 2018, the arbitrator set a schedule to rule on all issues and determine final calculations in April 2020. As noted under “Retiree Health Care Litigation” below, on August 14, 2018, the Company filed a motion to schedule a status hearing, in which the Company requested an in-person hearing to discuss global resolution of various disputes under the 1993 Settlement Agreement, including the pending Profit Sharing Complaint. As a result, an in-person hearing was held on November 2, 2018, and subsequent hearings may follow. In addition, various local bargaining units of the 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. The Committee’s Complaint was filed against NIC, NI, NFC and a former affiliate, 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 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 the 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 filed motions to dismiss each respective complaint on January 10, 2017. On May 10, 2017, the court dismissed the Committee's Complaint with prejudice, stating that the Committee lacked standing to bring its claims. With respect to the Committee Members’ Complaint, the court declined to dismiss the complaint, but ordered the parties to conduct discovery regarding whether the Committee Members’ Complaint is barred by the applicable statute of limitations and to file a motion for summary judgment thereafter on that issue of timeliness. The defendants filed their motion for summary judgment on September 21, 2017, the Committee Members’ filed their opposition on November 2, 2017, and the defendants filed their reply on November 22, 2017. On June 26, 2018, the court conditionally overruled the defendants’ motion for summary judgment. The court bifurcated the case and conducted a trial on the issue of whether the Committee Members’ Complaint is barred by the applicable statute of limitations in September 2018. On November 20, 2018, the Committee Members filed a motion for sanctions, alleging various discovery and trial misconduct by the defendants and requesting that the court enter judgment in favor of the Committee Members with respect to the statute of limitations issue and award attorneys’ fees to the Committee Members. On December 11, 2018, the defendants filed their opposition to the Committee Members’ motion for sanctions. On August 14, 2018, under the original Shy et. al. v. Navistar International Corporation, Civil Action No. 3:92-CV-333 (S.D. Ohio 1992), we filed a motion to schedule a status hearing to request an in-person hearing to discuss global resolution of various disputes under the 1993 Settlement Agreement, including but not limited to resolving the pending Profit Sharing Complaint and Committee Members’ Complaint described above. As a result, an in-person hearing was held on November 2, 2018, and subsequent hearings are expected to follow. 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 (the “FATMA Notice”) in July 2010 from the State of Santa Catarina Environmental Protection Agency ("FATMA") in Brazil. The FATMA Notice alleged that Maxion sent waste to a facility owned and operated by a company known as Natureza (the “Natureza Facility”) and that soil and groundwater contamination had occurred at the Natureza Facility. The FATMA 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, 2018 ), 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. In addition to the matter described above, there is a suit pending in the federal court of Brazil in which the federal district attorney has sued (a) FATMA, for claims related to FATMA’s actions in connection with licensing and inspection procedures related to the Natureza Facility, and (b) Selamix, as the current owner of the Natureza Facility. In this federal suit, Selamix was found liable for the contamination at the Natureza Facility due to it being the successor owner of the facility. However, the federal court’s decision does not prohibit Selamix from seeking to recover its damages from third parties that contributed to the contamination at the Natureza Facility. In connection with the FATMA Notice, IIAA presented a motion to the district attorney of the State of Santa Catarina (the “SC District Attorney”) to set forth its defenses and correct inaccuracies in the FATMA Notice in August 2017. In September 2017, the SC District Attorney informed IIAA that it intended to present a Consent Agreement to all of the companies that sent waste to Natureza to determine the allocation of the liability for generating the waste which led to the contamination of the Natureza Facility. IIAA then filed a motion requesting that the SC District Attorney consider certain facts and circumstances prior to presenting the Consent Agreement. In January 2018, the SC District Attorney, local and state authorities, Selamix, IIAA and the 14 other companies that are alleged to have significantly contributed to the contamination met to discuss the matter. Selamix then presented three proposals for conducting a preliminary environmental assessment in the area to determine the allocation of liability among the companies. In March 2018, Selamix informed the SC District Attorney that it would voluntarily conduct a preliminary environmental study at the Natureza Facility in an attempt to determine and allocate the liability for the contamination pursuant to an agreement with all of the companies after the study is completed. The SC District Attorney agreed to suspend further inquiry into the matter until Selamix’s study had been completed. The other companies involved in the matter have expressed an interest in having an independent environmental study conducted. The SC District Attorney has indicated that it may consider requiring an independent environmental study after Selamix’s environmental study is completed. In June 2018, Selamix presented its Environmental Preliminary Assessment Report to the SC District Attorney and the other companies alleged to have contributed to the contamination and the report indicated that the entire property should be subject to further studies to confirm the type and extent of the contamination due to signs of buried residues in several areas. Selamix also presented commercial proposals from two additional different companies specializing in environmental studies to perform the next steps of the technical work. The SC District Attorney then requested a third commercial proposal which will be presented and paid for by Selamix. IIAA continues to dispute the allegations in the FATMA Notice and intends to continue to vigorously defend itself. Currently, no demands or offers are outstanding. 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 less than US $1 million at October 31, 2018 ). 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 in the Central Forum of the capital of the State of São Paulo seeking soil and groundwater investigation and remediation, together with monetary payment in an unspecified amount. IIAA filed its defense to the civil action on January 26, 2017, alleging that IIAA has made all necessary investigations and has taken remedial measures to address the contamination and that Companhia Ambiental do Estado de São Paulo ("CETESB"), the environmental agency of São Paulo State, has agreed to the remedial measures taken by IIAA. On June 20, 2017, IIAA presented a petition requesting a 90-day suspension of the lawsuit. IIAA has since held and is currently engaged in discussions with the District Attorney regarding settlement of this matter. The District Attorney agreed to an initial suspension on June 30, 2017 and a subsequent suspension for an additional 90 days which ended on July 9, 2018. A new district attorney (the “New District Attorney”) assumed responsibility for the case in February 2018. The New District Attorney would like the companies involved to try to reach a settlement agreement as to the remediation efforts to be taken after having discussions and negotiations with the New District Attorney’s technical experts. IIAA attempted to schedule a meeting with the New District Attorney’s technical experts. IIAA met with the New District Attorney on July 25, 2018. The New District Attorney has indicated that he will request information related to the status of the current remediation needs from CETESB. After receiving that information, the New District Attorney has indicated that he will schedule a meeting with IIAA to discuss the proposed terms of a potential settlement agreement and granted a third suspension on August 14, 2018 which ended on November 14, 2018. There are no current demands or offers outstanding. MaxxForce Engine EGR Warranty Litigation On June 24, 2014, N&C Transportation Ltd. ("N&C") 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, seven 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 court in the N&C Action denied certification to persons who operated but did not buy the trucks in question. On November 2, 2017, NIC, NI, Navistar Canada Inc. and Harbour International Trucks filed a notice of appeal. On December 8, 2017, the plaintiff filed a notice of cross-appeal. Both the appeal and cross-appeal were heard by the British Columbia Court of Appeal on February 9, 2018. On August 1, 2018, the appellate court denied our appeal and granted, in part, N&C's cross-appeal and as such certified three narrow issues on whether misrepresentations were made in Navistar's advertising materials. On September 28, 2018, Navistar sought leave to appeal the certification decision to the Supreme Court of Canada and such leave is still pending. Aside from that application, the next step will be an attendance before the case management judge regarding the details of the notice of certification to be given to the class. No date for this attendance has been set. On June 5, 2017, a hearing was held in the Quebec putative class action lawsuit captioned 4037308 Canada Inc. v. Navistar Canada Inc., NI, and NIC. At that hearing, the court ruled on certain motions regarding evidence related to certification but deferred a ruling on plaintiff’s proposed amendment to narrow the proposed class to Quebec-only purchasers and lessees of model year 2010-13 vehicles containing MaxxForce 11, 13, and 15 liter engines. On November 23, 2017, we filed a motion to stay the Quebec case until the British Columbia Court of Appeal rules on the certification order in the N&C Action. The stay motion was filed on November 23, 2017 and was granted on December 7, 2017. The decision of the British Columbia Court of Appeal was provided to the Quebec court. On September 6, 2018, the stay was extended until the Supreme Court of Canada decides the application for leave to appeal in the N&C Action. In the Manitoba putative class action lawsuit captioned Vern Brown v. Navistar International Corporation and Navistar Canada, Inc., the court held a case management conference on June 29, 2018, after the plaintiff failed to file a complete certification record by the previously court-ordered due date. The plaintiff advised that it expected to file its remaining certification affidavits by August 31, 2018, and the court suspended certification scheduling in the interim. The plaintiff filed an additional affidavit on July 5, 2018. On September 5, 2018, the court adjourned the certification application indefinitely to allow the plaintiff to obtain an expert report. There are no certification or other hearings 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. Non-class federal lawsuits presenting pre-trial issues similar to the MDL Action continue to be transferred to the MDL Action. Approximately 24 such actions are currently pending. 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 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. On May 27, 2016, Judge Gottschall entered a Case Management Order setting a July 13, 2017 date for plaintiffs' class certification motion. On November 30, 2016, the court entered an order referring discovery matters to a magistrate judge for supervision. Pursuant to the magistrate’s order, the parties jointly filed a new proposed case management order on January 25, 2017, which extended the fact discovery deadline to November 22, 2017. On January 31, 2017, the parties filed a joint motion with Judge Gottschall requesting adjustment of the class action briefing schedule to April 24, 2018. On February 2, 2017, Judge Gottschall granted the parties' motion extending the deadline to complete the class certification briefing to April 24, 2018. On February 6, 2017, the magistrate approved the parties' schedule set forth in the case management order jointly filed on January 25, 2017. In September 2017, the plaintiffs filed a motion to further extend the case deadlines. On October 5, 2017, Judge Gottschall entered an Agreed Order Extending the Discovery Cutoff ordering that fact discovery relevant to class certification be completed by March 13, 2018 and that the class certification briefing be completed by July 31, 2018. On March 5, 2018, Judge Gottschall extended the fact discovery deadline to be completed by May 25, 2018 and ordered that the class certification briefing be completed |
Segment Reporting
Segment Reporting | 12 Months Ended |
Oct. 31, 2018 | |
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, military and government 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 Brazil engine operations which produce diesel engines 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. This segment also facilitates financing relationships in other countries to support our Manufacturing Operations. 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 benefit (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 is subsidized by our Truck and Parts segments. Additionally, the Financial Services segment reports intersegment revenues from secured and unsecured 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, 2018 External sales and revenues, net $ 7,386 $ 2,399 $ 305 $ 160 $ — $ 10,250 Intersegment sales and revenues 104 8 55 97 (264 ) — Total sales and revenues, net $ 7,490 $ 2,407 $ 360 $ 257 $ (264 ) $ 10,250 Income (loss) from continuing operations attributable to NIC, net of tax $ 397 $ 569 $ 2 $ 88 $ (716 ) $ 340 Income tax expense — — — — (52 ) (52 ) Segment profit (loss) $ 397 $ 569 $ 2 $ 88 $ (664 ) $ 392 Depreciation and amortization $ 130 $ 6 $ 10 $ 55 $ 10 $ 211 Interest expense — — — 92 235 327 Equity in income (loss) of non-consolidated affiliates 2 3 (5 ) — — — Capital expenditures (B) 99 2 3 1 8 113 (in millions) Truck Parts Global Operations Financial (A) Corporate Total Year Ended October 31, 2017 External sales and revenues, net $ 5,770 $ 2,369 $ 279 $ 142 $ 10 $ 8,570 Intersegment sales and revenues 39 23 30 93 (185 ) — Total sales and revenues, net $ 5,809 $ 2,392 $ 309 $ 235 $ (175 ) $ 8,570 Income (loss) from continuing operations attributable to NIC, net of tax $ (6 ) $ 616 $ (7 ) $ 77 $ (651 ) $ 29 Income tax expense — — — — (10 ) (10 ) Segment profit (loss) $ (6 ) $ 616 $ (7 ) $ 77 $ (641 ) $ 39 Depreciation and amortization $ 137 $ 11 $ 13 $ 51 $ 11 $ 223 Interest expense — — — 86 265 351 Equity in income (loss) of non-consolidated affiliates 4 3 (1 ) — — 6 Capital expenditures (B) 82 2 5 1 12 102 (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 Services Corporate and Eliminations Total Segment assets, as of: October 31, 2018 $ 2,085 $ 636 $ 331 $ 2,648 $ 1,530 $ 7,230 October 31, 2017 1,621 632 378 2,207 1,297 6,135 _________________________ (A) Total sales and revenues in the Financial Services segment include interest revenues of $182 million , $165 million , and $167 million for the years ended October 31, 2018 , 2017 , and 2016 , respectively. (B) Exclusive of purchases of equipment leased to others and liabilities related to capital expenditures. No single customer accounted for more than 10% of consolidated sales and revenues for the years ended October 31, 2018 , 2017 and 2016 . Sales and revenues to external customers classified by significant products and services were as follows: For the Years Ended October 31, (in millions) 2018 2017 2016 Sales and revenues: Trucks $ 7,323 $ 5,706 $ 5,176 Parts 2,215 2,177 2,216 Engine 552 545 583 Financial Services 160 142 136 Information concerning principal geographic areas is presented as follows: For the Years Ended October 31, (in millions) 2018 2017 2016 Sales and revenues: (A) United States $ 7,223 $ 6,375 $ 6,227 Canada 868 708 604 Mexico 933 708 575 Brazil 263 237 240 Other 963 542 465 As of October 31, (in millions) 2018 2017 Long-lived assets: (B) United States $ 1,099 $ 1,068 Canada 9 11 Mexico 249 226 Brazil 73 90 Other 8 9 __________________________ (A) During 2018, we identified certain sales included in Other which should have been classified as United States. As a result, for the years ended October 31, 2017 and 2016, we have reclassified $31 million and $41 million of sales, respectively. 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, 2018 | |
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, 2018 and 2017, there was one share of Series B Preference stock with a par value of $1.00 per share authorized and outstanding. At both October 31, 2018 and 2017 , there were 70,182 shares 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 Changes in shares of common stock and treasury stock were as follows: (in millions) Common Stock Treasury Stock Shares Outstanding Balance as of October 31, 2015 86.8 5.3 81.5 Shares issued — (0.1 ) 0.1 Shares acquired — — — Balance as of October 31, 2016 86.8 5.2 81.6 Shares issued 16.3 (0.7 ) 17.0 Shares acquired — 0.1 (0.1 ) Balance as of October 31, 2017 103.1 4.6 98.5 Shares issued — (0.5 ) 0.5 Shares acquired — 0.1 (0.1 ) Balance as of October 31, 2018 103.1 4.2 98.9 On February 28, 2017, we consummated our previously announced strategic alliance with TRATON Group, which included an equity investment in the Company by TRATON Group pursuant to the Stock Purchase Agreement, the License and Supply Framework Agreement and the Procurement JV Framework Agreement. Pursuant to the TRATON Group Stock Purchase Agreement, on February 28, 2017 we issued and TRATON Group purchased 16.2 million of our shares of common stock for an aggregate purchase price of $256 million at $15.76 per share (an estimated 19.9% stake ( 16.6% on a fully-diluted basis) in the Company). Additional Paid in Capital 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 . 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. The 2018 Convertible Notes were fully repaid upon maturity in October 2018, and none were converted into our common stock. In accounting for the issuance of the 2019 Convertible Notes, the debt component and 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 $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 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, 2017 $ — $ (283 ) $ (1,928 ) $ (2,211 ) Other comprehensive income (loss) before reclassifications — (32 ) 201 169 Amounts reclassified out of accumulated other comprehensive loss — — 122 122 Net current-period other comprehensive income (loss) — (32 ) 323 291 Balance as of October 31, 2018 $ — $ (315 ) $ (1,605 ) $ (1,920 ) (in millions) Unrealized Gain on Marketable Securities Foreign Currency Translation Adjustments Defined Benefit Plans Total Balance as of October 31, 2016 $ 1 $ (280 ) $ (2,361 ) $ (2,640 ) Other comprehensive income (loss) before reclassifications (A) (1 ) (3 ) 279 275 Amounts reclassified out of accumulated other comprehensive loss — — 154 154 Net current-period other comprehensive income (loss) (1 ) (3 ) 433 429 Balance as of October 31, 2017 $ — $ (283 ) $ (1,928 ) $ (2,211 ) (A) Other comprehensive income before reclassifications for Defined Benefit Plans includes a $28 million intraperiod tax allocation and $8 million of deferred tax assets. (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 ) 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 2018 2017 2016 Defined benefit plans Amortization of prior service benefit Selling, general and administrative expenses $ — $ — $ (1 ) Amortization of actuarial loss Selling, general and administrative expenses 114 138 133 Settlements Selling, general and administrative expenses 9 — — Settlements Restructuring — 23 — Total before tax 123 161 132 Income tax expense (1 ) (7 ) (1 ) Total reclassifications for the period, net of tax $ 122 $ 154 $ 131 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 6.625% Senior Notes indenture, our Loan Agreement with regard to the Tax Exempt Bonds and our Amended Term Loan Credit Agreement, contain terms that include various negative 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, 2018 | |
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 income (loss), all attributable to NIC in our Consolidated Statements of Operations : For the Years Ended October 31, (in millions, except per share data) 2018 2017 2016 Numerator: Amounts attributable to Navistar International Corporation common stockholders: Income (loss) from continuing operations, net of tax $ 340 $ 29 $ (97 ) Income from discontinued operations, net of tax — 1 — Net income (loss) $ 340 $ 30 $ (97 ) Denominator: Weighted average shares outstanding: Basic 98.9 93.0 81.7 Effect of dilutive securities 0.7 0.5 — Diluted 99.6 93.5 81.7 Earnings (loss) per share attributable to Navistar International Corporation: Basic: Continuing operations $ 3.44 $ 0.31 $ (1.19 ) Discontinued operations — 0.01 — Net income (loss) $ 3.44 $ 0.32 $ (1.19 ) Diluted: Continuing operations $ 3.41 $ 0.31 $ (1.19 ) Discontinued operations — 0.01 — Net income (loss) $ 3.41 $ 0.32 $ (1.19 ) The conversion rate on our 4.5% Senior Subordinated Convertible Notes due 2018 (the "2018 Convertible Notes") was 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 had an anti-dilutive effect when calculating diluted earnings per share as our average stock price was less than $58.40 for all periods presented. The 2018 Convertible Notes were fully repaid upon maturity in October 2018, and none were converted into our common stock. The conversion rate on our 4.75% Senior Subordinated Convertible Notes due 2019 (the "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 2018 Convertible Notes and 2019 Convertible Notes, see Note 9, Debt . In February 2017, we consummated our previously announced strategic alliance with TRATON Group, which included an equity investment in the Company by TRATON Group pursuant to a Stock Purchase Agreement (the "Stock Purchase Agreement"), a License and Supply Framework Agreement and a Procurement JV Framework Agreement. Pursuant to the Stock Purchase Agreement, on February 28, 2017 we issued and TRATON Group purchased 16.2 million shares of our common stock for an aggregate purchase price of $256 million at $15.76 per share (a 19.9% stake at the time of purchase ( 16.6% on a fully-diluted basis)) in the Company, excluding stock issuance costs. 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 year ended October 31, 2016, 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, 2018 , 2017 , and 2016 , the aggregate shares not included were 9.8 million , 13.9 million , and 15.0 million , respectively. For the year ended October 31, 2018, the aggregate shares not included in the computation of earnings per share were primarily comprised of 7.6 million shares related to the 2019 Convertible Notes. For the years ended October 31, 2017 and 2016 , 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. |
Stock-based Compensation Plans
Stock-based Compensation Plans (Notes) | 12 Months Ended |
Oct. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | 17. 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 plan was amended on February 11, 2015. 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, the Company’s 2004 Performance Incentive Plan, or the Ownership Program as further described below, (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, 2018 , 3,142,917 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, as amended from time to time (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. In general, under the Ownership Program in existence through 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) increased stock ownership guideline multiples to six times salary for the President and CEO and up to three times salary for other senior executives; (ii) modified retention requirements for Company granted equity until ownership requirements are met; (iii) added a holding period for shares acquired through transactions with Company granted equity after the executives satisfy the stock ownership requirement; (iv) eliminated the granting of premium shares as an inducement to executives fulfilling stock ownership guidelines on an accelerated basis; and (v) eliminated 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, 2018 . 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 29,712 PSUs outstanding as of October 31, 2018 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 IRC Section Rule 409A. PSUs and DSUs awarded between February 19, 2013 and October 31, 2013 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, 2018 , 19,491 deferred shares were outstanding under the Deferred Fee Plan. Beginning on September 30, 2013, shares deferred by non-employee directors have been 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. Stock options granted in December 2009 through November 2016 were granted with a seven -year contractual life. Since December 2016, stock options have been granted with a ten-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, 2018 2017 2016 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 2,408 $ 38.81 2,835 $ 38.89 2,886 $ 39.33 Granted 236 40.44 301 27.88 35 10.6 Exercised (236 ) 32.78 (325 ) 30.25 — — Forfeited/expired (628 ) 56.64 (403 ) 38.13 (86 ) 42.30 Options outstanding, at end of year 1,780 28.98 2,408 38.81 2,835 38.89 Options exercisable, at end of year 1,396 33.55 2,073 40.72 2,695 39.29 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 - $ 31.19 813 3.7 $ 28.19 $ 4.3 $ 31.20 - $ 39.32 684 0.9 37.02 — $ 39.33 - $ 68.65 283 7.3 41.52 — Options Outstanding 1,780 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 - $ 31.19 637 2.5 $ 28.52 $ 3.2 $ 31.20 - $ 39.32 678 0.8 37.05 — $ 39.33 - $ 68.65 81 2.4 43.86 — Options Exercisable 1,396 The weighted average grant date fair value of options granted during the years ended October 31, 2018 , 2017 , and 2016 was $18.90 , $13.61 , and $5.15 , respectively. The total intrinsic value of stock options exercised during the years ended October 31, 2018 , 2017 , and 2016 was $2.5 million , $2.6 million , and zero , 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, 2018 2017 2016 Risk-free interest rate 2.5 % 1.9 % 1.7 % Expected volatility 49.1 % 55.2 % 56.8 % Expected life (in years) 5.3 5.0 4.8 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, 2018 2017 2016 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 — $ — — $ — — $ — Granted 4 34.97 5 24.62 5 12.52 Vested (4 ) 34.97 (5 ) 24.62 (5 ) 12.52 Nonvested, at end of year — — — — — — The aggregate grant date fair value of restricted stock vested for the years ended October 31, 2018 , 2017 and 2016 was $0.1 million . 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 2018 2017 2016 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 619 $ 15.04 613 $ 8.74 69 $ 28.60 Granted 168 40.05 210 27.28 624 8.76 Vested (214 ) 9.59 (204 ) 8.74 (66 ) 28.66 Forfeited (71 ) 20.24 — — (14 ) 13.07 Nonvested, at end of year 502 25.01 619 15.04 613 8.74 Cash-Settled RSUs 2018 2017 2016 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 587 $ 18.02 817 $ 13.95 498 $ 29.96 Granted 187 40.12 258 27.48 650 7.26 Vested (319 ) 16.42 (456 ) 15.92 (231 ) 26.06 Forfeited (27 ) 22.76 (32 ) 20.17 (100 ) 22.19 Nonvested, at end of year 428 28.58 587 18.02 817 13.95 The aggregate grant date fair value of RSUs vested during the years ended October 31, 2018 , 2017 , and 2016 was $7 million , $9 million , and $8 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, 2018 2017 2016 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 599 $ 27.59 973 $ 30.47 1,409 $ 31.64 Exercised (13 ) 27.67 — — — — Forfeited (434 ) 27.59 (374 ) 35.09 (436 ) 34.22 Options outstanding, at end of year 152 27.59 599 27.59 973 30.47 There were 151,968 performance-based stock options subject to service and performance conditions exercisable during the year ended October 31, 2018 . The following table summarizes the performance-based stock options subject to service and market conditions activity: For the Years Ended October 31, 2018 2017 2016 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 431 $ 27.24 567 $ 27.24 615 $ 27.24 Exercised (44 ) 27.24 (130 ) 27.24 — — Forfeited — — (6 ) 27.24 (48 ) 27.24 Options outstanding, at end of year 387 27.24 431 27.24 567 27.24 Options exercisable, at end of year 387 27.24 431 27.24 567 27.24 The total intrinsic value of stock options exercised during the years ended October 31, 2018 and October 31, 2017 was $0.9 million and $1.5 million , respectively. Performance-based Stock Units Performance-based stock units ("PUs") represent the right to receive one share of common stock ("share-settled PUs") or cash equal to the value of one share of common stock ("cash-settled PUs") 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 PUs 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 PUs 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 PUs are classified as liabilities and are remeasured at each reporting date until settlement. The following tables summarize PUs activity for the years ended October 31: Share-Settled PUs subject to Service and Performance Conditions 2018 2017 2016 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 Forfeited — — — — (244 ) 28.73 Nonvested, at end of year — — — — — — Cash-Settled PUs subject to Service and Performance Conditions 2018 2017 2016 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 220 $ 27.59 379 $ 30.63 $ 434 $ 30.64 Granted — — — — — — Vested (121 ) 27.59 — — — — Forfeited (99 ) 27.59 (159 ) 34.86 (55 ) 30.65 Nonvested, at end of year — — 220 27.59 379 30.63 Cash Settled PUs subject to Service and Market Conditions 2018 2017 2016 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 — $ — 70 $ 50.52 172 $ 69.64 Forfeited — — (70 ) 50.52 (102 ) 82.86 Nonvested, at end of year — — — — 70 50.52 Total Share-Based Compensation Expense Total share-based compensation expense for the years ended October 31, 2018 , 2017 , and 2016 was $17 million , $25 million and $15 million , respectively. As of October 31, 2018 , the minimum performance measures for the fiscal year 2014 performance-based stock options and cash-settled PUs were not met and no share-based compensation expense was recorded. However, fiscal year 2015 and 2016 performance-based stock options and cash-settled PUs 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, 2018 , there was $14 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 one year. We received cash of $8 million , $12 million , and zero during the years ended October 31, 2018 , 2017 and 2016 , respectively, related to stock options exercised. We used cash of $13 million , $13 million , and $2 million during the years ended October 31, 2018 , 2017 , and 2016 , respectively, to settle cash-settled RSUs. We did no t realize any tax benefit from stock options exercised for fiscal years 2018 and 2017 . There were no stock options exercised in 2016 . |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information (Notes) | 12 Months Ended |
Oct. 31, 2018 | |
Supplemental Cash Flow Elements [Abstract] | |
Cash Flow, Supplemental Disclosures [Text Block] | 18. 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) 2018 2017 2016 Equity in income of affiliated companies, net of dividends Equity in income of non-consolidated affiliates $ — $ (6 ) $ (6 ) Dividends from non-consolidated affiliates 7 7 12 Equity in income of non-consolidated affiliates, net of dividends $ 7 $ 1 $ 6 Other non-cash operating activities Loss (gain) on sale of property and equipment $ — $ (9 ) $ 2 Loss on sale and impairment of repossessed collateral 1 7 6 Income from non-cash leases (24 ) (26 ) (20 ) Other non-cash operating activities $ (23 ) $ (28 ) $ (12 ) Changes in other assets and liabilities Other current assets $ (7 ) $ (19 ) $ 8 Other noncurrent assets (19 ) (38 ) (11 ) Other current liabilities 116 (35 ) (165 ) Postretirement benefits liabilities (131 ) (65 ) (47 ) Other noncurrent liabilities 58 (62 ) (114 ) Other, net 9 (7 ) (41 ) Changes in other assets and liabilities $ 26 $ (226 ) $ (370 ) Cash paid during the year Interest, net of amounts capitalized $ 306 $ 294 $ 291 Income taxes, net of refunds 18 19 44 Non-cash investing and financing activities Property and equipment acquired under capital leases $ — $ — $ 1 Transfers to inventories from property and equipment for leases to others (9 ) (7 ) (27 ) |
Selected Quarterly Financial Da
Selected Quarterly Financial Data (unaudited) (Notes) | 12 Months Ended |
Oct. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information [Text Block] | . 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) 2018 2017 2018 2017 Sales and revenues, net $ 1,905 $ 1,663 $ 2,422 $ 2,096 Manufacturing gross margin (A) 335 259 395 287 Amounts attributable to Navistar International Corporation common shareholders: Income (loss) from continuing operations, net of tax $ (73 ) $ (62 ) $ 55 $ (80 ) Income (loss) from discontinued operations, net of tax — — — — Net income (loss) $ (73 ) $ (62 ) $ 55 $ (80 ) Earnings (loss) per share attributable to Navistar International Corporation: Basic: Continuing operations (B) $ (0.74 ) $ (0.76 ) $ 0.56 $ (0.86 ) Discontinued operations (B) — — — — $ (0.74 ) $ (0.76 ) $ 0.56 $ (0.86 ) Diluted: Continuing operations (B) $ (0.74 ) $ (0.76 ) $ 0.55 $ (0.86 ) Discontinued operations (B) — — — — $ (0.74 ) $ (0.76 ) $ 0.55 $ (0.86 ) Third Quarter Ended July 31, Fourth Quarter Ended October 31, (in millions, except for per share data and stock prices) 2018 2017 2018 2017 Sales and revenues, net $ 2,606 $ 2,213 $ 3,317 $ 2,598 Manufacturing gross margin (A) 470 375 573 470 Amounts attributable to Navistar International Corporation common shareholders: Income from continuing operations, net of tax $ 170 $ 36 $ 188 $ 135 Income from discontinued operations, net of tax — 1 — — Net income $ 170 $ 37 $ 188 $ 135 Earnings per share attributable to Navistar International Corporation: Basic: Continuing operations (B) $ 1.72 $ 0.37 $ 1.90 $ 1.37 Discontinued operations (B) — 0.01 — — $ 1.72 $ 0.38 $ 1.90 $ 1.37 Diluted: Continuing operations (B) $ 1.71 $ 0.37 $ 1.89 $ 1.36 Discontinued operations (B) — 0.01 — — $ 1.71 $ 0.38 $ 1.89 $ 1.36 _______________________ (A) Manufacturing gross margin is calculated by subtracting Costs of products sold from Sales of manufactured products, net . |
Subsequent Events (Notes)
Subsequent Events (Notes) | 12 Months Ended |
Oct. 31, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | Subsequent Events In November 2018, we entered into a definitive agreement with Cerberus Capital Management, L.P. and its affiliates (“Cerberus”) to sell a 70% equity interest in our defense business, Navistar Defense, LLC (“Navistar Defense”), for a total value of approximately $140 million , adjusted for certain current year chargeouts. The total value is subject to additional adjustments related to working capital, the transfer of certain liabilities and commitments, and other items. The agreement also includes an exclusive long term supply agreement for commercial parts and chassis. The transaction is subject to customary closing conditions, including regulatory clearances. We expect the transaction to close in the first quarter of 2019. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Oct. 31, 2018 | |
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. During 2017, we identified a triggering event related to continued economic weakness in Brazil which resulted in the decline in forecasted results for the Brazilian asset group. The Brazilian asset group is included in our Global Operations segment. As a result, we estimated the recoverable amount of the asset group and determined that the sum of the estimated undiscounted future cash flows exceeds the carrying value and the asset group was not impaired. Significant adverse changes to our business environment and future cash flows could cause us to record impairment charges in future periods, which could be material. 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. For 2018 and 2017 , we recognized a benefit to pre-existing warranties of $9 million and $1 million , respectively, as compared to charges of $77 million in 2016 . 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 2018 warranty expense were $10 million of charges related to new campaign issuances as well as changes in estimates of previously issued campaigns, as compared to $21 million and $17 million in 2017 and 2016 , 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) 2018 2017 2016 Balance at beginning of period $ 629 $ 818 $ 994 Costs accrued and revenues deferred 211 199 186 Currency translation adjustment 1 (1 ) 3 Adjustments to pre-existing warranties (A) (9 ) (1 ) 77 Payments and revenues recognized (303 ) (386 ) (442 ) Balance at end of period 529 629 818 Less: Current portion 255 307 396 Noncurrent accrued product warranty and deferred warranty revenue $ 274 $ 322 $ 422 ________________________ (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 historical 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. The impact of income taxes on the 2018 , 2017 , and 2016 adjustments are not material due to our deferred tax valuation allowances on our U.S. deferred tax assets. Extended Warranty Programs The amount of deferred revenue related to extended warranty programs was $255 million , $271 million , and $325 million at October 31, 2018 , 2017 , and 2016 , respectively. Revenue recognized under our extended warranty programs was $104 million , $144 million , and $150 million for the years ended October 31, 2018 , 2017 , and 2016 , respectively. In 2018 , we recognized a net benefit of $29 million related to extended warranty contracts on our proprietary Big-Bore engines, which includes a benefit of $33 million related to pre-existing warranties. In 2017 , we recognized a net charge of $8 million related to extended warranty contracts on our proprietary Big-Bore engines, which includes a charge of $3 million related to pre-existing warranties. In 2016 , we recognized a net charge of $34 million related to extended warranty contracts on our proprietary Big-Bore engines, which includes a charge of $26 million related to pre-existing warranties. |
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 2016, 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. As a result, we performed an impairment analysis in the third quarter of 2016 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 $1 million . 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 our 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 $39 million and $49 million and liabilities of $4 million and $13 million as of October 31, 2018 and 2017 , respectively, including $4 million and $10 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. Our Financial Services segment consolidates several VIEs. As a result, our Consolidated Balance Sheets include secured assets of $994 million and $869 million as of October 31, 2018 and 2017 , respectively, and liabilities of $852 million and $754 million as of October 31, 2018 and 2017 , 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 $370 million and $278 million as of October 31, 2018 and 2017 , respectively, and corresponding liabilities of $205 million and $194 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 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. Related Party Transactions We have a series of commercial relationships and agreements with TRATON AG (formerly Volkswagen Truck & Bus AG) and certain of its subsidiaries and affiliates ("TRATON Group") for royalties related to use of certain engine technology, contract manufacturing operations performed by us, the sale of engines, the sale and purchase of parts, and a procurement joint venture. We have also entered into development agreements with TRATON Group involving certain engine and transmission projects. This development work is being expensed as incurred. Revenue recognized for the years ended October 31, 2018 and 2017 , was approximately $146 million and $119 million , respectively. Net expenses incurred for the years ended October 31, 2018 and 2017 were $27 million and $7 million , respectively, included primarily in Engineering and product development costs in our Consolidated Statements of Operations. Our receivable from TRATON Group was $10 million and $13 million as of October 31, 2018 and 2017 , respectively. Our payable to TRATON Group was $25 million and $5 million as of October 31, 2018 and 2017 , respectively. 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 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, and other contract manufacturing arrangements, are recognized using the units-of-delivery measure under the percentage-of-completion accounting method as units are delivered and accepted, if required, by the customer. 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 according to contractual terms 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. These transactions do not qualify for sale accounting under U.S. GAAP and are therefore accounted for as secured borrowing transactions. 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 are 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, 2018 , 2017 , and 2016 , we elected not to use 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, and related equipment. • Finance leases —Finance leases consist of direct financing leases to commercial customers for acquisition of new and used trucks, and related equipment. • Wholesale notes —Wholesale notes primarily consist of variable rate loans to our dealers for the purchase of new and used trucks, 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, 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 Other income, net . 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 net realizable value ("NRV"). Cost is principally determined using the first-in, first-out method. Our gross used truck inventory was $154 million at October 31, 2018 compared to $206 million at October 31, 2017 , offset by reserves of $31 million and $110 million , respectively. In valuing our used truck inventory, we are required to make assumptions regarding the level of reserves required to value inventories at their 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) 2018 2017 2016 Balance at beginning of period $ 110 $ 208 $ 110 Additions charged to expense (A) 50 111 187 Deductions/Other adjustments (B) (129 ) (209 ) (89 ) Balance at end of period $ 31 $ 110 $ 208 _________________________ (A) Additions charged to expense reflects the increase of the reserve for inventory on hand. During 2017, we implemented a shift in market mix to include an increase in volume to certain export markets, which have a lower price point as compared to sales through our domestic channels, and lower domestic pricing to enable higher sales velocity. (B) Deductions/Other adjustments include reductions of the reserve related to the sale of units. 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. During 2017, we identified a triggering event related to continued economic weakness in Brazil which resulted in the decline in forecasted results for the Brazilian asset group. The Brazilian asset group is included in our Global Operations segment. As a result, we estimated the recoverable amount of the asset group and determined that the sum of the estimated undiscounted future cash flows exceeds the carrying value and the asset group was not impaired. Significant adverse changes to our business environment and future cash flows could cause us to record impairment charges in future periods, which could be material. 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 2016, 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. As a result, we performed an impairment analysis in the third quarter of 2016 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 $1 million . 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 our 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 other 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 SG&A expenses . These costs totaled $31 million , $26 million , and $13 million for the years ended October 31, 2018 , 2017 , and 2016 , 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, SG&A 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. For 2018 and 2017 , we recognized a benefit to pre-existing warranties of $9 million and $1 million , respectively, as compared to charges of $77 million in 2016 . 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 2018 warranty expense were $10 million of charges related to new campaign issuances as well as changes in estimate |
Inventory, Policy [Policy Text Block] | Inventories Inventories are valued at the lower of cost or net realizable value ("NRV"). Cost is principally determined using the first-in, first-out method. Our gross used truck inventory was $154 million at October 31, 2018 compared to $206 million at October 31, 2017 , offset by reserves of $31 million and $110 million , respectively. In valuing our used truck inventory, we are required to make assumptions regarding the level of reserves required to value inventories at their 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) 2018 2017 2016 Balance at beginning of period $ 110 $ 208 $ 110 Additions charged to expense (A) 50 111 187 Deductions/Other adjustments (B) (129 ) (209 ) (89 ) Balance at end of period $ 31 $ 110 $ 208 _________________________ (A) Additions charged to expense reflects the increase of the reserve for inventory on hand. During 2017, we implemented a shift in market mix to include an increase in volume to certain export markets, which have a lower price point as compared to sales through our domestic channels, and lower domestic pricing to enable higher sales velocity. (B) Deductions/Other adjustments include reductions of the reserve related to the sale of units. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Issued Accounting Standards |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Oct. 31, 2018 | |
Accounting Policies [Abstract] | |
Schedule of Truck Reserve | The following table presents our used truck reserve: For the Years Ended October 31, (in millions) 2018 2017 2016 Balance at beginning of period $ 110 $ 208 $ 110 Additions charged to expense (A) 50 111 187 Deductions/Other adjustments (B) (129 ) (209 ) (89 ) Balance at end of period $ 31 $ 110 $ 208 _________________________ (A) Additions charged to expense reflects the increase of the reserve for inventory on hand. During 2017, we implemented a shift in market mix to include an increase in volume to certain export markets, which have a lower price point as compared to sales through our domestic channels, and lower domestic pricing to enable higher sales velocity. (B) Deductions/Other adjustments include reductions of the reserve related to the sale of units. |
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) 2018 2017 2016 Balance at beginning of period $ 629 $ 818 $ 994 Costs accrued and revenues deferred 211 199 186 Currency translation adjustment 1 (1 ) 3 Adjustments to pre-existing warranties (A) (9 ) (1 ) 77 Payments and revenues recognized (303 ) (386 ) (442 ) Balance at end of period 529 629 818 Less: Current portion 255 307 396 Noncurrent accrued product warranty and deferred warranty revenue $ 274 $ 322 $ 422 ________________________ (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 historical 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. The impact of income taxes on the 2018 , 2017 , and 2016 adjustments are not material due to our deferred tax valuation allowances on our U.S. deferred tax assets. |
Restructuring and Impairments (
Restructuring and Impairments (Tables) | 12 Months Ended |
Oct. 31, 2018 | |
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 excludes pension and other postretirement contractual termination benefits: (in millions) Balance at October 31, 2017 Additions Payments Adjustments Balance at October 31, 2018 Employee termination charges $ 14 $ 3 $ (10 ) $ (4 ) $ 3 Lease vacancy — — — — — Other 1 — — — 1 Restructuring liability $ 15 $ 3 $ (10 ) $ (4 ) $ 4 (in millions) Balance at October 31, 2016 Additions Payments Adjustments Balance at October 31, 2017 Employee termination charges $ 5 $ 22 $ (12 ) $ (1 ) $ 14 Lease vacancy 1 — (1 ) — — Other 1 — — — 1 Restructuring liability $ 7 $ 22 $ (13 ) $ (1 ) $ 15 (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 |
Finance Receivables (Tables)
Finance Receivables (Tables) | 12 Months Ended |
Oct. 31, 2018 | |
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) 2018 2017 Retail portfolio $ 720 $ 559 Wholesale portfolio 1,460 1,246 Total finance receivables 2,180 1,805 Less: Allowance for doubtful accounts 22 20 Total finance receivables, net 2,158 1,785 Less: Current portion, net (A) 1,898 1,565 Noncurrent portion, net $ 260 $ 220 _________________________ (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) 2018 2017 2016 Retail notes and finance leases revenue $ 50 $ 41 $ 38 Wholesale notes interest 105 102 107 Operating lease revenue 72 68 66 Retail and wholesale accounts interest 30 24 24 Gross finance revenues 257 235 235 Less: Intercompany revenues 97 93 100 Finance revenues $ 160 $ 142 $ 135 |
Allowance for Doubtful Accoun_2
Allowance for Doubtful Accounts (Tables) | 12 Months Ended |
Oct. 31, 2018 | |
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, 2018 (in millions) Retail Wholesale Trade and Total Allowance for doubtful accounts, at beginning of period $ 17 $ 3 $ 28 $ 48 Provision for doubtful accounts 7 — 3 10 Charge-off of accounts (7 ) — (1 ) (8 ) Recoveries 3 — — 3 Other (A) (1 ) — (2 ) (3 ) Allowance for doubtful accounts, at end of period $ 19 $ 3 $ 28 $ 50 For the Year Ended October 31, 2017 (in millions) Retail Wholesale Trade and Total Allowance for doubtful accounts, at beginning of period $ 19 $ 2 $ 28 $ 49 Provision for doubtful accounts 4 1 2 7 Charge-off of accounts (7 ) — (1 ) (8 ) Recoveries 1 — — 1 Other (A) — — (1 ) (1 ) Allowance for doubtful accounts, at end of period $ 17 $ 3 $ 28 $ 48 For the Year Ended October 31, 2016 (in millions) Retail Portfolio Wholesale Portfolio Trade and Other Receivables Total Allowance for doubtful accounts, at beginning of period $ 22 $ 4 $ 22 $ 48 Provision for doubtful accounts 8 (2 ) 6 12 Charge-off of accounts (9 ) — (3 ) (12 ) Recoveries — — — — Other (A) (2 ) — 3 1 Allowance for doubtful accounts, at end of period $ 19 $ 2 $ 28 $ 49 ____________________ (A) Amounts include impact from currency translation. |
Impaired Financing Receivables [Table Text Block] | The following table presents information regarding impaired finance receivables: October 31, 2018 October 31, 2017 (in millions) Retail Wholesale Total Retail Wholesale Total Impaired finance receivables with specific loss reserves $ 20 $ — $ 20 $ 16 $ — $ 16 Impaired finance receivables without specific loss reserves — — — — — — Specific loss reserves on impaired finance receivables 9 — 9 7 — 7 Finance receivables on non-accrual status 20 — 20 16 — 16 |
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, 2018 (in millions) Retail Wholesale Total Current, and less than 30 days past due $ 655 $ 1,459 $ 2,114 30-90 days past due 51 1 52 Over 90 days past due 14 — 14 Total finance receivables $ 720 $ 1,460 $ 2,180 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Oct. 31, 2018 | |
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) 2018 2017 Finished products $ 671 $ 584 Work in process 118 33 Raw materials 321 240 Total inventories, net $ 1,110 $ 857 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 12 Months Ended |
Oct. 31, 2018 | |
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) 2018 2017 Land $ 92 $ 92 Buildings 554 548 Leasehold improvements 24 27 Machinery and equipment 2,028 2,057 Furniture, fixtures, and equipment 461 426 Equipment leased to others 665 586 Construction in progress 44 64 Total property and equipment, at cost 3,868 3,800 Less: Accumulated depreciation and amortization 2,498 2,474 Property and equipment, net $ 1,370 $ 1,326 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) 2018 2017 Equipment leased to others $ 665 $ 586 Less: Accumulated depreciation 177 191 Equipment leased to others, net $ 488 $ 395 Buildings, machinery, and equipment under financing arrangements and capital lease obligations $ 25 $ 61 Less: Accumulated depreciation and amortization 21 41 Assets under financing arrangements and capital lease obligations, net $ 4 $ 20 For the years ended October 31, 2018 , 2017 , and 2016 , 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) 2018 2017 2016 Depreciation expense $ 133 $ 138 $ 134 Depreciation of equipment leased to others 71 73 79 Amortization expense 2 3 5 Interest capitalized 2 2 3 Certain depreciation expense on buildings used for administrative purposes is recorded in SG&A expenses. Capital Expenditures At October 31, 2018 , 2017 , and 2016 , commitments for capital expenditures were $36 million , $27 million , and $24 million , respectively. At October 31, 2018 , 2017 , and 2016 , liabilities related to capital expenditures that are included in accounts payable were $50 million , $48 million , and $21 million , respectively. Leases We lease certain land, buildings, and equipment under non-cancelable operating leases and capital leases expiring at various dates through 2027 . 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, 2018 , 2017 , and 2016 was $40 million , $49 million , and $53 million , respectively. Rental income from subleases for the years ended October 31, 2018 , 2017 , and 2016 was $5 million , $11 million , and $12 million , respectively. Future minimum lease payments at October 31, 2018 , 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 2019 $ 5 $ 32 $ 37 2020 4 28 32 2021 4 23 27 2022 1 18 19 2023 1 14 15 Thereafter — 18 18 15 $ 133 $ 148 Less: Interest portion 2 Total $ 13 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) 2018 2017 Land $ 92 $ 92 Buildings 554 548 Leasehold improvements 24 27 Machinery and equipment 2,028 2,057 Furniture, fixtures, and equipment 461 426 Equipment leased to others 665 586 Construction in progress 44 64 Total property and equipment, at cost 3,868 3,800 Less: Accumulated depreciation and amortization 2,498 2,474 Property and equipment, net $ 1,370 $ 1,326 |
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) 2018 2017 Equipment leased to others $ 665 $ 586 Less: Accumulated depreciation 177 191 Equipment leased to others, net $ 488 $ 395 Buildings, machinery, and equipment under financing arrangements and capital lease obligations $ 25 $ 61 Less: Accumulated depreciation and amortization 21 41 Assets under financing arrangements and capital lease obligations, net $ 4 $ 20 |
Schedule Of Depreciation Amortization Expenses And Interest Capitalized [Table Text Block] | For the years ended October 31, 2018 , 2017 , and 2016 , 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) 2018 2017 2016 Depreciation expense $ 133 $ 138 $ 134 Depreciation of equipment leased to others 71 73 79 Amortization expense 2 3 5 Interest capitalized 2 2 3 |
Schedule of Future Minimum Lease Payments for Capital Leases [Table Text Block] | Future minimum lease payments at October 31, 2018 , 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 2019 $ 5 $ 32 $ 37 2020 4 28 32 2021 4 23 27 2022 1 18 19 2023 1 14 15 Thereafter — 18 18 15 $ 133 $ 148 Less: Interest portion 2 Total $ 13 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible assets, Net (Tables) | 12 Months Ended |
Oct. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
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, 2018 (in millions) Customer Trademarks, Patents and Other Total Gross carrying value $ 68 $ 84 $ 152 Accumulated amortization (66 ) (74 ) (140 ) Net of amortization $ 2 $ 10 $ 12 As of October 31, 2017 (in millions) Customer Trademarks, Patents and Other Total Gross carrying value (A) $ 71 $ 83 $ 154 Accumulated amortization (A) (67 ) (68 ) (135 ) Net of amortization $ 4 $ 15 $ 19 |
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 2019 $ 3 2020 2 2021 1 2022 1 2023 1 Thereafter 4 |
Investments in Non-Consolidat_2
Investments in Non-Consolidated Affiliates (Tables) | 12 Months Ended |
Oct. 31, 2018 | |
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) 2018 2017 Assets: Current assets $ 336 $ 286 Noncurrent assets 168 179 Total assets $ 504 $ 465 Liabilities and equity: Current liabilities $ 307 $ 257 Noncurrent liabilities 38 38 Total liabilities 345 295 Partners' capital and stockholders' equity: NIC 53 56 Third parties 106 114 Total partners' capital and stockholders' equity 159 170 Total liabilities and equity $ 504 $ 465 |
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) 2018 2017 2016 Net sales $ 505 $ 497 $ 584 Costs, expenses, and income tax expense 507 488 571 Net income (loss) $ (2 ) $ 9 $ 13 |
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) 2018 2017 Receivables due from affiliates $ 1 $ 1 Payables due to affiliates 22 19 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Oct. 31, 2018 | |
Debt Disclosure [Abstract] | |
Debt | As of October 31, (in millions) 2018 2017 Manufacturing operations Senior Secured Term Loan Credit Agreement, due 2025, net of unamortized discount of $7 and unamortized debt issuance costs of $11 $ 1,570 $ — Senior Secured Term Loan Credit Facility, as amended, due 2020, net of unamortized discount of $7, and unamortized debt issuance costs of $9 — 1,003 6.625% Senior Notes, due 2026, net of unamortized debt issuance costs of $17 1,083 — 8.25% Senior Notes, due 2022, net of unamortized discount of $13 and unamortized debt issuance costs of $14 — 1,423 4.50% Senior Subordinated Convertible Notes, due 2018, net of unamortized discount of $5 and unamortized debt issuance costs of $1 — 194 4.75% Senior Subordinated Convertible Notes, due 2019, net of unamortized discount of $5 and $14, respectively, and unamortized debt issuance costs of $1 and $3, respectively 405 394 Loan Agreement related to 6.75% Tax Exempt Bonds, due 2040, net of unamortized debt issuance costs of $5 at both dates 220 220 Financed lease obligations 122 130 Other 26 43 Total Manufacturing operations debt 3,426 3,407 Less: Current portion 461 286 Net long-term Manufacturing operations debt $ 2,965 $ 3,121 As of October 31, (in millions) 2018 2017 Financial Services operations Asset-backed debt issued by consolidated SPEs, at fixed and variable rates, due serially through 2023 , net of unamortized debt issuance costs of $4 and $5, respectively $ 948 $ 849 Senior secured NFC Term Loan, due 2025, net of unamortized discount of $2, and unamortized debt issuance costs of $4 394 — Bank credit facilities, at fixed and variable rates, due dates from 2019 through 2024 , net of unamortized debt issuance costs of $2 and $2, respectively 519 616 Commercial paper, at variable rates, program matures in 2022 75 92 Borrowings secured by operating and finance leases, at various rates, due serially through 2024 105 94 Total Financial Services operations debt 2,041 1,651 Less: Current portion 485 883 Net long-term Financial Services operations debt $ 1,556 $ 768 |
(Tables)
(Tables) | 12 Months Ended |
Oct. 31, 2018 | |
Retirement Benefits [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 $ 8 $ (7 ) Effect on postretirement benefit obligation 169 (143 ) |
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) 2018 2017 2016 Pension expense $ 72 $ 121 $ 82 Health and life insurance expense 33 (3 ) 71 Total postretirement benefits expense $ 105 $ 118 $ 153 |
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) 2018 2017 Projected benefit obligations $ 3,065 $ 3,487 Accumulated benefit obligations 3,051 3,471 Fair value of plan assets 1,865 2,035 |
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) 2018 2017 2018 2017 Change in benefit obligations Benefit obligations at beginning of year $ 3,799 $ 4,027 $ 1,435 $ 1,708 Service cost 7 7 4 5 Interest on obligations 108 107 43 47 Actuarial loss (gain) (251 ) (18 ) (159 ) (183 ) Settlements (25 ) (52 ) — — Contractual termination benefits — 10 — 4 Curtailments and other — (2 ) — (58 ) Currency translation (8 ) 17 — — Plan participants' contributions — — 40 36 Subsidy receipts — — 42 42 Benefits paid (286 ) (297 ) (160 ) (166 ) Benefit obligations at end of year $ 3,344 $ 3,799 $ 1,245 $ 1,435 Change in plan assets Fair value of plan assets at beginning of year $ 2,363 $ 2,310 $ 333 $ 333 Actual return on plan assets (30 ) 256 4 38 Settlements (25 ) (52 ) — — Currency translation (8 ) 18 — — Employer contributions 132 112 1 2 Benefits paid (270 ) (281 ) (41 ) (40 ) Fair value of plan assets at end of year $ 2,162 $ 2,363 $ 297 $ 333 Funded status at year end $ (1,182 ) $ (1,436 ) $ (948 ) $ (1,102 ) |
Schedule of Expected Benefit Payments [Table Text Block] | The expected future benefit payments for the years ending October 31, 2019 through 2023 and the five years ending October 31, 2028 are estimated as follows: (in millions) Pension Benefit Payments Other Postretirement Benefit Payments (A) 2019 $ 283 $ 76 2020 278 85 2021 271 91 2022 264 93 2023 257 95 2024 through 2028 1,173 454 ________________________ (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, 2018 As of October 31, 2017 (in millions) Level 1 Level 2 Level 3 NAV Total Level 1 Level 2 Level 3 NAV Total Asset Category Cash and Cash Equivalents $ 77 $ — $ — $ — $ 77 $ 86 $ — $ — $ — $ 86 Collective Trusts and Other U.S. Equity 293 — — — 293 316 — — — 316 Canadian Equity 16 — — — 16 19 — — — 19 International Equity 270 — — — 270 327 — — — 327 Global Equity 205 — — — 205 235 — — — 235 Fixed Income - Long Duration Credit — 283 — — 283 — 508 — — 508 Fixed Income - Long Duration Government — 156 — — 156 — 20 — — 20 Fixed Income - Intermediate Duration Government — 48 — — 48 — — — — — Fixed Income - High Yield — 157 — — 157 — 214 — — 214 Fixed Income - Canadian Bond — 194 — — 194 — 213 — — 213 Global Real Estate — 135 — — 135 — 144 — — 144 Global Infrastructure — — — 9 9 — — — 10 10 Insurance linked Securities — — — 45 45 — — — — — Hedge Fund of Funds — — — 202 202 — — — 210 210 Private Equity — — — 32 32 — — — 43 43 Private Credit — — — 22 22 — — — — — Real Estate — — — — — — — 1 — 1 Total (A) $ 861 $ 973 $ — $ 310 $ 2,144 $ 983 $ 1,099 $ 1 $ 263 $ 2,346 ___________________ (A) In addition, the table above includes the fair value of Canadian pension assets translated at the exchange rates as of October 31, 2018 and 2017 , 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, 2018 As of October 31, 2017 (in millions) Level 1 Level 2 Level 3 NAV Total Level 1 Level 2 Level 3 NAV Total Asset Category Cash and Cash Equivalents $ 11 $ — $ — $ — $ 11 $ 6 $ — $ — $ — $ 6 Fixed Income U.S. Credit Bonds — 61 — — 61 — — — — — Corporate and Government Bonds — — — — — — 62 — — 62 Government Bonds — — — — — — 8 — — 8 Collective Trusts and Other U.S. Equity 59 — — — 59 71 — — — 71 International Equity 59 — — — 59 74 — — — 74 Fixed Income - Multi-Asset Credit 9 17 — — 26 — 29 — — 29 Real Estate (REITs) — — — 26 26 — — — 24 24 Mutual Fund — — — — — 9 — — — 9 Insurance Linked Securities — — — 8 8 — — — — — Hedge Fund of Funds — — — 39 39 — — — 39 39 Private Equity — — — 8 8 — — — 11 11 Total $ 138 $ 78 $ — $ 81 $ 297 $ 160 $ 99 $ — $ 74 $ 333 |
Schedule of Net Benefit Costs [Table Text Block] | For the Years Ended October 31, Pension Benefits Health and Life (in millions) 2018 2017 2016 2018 2017 2016 Service cost for benefits earned during the period $ 7 $ 7 $ 9 $ 4 $ 5 $ 5 Interest on obligation 108 107 118 43 47 58 Amortization of cumulative loss 106 116 104 9 22 31 Amortization of prior service cost (benefit) — — — — — (1 ) Settlements 9 23 — — — — Contractual termination benefits — 10 3 — 4 4 Curtailments and other — — — — (58 ) — Premiums on pension insurance 3 15 15 — — — Expected return on assets (161 ) (157 ) (167 ) (23 ) (23 ) (26 ) Net periodic benefit expense $ 72 $ 121 $ 82 $ 33 $ (3 ) $ 71 Other Changes in plan assets and benefit obligations recognized in other comprehensive loss (income) Actuarial net loss (gain) $ (61 ) $ (116 ) $ 313 $ (139 ) $ (197 ) $ (115 ) Amortization of cumulative loss (106 ) (116 ) (104 ) (9 ) (22 ) (31 ) Amortization of prior service benefit (cost) — — — — — 1 Settlements (9 ) (23 ) — — — — Curtailments — (2 ) — — — — Currency translation — — (1 ) — — — Total recognized in other comprehensive loss (income) $ (176 ) $ (257 ) $ 208 $ (148 ) $ (219 ) $ (145 ) Total net postretirement benefits (income) expense and other comprehensive loss (income) $ (104 ) $ (136 ) $ 290 $ (115 ) $ (222 ) $ (74 ) |
Schedule of Amounts in Accumulated Other Comprehensive Income (Loss) to be Recognized over Next Fiscal Year [Table Text Block] | 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/(gains) 98 (1 ) Pension Benefits Health and Life (in millions) 2018 2017 2018 2017 Amounts recognized in our Consolidated Balance Sheets consist of: Noncurrent asset $ 18 $ 16 $ — $ — Current liability (17 ) (16 ) (34 ) (41 ) Noncurrent liability (1,183 ) (1,436 ) (914 ) (1,061 ) Net liability recognized $ (1,182 ) $ (1,436 ) $ (948 ) $ (1,102 ) Amounts recognized in our accumulated other comprehensive loss consist of: Net actuarial loss $ 2,007 $ 2,183 $ 104 $ 252 Net prior service benefit — — — — Net amount recognized $ 2,007 $ 2,183 $ 104 $ 252 |
Schedule of Assumptions Used [Table Text Block] | Assumptions The weighted average rate assumptions used in determining benefit obligations for the years ended October 31, 2018 and 2017 are: Pension Benefits Health and Life Insurance Benefits 2018 2017 2018 2017 Discount rate used to determine present value of benefit obligation at end of year 4.4 % 3.5 % 4.4 % 3.6 % 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 2018 , 2017 , and 2016 were: Pension Benefits Health and Life Insurance Benefits 2018 2017 2016 2018 2017 2016 Discount rate used to determine service cost 3.9 % 3.9 % 4.5 % 3.9 % 4.0 % 4.6 % Discount rate used to determine interest cost 3.0 % 2.8 % 3.1 % 3.1 % 2.9 % 3.3 % Expected long-term rate of return on plan assets 7.2 % 7.2 % 7.5 % 7.5 % 7.5 % 7.5 % 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, 2018 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income before Income Tax, Domestic and Foreign | The following table presents the domestic and foreign components of Income (loss) from continuing operations before income taxes in our Consolidated Statements of Operations : For the Years Ended October 31, (in millions) 2018 2017 2016 Domestic $ 246 $ (74 ) $ (95 ) Foreign 174 138 63 Income (loss) from continuing operations before income taxes $ 420 $ 64 $ (32 ) |
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) 2018 2017 2016 Current: Federal $ — $ 4 $ (1 ) State and local (1 ) 10 (4 ) Foreign (47 ) (30 ) (36 ) Total current expense $ (48 ) $ (16 ) $ (41 ) Deferred: Federal $ 2 $ 19 $ 13 State and local (1 ) 4 (1 ) Foreign (5 ) (17 ) (4 ) Total deferred benefit (expense) $ (4 ) $ 6 $ 8 Total income tax expense $ (52 ) $ (10 ) $ (33 ) |
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) 2018 2017 2016 Federal income tax benefit (expense) (A) $ (98 ) $ (22 ) $ 11 State income taxes, net of federal benefit (3 ) (3 ) (3 ) Credits and incentives (50 ) 8 3 Adjustments to valuation allowances 1,120 (57 ) (132 ) Foreign operations (2 ) 4 53 Unremitted foreign earnings — — 37 Adjustments to uncertain tax positions (1 ) 15 (10 ) Intraperiod tax allocation offset to equity components — 28 — Non-controlling interest adjustment 6 9 11 Tax Act Mandatory Repatriation (34 ) — — Tax Act US Deferred Remeasurement (983 ) — — Other (7 ) 8 (3 ) Recorded income tax expense $ (52 ) $ (10 ) $ (33 ) |
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) 2018 2017 Deferred tax assets attributable to: Employee benefits liabilities $ 615 $ 1,073 Net operating loss ("NOL") carryforwards 979 1,383 Product liability and warranty accruals 172 290 Research and development 114 209 Tax credit carryforwards 212 262 Other 238 277 Gross deferred tax assets 2,330 3,494 Less: Valuation allowances 2,182 3,326 Net deferred tax assets $ 148 $ 168 Deferred tax liabilities attributable to: Other $ (27 ) $ (39 ) Total deferred tax liabilities $ (27 ) $ (39 ) |
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: For the years ended October 31, (in millions) 2018 2017 Liability for uncertain tax positions at November 1 $ 34 $ 50 Additions as a result of positions taken in prior periods 2 — Decrease as a result of positions taken in prior periods (7 ) (15 ) Settlements (2 ) (1 ) Liability for uncertain tax positions at October 31 $ 27 $ 34 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Oct. 31, 2018 | |
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, 2018 As of October 31, 2017 (in millions) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Assets Marketable securities: U.S. government and federal agency securities $ 101 $ — $ — $ 101 $ 370 $ — $ — $ 370 Derivative financial instruments: Commodity forward contracts (A) — 2 — 2 — 3 — 3 Foreign currency contracts (A) — — — — — 3 — 3 Interest rate caps (B) — 2 — 2 — 1 — 1 Total assets $ 101 $ 4 $ — $ 105 $ 370 $ 7 $ — $ 377 Liabilities Derivative financial instruments: Commodity forward contracts (C) $ — $ — $ — $ — $ — $ 1 $ — $ 1 Foreign currency contracts (C) — — — — — 1 — 1 Guarantees — — 24 24 — — 21 21 Total liabilities $ — $ — $ 24 $ 24 $ — $ 2 $ 21 $ 23 _________________________ (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, 2018 October 31, 2017 Guarantees, at beginning of period $ (21 ) $ (23 ) Transfers out of Level 3 — — Issuances (7 ) (2 ) Settlements 4 4 Guarantees, at end of period $ (24 ) $ (21 ) Change in unrealized gains on assets (liabilities) still held $ — $ — |
Financial instruments measured at fair value, nonrecurring basis | he following table presents the financial instruments measured at fair value on a nonrecurring basis: (in millions) October 31, 2018 October 31, 2017 Level 2 financial instruments Impaired finance receivables (A) $ 20 $ 16 Specific loss reserve (9 ) (7 ) Fair value $ 11 $ 9 _________________________ (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, 2018 Estimated Fair Value Carrying Value (in millions) Level 1 Level 2 Level 3 Total Assets Retail notes $ — $ — $ 180 $ 180 $ 183 Liabilities Debt: Manufacturing operations Senior Secured Term Loan Credit Agreement, due 2025 — — 1,597 1,597 1,570 6.625% Senior Notes, due 2026 — 1,122 — 1,122 1,083 4.75% Senior Subordinated Convertible Notes, due 2019 (A) 412 — — 412 405 Loan Agreement related to 6.75% Tax Exempt Bonds, due 2040 — 235 — 235 220 Financed lease obligations — — 122 122 122 Other — — 25 25 26 Financial Services operations Asset-backed debt issued by consolidated SPEs, due serially through 2023 — — 949 949 948 Senior secured NFC Term Loan, due 2025 — — 400 400 394 Bank credit facilities, due dates from 2019 through 2024 — — 511 511 519 Commercial paper, program matures in 2022 75 — — 75 75 Borrowings secured by operating and finance leases, due serially through 2024 — — 104 104 105 As of October 31, 2017 Estimated Fair Value Carrying Value (in millions) Level 1 Level 2 Level 3 Total Assets Retail notes $ — $ — $ 153 $ 153 $ 161 Liabilities Debt: Manufacturing operations Senior Secured Term Loan Credit Facility, due 2020 — — 1,019 1,019 1,003 8.25% Senior Notes, due 2022 1,450 — — 1,450 1,423 4.50% Senior Subordinated Convertible Notes, due 2018 (A) 208 — — 208 194 4.75% Senior Subordinated Convertible Notes, due 2019 (A) 446 — — 446 394 Loan Agreement related to 6.50% Tax Exempt Bonds, due 2040 — 243 — 243 220 Financed lease obligations — — 130 130 130 Other — — 23 23 39 Financial Services operations Asset-backed debt issued by consolidated SPEs, due serially through 2023 — — 851 851 849 Bank credit facilities, due dates from 2019 through 2024 — — 592 592 616 Commercial paper, program matures in 2022 92 — — 92 92 Borrowings secured by operating and finance leases, due serially through 2024 — — 94 94 94 _________________________ (A) The carrying value represents the consolidated financial statement amount of the debt which excludes the allocation of the conversion feature to equity |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Oct. 31, 2018 | |
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) 2018 2017 2016 Sales and revenues: Trucks $ 7,323 $ 5,706 $ 5,176 Parts 2,215 2,177 2,216 Engine 552 545 583 Financial Services 160 142 136 |
Schedule of selected financial information, by segment | (in millions) Truck Parts Global Operations Financial Services Corporate and Eliminations Total Segment assets, as of: October 31, 2018 $ 2,085 $ 636 $ 331 $ 2,648 $ 1,530 $ 7,230 October 31, 2017 1,621 632 378 2,207 1,297 6,135 _________________________ (A) Total sales and revenues in the Financial Services segment include interest revenues of $182 million , $165 million , and $167 million for the years ended October 31, 2018 , 2017 , and 2016 , respectively. (B) Exclusive of purchases of equipment leased to others 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, 2018 External sales and revenues, net $ 7,386 $ 2,399 $ 305 $ 160 $ — $ 10,250 Intersegment sales and revenues 104 8 55 97 (264 ) — Total sales and revenues, net $ 7,490 $ 2,407 $ 360 $ 257 $ (264 ) $ 10,250 Income (loss) from continuing operations attributable to NIC, net of tax $ 397 $ 569 $ 2 $ 88 $ (716 ) $ 340 Income tax expense — — — — (52 ) (52 ) Segment profit (loss) $ 397 $ 569 $ 2 $ 88 $ (664 ) $ 392 Depreciation and amortization $ 130 $ 6 $ 10 $ 55 $ 10 $ 211 Interest expense — — — 92 235 327 Equity in income (loss) of non-consolidated affiliates 2 3 (5 ) — — — Capital expenditures (B) 99 2 3 1 8 113 (in millions) Truck Parts Global Operations Financial (A) Corporate Total Year Ended October 31, 2017 External sales and revenues, net $ 5,770 $ 2,369 $ 279 $ 142 $ 10 $ 8,570 Intersegment sales and revenues 39 23 30 93 (185 ) — Total sales and revenues, net $ 5,809 $ 2,392 $ 309 $ 235 $ (175 ) $ 8,570 Income (loss) from continuing operations attributable to NIC, net of tax $ (6 ) $ 616 $ (7 ) $ 77 $ (651 ) $ 29 Income tax expense — — — — (10 ) (10 ) Segment profit (loss) $ (6 ) $ 616 $ (7 ) $ 77 $ (641 ) $ 39 Depreciation and amortization $ 137 $ 11 $ 13 $ 51 $ 11 $ 223 Interest expense — — — 86 265 351 Equity in income (loss) of non-consolidated affiliates 4 3 (1 ) — — 6 Capital expenditures (B) 82 2 5 1 12 102 (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 |
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) 2018 2017 2016 Sales and revenues: (A) United States $ 7,223 $ 6,375 $ 6,227 Canada 868 708 604 Mexico 933 708 575 Brazil 263 237 240 Other 963 542 465 As of October 31, (in millions) 2018 2017 Long-lived assets: (B) United States $ 1,099 $ 1,068 Canada 9 11 Mexico 249 226 Brazil 73 90 Other 8 9 __________________________ (A) During 2018, we identified certain sales included in Other which should have been classified as United States. As a result, for the years ended October 31, 2017 and 2016, we have reclassified |
Stockholders' Deficit (Tables)
Stockholders' Deficit (Tables) (Tables) | 12 Months Ended |
Oct. 31, 2018 | |
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, 2017 $ — $ (283 ) $ (1,928 ) $ (2,211 ) Other comprehensive income (loss) before reclassifications — (32 ) 201 169 Amounts reclassified out of accumulated other comprehensive loss — — 122 122 Net current-period other comprehensive income (loss) — (32 ) 323 291 Balance as of October 31, 2018 $ — $ (315 ) $ (1,605 ) $ (1,920 ) (in millions) Unrealized Gain on Marketable Securities Foreign Currency Translation Adjustments Defined Benefit Plans Total Balance as of October 31, 2016 $ 1 $ (280 ) $ (2,361 ) $ (2,640 ) Other comprehensive income (loss) before reclassifications (A) (1 ) (3 ) 279 275 Amounts reclassified out of accumulated other comprehensive loss — — 154 154 Net current-period other comprehensive income (loss) (1 ) (3 ) 433 429 Balance as of October 31, 2017 $ — $ (283 ) $ (1,928 ) $ (2,211 ) (A) Other comprehensive income before reclassifications for Defined Benefit Plans includes a $28 million intraperiod tax allocation and $8 million of deferred tax assets. (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 ) |
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 2018 2017 2016 Defined benefit plans Amortization of prior service benefit Selling, general and administrative expenses $ — $ — $ (1 ) Amortization of actuarial loss Selling, general and administrative expenses 114 138 133 Settlements Selling, general and administrative expenses 9 — — Settlements Restructuring — 23 — Total before tax 123 161 132 Income tax expense (1 ) (7 ) (1 ) Total reclassifications for the period, net of tax $ 122 $ 154 $ 131 |
Earnings (Loss) Per Share Att_2
Earnings (Loss) Per Share Attributable to Navistar International Corporation (Tables) | 12 Months Ended |
Oct. 31, 2018 | |
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) 2018 2017 2016 Numerator: Amounts attributable to Navistar International Corporation common stockholders: Income (loss) from continuing operations, net of tax $ 340 $ 29 $ (97 ) Income from discontinued operations, net of tax — 1 — Net income (loss) $ 340 $ 30 $ (97 ) Denominator: Weighted average shares outstanding: Basic 98.9 93.0 81.7 Effect of dilutive securities 0.7 0.5 — Diluted 99.6 93.5 81.7 Earnings (loss) per share attributable to Navistar International Corporation: Basic: Continuing operations $ 3.44 $ 0.31 $ (1.19 ) Discontinued operations — 0.01 — Net income (loss) $ 3.44 $ 0.32 $ (1.19 ) Diluted: Continuing operations $ 3.41 $ 0.31 $ (1.19 ) Discontinued operations — 0.01 — Net income (loss) $ 3.41 $ 0.32 $ (1.19 ) |
Stock-based Compensation Plan_2
Stock-based Compensation Plans (Tables) | 12 Months Ended |
Oct. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-based Compensation, Stock Options, Activity [Table Text Block] | The following table summarizes the performance-based stock options subject to service and market conditions activity: For the Years Ended October 31, 2018 2017 2016 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 431 $ 27.24 567 $ 27.24 615 $ 27.24 Exercised (44 ) 27.24 (130 ) 27.24 — — Forfeited — — (6 ) 27.24 (48 ) 27.24 Options outstanding, at end of year 387 27.24 431 27.24 567 27.24 Options exercisable, at end of year 387 27.24 431 27.24 567 27.24 The following table summarizes the performance-based stock options subject to service and performance conditions activity: For the Years Ended October 31, 2018 2017 2016 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 599 $ 27.59 973 $ 30.47 1,409 $ 31.64 Exercised (13 ) 27.67 — — — — Forfeited (434 ) 27.59 (374 ) 35.09 (436 ) 34.22 Options outstanding, at end of year 152 27.59 599 27.59 973 30.47 The following table summarizes stock options activity: For the Years Ended October 31, 2018 2017 2016 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 2,408 $ 38.81 2,835 $ 38.89 2,886 $ 39.33 Granted 236 40.44 301 27.88 35 10.6 Exercised (236 ) 32.78 (325 ) 30.25 — — Forfeited/expired (628 ) 56.64 (403 ) 38.13 (86 ) 42.30 Options outstanding, at end of year 1,780 28.98 2,408 38.81 2,835 38.89 Options exercisable, at end of year 1,396 33.55 2,073 40.72 2,695 39.29 |
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 - $ 31.19 813 3.7 $ 28.19 $ 4.3 $ 31.20 - $ 39.32 684 0.9 37.02 — $ 39.33 - $ 68.65 283 7.3 41.52 — Options Outstanding 1,780 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 - $ 31.19 637 2.5 $ 28.52 $ 3.2 $ 31.20 - $ 39.32 678 0.8 37.05 — $ 39.33 - $ 68.65 81 2.4 43.86 — Options Exercisable 1,396 |
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, 2018 2017 2016 Risk-free interest rate 2.5 % 1.9 % 1.7 % Expected volatility 49.1 % 55.2 % 56.8 % Expected life (in years) 5.3 5.0 4.8 |
Nonvested Restricted Stock Shares Activity [Table Text Block] | The following table summarizes restricted stock activity: For the Years Ended October 31, 2018 2017 2016 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 — $ — — $ — — $ — Granted 4 34.97 5 24.62 5 12.52 Vested (4 ) 34.97 (5 ) 24.62 (5 ) 12.52 Nonvested, at end of year — — — — — — |
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 2018 2017 2016 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 619 $ 15.04 613 $ 8.74 69 $ 28.60 Granted 168 40.05 210 27.28 624 8.76 Vested (214 ) 9.59 (204 ) 8.74 (66 ) 28.66 Forfeited (71 ) 20.24 — — (14 ) 13.07 Nonvested, at end of year 502 25.01 619 15.04 613 8.74 Cash-Settled RSUs 2018 2017 2016 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 587 $ 18.02 817 $ 13.95 498 $ 29.96 Granted 187 40.12 258 27.48 650 7.26 Vested (319 ) 16.42 (456 ) 15.92 (231 ) 26.06 Forfeited (27 ) 22.76 (32 ) 20.17 (100 ) 22.19 Nonvested, at end of year 428 28.58 587 18.02 817 13.95 |
Schedule of Nonvested Performance-based Units Activity [Table Text Block] | The following tables summarize PUs activity for the years ended October 31: Share-Settled PUs subject to Service and Performance Conditions 2018 2017 2016 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 Forfeited — — — — (244 ) 28.73 Nonvested, at end of year — — — — — — Cash-Settled PUs subject to Service and Performance Conditions 2018 2017 2016 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 220 $ 27.59 379 $ 30.63 $ 434 $ 30.64 Granted — — — — — — Vested (121 ) 27.59 — — — — Forfeited (99 ) 27.59 (159 ) 34.86 (55 ) 30.65 Nonvested, at end of year — — 220 27.59 379 30.63 Cash Settled PUs subject to Service and Market Conditions 2018 2017 2016 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 — $ — 70 $ 50.52 172 $ 69.64 Forfeited — — (70 ) 50.52 (102 ) 82.86 Nonvested, at end of year — — — — 70 50.52 |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 12 Months Ended |
Oct. 31, 2018 | |
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) 2018 2017 2016 Equity in income of affiliated companies, net of dividends Equity in income of non-consolidated affiliates $ — $ (6 ) $ (6 ) Dividends from non-consolidated affiliates 7 7 12 Equity in income of non-consolidated affiliates, net of dividends $ 7 $ 1 $ 6 Other non-cash operating activities Loss (gain) on sale of property and equipment $ — $ (9 ) $ 2 Loss on sale and impairment of repossessed collateral 1 7 6 Income from non-cash leases (24 ) (26 ) (20 ) Other non-cash operating activities $ (23 ) $ (28 ) $ (12 ) Changes in other assets and liabilities Other current assets $ (7 ) $ (19 ) $ 8 Other noncurrent assets (19 ) (38 ) (11 ) Other current liabilities 116 (35 ) (165 ) Postretirement benefits liabilities (131 ) (65 ) (47 ) Other noncurrent liabilities 58 (62 ) (114 ) Other, net 9 (7 ) (41 ) Changes in other assets and liabilities $ 26 $ (226 ) $ (370 ) Cash paid during the year Interest, net of amounts capitalized $ 306 $ 294 $ 291 Income taxes, net of refunds 18 19 44 Non-cash investing and financing activities Property and equipment acquired under capital leases $ — $ — $ 1 Transfers to inventories from property and equipment for leases to others (9 ) (7 ) (27 ) |
Selected Quarterly Financial _2
Selected Quarterly Financial Data (unaudited) (Tables) | 12 Months Ended |
Oct. 31, 2018 | |
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) 2018 2017 2018 2017 Sales and revenues, net $ 1,905 $ 1,663 $ 2,422 $ 2,096 Manufacturing gross margin (A) 335 259 395 287 Amounts attributable to Navistar International Corporation common shareholders: Income (loss) from continuing operations, net of tax $ (73 ) $ (62 ) $ 55 $ (80 ) Income (loss) from discontinued operations, net of tax — — — — Net income (loss) $ (73 ) $ (62 ) $ 55 $ (80 ) Earnings (loss) per share attributable to Navistar International Corporation: Basic: Continuing operations (B) $ (0.74 ) $ (0.76 ) $ 0.56 $ (0.86 ) Discontinued operations (B) — — — — $ (0.74 ) $ (0.76 ) $ 0.56 $ (0.86 ) Diluted: Continuing operations (B) $ (0.74 ) $ (0.76 ) $ 0.55 $ (0.86 ) Discontinued operations (B) — — — — $ (0.74 ) $ (0.76 ) $ 0.55 $ (0.86 ) Third Quarter Ended July 31, Fourth Quarter Ended October 31, (in millions, except for per share data and stock prices) 2018 2017 2018 2017 Sales and revenues, net $ 2,606 $ 2,213 $ 3,317 $ 2,598 Manufacturing gross margin (A) 470 375 573 470 Amounts attributable to Navistar International Corporation common shareholders: Income from continuing operations, net of tax $ 170 $ 36 $ 188 $ 135 Income from discontinued operations, net of tax — 1 — — Net income $ 170 $ 37 $ 188 $ 135 Earnings per share attributable to Navistar International Corporation: Basic: Continuing operations (B) $ 1.72 $ 0.37 $ 1.90 $ 1.37 Discontinued operations (B) — 0.01 — — $ 1.72 $ 0.38 $ 1.90 $ 1.37 Diluted: Continuing operations (B) $ 1.71 $ 0.37 $ 1.89 $ 1.36 Discontinued operations (B) — 0.01 — — $ 1.71 $ 0.38 $ 1.89 $ 1.36 _______________________ (A) Manufacturing gross margin is calculated by subtracting Costs of products sold from Sales of manufactured products, net . |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Narrative (Details) $ in Millions | 3 Months Ended | 12 Months Ended | |||
Apr. 30, 2016USD ($) | Oct. 31, 2018USD ($)employeessegments | Oct. 31, 2017USD ($) | Oct. 31, 2016USD ($) | Jul. 31, 2016USD ($) | |
Accounting Policies [Line Items] | |||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) | $ 105 | $ 118 | $ 153 | ||
Less: Intercompany revenues | $ 97 | 93 | 100 | ||
Number of Reportable Segments | segments | 4 | ||||
Foreign Currency Transaction Gain (Loss), before Tax | $ 2 | 16 | 1 | ||
Advertising Expense | 31 | 26 | 13 | ||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 0 | 0 | 1 | ||
Product Warranty Accrual, Preexisting, Increase (Decrease) | $ (9) | (1) | 77 | ||
Unionized Employees Concentration Risk [Member] | Number Of Employees Hourly Workers [Member] | |||||
Accounting Policies [Line Items] | |||||
Concentration Risk Number Of Employees | employees | 8,200 | ||||
concentration risk number of employees percentage | 99.00% | ||||
Unionized Employees Concentration Risk [Member] | Number of Employees Salaried Workers [Member] | |||||
Accounting Policies [Line Items] | |||||
Concentration Risk Number Of Employees | employees | 700 | ||||
concentration risk number of employees percentage | 13.00% | ||||
Brazilian Reporting Unit [Member] | |||||
Accounting Policies [Line Items] | |||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 1 | ||||
Indefinite-Lived Intangible Assets (Excluding Goodwill) | $ 1 | ||||
Product Warranty Accrual [Member] | |||||
Accounting Policies [Line Items] | |||||
Product Warranty Accrual, Preexisting, Increase (Decrease) | $ 46 | ||||
North America Truck [Member] | |||||
Accounting Policies [Line Items] | |||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 8 | ||||
Extended Warranty Programs [Member] | |||||
Accounting Policies [Line Items] | |||||
Deferred Revenue, Revenue Recognized | $ 104 | 144 | 150 | ||
Deferred Revenue | $ 255 | 271 | 325 | ||
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) | ||||
TRATON AG [Member] | |||||
Accounting Policies [Line Items] | |||||
Less: Intercompany revenues | $ 146 | 119 | |||
Costs and Expenses, Related Party | 27 | 7 | |||
Accounts Receivable, Related Parties | 10 | 13 | |||
Accounts Payable, Related Parties | 25 | 5 | |||
Accounting Standard Update 2017-07 [Member] | |||||
Accounting Policies [Line Items] | |||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) | $ 94 | $ 127 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Variable Interest Entities (Details) - USD ($) $ in Millions | Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | Oct. 31, 2015 |
Variable Interest Entity [Line Items] | ||||
Cash and cash equivalents | $ 1,320 | $ 706 | $ 804 | $ 912 |
Variable Interest Entity Primary Beneficiary, Blue Diamond Parts [Member] | ||||
Variable Interest Entity [Line Items] | ||||
Variable Interest Entity, Consolidated, Carrying Amount, Assets | 39 | 49 | ||
Cash and cash equivalents | 4 | 10 | ||
Variable Interest Entity, Consolidated, Carrying Amount, Liabilities | 4 | 13 | ||
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 | 1,000 | 900 | ||
Variable Interest Entity, Consolidated, Carrying Amount, Liabilities | 852 | 754 | ||
Transaction Does Not Qualify for Sale Accounting [Member] | Financial Services Operations | ||||
Variable Interest Entity [Line Items] | ||||
Variable Interest Entity, Consolidated, Carrying Amount, Assets | 370 | 278 | ||
Variable Interest Entity, Consolidated, Carrying Amount, Liabilities | $ 205 | $ 194 |
Summary of Significant Accoun_6
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, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | Oct. 31, 2015 | |
Product Liability Contingency [Line Items] | |||||
Document Type | 10-K | ||||
Product Warranty Accrual | $ 529 | $ 629 | $ 818 | $ 994 | |
Product Warranty Accrual, Warranties Issued | 211 | 199 | 186 | ||
Product Warranty Accrual, Currency Translation, Increase (Decrease) | 1 | (1) | 3 | ||
Accrued Product Warranty And Deferred Warranty Revenue, Standard And Extended Warranty Programs, Roll Forward: | |||||
Adjustments to pre-existing warranties(A)(B) | (9) | (1) | 77 | ||
Extended Warranty Program: | |||||
Product Warranty Accrual, Payments | (303) | (386) | (442) | ||
Product Warranty Accrual, Current | 255 | 307 | 396 | ||
Product Warranty Accrual, Noncurrent | 274 | 322 | 422 | ||
North America Truck [Member] | |||||
Accrued Product Warranty And Deferred Warranty Revenue, Standard And Extended Warranty Programs, Roll Forward: | |||||
Product Warranty Expense | 29 | 8 | 34 | ||
Extended Warranty Programs [Member] | |||||
Extended Warranty Program: | |||||
Deferred Revenue, Revenue Recognized | 104 | 144 | 150 | ||
Deferred Revenue | 255 | 271 | 325 | ||
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 | ||||
Product Warranty Accrual, Preexisting Increase Decrease Per Share, Net of Tax | $ 0.56 | ||||
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) | ||||
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 | 10 | 21 | 17 | ||
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 | $ 33 | $ 3 | $ 26 | ||
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 Accoun_7
Summary of Significant Accounting Policies - Property, Plant and Equipment (Details) | 12 Months Ended |
Oct. 31, 2018 | |
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 Accoun_8
Summary of Significant Accounting Policies - Inventory (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Inventory [Line Items] | |||
Gross truck bed inventory | $ 154 | $ 206 | |
Inventory reserves | 31 | 110 | |
Inventory Valuation Reserve | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of period | 110 | 208 | $ 110 |
Additions charged to expense | 50 | 111 | 187 |
Deductions/Other additions | (129) | (209) | (89) |
Balance at end of period | $ 31 | $ 110 | $ 208 |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies - Goodwill and Intangible Assets (Details) - USD ($) $ in Millions | 12 Months Ended | |
Oct. 31, 2018 | Jul. 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 | |
Brazilian Reporting Unit [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Indefinite-Lived Intangible Assets (Excluding Goodwill) | $ 1 |
Restructuring and Impairments -
Restructuring and Impairments - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||||
Jan. 31, 2018 | Oct. 31, 2017 | Jul. 31, 2017 | Jan. 31, 2017 | Oct. 31, 2015 | Jul. 31, 2015 | Jul. 31, 2014 | Jan. 31, 2014 | Jul. 31, 2018 | Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | Jul. 31, 2016 | |
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Restructuring charges | $ (1) | $ 3 | $ 10 | ||||||||||
Liability, Defined Benefit Plan, Noncurrent | $ 2,497 | 2,097 | 2,497 | ||||||||||
Restructuring and Related Cost, Incurred Cost | 3 | 22 | 4 | ||||||||||
Asset impairment charges | 14 | 13 | 27 | ||||||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 0 | 0 | 1 | ||||||||||
Pension Liability | $ 23 | ||||||||||||
Restructuring Benefit | 8 | ||||||||||||
Inventory Reserve Charge | 10 | ||||||||||||
Other Restructuring [Member] | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Restructuring and Related Cost, Incurred Cost | 0 | 0 | 0 | ||||||||||
Employee Severance [Member] | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Restructuring charges | $ 10 | $ 13 | |||||||||||
Restructuring and Related Cost, Incurred Cost | 3 | 22 | 4 | ||||||||||
Lease Vacancy [Member] [Domain] | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Restructuring and Related Cost, Incurred Cost | 0 | 0 | 0 | ||||||||||
North America Truck [Member] | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Asset impairment charges | 17 | ||||||||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 8 | ||||||||||||
Navistar Financial Corporation [Member] | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Asset impairment charges | $ 1 | ||||||||||||
Melrose Park [Member] | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Restructuring charges | $ 2 | 41 | |||||||||||
Global Operations [Member] | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Restructuring charges | 6 | 1 | |||||||||||
Huntsville Engine Plant [Member] | North America Truck [Member] | Employee Severance [Member] | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Restructuring charges | $ 23 | ||||||||||||
Brazilian Reporting Unit [Member] | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 1 | ||||||||||||
Indefinite-Lived Intangible Assets (Excluding Goodwill) | $ 1 | ||||||||||||
Other Postretirement Benefits Plan [Member] | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Liability, Defined Benefit Plan, Noncurrent | $ 1,061 | $ 914 | $ 1,061 | ||||||||||
Other Postretirement Benefits Plan [Member] | Chatham [Member] | Facility Closing [Member] | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Postemployment Benefits, Period Expense | $ 6 | $ 14 | |||||||||||
Liability, Defined Benefit Plan, Noncurrent | $ 66 | ||||||||||||
Voluntary Separation Program [Member] | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Restructuring charges | $ 37 | ||||||||||||
Cherokee [Domain] | |||||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||||
Asset impairment charges | $ 2 |
Restructuring and Impairments_2
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, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring charges | $ (1) | $ 3 | $ 10 | ||
Restructuring Reserve | $ 68 | 4 | 15 | 7 | |
Restructuring and Related Cost, Incurred Cost | 3 | 22 | 4 | ||
Payments for Restructuring | (10) | (13) | (67) | ||
Restructuring Reserve, Accrual Adjustment | (4) | (1) | 2 | ||
Employee Severance [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring charges | 10 | $ 13 | |||
Restructuring Reserve | 62 | 3 | 14 | 5 | |
Restructuring and Related Cost, Incurred Cost | 3 | 22 | 4 | ||
Payments for Restructuring | (10) | (12) | (63) | ||
Restructuring Reserve, Accrual Adjustment | (4) | (1) | 2 | ||
Lease Vacancy [Member] [Domain] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring Reserve | 5 | 0 | 0 | 1 | |
Restructuring and Related Cost, Incurred Cost | 0 | 0 | 0 | ||
Payments for Restructuring | 0 | (1) | (4) | ||
Restructuring Reserve, Accrual Adjustment | 0 | 0 | 0 | ||
Other Restructuring [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Restructuring Reserve | $ 1 | 1 | 1 | 1 | |
Restructuring and Related Cost, Incurred Cost | 0 | 0 | 0 | ||
Payments for Restructuring | 0 | 0 | 0 | ||
Restructuring Reserve, Accrual Adjustment | $ 0 | $ 0 | $ 0 |
Restructuring and Impairments_3
Restructuring and Impairments - Schedule of Impairment Charges (Details) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended | ||||
Jul. 31, 2018 | Jul. 31, 2017 | Jul. 31, 2016 | Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Restructuring Cost and Reserve [Line Items] | ||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 0 | $ 0 | $ 1 | |||
Other Asset Impairment Charges | 14 | 13 | 26 | |||
Asset impairment charges | 14 | 13 | 27 | |||
Brazilian Reporting Unit [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 1 | |||||
North America Truck [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 8 | |||||
Asset impairment charges | $ 17 | |||||
Pure Power Technologies [Member] | North America Truck [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Asset impairment charges | $ 3 | |||||
long-lived asset [Domain] | North America Truck [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Asset impairment charges | $ 6 | $ 5 | ||||
Property Subject to Operating Lease [Member] | North America Truck [Member] | ||||||
Restructuring Cost and Reserve [Line Items] | ||||||
Asset impairment charges | $ 5 | $ 8 |
Finance Receivables - Narrative
Finance Receivables - Narrative (Details) $ in Millions | Oct. 31, 2018USD ($)segments | Oct. 31, 2017USD ($) |
Schedule of Securitization [Line Items] | ||
Loans and Leases Receivable, Net Amount | $ 2,200 | $ 1,800 |
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 | $ 956 | 800 |
Cash Collateral for Borrowed Securities | 235 | 163 |
Financial Services Operations | ||
Schedule of Securitization [Line Items] | ||
Assets Net Of Intercompany Balances | $ 2,600 | $ 2,200 |
Finance Receivables - Finance R
Finance Receivables - Finance Receivables (Details) - USD ($) $ in Millions | Oct. 31, 2018 | Oct. 31, 2017 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and Leases Receivable Due In One Year | $ 1,931 | |
Loans and Leases Receivable, Gross, Carrying Amount, Covered | 2,180 | $ 1,805 |
Less: Allowance for Doubtful accounts | 22 | 20 |
Total finance receivables, net | 2,158 | 1,785 |
Financing Receivable, Recorded Investment, Current | 1,898 | 1,565 |
Finance Receivables, Noncurrent | 260 | 220 |
Loans and Leases Receivable Due In Two Years | 133 | |
Loans and Leases Receivable Due In Three Years | 94 | |
Loans and Leases Receivable Due In Four Years | 57 | |
Loans and Leases Receivable Due In Five Years | 18 | |
Loans and Leases Receivable Due Thereafter | 4 | |
Finance Receivables Gross | 2,237 | |
Loans and Leases Receivable, Gross | 2,180 | |
Loans and Leases Receivable, Deferred Income | 57 | |
Retail Portfolio [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and Leases Receivable Due In One Year | 471 | |
Loans and Leases Receivable, Gross, Carrying Amount, Covered | 720 | 559 |
Loans and Leases Receivable Due In Two Years | 133 | |
Loans and Leases Receivable Due In Three Years | 94 | |
Loans and Leases Receivable Due In Four Years | 57 | |
Loans and Leases Receivable Due In Five Years | 18 | |
Loans and Leases Receivable Due Thereafter | 4 | |
Finance Receivables Gross | 777 | |
Loans and Leases Receivable, Gross | 720 | |
Loans and Leases Receivable, Deferred Income | 57 | |
Wholesale Portfolio [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and Leases Receivable Due In One Year | 1,460 | |
Loans and Leases Receivable, Gross, Carrying Amount, Covered | 1,460 | $ 1,246 |
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 | 1,460 | |
Loans and Leases Receivable, Gross | 1,460 | |
Loans and Leases Receivable, Deferred Income | $ 0 |
Finance Receivables - Schedule
Finance Receivables - Schedule of Finance Revenues (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Finance Revenues [Line Items] | |||
Retail notes and finance leases revenue | $ 50 | $ 41 | $ 38 |
Operating lease revenue | 24 | 26 | 20 |
Gross finance revenues | 257 | 235 | 235 |
Less: Intercompany revenues | 97 | 93 | 100 |
Finance revenues | 160 | 142 | 135 |
Financing Receivable [Member] | |||
Finance Revenues [Line Items] | |||
Operating lease revenue | 72 | 68 | 66 |
Wholesale Portfolio [Member] | Notes Receivable [Member] | |||
Finance Revenues [Line Items] | |||
Interest Income, Operating | 105 | 102 | 107 |
Retail And Wholesale Portfolios [Member] | |||
Finance Revenues [Line Items] | |||
Interest Income, Operating | $ 30 | $ 24 | $ 24 |
Allowance for Doubtful Accoun_3
Allowance for Doubtful Accounts - Schedule of Allowance for Retail, Wholesale, Trade & Other (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Allowance for Doubtful Accounts Receivable [Roll Forward] | |||
Allowance for doubtful accounts at beginning of period | $ 48 | $ 49 | $ 48 |
Provision for doubtful accounts, net of recoveries | 10 | 7 | 12 |
Charge-off of accounts | (8) | (8) | (12) |
Financing Receivable, Allowance for Credit Losses, Other | (3) | (1) | 1 |
Allowance for doubtful accounts at end of period | 50 | 48 | 49 |
Allowance for Doubtful Accounts [Member] | |||
Allowance for Doubtful Accounts Receivable [Roll Forward] | |||
Allowance for Doubtful Accounts Receivable, Recoveries | 3 | 1 | 0 |
Retail Portfolio [Member] | |||
Allowance for Doubtful Accounts Receivable [Roll Forward] | |||
Allowance for doubtful accounts at beginning of period | 17 | 19 | 22 |
Provision for doubtful accounts, net of recoveries | 7 | 4 | 8 |
Charge-off of accounts | (7) | (7) | (9) |
Financing Receivable, Allowance for Credit Losses, Other | (1) | 0 | (2) |
Allowance for doubtful accounts at end of period | 19 | 17 | 19 |
Impaired Financing Receivable, Average Recorded Investment | 19 | 18 | |
Wholesale Portfolio [Member] | |||
Allowance for Doubtful Accounts Receivable [Roll Forward] | |||
Allowance for doubtful accounts at beginning of period | 3 | 2 | 4 |
Provision for doubtful accounts, net of recoveries | 0 | 1 | (2) |
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 | 3 | 3 | 2 |
Trade and Other Receivables [Member] | |||
Allowance for Doubtful Accounts Receivable [Roll Forward] | |||
Allowance for doubtful accounts at beginning of period | 28 | 28 | 22 |
Provision for doubtful accounts, net of recoveries | 3 | 2 | 6 |
Charge-off of accounts | (1) | (1) | (3) |
Financing Receivable, Allowance for Credit Losses, Other | (2) | (1) | 3 |
Allowance for doubtful accounts at end of period | 28 | 28 | 28 |
Trade and Other Receivables [Member] | |||
Allowance for Doubtful Accounts Receivable [Roll Forward] | |||
Allowance for Doubtful Accounts Receivable, Recoveries | 0 | 0 | 0 |
Wholesale Portfolio [Member] | |||
Allowance for Doubtful Accounts Receivable [Roll Forward] | |||
Allowance for Doubtful Accounts Receivable, Recoveries | 0 | 0 | 0 |
Retail Portfolio [Member] | |||
Allowance for Doubtful Accounts Receivable [Roll Forward] | |||
Allowance for Doubtful Accounts Receivable, Recoveries | $ 3 | $ 1 | $ 0 |
Allowance for Doubtful Accoun_4
Allowance for Doubtful Accounts - Schedule of Impaired Finance Receivables (Details) - USD ($) $ in Millions | 12 Months Ended | |
Oct. 31, 2018 | Oct. 31, 2017 | |
Retail Portfolio [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Impaired Financing Receivable, Average Recorded Investment | $ 19 | $ 18 |
Impaired finance receivables with specific loss reserves [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Impaired Financing Receivable, Recorded Investment | 20 | 16 |
Impaired finance receivables with specific loss reserves [Member] | Retail Portfolio [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Impaired Financing Receivable, Recorded Investment | 20 | 16 |
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 | 9 | 7 |
Specific loss reserves on impaired finance receivables [Member] | Retail Portfolio [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Specific loss reserves on impaired finance receivables | 9 | 7 |
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 | 20 | 16 |
Finance receivable non-accrual status [Member] | Retail Portfolio [Member] | ||
Finance Receivable, Impaired [Line Items] | ||
Finance receivables on non-accrual status | 20 | 16 |
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 Accoun_5
Allowance for Doubtful Accounts - Schedule of Allowance Aging Analysis (Details) $ in Millions | Oct. 31, 2018USD ($) |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Finance Receivables, Current | $ 2,114 |
30-90 days past due | 52 |
Total finance receivables | 2,180 |
Retail Portfolio [Member] | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Finance Receivables, Current | 655 |
30-90 days past due | 51 |
Total finance receivables | 720 |
Wholesale Portfolio [Member] | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |
Finance Receivables, Current | 1,459 |
30-90 days past due | 1 |
Total finance receivables | 1,460 |
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 | 14 |
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 | $ 0 |
Allowance for Doubtful Accoun_6
Allowance for Doubtful Accounts - Narrative (Details) $ in Millions | 12 Months Ended | |
Oct. 31, 2018USD ($)segmentsclass | Oct. 31, 2017USD ($) | |
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 | $ | $ 19 | $ 18 |
Inventories - Inventory (Detail
Inventories - Inventory (Details) - USD ($) $ in Millions | Oct. 31, 2018 | Oct. 31, 2017 |
Inventory Disclosure [Abstract] | ||
Finished products | $ 671 | $ 584 |
Work in process | 118 | 33 |
Raw materials | 321 | 240 |
Total inventories, net | $ 1,110 | $ 857 |
Property and Equipment, Net Nar
Property and Equipment, Net Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |||
Commitments For Capital Expenditures In Progress | $ 36 | $ 27 | $ 24 |
Capital Expenditures Incurred but Not yet Paid | 50 | 48 | 21 |
Operating Leases, Rent Expense | 40 | 49 | 53 |
Operating Leases, Income Statement, Sublease Revenue | $ 5 | $ 11 | $ 12 |
Minimum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Lessee, Operating Lease, Term of Contract | 1 year | ||
Maximum [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Lessee, Operating Lease, 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, 2018 | Oct. 31, 2017 |
Property, Plant and Equipment [Line Items] | ||
Land | $ 92 | $ 92 |
Buildings and Improvements, Gross | 554 | 548 |
Leasehold Improvements, Gross | 24 | 27 |
Machinery and Equipment, Gross | 2,028 | 2,057 |
Furniture and Fixtures, Gross | 461 | 426 |
Equipment leased to others | 665 | 586 |
Construction in Progress, Gross | 44 | 64 |
Property, Plant and Equipment, Gross | 3,868 | 3,800 |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | 2,498 | 2,474 |
Property and equipment, net | $ 1,370 | $ 1,326 |
Property and Equipment, Net Equ
Property and Equipment, Net Equipment Leased to Others (Details) (Details) - USD ($) $ in Millions | Oct. 31, 2018 | Oct. 31, 2017 |
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 3,868 | $ 3,800 |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | 2,498 | 2,474 |
Property and equipment, net | 1,370 | 1,326 |
Capital Leased Assets, Gross | 25 | 61 |
Capital Leases, Lessee Balance Sheet, Assets by Major Class, Accumulated Depreciation | 21 | 41 |
Capital Leases, Balance Sheet, Assets by Major Class, Net | 4 | 20 |
Equipment leased to others | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 665 | 586 |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | 177 | 191 |
Property and equipment, net | $ 488 | $ 395 |
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, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation | $ 133 | $ 138 | $ 134 |
Amortization | 2 | 3 | 5 |
Interest Costs Capitalized | 2 | 2 | 3 |
Equipment leased to others | |||
Property, Plant and Equipment [Line Items] | |||
Depreciation | $ 71 | $ 73 | $ 79 |
Property and Equipment, Net S_2
Property and Equipment, Net Schedule of Future Minimum Lease Payments (Details) $ in Millions | Oct. 31, 2018USD ($) |
Capital Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
Capital Leases, Future Minimum Payments Due, Next Twelve Months | $ 5 |
Capital Leases, Future Minimum Payments Due in Two Years | 4 |
Capital Leases, Future Minimum Payments Due in Three Years | 4 |
Capital Leases, Future Minimum Payments Due in Four Years | 1 |
Capital Leases, Future Minimum Payments Due in Five Years | 1 |
Capital Leases, Future Minimum Payments Due Thereafter | 0 |
Capital Leases, Future Minimum Payments Due | 15 |
Capital Leases, Future Minimum Payments, Interest Included in Payments | 2 |
Capital Leases, Future Minimum Payments, Present Value of Net Minimum Payments | 13 |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
Operating Leases, Future Minimum Payments Due, Next Twelve Months | 32 |
Operating Leases, Future Minimum Payments, Due in Two Years | 28 |
Operating Leases, Future Minimum Payments, Due in Three Years | 23 |
Operating Leases, Future Minimum Payments, Due in Four Years | 18 |
Operating Leases, Future Minimum Payments, Due in Five Years | 14 |
Operating Leases, Future Minimum Payments, Due Thereafter | 18 |
Operating Leases, Future Minimum Payments Due | 133 |
Future Minimum Lease Payments Due Current | 37 |
Future Minimum Lease Payments Due in Two Years | 32 |
Future Minimum Lease Payments Due in Three Years | 27 |
Future Minimum Lease Payments Due in Four Years | 19 |
Future Minimum Lease Payments Due in Five Years | 15 |
Future Minimum Lease Payments Due Thereafter | 18 |
Future Minimum Lease Payments Due | $ 148 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible assets, Net - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | Jul. 31, 2016 | |
Goodwill [Line Items] | ||||
Goodwill | $ 38 | $ 38 | ||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 0 | 0 | $ 1 | |
Amortization of Intangible Assets | $ 7 | $ 12 | 12 | |
North America Truck [Member] | ||||
Goodwill [Line Items] | ||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | 8 | |||
Brazilian Reporting Unit [Member] | ||||
Goodwill [Line Items] | ||||
Indefinite-Lived Intangible Assets (Excluding Goodwill) | $ 1 | |||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 1 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible assets, Net Changes in Carrying Amounts of Goodwill (Details) - USD ($) $ in Millions | Oct. 31, 2018 | Oct. 31, 2017 |
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Net | $ 12 | $ 19 |
Other Intangible Assets [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Net | 10 | 15 |
Customer base and relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Assets, Net | $ 2 | $ 4 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible assets, Net Intangible Assets Not Subject to Amortization (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | Jul. 31, 2016 | |
Indefinite-lived Intangible Assets [Line Items] | ||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 0 | $ 0 | $ 1 | |
Trademarks | ||||
Indefinite-lived Intangible Assets [Line Items] | ||||
Indefinite-Lived Intangible Assets (Excluding Goodwill) | $ 18 | $ 21 | ||
Brazilian Reporting Unit [Member] | ||||
Indefinite-lived Intangible Assets [Line Items] | ||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | $ 1 | |||
Indefinite-Lived Intangible Assets (Excluding Goodwill) | $ 1 |
Goodwill and Other Intangible_6
Goodwill and Other Intangible assets, Net Intangible Assets Subject to Amortization (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of Intangible Assets | $ 7 | $ 12 | $ 12 |
Finite-Lived Intangible Assets, Gross | 152 | 154 | |
Finite-Lived Intangible Assets, Accumulated Amortization | (140) | (135) | |
Finite-Lived Intangible Assets, Net | 12 | 19 | |
Other Intangible Assets [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Gross | 84 | 83 | |
Finite-Lived Intangible Assets, Accumulated Amortization | (74) | (68) | |
Finite-Lived Intangible Assets, Net | 10 | 15 | |
Customer base and relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Gross | 68 | 71 | |
Finite-Lived Intangible Assets, Accumulated Amortization | (66) | (67) | |
Finite-Lived Intangible Assets, Net | $ 2 | 4 | |
Customer base and relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Net | 2 | ||
Trademarks | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Net | $ 34 |
Goodwill and Other Intangible_7
Goodwill and Other Intangible assets, Net Future Amortization Expense (Details) $ in Millions | Oct. 31, 2018USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months | $ 3 |
Finite-Lived Intangible Assets, Amortization Expense, Year Two | 2 |
Finite-Lived Intangible Assets, Amortization Expense, Year Three | 1 |
Finite-Lived Intangible Assets, Amortization Expense, Year Four | 1 |
Finite-Lived Intangible Assets, Amortization Expense, Year Five | 1 |
Finite-Lived Intangible Assets, Amortization Expense, after Year Five | $ 4 |
Goodwill and Other Intangible_8
Goodwill and Other Intangible assets, Net Carrying Amount of Goodwill for Each Operating Segment (Details) - USD ($) $ in Millions | Oct. 31, 2018 | Oct. 31, 2017 |
Goodwill [Line Items] | ||
Goodwill | $ 38 | $ 38 |
Investments in Non-Consolidat_3
Investments in Non-Consolidated Affiliates - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Investments in and Advances to Affiliates, at Fair Value, Gross Additions | $ 0 | ||
Related Party Transaction, Other Revenues from Transactions with Related Party | 4 | $ 5 | $ 6 |
Related Party Transaction, Expenses from Transactions with Related Party | 166 | 156 | $ 207 |
Equity Method Investment Summarized Financial Information Undistributed Earnings | $ (1) | $ (7) | |
Minimum [Member] | |||
Equity Method Investment, Ownership Percentage | 30.00% | ||
Maximum [Member] | |||
Equity Method Investment, Ownership Percentage | 50.00% |
Investments in Non-Consolidat_4
Investments in Non-Consolidated Affiliates Combined Assets, Liabilities and Equity of Equity Method Investments (Details) - USD ($) $ in Millions | Oct. 31, 2018 | Oct. 31, 2017 |
Equity Method Investment, Summarized Financial Information, Assets [Abstract] | ||
Equity Method Investment, Summarized Financial Information, Current Assets | $ 336 | $ 286 |
Equity Method Investment, Summarized Financial Information, Noncurrent Assets | 168 | 179 |
Equity Method Investment, Summarized Financial Information, Assets | 504 | 465 |
Equity Method Investment, Summarized Financial Information, Liabilities and Equity [Abstract] | ||
Equity Method Investment, Summarized Financial Information, Current Liabilities | 307 | 257 |
Equity Method Investment, Summarized Financial Information, Noncurrent Liabilities | 38 | 38 |
Equity Method Investment, Summarized Financial Information, Liabilities | 345 | 295 |
Equity Method Investment Summarized Financial Information, Equity [Abstract] | ||
Equity Method Investment, Summarized Financial Information, Equity Excluding Noncontrolling Interests | 53 | 56 |
Equity Method Investment, Summarized Financial Information, Noncontrolling Interest | 106 | 114 |
Equity Method Investment Summarized Financial Information, Equity | 159 | 170 |
Equity Method Investment, Summarized Financial Information, Liabilities and Equity | $ 504 | $ 465 |
Investments in Non-Consolidat_5
Investments in Non-Consolidated Affiliates Combined Results of Operations of Equity Method Investments (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | |||
Equity Method Investment, Summarized Financial Information, Revenue | $ 505 | $ 497 | $ 584 |
Equity Method Investment, Summarized Financial Information, Cost of Sales, Expenses and Income Tax Expense | 507 | 488 | 571 |
Net income | $ (2) | $ 9 | $ 13 |
Investments in Non-Consolidat_6
Investments in Non-Consolidated Affiliates Amounts Due To and From Affiliates (Details) - USD ($) $ in Millions | Oct. 31, 2018 | Oct. 31, 2017 |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | ||
Due from Affiliates | $ 1 | $ 1 |
Due to Affiliate | $ 22 | $ 19 |
Investments in Non-Consolidat_7
Investments in Non-Consolidated Affiliates - Anhui Jianghuai Navistar Diesel Engine Co., Ltd. ("JND") (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Schedule of Equity Method Investments [Line Items] | |||
Net revenue | $ 505 | $ 497 | $ 584 |
Net Loss | (2) | 9 | $ 13 |
Current assets | 336 | 286 | |
Noncurrent assets | 168 | 179 | |
Total assets | 504 | 465 | |
Current liabilities | 307 | 257 | |
Noncurrent liabilities | 38 | 38 | |
Total liabilities | $ 345 | $ 295 |
Investments in Non-Consolidat_8
Investments in Non-Consolidated Affiliates - Investment in Magnum Power Products LLC (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Schedule of Equity Method Investments [Line Items] | |||
Net revenue | $ 505 | $ 497 | $ 584 |
Net income | (2) | 9 | $ 13 |
Current assets | 336 | 286 | |
Noncurrent assets | 168 | 179 | |
Total assets | 504 | 465 | |
Current liabilities | 307 | 257 | |
Noncurrent liabilities | 38 | 38 | |
Total liabilities | $ 345 | $ 295 |
Debt - Schedule of Debt Instrum
Debt - Schedule of Debt Instruments (Details) - USD ($) | 12 Months Ended | ||||||||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | Jul. 31, 2018 | Jan. 31, 2018 | Apr. 30, 2017 | Jan. 31, 2017 | Oct. 31, 2013 | Oct. 31, 2012 | |
Debt Instrument [Line Items] | |||||||||
Debt Instrument, Unamortized Discount | $ 58,000,000 | ||||||||
Debt Instrument, Interest Rate, Stated Percentage | 1.50% | ||||||||
Long-term Debt | 5,467,000,000 | ||||||||
Long-term Debt and Capital Lease Obligations | 4,521,000,000 | $ 3,889,000,000 | |||||||
Payments to subsidiary to meet convenant requirement | 0 | 0 | $ 0 | ||||||
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 | 12,000,000 | ||||||||
Long-term Debt | 2,041,000,000 | ||||||||
Long-term Debt and Capital Lease Obligations, Including Current Maturities | 2,041,000,000 | 1,651,000,000 | |||||||
Long-term Debt and Capital Lease Obligations, Current | 485,000,000 | 883,000,000 | |||||||
Long-term Debt and Capital Lease Obligations | 1,556,000,000 | 768,000,000 | |||||||
Financial Services Operations | Term Loan [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt Instrument, Unamortized Discount | $ 2,000,000 | ||||||||
Net maximum borrowing capacity | 394,000,000 | 0 | |||||||
Financial Services Operations | Secured Debt [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term Debt | 948,000,000 | 849,000,000 | |||||||
Financial Services Operations | Line of Credit [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term Debt | 519,000,000 | 616,000,000 | |||||||
Financial Services Operations | Commercial Paper [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term Debt | 75,000,000 | 92,000,000 | |||||||
Financial Services Operations | Borrowings Secured By Operating and Finance Leases [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term Debt | 105,000,000 | 94,000,000 | |||||||
Manufacturing Operations [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt Instrument, Unamortized Discount | 46,000,000 | ||||||||
Long-term Debt | 3,426,000,000 | ||||||||
Long-term Debt and Capital Lease Obligations, Including Current Maturities | 3,426,000,000 | 3,407,000,000 | |||||||
Long-term Debt and Capital Lease Obligations, Current | 461,000,000 | 286,000,000 | |||||||
Long-term Debt and Capital Lease Obligations | 2,965,000,000 | 3,121,000,000 | |||||||
Manufacturing Operations [Member] | Term Loan [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term Debt | 1,570,000,000 | 0 | |||||||
Long-term Line of Credit | $ 1,600,000,000 | ||||||||
Manufacturing Operations [Member] | Line of Credit [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt Instrument, Unamortized Discount | 0 | 7,000,000 | |||||||
Long-term Debt | 0 | 1,003,000,000 | |||||||
Manufacturing Operations [Member] | Notes Payable to Banks [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term Debt | 1,083,000,000 | 0 | |||||||
Manufacturing Operations [Member] | Notes Payable to Banks [Member] | Eight Point Two Five Percent Senior Notes [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt Instrument, Unamortized Discount | $ 0 | 13,000,000 | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 8.25% | 8.51% | |||||||
Long-term Debt | $ 0 | 1,423,000,000 | |||||||
Manufacturing Operations [Member] | Convertible Subordinated Debt [Member] | Four Point Five Zero Senior Subordinated Convertible Notes [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Debt Instrument, Unamortized Discount | $ 0 | 5,000,000 | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 4.50% | 4.50% | |||||||
Long-term Debt | $ 0 | 194,000,000 | |||||||
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 | $ 5,000,000 | 14,000,000 | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 4.75% | ||||||||
Long-term Debt | $ 405,000,000 | 394,000,000 | |||||||
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 | 122,000,000 | 130,000,000 | |||||||
Manufacturing Operations [Member] | Notes Payable, Other Payables [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Long-term Debt | $ 26,000,000 | $ 43,000,000 |
Debt - Narrative (Details)
Debt - Narrative (Details) | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2016USD ($) | Dec. 31, 2011USD ($) | Oct. 31, 2018USD ($) | Jul. 31, 2018USD ($) | Jan. 31, 2018USD ($) | Apr. 30, 2017USD ($) | Jan. 31, 2017USD ($) | Oct. 31, 2016USD ($) | Apr. 30, 2014USD ($)Days | Oct. 31, 2013USD ($) | Oct. 31, 2018USD ($)$ / shares | Oct. 31, 2017USD ($) | Oct. 31, 2016USD ($) | Oct. 31, 2012 | Jul. 31, 2017USD ($) | Nov. 30, 2016USD ($) | May 31, 2016USD ($) | Feb. 29, 2016USD ($) | Jul. 31, 2015USD ($) | Jan. 31, 2015USD ($) | Apr. 30, 2013 | Aug. 31, 2012USD ($) | Oct. 31, 2010USD ($) | |
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt Instrument, Coupon Rate, Increase (Decrease) | 0.0675 | 0.0650 | |||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | $ 954,000,000 | $ 954,000,000 | |||||||||||||||||||||
Amortization | 2,000,000 | $ 3,000,000 | $ 5,000,000 | ||||||||||||||||||||
Line of Credit Facility, Increase (Decrease) for Period, Description | 1.7 | ||||||||||||||||||||||
Cash Dividends Paid to Parent Company by Consolidated Subsidiaries | 220,000,000 | ||||||||||||||||||||||
Debt Instrument, Unamortized Discount | 58,000,000 | 58,000,000 | |||||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 1.50% | ||||||||||||||||||||||
Payments of Debt Issuance Costs | 41,000,000 | 29,000,000 | 16,000,000 | ||||||||||||||||||||
Long-term Debt | 5,467,000,000 | 5,467,000,000 | |||||||||||||||||||||
Proceeds from issuance of securitized debt | 339,000,000 | 322,000,000 | 413,000,000 | ||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Two | 1,003,000,000 | 1,003,000,000 | |||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Three | 267,000,000 | 267,000,000 | |||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Four | 57,000,000 | 57,000,000 | |||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Five | 30,000,000 | 30,000,000 | |||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Rolling after Year Five | 3,214,000,000 | 3,214,000,000 | |||||||||||||||||||||
Long-term Debt, Gross | $ 5,525,000,000 | 5,525,000,000 | |||||||||||||||||||||
Payments to subsidiary to meet convenant requirement | $ 0 | 0 | 0 | ||||||||||||||||||||
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 | $ 467,000,000 | $ 467,000,000 | |||||||||||||||||||||
Debt Instrument, Unamortized Discount | 46,000,000 | 46,000,000 | |||||||||||||||||||||
Long-term Debt | 3,426,000,000 | 3,426,000,000 | |||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Two | 41,000,000 | 41,000,000 | |||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Three | 80,000,000 | 80,000,000 | |||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Four | 31,000,000 | 31,000,000 | |||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Five | 20,000,000 | 20,000,000 | |||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Rolling after Year Five | 2,833,000,000 | 2,833,000,000 | |||||||||||||||||||||
Long-term Debt, Gross | 3,472,000,000 | 3,472,000,000 | |||||||||||||||||||||
Financial Services Operations | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | 487,000,000 | 487,000,000 | |||||||||||||||||||||
Pledged Assets, Other, Not Separately Reported on Statement of Financial Position | 1,400,000,000 | 1,400,000,000 | 1,100,000,000 | ||||||||||||||||||||
Debt Instrument, Unamortized Discount | 12,000,000 | 12,000,000 | |||||||||||||||||||||
Long-term Debt | 2,041,000,000 | 2,041,000,000 | |||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Two | 962,000,000 | 962,000,000 | |||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Three | 187,000,000 | 187,000,000 | |||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Four | 26,000,000 | 26,000,000 | |||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Year Five | 10,000,000 | 10,000,000 | |||||||||||||||||||||
Long-term Debt, Maturities, Repayments of Principal in Rolling after Year Five | 381,000,000 | 381,000,000 | |||||||||||||||||||||
Long-term Debt, Gross | 2,053,000,000 | 2,053,000,000 | |||||||||||||||||||||
Financial Services Operations | VFN Facility [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 350,000,000 | ||||||||||||||||||||||
Debt Instrument, Face Amount | 425,000,000 | $ 450,000,000 | $ 500,000,000 | ||||||||||||||||||||
Financial Services Operations | Term Loan [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 82,000,000 | ||||||||||||||||||||||
Amortization | $ 1,000,000 | ||||||||||||||||||||||
Debt Instrument, Unamortized Discount | 2,000,000 | ||||||||||||||||||||||
Gross maximum borrowing capacity | 400,000,000 | ||||||||||||||||||||||
Debt Issuance Costs, Line of Credit Arrangements, Gross | 4,000,000 | ||||||||||||||||||||||
Revolving Credit Facility [Member] | Financial Services Operations | Bank Facility [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | 275,000,000 | $ 500,000,000 | 21,000,000 | $ 269,000,000 | 21,000,000 | 127,000,000 | $ 400,000,000 | ||||||||||||||||
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] | |||||||||||||||||||||||
Long-term Debt | 75,000,000 | ||||||||||||||||||||||
Installment Payments Set Two [Member] | Revolving Credit Facility [Member] | Financial Services Operations | Bank Facility [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt Instrument, Periodic Payment, Principal | $ 2,000,000 | $ 9,000,000 | |||||||||||||||||||||
Term Loan [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Gain (Loss) on Extinguishment of Debt | 16,000,000 | ||||||||||||||||||||||
Term Loan [Member] | Manufacturing Operations [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Long-term Line of Credit | 1,600,000,000 | ||||||||||||||||||||||
Amortization | 4,000,000 | ||||||||||||||||||||||
Long-term Debt | 1,570,000,000 | 1,570,000,000 | 0 | ||||||||||||||||||||
Asset-Based Credit Facility [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 175,000,000 | ||||||||||||||||||||||
Line of Credit Facility, Current Borrowing Capacity | 125,000,000 | ||||||||||||||||||||||
Debt Instrument, Liquidity Block | 13,000,000 | ||||||||||||||||||||||
Long-term Line of Credit | 0 | 0 | 0 | ||||||||||||||||||||
Line of Credit [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 1,000,000,000 | ||||||||||||||||||||||
Line of Credit [Member] | Manufacturing Operations [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt Instrument, Unamortized Discount | 0 | 0 | 7,000,000 | ||||||||||||||||||||
Debt Issuance Costs, Net | 0 | 0 | 9,000,000 | ||||||||||||||||||||
Long-term Debt | 0 | 0 | 1,003,000,000 | ||||||||||||||||||||
Line of Credit [Member] | Financial Services Operations | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt Issuance Costs, Net | 2,000,000 | 2,000,000 | 2,000,000 | ||||||||||||||||||||
Long-term Debt | 519,000,000 | 519,000,000 | 616,000,000 | ||||||||||||||||||||
Notes Payable to Banks [Member] | Manufacturing Operations [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Long-term Debt | 1,083,000,000 | 1,083,000,000 | 0 | ||||||||||||||||||||
Notes Issued | 1,100,000,000 | ||||||||||||||||||||||
Notes Payable to Banks [Member] | Manufacturing Operations [Member] | Eight Point Two Five Percent Senior Notes [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt Instrument, Face Amount | $ 250,000,000 | ||||||||||||||||||||||
Debt Instrument, Unamortized Discount | 0 | 0 | 13,000,000 | ||||||||||||||||||||
Debt Issuance Costs, Net | $ 0 | $ 0 | 14,000,000 | ||||||||||||||||||||
Debt Related Commitment Fees and Debt Issuance Costs | $ 30,000,000 | $ 4,000,000 | |||||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 8.25% | 8.51% | 8.25% | ||||||||||||||||||||
Long-term Debt | $ 0 | $ 0 | 1,423,000,000 | ||||||||||||||||||||
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 | 1,000,000 | |||||||||||||||||||||
Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt Instrument, Convertible, Threshold Consecutive Trading Days | Days | 30 | ||||||||||||||||||||||
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 | 0 | 0 | 5,000,000 | ||||||||||||||||||||
Debt Issuance Costs, Net | $ 0 | $ 0 | 1,000,000 | ||||||||||||||||||||
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 | ||||||||||||||||||||||
Long-term Debt | $ 0 | $ 0 | 194,000,000 | ||||||||||||||||||||
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 | 5,000,000 | 5,000,000 | 14,000,000 | ||||||||||||||||||||
Debt Issuance Costs, Net | $ 1,000,000 | $ 1,000,000 | 3,000,000 | ||||||||||||||||||||
Proceeds from Issuance of Senior Long-term Debt | 402,000,000 | ||||||||||||||||||||||
Debt Related Commitment Fees and Debt Issuance Costs | $ 9,000,000 | ||||||||||||||||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 4.75% | 4.75% | |||||||||||||||||||||
Long-term Debt, Fair Value | $ 367,000,000 | ||||||||||||||||||||||
Debt Instrument, Convertible, Carrying Amount of Equity Component | $ 44,000,000 | $ 22,000,000 | $ 44,000,000 | ||||||||||||||||||||
Debt Instrument, Convertible, Threshold Percentage of Stock Price Trigger | 130.00% | ||||||||||||||||||||||
Debt Instrument, Convertible, Measurement Period, Trading Days, Ending | Days | 10 | ||||||||||||||||||||||
Long-term Debt | 405,000,000 | 405,000,000 | 394,000,000 | ||||||||||||||||||||
Notes Payable, Other Payables [Member] | Manufacturing Operations [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Long-term Debt | 26,000,000 | 26,000,000 | 43,000,000 | ||||||||||||||||||||
Notes Payable, Other Payables [Member] | Financial Services Operations | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt Instrument, Face Amount | 300,000,000 | $ 300,000,000 | 300,000,000 | $ 300,000,000 | $ 250,000,000 | $ 250,000,000 | |||||||||||||||||
Notes Payable, Other Payables [Member] | Financial Services Operations | Secured Debt [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt Instrument, Term | 2 years | ||||||||||||||||||||||
Financed lease obligations [Member] | Manufacturing Operations [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Long-term Debt | 122,000,000 | 122,000,000 | 130,000,000 | ||||||||||||||||||||
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 | ||||||||||||||||||||
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 | ||||||||||||||||||||
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 | ||||||||||||||||||||||
Senior Notes [Member] | Manufacturing Operations [Member] | Eight Point Two Five Percent Senior Notes [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt Instrument, Face Amount | 1,450,000,000 | 1,450,000,000 | |||||||||||||||||||||
Secured Debt [Member] | Financial Services Operations | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt Issuance Costs, Net | 4,000,000 | 4,000,000 | 5,000,000 | ||||||||||||||||||||
Long-term Debt | 948,000,000 | 948,000,000 | $ 849,000,000 | ||||||||||||||||||||
Base Rate [Member] | Term Loan [Member] | Manufacturing Operations [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 2.50% | ||||||||||||||||||||||
Base Rate [Member] | Line of Credit [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 3.00% | ||||||||||||||||||||||
Eurodollar [Member] | Term Loan [Member] | Manufacturing Operations [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 3.50% | ||||||||||||||||||||||
Eurodollar [Member] | Line of Credit [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt Instrument, Basis Spread on Variable Rate | 4.00% | ||||||||||||||||||||||
Minimum [Member] | Convertible Subordinated Debt [Member] | Manufacturing Operations [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt Instrument, Convertible, Threshold Trading Days | Days | 20 | ||||||||||||||||||||||
Debt Instrument, Redemption, Period Six [Member] | Tax Exempt Bond [Member] | Manufacturing Operations [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt Instrument, Redemption Price, Percentage | 100.00% | ||||||||||||||||||||||
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 | 498,000,000 | 498,000,000 | $ 414,000,000 | ||||||||||||||||||||
Mexico, Pesos | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Commercial Paper | $ 3,000,000,000 | $ 3,000,000,000 | $ 1,800,000,000 | ||||||||||||||||||||
Mexico, Pesos | Financial Services Operations | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt instrument, percentage of borrowings denominated in countries currency | 72.00% | 72.00% | 65.00% | ||||||||||||||||||||
United States of America, Dollars | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Commercial Paper | $ 91,000,000 | $ 91,000,000 | |||||||||||||||||||||
United States of America, Dollars | Financial Services Operations | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt instrument, percentage of borrowings denominated in countries currency | 28.00% | 28.00% | 35.00% | ||||||||||||||||||||
International Truck Leasing Corporation [Member] | Financial Services Operations | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Proceeds from issuance of securitized debt | $ 38,000,000 | $ 31,000,000 | |||||||||||||||||||||
Secured Debt | $ 105,000,000 | 105,000,000 | 94,000,000 | ||||||||||||||||||||
Loans Pledged as Collateral | $ 125,000,000 | $ 125,000,000 | 117,000,000 | ||||||||||||||||||||
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 | 3.98% | ||||||||||||||||||||||
Interest Rate Cap [Member] | Financed lease obligations [Member] | Manufacturing Operations [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | 12.52% | ||||||||||||||||||||||
Affiliated Entity [Member] | NFM [Member] | Secured Debt [Member] | |||||||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||||||
Long-term Debt | $ 31,000,000 | $ 31,000,000 | $ 67,000,000 |
Postretirement Benefits - Narra
Postretirement Benefits - Narrative (Details) employees in Thousands, $ in Millions | 3 Months Ended | 12 Months Ended | |||
Jul. 31, 2017USD ($) | Jan. 31, 2017USD ($) | Oct. 31, 2018USD ($)employees | Oct. 31, 2017USD ($) | Oct. 31, 2016USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | |||||
Liability, Other Postretirement Defined Benefit Plan, Noncurrent | $ 66 | ||||
Defined Benefit Plan, Benefit Obligation, Actuarial Gain (Loss) | 21 | $ 2 | |||
Defined Contribution Plan, Administrative Expense | 23 | 9 | |||
Defined Benefit Plan, Cost of Providing Special and Contractual Termination Benefits | $ 1 | ||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) | 105 | $ 118 | $ 153 | ||
Defined Benefit Plan, Pension Plan with Accumulated Benefit Obligation in Excess of Plan Assets, Projected Benefit Obligation | 3,065 | 3,487 | |||
Defined Benefit Plan, Accumulated Benefit Obligation | 3,300 | 4,000 | |||
Defined Benefit Plan, Expected Future Employer Contributions, Remainder of Fiscal Year | 140 | ||||
Restructuring Charges | (1) | 3 | 10 | ||
Defined Contribution Plan, Cost | 33 | 29 | |||
Defined Benefit Plan, Pension Plan with Accumulated Benefit Obligation in Excess of Plan Assets, Accumulated Benefit Obligation | 3,051 | 3,471 | |||
Defined Benefit Plan, Pension Plan with Accumulated Benefit Obligation in Excess of Plan Assets, Fair Value of Plan Assets | 1,865 | 2,035 | |||
Defined Benefit Plan, Benefits Paid (Deprecated 2017-01-31) | $ 16 | ||||
Number Of Former Employees And Their Beneficiaries Included In Retiree Population | employees | 30 | ||||
Defined benefit plan, weighted average rate of increase in in per capita cost percent of benefit obligation | 7.10% | ||||
Defined Benefit Plan, Benefit Obligation, Special and Contractual Termination Benefits | 9 | ||||
Defined Benefit Plan, Benefit Obligation, (Increase) Decrease for Curtailment | 10 | ||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit), Gain (Loss) Due to Settlement and Curtailment | 2 | ||||
Income (Loss) from Continuing Operations before Income Taxes, Domestic | 28 | ||||
Profit sharing accrual | $ 30 | ||||
Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Benefit Obligation, Actuarial Gain (Loss) | 251 | 18 | |||
Defined Benefit Plan, Expected Future Benefit Payment, Next Twelve Months | 283 | ||||
Fair Value of Plan Assets | $ 2,162 | $ 2,363 | $ 2,310 | ||
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Expected Long-term Rate of Return on Plan Assets | 7.20% | 7.20% | 7.50% | ||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 4.40% | 3.50% | |||
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Discount Rate | 3.90% | 3.90% | 4.50% | ||
Defined Benefit Plan, Assumptions Used in Calculating Interest Cost, Discount Rate | 3.00% | 2.80% | 3.10% | ||
Defined Benefit Plan, Expected Amortization of Prior Service Cost (Credit), Next Fiscal Year | $ 0 | ||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) | 72 | $ 121 | $ 82 | ||
Employer contributions | 132 | 112 | |||
Defined Benefit Plan, Benefits Paid (Deprecated 2017-01-31) | 286 | $ 297 | |||
Defined Benefit Plan, Expected Amortization of Gain (Loss), Next Fiscal Year | $ 98 | ||||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 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 | $ 2,144 | $ 2,346 | |||
Defined Benefit Plan, Expected Future Benefit Payment, Year Two | 278 | ||||
Defined Benefit Plan, Expected Future Benefit Payment, Year Three | 271 | ||||
Defined Benefit Plan, Expected Future Benefit Payment, Year Four | 264 | ||||
Defined Benefit Plan, Expected Future Benefit Payment, Year Five | 257 | ||||
Defined Benefit Plan, Expected Future Benefit Payment, Five Fiscal Years Thereafter | 1,173 | ||||
Defined Benefit Plan, Benefit Obligation, Special and Contractual Termination Benefits | 0 | 10 | |||
Defined Benefit Plan, Benefit Obligation, (Increase) Decrease for Curtailment | 0 | 0 | $ 0 | ||
Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Benefit Obligation, Actuarial Gain (Loss) | 159 | 183 | |||
Defined Benefit Plan, Expected Future Benefit Payment, Next Twelve Months | 76 | ||||
Fair Value of Plan Assets | 297 | $ 333 | $ 333 | ||
Defined Benefit Plan, Effect of One Percentage Point Increase on Service and Interest Cost Components | $ 8 | ||||
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Expected Long-term Rate of Return on Plan Assets | 7.50% | 7.50% | 7.50% | ||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 4.40% | 3.60% | |||
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Discount Rate | 3.90% | 4.00% | 4.60% | ||
Defined Benefit Plan, Assumptions Used in Calculating Interest Cost, Discount Rate | 3.10% | 2.90% | 3.30% | ||
Defined Benefit Plan, Expected Amortization of Prior Service Cost (Credit), Next Fiscal Year | $ 0 | ||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) | 33 | $ (3) | $ 71 | ||
Employer contributions | 1 | 2 | |||
Defined Benefit Plan, Expected Future Employer Contributions, Next Fiscal Year | 1 | ||||
Defined Benefit Plan, Benefits Paid (Deprecated 2017-01-31) | 160 | 166 | |||
Defined benefit plan, benefits paid from Company assets | 37 | $ 48 | |||
Defined Benefit Plan, Expected Amortization of Gain (Loss), Next Fiscal Year | $ (1) | ||||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Rate of Compensation Increase | 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 | 92.00% | ||||
Defined Benefit Plan, Ultimate Health Care Cost Trend Rate | 5.00% | ||||
Defined Benefit Plan, Health Care Cost Trend Rate Assumed, Next Fiscal Year | 14.40% | ||||
Defined Benefit Plan, Effect of One Percentage Point Decrease on Service and Interest Cost Components | $ (7) | ||||
Defined Benefit Plan, Effect of One Percentage Point Increase on Accumulated Postretirement Benefit Obligation | 169 | ||||
Defined Benefit Plan, Effect of One Percentage Point Decrease on Accumulated Postretirement Benefit Obligation | (143) | ||||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 297 | $ 333 | |||
Defined Benefit Plan, Expected Future Benefit Payment, Year Two | 85 | ||||
Defined Benefit Plan, Expected Future Benefit Payment, Year Three | 91 | ||||
Defined Benefit Plan, Expected Future Benefit Payment, Year Four | 93 | ||||
Defined Benefit Plan, Expected Future Benefit Payment, Year Five | 95 | ||||
Defined Benefit Plan, Expected Future Benefit Payment, Five Fiscal Years Thereafter | 454 | ||||
Defined Benefit Plan, Benefit Obligation, Special and Contractual Termination Benefits | 4 | 0 | 4 | ||
Defined Benefit Plan, Benefit Obligation, (Increase) Decrease for Curtailment | 0 | (58) | $ 0 | ||
Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 861 | 983 | |||
Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 138 | 160 | |||
Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 973 | 1,099 | |||
Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 78 | 99 | |||
Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 310 | 263 | |||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 0 | 1 | |||
Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Alternative Investments, Fair Value of Plan Assets, NAV | 81 | 74 | |||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 0 | 0 | |||
Cash and Cash Equivalents [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 77 | 86 | |||
Cash and Cash Equivalents [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 11 | 6 | |||
Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 77 | 86 | |||
Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 11 | 6 | |||
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 | |||
Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 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 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
US Treasury Bond Securities [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 61 | 0 | |||
US Treasury Bond Securities [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
US Treasury Bond Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 61 | 0 | |||
US Treasury Bond Securities [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
Corporate Bond Securities [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 62 | |||
Corporate Bond Securities [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Corporate Bond Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 62 | |||
Corporate Bond Securities [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
U.S. Equity [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 293 | 316 | |||
U.S. Equity [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 59 | 71 | |||
U.S. Equity [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 293 | 316 | |||
U.S. Equity [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 59 | 71 | |||
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 | |||
U.S. Equity [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 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 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
U.S. Equity [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
Canadian Equity Other [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 16 | 19 | |||
Canadian Equity Other [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 16 | 19 | |||
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 | |||
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 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
International Equity Other [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 270 | 327 | |||
International Equity Other [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 59 | 74 | |||
International Equity Other [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 270 | 327 | |||
International Equity Other [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 59 | 74 | |||
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 | |||
International Equity Other [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 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 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
International Equity Other [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
Fixed Income, Multi Asset Credit [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 26 | 29 | |||
Fixed Income, Multi Asset Credit [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 9 | 0 | |||
Fixed Income, Multi Asset Credit [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 17 | 29 | |||
Fixed Income, Multi Asset Credit [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
Global Equity [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 205 | 235 | |||
Global Equity [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 205 | 235 | |||
Global Equity [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 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 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
Fixed Income, Long Duration Credit [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 283 | 508 | |||
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 | |||
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 | 283 | 508 | |||
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 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
Government [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 156 | 20 | |||
Government [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Government [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 156 | 20 | |||
Government [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
Fixed Income, High Yield [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 157 | 214 | |||
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 | |||
Fixed Income, High Yield [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 157 | 214 | |||
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 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
Fixed Income, Canadian Bond [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 194 | 213 | |||
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 | |||
Fixed Income, Canadian Bond [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 194 | 213 | |||
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 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
Global Real Estate [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 135 | 144 | |||
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 | |||
Global Real Estate [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 135 | 144 | |||
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 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
Global Infrastructure [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 9 | 10 | |||
Global Infrastructure [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 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 | |||
Global Infrastructure [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 9 | 10 | |||
Commodities Investment [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 45 | 0 | |||
Commodities Investment [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 9 | |||
Commodities Investment [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Commodities Investment [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 9 | |||
Commodities Investment [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Commodities Investment [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Commodities Investment [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 45 | 0 | |||
Commodities Investment [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
Insurance Linked Securities [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 8 | 0 | |||
Insurance Linked Securities [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Insurance Linked Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Insurance Linked Securities [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 8 | 0 | |||
Hedge Funds [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 202 | 210 | |||
Hedge Funds [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 39 | 39 | |||
Hedge Funds [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Hedge Funds [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 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 | |||
Hedge Funds [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 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 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 202 | 210 | |||
Hedge Funds [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 39 | 39 | |||
Private Equity Funds [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 32 | 43 | |||
Private Equity Funds [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 8 | 11 | |||
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 | |||
Private Equity Funds [Member] | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 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 | |||
Private Equity Funds [Member] | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 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 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 32 | 43 | |||
Private Equity Funds [Member] | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 8 | 11 | |||
Real Estate [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 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 | |||
Real Estate [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Real Estate [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 1 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | 0 | 0 | |||
Common Stock | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 26 | 24 | |||
Common Stock | Fair Value, Inputs, Level 1 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Common Stock | Fair Value, Inputs, Level 2 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Common Stock | Fair Value, Inputs, Level 3 [Member] | Other Postretirement Benefits Plan [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Fair Value of Plan Assets | 0 | 0 | |||
Alternative Investments, Fair Value of Plan Assets, NAV | $ 26 | $ 24 | |||
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% | ||||
Melrose Park [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit), Gain (Loss) Due to Settlement and Curtailment | $ 91 |
Postretirement Benefits - Sched
Postretirement Benefits - Schedule of Net Benefit (Details) employees in Thousands, $ in Millions | 3 Months Ended | 12 Months Ended | ||
Jul. 31, 2017USD ($) | Oct. 31, 2018USD ($)employees | Oct. 31, 2017USD ($) | Oct. 31, 2016USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Accumulated Benefit Obligation | $ 3,300 | $ 4,000 | ||
Number Of Former Employees And Their Beneficiaries Included In Retiree Population | employees | 30 | |||
Defined Benefit Plan, Benefit Obligation, (Increase) Decrease for Curtailment | $ 10 | |||
Net postretirement benefits expense | $ 105 | 118 | $ 153 | |
Defined Benefit Plan, Benefit Obligation, Actuarial Gain (Loss) | (21) | (2) | ||
Defined Benefit Plan, Benefit Obligation, Special and Contractual Termination Benefits | 9 | |||
Defined Benefit Plan, Benefits Paid (Deprecated 2017-01-31) | (16) | |||
Fair value of plan assets - Intermediate duration government | 48 | 0 | ||
Liability, Defined Benefit Plan, Noncurrent | $ (2,097) | (2,497) | ||
Defined benefit plan, weighted average rate of increase in in per capita cost percent of benefit obligation | 7.10% | |||
Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Assets for Plan Benefits, Defined Benefit Plan | $ 18 | 16 | ||
Defined Benefit Plan, Benefit Obligation | 3,344 | 3,799 | 4,027 | |
Service cost | (7) | (7) | (9) | |
Interest on obligations | 108 | 107 | 118 | |
Amortization of cumulative loss | 106 | 116 | 104 | |
Amortization of cumulative loss | 0 | 0 | 0 | |
Contractual termination benefits | 0 | 10 | 3 | |
Defined Benefit Plan, Benefit Obligation, (Increase) Decrease for Curtailment | 0 | 0 | 0 | |
Premiums on pension insurance | 3 | 15 | 15 | |
Expected return on assets | (161) | (157) | (167) | |
Net postretirement benefits expense | 72 | 121 | 82 | |
Defined Benefit Plan, Benefit Obligation, Actuarial Gain (Loss) | (251) | (18) | ||
Defined Benefit Plan, Benefit Obligation, (Increase) Decrease for Remeasurement due to Settlement | 9 | 23 | 0 | |
Defined Benefit Plan, Benefit Obligation, Special and Contractual Termination Benefits | 0 | 10 | ||
Defined Benefit Plan, Accumulated Benefit Obligation, (Increase) Decrease for Settlement and Curtailment | 0 | 2 | ||
Defined Benefit Plan, Benefit Obligation, Foreign Currency Translation Gain (Loss) | (8) | 17 | ||
Defined Benefit Plan, Contributions by Plan Participants (Deprecated 2017-01-31) | 0 | 0 | ||
Defined Benefit Plan, Gross Prescription Drug Subsidy Receipts Received (Deprecated 2017-01-31) | 0 | 0 | ||
Defined Benefit Plan, Benefits Paid (Deprecated 2017-01-31) | (286) | (297) | ||
Fair Value of Plan Assets | 2,162 | 2,363 | 2,310 | |
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 2,144 | 2,346 | ||
Defined Benefit Plan, Plan Assets, Increase (Decrease) for Actual Return (Loss) | (30) | 256 | ||
Defined Benefit Plan, Benefit Obligation, (Increase) Decrease for Remeasurement due to Settlement | 25 | 52 | ||
Defined Benefit Plan, Plan Assets, Foreign Currency Translation Gain (Loss) | (8) | 18 | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 132 | 112 | ||
Defined Benefit Plan Change In Fair Value Of Plan Assets Benefits Paid | (270) | (281) | ||
Defined Benefit Plan, Funded (Unfunded) Status of Plan | (1,182) | (1,436) | ||
Liability, Defined Benefit Plan, Current | (17) | (16) | ||
Liability, Defined Benefit Plan, Noncurrent | (1,183) | (1,436) | ||
Liability, Defined Benefit Plan | (1,182) | (1,436) | ||
Defined Benefit Plan, Accumulated Other Comprehensive Income (Loss), Gain (Loss), before Tax | 2,007 | 2,183 | ||
Defined Benefit Plan, Accumulated Other Comprehensive (Income) Loss, Prior Service Cost (Credit), before Tax | 0 | 0 | ||
Defined Benefit Plan, Accumulated Other Comprehensive (Income) Loss, before Tax | 2,007 | 2,183 | ||
Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss) Arising During Period, before Tax | (61) | (116) | 313 | |
Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss), Reclassification Adjustment from AOCI, before Tax | (106) | (116) | (104) | |
Other Comprehensive (Income) Loss, Defined Benefit Plan, Prior Service Cost (Credit), Reclassification Adjustment from AOCI, before Tax | 0 | 0 | 0 | |
Other Comprehensive Income (Loss), Defined Benefit Plan, Settlement, After Tax | 9 | 23 | 0 | |
Other Comprehensive Income (Loss), Defined Benefit Plan, Settlement and Curtailment Gain (Loss), after Tax | 0 | 2 | 0 | |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Currancy Translation Adjustment, before Tax | 0 | 0 | (1) | |
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, before Tax | (176) | (257) | 208 | |
Net postretirement benefit expense (income) and other comprehensive loss (income) | $ (104) | (136) | 290 | |
Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Health Care Cost Trend Rate Assumed, Next Fiscal Year | 14.40% | |||
Assets for Plan Benefits, Defined Benefit Plan | $ 0 | 0 | ||
Defined Benefit Plan, Benefit Obligation | 1,245 | 1,435 | 1,708 | |
Service cost | (4) | (5) | (5) | |
Interest on obligations | 43 | 47 | 58 | |
Amortization of cumulative loss | 9 | 22 | 31 | |
Amortization of cumulative loss | 0 | 0 | (1) | |
Contractual termination benefits | 0 | 4 | 4 | |
Defined Benefit Plan, Benefit Obligation, (Increase) Decrease for Curtailment | 0 | (58) | 0 | |
Premiums on pension insurance | 0 | 0 | 0 | |
Expected return on assets | (23) | (23) | (26) | |
Net postretirement benefits expense | 33 | (3) | 71 | |
Defined Benefit Plan, Benefit Obligation, Actuarial Gain (Loss) | (159) | (183) | ||
Defined Benefit Plan, Benefit Obligation, (Increase) Decrease for Remeasurement due to Settlement | 0 | 0 | 0 | |
Defined Benefit Plan, Benefit Obligation, Special and Contractual Termination Benefits | $ 4 | 0 | 4 | |
Defined Benefit Plan, Accumulated Benefit Obligation, (Increase) Decrease for Settlement and Curtailment | 0 | 58 | ||
Defined Benefit Plan, Benefit Obligation, Foreign Currency Translation Gain (Loss) | 0 | 0 | ||
Defined Benefit Plan, Contributions by Plan Participants (Deprecated 2017-01-31) | 40 | 36 | ||
Defined Benefit Plan, Gross Prescription Drug Subsidy Receipts Received (Deprecated 2017-01-31) | 42 | 42 | ||
Defined Benefit Plan, Benefits Paid (Deprecated 2017-01-31) | (160) | (166) | ||
Fair Value of Plan Assets | 297 | 333 | 333 | |
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 297 | 333 | ||
Defined Benefit Plan, Plan Assets, Increase (Decrease) for Actual Return (Loss) | 4 | 38 | ||
Defined Benefit Plan, Benefit Obligation, (Increase) Decrease for Remeasurement due to Settlement | 0 | 0 | ||
Defined Benefit Plan, Plan Assets, Foreign Currency Translation Gain (Loss) | 0 | 0 | ||
Defined Benefit Plan, Plan Assets, Contributions by Employer | 1 | 2 | ||
Defined Benefit Plan Change In Fair Value Of Plan Assets Benefits Paid | (41) | (40) | ||
Defined Benefit Plan, Funded (Unfunded) Status of Plan | (948) | (1,102) | ||
Liability, Defined Benefit Plan, Current | (34) | (41) | ||
Liability, Defined Benefit Plan, Noncurrent | (914) | (1,061) | ||
Liability, Defined Benefit Plan | (948) | (1,102) | ||
Defined Benefit Plan, Accumulated Other Comprehensive Income (Loss), Gain (Loss), before Tax | 104 | 252 | ||
Defined Benefit Plan, Accumulated Other Comprehensive (Income) Loss, Prior Service Cost (Credit), before Tax | 0 | 0 | ||
Defined Benefit Plan, Accumulated Other Comprehensive (Income) Loss, before Tax | 104 | 252 | ||
Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss) Arising During Period, before Tax | (139) | (197) | (115) | |
Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss), Reclassification Adjustment from AOCI, before Tax | (9) | (22) | (31) | |
Other Comprehensive (Income) Loss, Defined Benefit Plan, Prior Service Cost (Credit), Reclassification Adjustment from AOCI, before Tax | 0 | 0 | 1 | |
Other Comprehensive Income (Loss), Defined Benefit Plan, Settlement, After Tax | 0 | 0 | 0 | |
Other Comprehensive Income (Loss), Defined Benefit Plan, Settlement and Curtailment Gain (Loss), after Tax | 0 | 0 | 0 | |
Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Currancy Translation Adjustment, before Tax | 0 | 0 | 0 | |
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, before Tax | (148) | (219) | (145) | |
Net postretirement benefit expense (income) and other comprehensive loss (income) | $ (115) | (222) | $ (74) | |
Defined benefit plan, weighted average rate of increase in in per capita cost percent of benefit obligation | 92.00% | |||
Defined Benefit Plan, Ultimate Health Care Cost Trend Rate | 5.00% | |||
Domestic Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Deferred Income Taxes and Other Assets, Noncurrent | $ 503 | |||
Fair Value, Inputs, Level 1 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 861 | 983 | ||
Fair Value, Inputs, Level 1 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 138 | 160 | ||
Fair Value, Inputs, Level 2 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 973 | 1,099 | ||
Fair Value, Inputs, Level 2 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 78 | 99 | ||
Fair Value, Inputs, Level 3 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 310 | 263 | ||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 0 | 1 | ||
Fair Value, Inputs, Level 3 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 81 | 74 | ||
Defined Benefit Plan, Fair Value of Plan Assets Excluding Receivables | 0 | 0 | ||
Cash and Cash Equivalents [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 77 | 86 | ||
Cash and Cash Equivalents [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 11 | 6 | ||
Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 77 | 86 | ||
Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 1 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 11 | 6 | ||
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 | ||
Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 2 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 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 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 0 | 0 | ||
Cash and Cash Equivalents [Member] | Fair Value, Inputs, Level 3 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 0 | 0 | ||
Government [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 156 | 20 | ||
Government [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Fair value of plan assets - Intermediate duration government | 0 | 0 | ||
Government [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 156 | 20 | ||
Fair value of plan assets - Intermediate duration government | 48 | 0 | ||
Government [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Fair value of plan assets - Intermediate duration government | 0 | 0 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 0 | 0 | ||
Corporate Bond Securities [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 62 | ||
Corporate Bond Securities [Member] | Fair Value, Inputs, Level 1 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Corporate Bond Securities [Member] | Fair Value, Inputs, Level 2 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 62 | ||
Corporate Bond Securities [Member] | Fair Value, Inputs, Level 3 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 0 | 0 | ||
US Treasury and Government [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 8 | ||
US Treasury and Government [Member] | Fair Value, Inputs, Level 1 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
US Treasury and Government [Member] | Fair Value, Inputs, Level 2 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 8 | ||
US Treasury and Government [Member] | Fair Value, Inputs, Level 3 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 0 | 0 | ||
U.S. Equity [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 293 | 316 | ||
U.S. Equity [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 59 | 71 | ||
U.S. Equity [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 293 | 316 | ||
U.S. Equity [Member] | Fair Value, Inputs, Level 1 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 59 | 71 | ||
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 | ||
U.S. Equity [Member] | Fair Value, Inputs, Level 2 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 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 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 0 | 0 | ||
U.S. Equity [Member] | Fair Value, Inputs, Level 3 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 0 | 0 | ||
Canadian Equity Other [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 16 | 19 | ||
Canadian Equity Other [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 16 | 19 | ||
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 | ||
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 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 0 | 0 | ||
International Equity Other [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 270 | 327 | ||
International Equity Other [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 59 | 74 | ||
International Equity Other [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 270 | 327 | ||
International Equity Other [Member] | Fair Value, Inputs, Level 1 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 59 | 74 | ||
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 | ||
International Equity Other [Member] | Fair Value, Inputs, Level 2 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 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 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 0 | 0 | ||
International Equity Other [Member] | Fair Value, Inputs, Level 3 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 0 | 0 | ||
Global Equity [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 205 | 235 | ||
Global Equity [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 205 | 235 | ||
Global Equity [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 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 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 0 | 0 | ||
Fixed Income, Long Duration Credit [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 283 | 508 | ||
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 | ||
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 | 283 | 508 | ||
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 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 0 | 0 | ||
Fixed Income, High Yield [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 157 | 214 | ||
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 | ||
Fixed Income, High Yield [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 157 | 214 | ||
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 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 0 | 0 | ||
Fixed Income, Canadian Bond [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 194 | 213 | ||
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 | ||
Fixed Income, Canadian Bond [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 194 | 213 | ||
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 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 0 | 0 | ||
Global Real Estate [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 135 | 144 | ||
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 | ||
Global Real Estate [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 135 | 144 | ||
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 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 0 | 0 | ||
Global Infrastructure [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 9 | 10 | ||
Global Infrastructure [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 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 | ||
Global Infrastructure [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 9 | 10 | ||
Commodities Investment [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 45 | 0 | ||
Commodities Investment [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 9 | ||
Commodities Investment [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Commodities Investment [Member] | Fair Value, Inputs, Level 1 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 9 | ||
Commodities Investment [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Commodities Investment [Member] | Fair Value, Inputs, Level 2 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Commodities Investment [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 45 | 0 | ||
Commodities Investment [Member] | Fair Value, Inputs, Level 3 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 0 | 0 | ||
Hedge Funds [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 202 | 210 | ||
Hedge Funds [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 39 | 39 | ||
Hedge Funds [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Hedge Funds [Member] | Fair Value, Inputs, Level 1 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 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 | ||
Hedge Funds [Member] | Fair Value, Inputs, Level 2 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 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 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 202 | 210 | ||
Hedge Funds [Member] | Fair Value, Inputs, Level 3 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 39 | 39 | ||
Private Equity Funds [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 32 | 43 | ||
Private Equity Funds [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 8 | 11 | ||
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 | ||
Private Equity Funds [Member] | Fair Value, Inputs, Level 1 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 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 | ||
Private Equity Funds [Member] | Fair Value, Inputs, Level 2 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 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 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 32 | 43 | ||
Private Equity Funds [Member] | Fair Value, Inputs, Level 3 [Member] | Health and Life Insurance Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 8 | 11 | ||
Private Credit [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 22 | 0 | ||
Private Credit [Member] | Fair Value, Inputs, Level 1 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Private Credit [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Private Credit [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | 22 | 0 | ||
Real Estate [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 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 | ||
Real Estate [Member] | Fair Value, Inputs, Level 2 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 0 | ||
Real Estate [Member] | Fair Value, Inputs, Level 3 [Member] | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair Value of Plan Assets | 0 | 1 | ||
Defined Benefit Plan, Alternative Investments, Fair Value of Plan Assets | $ 0 | $ 0 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) | Jan. 01, 2018 | Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 |
Operating Loss Carryforwards [Line Items] | ||||
Effective Income Tax Rate Reconciliation, Change in Enacted Tax Rate, Amount | $ 0.23 | $ 0.35 | ||
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits, Employee Benefits | 615,000,000 | 1,073,000,000 | ||
Effective Income Tax Rate Reconciliation at Federal Statutory Income Tax Rate, Amount | (98,000,000) | (22,000,000) | $ 11,000,000 | |
Current Federal Tax Expense (Benefit) | 0 | 4,000,000 | (1,000,000) | |
Income (Loss) from Continuing Operations before Income Taxes, Domestic | 28,000,000 | |||
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Amount | $ 1,120,000,000 | (57,000,000) | (132,000,000) | |
Income Taxes Percent Likelihood Of Being Realized Upon Settlement | 50.00% | |||
Income tax expense | $ (52,000,000) | (10,000,000) | (33,000,000) | |
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense | 1,000,000 | (6,000,000) | (1,000,000) | |
Unrecognized Tax Benefits | 27,000,000 | 34,000,000 | 50,000,000 | |
Unrecognized Tax Benefits, Increase Resulting from Prior Period Tax Positions | 2,000,000 | 0 | ||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense | 3,000,000 | 4,000,000 | ||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 420,000,000 | 64,000,000 | (32,000,000) | |
Current State and Local Tax Expense (Benefit) | (1,000,000) | 10,000,000 | (4,000,000) | |
Current Foreign Tax Expense (Benefit) | (47,000,000) | (30,000,000) | (36,000,000) | |
Current Income Tax Expense (Benefit) | (48,000,000) | (16,000,000) | (41,000,000) | |
Deferred Federal Income Tax Expense (Benefit) | 2,000,000 | 19,000,000 | 13,000,000 | |
Deferred State and Local Income Tax Expense (Benefit) | (1,000,000) | 4,000,000 | (1,000,000) | |
Deferred Foreign Income Tax Expense (Benefit) | (5,000,000) | (17,000,000) | (4,000,000) | |
Deferred Income Tax Expense (Benefit) | (4,000,000) | 6,000,000 | 8,000,000 | |
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Amount | (3,000,000) | (3,000,000) | (3,000,000) | |
Effective Income Tax Rate Reconciliation, Tax Credit, Amount | (50,000,000) | (8,000,000) | (3,000,000) | |
Effective Income Tax Rate Reconciliation, Foreign Income Tax Rate Differential, Amount | (2,000,000) | 4,000,000 | 53,000,000 | |
Effective Income Tax Rate Reconciliation, Repatriation of Foreign Earnings, Amount | $ 147,000,000 | 0 | 0 | 37,000,000 |
Effective Income Tax Rate Reconciliation, Tax Contingency, Amount | (1,000,000) | 15,000,000 | (10,000,000) | |
Effective Income Tax Rate Reconciliation, Tax Expense related to Equity Components | 0 | 0 | ||
Effective Income Tax Rate Reconciliation, Noncontrolling Interest Income (Loss), Amount | 6,000,000 | 9,000,000 | 11,000,000 | |
Foreign Earnings Repatriated | (34,000,000) | 0 | 0 | |
Tax Act US deferred remeasurement | (983,000,000) | 0 | 0 | |
Effective Income Tax Rate Reconciliation, Other Adjustments, Amount | (7,000,000) | 8,000,000 | (3,000,000) | |
Deferred Tax Assets, Operating Loss Carryforwards | 979,000,000 | 1,383,000,000 | ||
Deferred Tax Assets, Tax Deferred Expense, Reserves and Accruals, Warranty Reserves | 172,000,000 | 290,000,000 | ||
Deferred Tax Assets, in Process Research and Development | 114,000,000 | 209,000,000 | ||
Deferred Tax Assets, Tax Credit Carryforwards | 212,000,000 | 262,000,000 | ||
Deferred Tax Assets, Other | 238,000,000 | 277,000,000 | ||
Deferred Tax Assets, Gross | 2,330,000,000 | 3,494,000,000 | ||
Deferred Tax Assets, Valuation Allowance | 2,182,000,000 | 3,326,000,000 | ||
Deferred Tax Assets, Net of Valuation Allowance | 148,000,000 | 168,000,000 | ||
Deferred Tax Liabilities, Other | (27,000,000) | (39,000,000) | ||
Deferred Tax Liabilities, Net | (27,000,000) | (39,000,000) | ||
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | 137,000,000 | 57,000,000 | ||
Unrecognized Tax Benefits, Decrease Resulting from Prior Period Tax Positions | (7,000,000) | (15,000,000) | ||
Unrecognized Tax Benefits, Decrease Resulting from Settlements with Taxing Authorities | (2,000,000) | $ (1,000,000) | ||
Undistributed Earnings of Foreign Subsidiaries | 308,000,000 | |||
Interest and Penalties from Uncertain Tax Positions, Income Tax Expense | 14 | |||
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest | 420,000,000 | $ 64,000,000 | (32,000,000) | |
Other Comprehensive Income (Loss) [Member] | ||||
Operating Loss Carryforwards [Line Items] | ||||
Income tax expense | $ 9,000,000 | |||
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 | |||
US Treasury and Government [Member] | ||||
Operating Loss Carryforwards [Line Items] | ||||
Deferred Tax Assets, Operating Loss Carryforwards | $ 560,000,000 | |||
Stock Option Tax Benefits [Member] | ||||
Operating Loss Carryforwards [Line Items] | ||||
Deferred Tax Assets, Operating Loss Carryforwards | 178,000,000 | |||
Foreign Tax Authority [Member] | ||||
Operating Loss Carryforwards [Line Items] | ||||
Deferred Tax Assets, Operating Loss Carryforwards | 241,000,000 | |||
Domestic Tax Authority [Member] | ||||
Operating Loss Carryforwards [Line Items] | ||||
Income (Loss) from Continuing Operations before Income Taxes, Domestic | 246,000,000 | (74,000,000) | (95,000,000) | |
Foreign Tax Authority [Member] | ||||
Operating Loss Carryforwards [Line Items] | ||||
Income (Loss) from Continuing Operations before Income Taxes, Foreign | 174,000,000 | $ 138,000,000 | $ 63,000,000 | |
Accounting Standards Update 2018-05 [Member] | ||||
Operating Loss Carryforwards [Line Items] | ||||
Deferred Tax Assets, Valuation Allowance | $ 1,000,000,000 |
Fair Value Measurements - Finan
Fair Value Measurements - Financial Instruments Measured on Recurring Basis (Details) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Millions | Oct. 31, 2018 | Oct. 31, 2017 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, Fair Value Disclosure | $ 101 | $ 370 |
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 | 4 | 7 |
Guarantees, Fair Value Disclosure | 0 | 0 |
Liabilities, Fair Value Disclosure | 0 | 2 |
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 | 24 | 21 |
Liabilities, Fair Value Disclosure | 24 | 21 |
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 | 101 | 370 |
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 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 | 3 |
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 | 3 |
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 | 2 | 1 |
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 | 1 |
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 | 1 |
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 | 105 | 377 |
Guarantees, Fair Value Disclosure | 24 | 21 |
Liabilities, Fair Value Disclosure | 24 | 23 |
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 | 101 | 370 |
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 | 3 |
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 | 3 |
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 | 2 | 1 |
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 | 1 |
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 | $ 1 |
Fair Value Measurements - Level
Fair Value Measurements - Level 3 Reconciliation (Details) - Guarantees [Member] - USD ($) $ in Millions | 12 Months Ended | |
Oct. 31, 2018 | Oct. 31, 2017 | |
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 | $ (21) | $ (23) |
Transfers out of Level 3 | 0 | 0 |
Issuances | (7) | (2) |
Settlements | 4 | 4 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset (Liability) Ending Value | (24) | (21) |
Change in unrealized gains on assets and liabilities still held | $ 0 | $ 0 |
Fair Value Measurements - Fin_2
Fair Value Measurements - Financial Instruments Measured on Nonrecurring Basis (Details) - USD ($) $ in Millions | Oct. 31, 2018 | Oct. 31, 2017 |
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 | $ 20 | $ 16 |
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 | 20 | 16 |
Specific loss reserves on impaired finance receivables [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Specific loss reserve | (9) | (7) |
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 | (9) | (7) |
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 | $ 11 | $ 9 |
Fair Value Measurements - Carry
Fair Value Measurements - Carrying Values and Estimated Fair Values of Financial Instruments (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | Apr. 30, 2014 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Goodwill | $ 38 | $ 38 | ||
Long-term Debt | 5,467 | |||
Asset impairment charges | 14 | 13 | $ 27 | |
Reported Value Measurement [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Retail Notes | 183 | 161 | ||
Estimate of Fair Value Measurement [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Retail Notes | 180 | 153 | ||
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 | ||
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 | ||
Fair Value, Inputs, Level 3 [Member] | Estimate of Fair Value Measurement [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Retail Notes | 180 | 153 | ||
Manufacturing Operations [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term Debt | 3,426 | |||
Financial Services Operations | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term Debt | 2,041 | |||
Line of Credit [Member] | Manufacturing Operations [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term Debt | 0 | 1,003 | ||
Line of Credit [Member] | Manufacturing Operations [Member] | Reported Value Measurement [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term Debt | 1,570 | 1,003 | ||
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 | 1,597 | 1,019 | ||
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 | 1,597 | 1,019 | ||
Line of Credit [Member] | Financial Services Operations | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term Debt | 519 | 616 | ||
Line of Credit [Member] | Financial Services Operations | Reported Value Measurement [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term Debt | 519 | 616 | ||
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 | 511 | 592 | ||
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 | 511 | 592 | ||
Notes Payable to Banks [Member] | Manufacturing Operations [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term Debt | 1,083 | 0 | ||
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 | 235 | 243 | ||
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 | 235 | 243 | ||
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 | 122 | 130 | ||
Financed lease obligations [Member] | Manufacturing Operations [Member] | Reported Value Measurement [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term Debt | 122 | 130 | ||
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 | 122 | 130 | ||
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 | 122 | 130 | ||
Notes Payable, Other Payables [Member] | Manufacturing Operations [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term Debt | 26 | 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 | 26 | 39 | ||
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 | 25 | 23 | ||
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 | 25 | 23 | ||
Secured Debt [Member] | Financial Services Operations | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term Debt | 948 | 849 | ||
Secured Debt [Member] | Financial Services Operations | Reported Value Measurement [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term Debt | 948 | 849 | ||
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 | 949 | 851 | ||
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 | 949 | 851 | ||
Term Loan [Member] | Manufacturing Operations [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term Debt | 1,570 | 0 | ||
Term Loan [Member] | Financial Services Operations | Reported Value Measurement [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term Debt | 394 | |||
Term Loan [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 | 400 | |||
Term Loan [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 | |||
Term Loan [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 | |||
Term Loan [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 | 400 | |||
Commercial Paper [Member] | Financial Services Operations | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term Debt | 75 | 92 | ||
Commercial Paper [Member] | Financial Services Operations | Reported Value Measurement [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term Debt | 75 | 92 | ||
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 | 75 | 92 | ||
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 | 75 | |||
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 | 92 | |||
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 | 105 | 94 | ||
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 | 105 | 94 | ||
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 | 104 | 94 | ||
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 | 104 | 94 | ||
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 | 0 | 1,423 | ||
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 | 1,083 | 1,423 | ||
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 | 1,122 | 1,450 | ||
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 | 0 | 1,450 | ||
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 | 1,122 | 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] | Manufacturing Operations [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Long-term Debt, Fair Value | $ 177 | |||
Long-term Debt | 0 | 194 | ||
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 | 194 | |||
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 | 208 | |||
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 | 208 | |||
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 | 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 | 0 | |||
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 | 405 | 394 | ||
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 | 405 | 394 | ||
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 | 412 | 446 | ||
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 | 412 | 446 | ||
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 | 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 | $ 0 | $ 0 |
Fair Value Measurements - Narra
Fair Value Measurements - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Asset impairment charges | $ 14 | $ 13 | $ 27 |
Goodwill | $ 38 | $ 38 | |
Cash and Cash Equivalents, Maturity Term | 90 days | ||
Marketable Securities, Maturity Term | 90 days |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) R$ in Millions | Jul. 16, 2015USD ($) | Oct. 31, 2016members | Mar. 31, 2014BRL (R$) | Oct. 31, 2018USD ($) | Jul. 31, 2017USD ($) | Oct. 31, 2016USD ($)lawsuits | Jul. 31, 2014lawsuits | Jan. 31, 2014USD ($) | Jul. 31, 2010BRL (R$) | Jul. 31, 2018USD ($) | Oct. 31, 2018USD ($)dealer | Oct. 31, 2018BRL (R$)dealer | Oct. 31, 2017USD ($) | Oct. 31, 2016USD ($) |
Loss Contingencies [Line Items] | ||||||||||||||
Gain from Settlement, Gross | $ 85,000,000 | |||||||||||||
Selling, general and administrative expenses | 922,000,000 | $ 878,000,000 | $ 802,000,000 | |||||||||||
Loss Contingency, Civil Penalty Sought, Per Violation | $ 37,500 | |||||||||||||
Loss Contingency, Number of Plaintiffs | members | 2 | |||||||||||||
Loss Contingency, New Claims Filed, Number | lawsuits | 2 | 17 | ||||||||||||
Equipment leased to others | $ 665,000,000 | 665,000,000 | 586,000,000 | |||||||||||
Long-term Debt | 5,467,000,000 | 5,467,000,000 | ||||||||||||
Available stand-by letters of credit and surety bonds | 122,000,000 | 122,000,000 | ||||||||||||
Purchase commitments | 162,000,000 | 162,000,000 | ||||||||||||
Long Term Purchase Commitment Cancellation Fees | 16,000,000 | |||||||||||||
Securities Sold under Agreements to Repurchase, Amount Offset Against Collateral | 228,000,000 | 228,000,000 | ||||||||||||
Accrual for environmental loss contingencies | $ 18,000,000 | 18,000,000 | ||||||||||||
Gain from Settlement, Net | $ 70,000,000 | |||||||||||||
G E Operating Agreement [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Operating Agreement Excess Loss Percentage | 10.00% | 10.00% | ||||||||||||
Loss Sharing Agreement, Percentage | 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 | 2,500,000,000 | 2,500,000,000 | 2,400,000,000 | |||||||||||
G E Operating Agreement [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Equipment leased to others | 104,000,000 | 104,000,000 | 116,000,000 | |||||||||||
Manufacturing Operations [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Long-term Debt | 3,426,000,000 | 3,426,000,000 | ||||||||||||
Manufacturing Operations [Member] | Financed lease obligations [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Long-term Debt | 122,000,000 | 122,000,000 | 130,000,000 | |||||||||||
Manufacturing Operations [Member] | G E Operating Agreement [Member] | Financed lease obligations [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Long-term Debt | $ 122,000,000 | 122,000,000 | $ 129,000,000 | |||||||||||
Sao Paulo Groundwater Notice [Member] | Sanctions [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Loss Contingency, Damages Sought, Value | R$ | R$ 3 | R$ 1 | ||||||||||||
Navitrucks [Member] | Alleged Unfulfilled Promises and Injury to Reputation [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Loss Contingency, Damages Sought, Value | 34,000,000 | |||||||||||||
International Chamber of Commerce [Member] | Penalties and Interest [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Loss Contingency, Damages Sought, Value | 17,000,000 | |||||||||||||
Damages from Product Defects [Member] | EPA [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Loss Contingency, Civil Penalty Sought, Per Violation | 50,000,000 | |||||||||||||
Damages from Product Defects [Member] | EPA [Member] | Minimum [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Loss Contingency, Civil Penalty Sought, Per Violation | 2,000,000 | |||||||||||||
Damages from Product Defects [Member] | EPA [Member] | Maximum [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Loss Contingency, Civil Penalty Sought, Per Violation | $ 291,000,000 | |||||||||||||
Retiree Health Care [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Loss Contingency, Damages Sought, Value | $ 26,000,000 | |||||||||||||
MaxxForce Engine EGR Warranty Litigation [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Selling, general and administrative expenses | $ 0 | |||||||||||||
Pending Litigation [Member] | Fatma Notice Trial [Member] | Penalties [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Loss Contingency, Damages Sought, Value | R$ 2 | $ 1,000,000 | ||||||||||||
Pending Litigation [Member] | Profit Sharing Litigation [Member] | Disputes [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Loss Contingency, Damages Sought, Value | $ 50,000,000 | |||||||||||||
Pending Litigation [Member] | Other Cases Vs. International Indústria de Motores da América do Sul Ltda [Member] | International Indústria de Motores da América do Sul Ltda [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Loss Contingency, Number of Truck Fleet Owners | dealer | 2 | 2 | ||||||||||||
Brazil, Brazil Real | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Payments for Legal Settlements | $ 3,000,000 | |||||||||||||
Brazil, Brazil Real | Navitrucks [Member] | Alleged Unfulfilled Promises and Injury to Reputation [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Loss Contingency, Damages Sought, Value | $ 128,000,000 | |||||||||||||
Loss Contingency, Settlement Agreement, Terms | 107 | |||||||||||||
Brazil, Brazil Real | International Chamber of Commerce [Member] | Penalties and Interest [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Loss Contingency, Damages Sought, Value | $ 64,000,000 | |||||||||||||
United States of America, Dollars | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Payments for Legal Settlements | $ 1,000,000 | |||||||||||||
United States of America, Dollars | Navitrucks [Member] | Alleged Unfulfilled Promises and Injury to Reputation [Member] | ||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||
Loss Contingency, Settlement Agreement, Terms | 28.79 |
Segment Reporting - Narrative (
Segment Reporting - Narrative (Details) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Oct. 31, 2018USD ($) | Jul. 31, 2018USD ($) | Apr. 30, 2018USD ($) | Jan. 31, 2018USD ($) | Oct. 31, 2017USD ($) | Jul. 31, 2017USD ($) | Apr. 30, 2017USD ($) | Jan. 31, 2017USD ($) | Oct. 31, 2018USD ($)segments | Oct. 31, 2017USD ($) | Oct. 31, 2016USD ($) | |
Segment Reporting [Abstract] | |||||||||||
Concentration Risk, Customer | 0 | 0 | 0 | ||||||||
Segment Reporting Information [Line Items] | |||||||||||
Number Of Segments | segments | 4 | ||||||||||
Intersegment sales and revenues | $ 0 | $ 0 | $ 1 | ||||||||
Sales and revenues, net | $ 3,317 | $ 2,606 | $ 2,422 | $ 1,905 | $ 2,598 | $ 2,213 | $ 2,096 | $ 1,663 | 10,250 | 8,570 | 8,111 |
Financial Services Operations | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Investment Income, Interest | 182 | 165 | 167 | ||||||||
Intersegment sales and revenues | 97 | 93 | 100 | ||||||||
Sales and revenues, net | 257 | 235 | 235 | ||||||||
North America Truck [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Intersegment sales and revenues | 104 | 39 | 132 | ||||||||
Sales and revenues, net | 7,490 | 5,809 | 5,403 | ||||||||
North America Parts [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Intersegment sales and revenues | 8 | 23 | 29 | ||||||||
Sales and revenues, net | 2,407 | 2,392 | 2,427 | ||||||||
Corporate And Eliminations [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Intersegment sales and revenues | (264) | (185) | (305) | ||||||||
Sales and revenues, net | $ (264) | $ (175) | $ (295) |
Segment Reporting - Summary of
Segment Reporting - Summary of Segment Assets (Details) - USD ($) $ in Millions | Oct. 31, 2018 | Oct. 31, 2017 |
Segment Reporting Information [Line Items] | ||
Segment Assets | $ 7,230 | $ 6,135 |
North America Truck [Member] | ||
Segment Reporting Information [Line Items] | ||
Segment Assets | 2,085 | 1,621 |
North America Parts [Member] | ||
Segment Reporting Information [Line Items] | ||
Segment Assets | 636 | 632 |
Global Operations [Member] | ||
Segment Reporting Information [Line Items] | ||
Segment Assets | 331 | 378 |
Financial Services Operations | ||
Segment Reporting Information [Line Items] | ||
Segment Assets | 2,648 | 2,207 |
Corporate And Eliminations [Member] | ||
Segment Reporting Information [Line Items] | ||
Segment Assets | $ 1,530 | $ 1,297 |
Segment Reporting - Summary o_2
Segment Reporting - Summary of Segment Operations (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Oct. 31, 2018 | Jul. 31, 2018 | Apr. 30, 2018 | Jan. 31, 2018 | Oct. 31, 2017 | Jul. 31, 2017 | Apr. 30, 2017 | Jan. 31, 2017 | Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Segment Reporting Information [Line Items] | |||||||||||
External sales and revenues, net | $ 10,250 | $ 8,570 | $ 8,110 | ||||||||
Sales and revenues, net | $ 3,317 | $ 2,606 | $ 2,422 | $ 1,905 | $ 2,598 | $ 2,213 | $ 2,096 | $ 1,663 | 10,250 | 8,570 | 8,111 |
Income (loss) from continuing operations, net of tax | $ 188 | 340 | 29 | (97) | |||||||
Income tax expense | (52) | (10) | (33) | ||||||||
Interest expense | 327 | 351 | 327 | ||||||||
Equity in income of non-consolidated affiliates | 0 | 6 | 6 | ||||||||
Capital expenditures | 113 | 102 | 116 | ||||||||
Intersegment sales and revenues | 0 | 0 | 1 | ||||||||
Segment Profit Loss | 392 | 39 | (64) | ||||||||
Depreciation, Depletion and Amortization | 211 | 223 | 225 | ||||||||
North America Truck [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
External sales and revenues, net | 7,386 | 5,770 | 5,271 | ||||||||
Sales and revenues, net | 7,490 | 5,809 | 5,403 | ||||||||
Income (loss) from continuing operations, net of tax | 397 | (6) | (189) | ||||||||
Income tax expense | 0 | 0 | 0 | ||||||||
Interest expense | 0 | 0 | 0 | ||||||||
Equity in income of non-consolidated affiliates | 2 | 4 | 5 | ||||||||
Capital expenditures | 99 | 82 | 97 | ||||||||
Intersegment sales and revenues | 104 | 39 | 132 | ||||||||
Segment Profit Loss | 397 | (6) | (189) | ||||||||
Depreciation, Depletion and Amortization | 130 | 137 | 129 | ||||||||
Corporate And Eliminations [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
External sales and revenues, net | 0 | 10 | 10 | ||||||||
Sales and revenues, net | (264) | (175) | (295) | ||||||||
Income (loss) from continuing operations, net of tax | (716) | (651) | (627) | ||||||||
Income tax expense | (52) | (10) | (33) | ||||||||
Interest expense | 235 | 265 | 247 | ||||||||
Equity in income of non-consolidated affiliates | 0 | 0 | 0 | ||||||||
Capital expenditures | 8 | 12 | 11 | ||||||||
Intersegment sales and revenues | (264) | (185) | (305) | ||||||||
Segment Profit Loss | (664) | (641) | (594) | ||||||||
Depreciation, Depletion and Amortization | 10 | 11 | 15 | ||||||||
North America Parts [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
External sales and revenues, net | 2,399 | 2,369 | 2,398 | ||||||||
Sales and revenues, net | 2,407 | 2,392 | 2,427 | ||||||||
Income (loss) from continuing operations, net of tax | 569 | 616 | 640 | ||||||||
Income tax expense | 0 | 0 | 0 | ||||||||
Interest expense | 0 | 0 | 0 | ||||||||
Equity in income of non-consolidated affiliates | 3 | 3 | 4 | ||||||||
Capital expenditures | 2 | 2 | 2 | ||||||||
Intersegment sales and revenues | 8 | 23 | 29 | ||||||||
Segment Profit Loss | 569 | 616 | 640 | ||||||||
Depreciation, Depletion and Amortization | 6 | 11 | 13 | ||||||||
Global Operations [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
External sales and revenues, net | 305 | 279 | 296 | ||||||||
Sales and revenues, net | 360 | 309 | 341 | ||||||||
Income (loss) from continuing operations, net of tax | 2 | (7) | (21) | ||||||||
Income tax expense | 0 | 0 | 0 | ||||||||
Interest expense | 0 | 0 | 0 | ||||||||
Equity in income of non-consolidated affiliates | (5) | (1) | (3) | ||||||||
Capital expenditures | 3 | 5 | 4 | ||||||||
Intersegment sales and revenues | 55 | 30 | 45 | ||||||||
Segment Profit Loss | 2 | (7) | (21) | ||||||||
Depreciation, Depletion and Amortization | 10 | 13 | 18 | ||||||||
Financial Services Operations | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
External sales and revenues, net | 160 | 142 | 135 | ||||||||
Sales and revenues, net | 257 | 235 | 235 | ||||||||
Income (loss) from continuing operations, net of tax | 88 | 77 | 100 | ||||||||
Income tax expense | 0 | 0 | 0 | ||||||||
Interest expense | 92 | 86 | 80 | ||||||||
Equity in income of non-consolidated affiliates | 0 | 0 | 0 | ||||||||
Capital expenditures | 1 | 1 | 2 | ||||||||
Investment Income, Interest | 182 | 165 | 167 | ||||||||
Intersegment sales and revenues | 97 | 93 | 100 | ||||||||
Segment Profit Loss | 88 | 77 | 100 | ||||||||
Depreciation, Depletion and Amortization | 55 | 51 | 50 | ||||||||
Truck | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales and revenues, net | 7,323 | 5,706 | 5,176 | ||||||||
Parts | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales and revenues, net | 2,215 | 2,177 | 2,216 | ||||||||
Engine | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales and revenues, net | 552 | 545 | 583 | ||||||||
Financial Services Operations | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Sales and revenues, net | $ 160 | $ 142 | $ 136 |
Segment Reporting - Summary o_3
Segment Reporting - Summary of Segment Long Lived Assets and Revenue (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||||||
Oct. 31, 2018 | Jul. 31, 2018 | Apr. 30, 2018 | Jan. 31, 2018 | Oct. 31, 2017 | Jul. 31, 2017 | Apr. 30, 2017 | Jan. 31, 2017 | Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | Oct. 31, 2015 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Sales and revenues, net | $ 3,317 | $ 2,606 | $ 2,422 | $ 1,905 | $ 2,598 | $ 2,213 | $ 2,096 | $ 1,663 | $ 10,250 | $ 8,570 | $ 8,111 | |
UNITED STATES | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Long-Lived Assets | 1,099 | 1,068 | 1,099 | 1,068 | ||||||||
Sales and revenues, net | 7,223 | 6,375 | 6,227 | |||||||||
Other Countries | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Long-Lived Assets | 8 | 9 | 8 | 9 | ||||||||
Sales and revenues, net | 963 | 542 | 465 | |||||||||
CANADA | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Long-Lived Assets | 9 | 11 | 9 | 11 | ||||||||
Sales and revenues, net | 868 | 708 | 604 | |||||||||
MEXICO | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Long-Lived Assets | 249 | 226 | 249 | 226 | ||||||||
Sales and revenues, net | 933 | 708 | 575 | |||||||||
BRAZIL | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Long-Lived Assets | $ 73 | $ 90 | 73 | 90 | ||||||||
Sales and revenues, net | 263 | 237 | 240 | |||||||||
Truck | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Sales and revenues, net | 7,323 | 5,706 | 5,176 | |||||||||
Financial Services Operations | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Sales and revenues, net | 160 | 142 | 136 | |||||||||
Parts | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Sales and revenues, net | 2,215 | 2,177 | 2,216 | |||||||||
Engine | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Sales and revenues, net | 552 | 545 | 583 | |||||||||
Financial Services Operations | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Investment Income, Interest | 182 | 165 | 167 | |||||||||
Sales and revenues, net | $ 257 | 235 | 235 | |||||||||
Reclassification of Sales | UNITED STATES | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Sales and revenues, net | $ 31 | 41 | ||||||||||
Reclassification of Sales | Other Countries | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Sales and revenues, net | $ 103 | $ 23 |
Stockholders' Deficit Accumulat
Stockholders' Deficit Accumulated Other Comprehensive Income (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | Sep. 05, 2016 | Jul. 31, 2018 | Apr. 30, 2018 | Jan. 31, 2018 | Oct. 31, 2017 | Jul. 31, 2017 | Apr. 30, 2017 | Jan. 31, 2017 | Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||||
Income (Loss) from Continuing Operations before Income Taxes, Domestic | $ 28 | ||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||||||||
Accumulated Other Comprehensive Loss, Beginning Balance | $ (2,211) | $ (2,640) | $ (2,211) | (2,640) | $ (2,601) | ||||||
Other comprehensive loss before reclassifications | 169 | 275 | (170) | ||||||||
Amounts reclassified out of accumulated other comprehensive loss | 122 | 154 | 131 | ||||||||
Net current-period other comprehensive income (loss) | 291 | 429 | (39) | ||||||||
Accumulated Other Comprehensive Loss, Ending Balance | $ (2,211) | (1,920) | (2,211) | (2,640) | |||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract] | |||||||||||
Total before tax | $ (170) | $ (55) | 73 | $ (135) | $ (36) | $ 80 | 62 | (368) | (54) | 65 | |
Tax expense | (52) | (10) | (33) | ||||||||
Net income (loss) attributable to Navistar International Corporation | 340 | $ 30 | (97) | ||||||||
Debt Instrument, Unamortized Discount | $ 58 | ||||||||||
Common stock, shares authorized | 220 | 220 | 220 | ||||||||
Common stock, par value | $ 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 | 0 | 1 | $ 0 | $ 1 | 1 | ||||||
Other comprehensive loss before reclassifications | 0 | (1) | 0 | ||||||||
Amounts reclassified out of accumulated other comprehensive loss | 0 | 0 | 0 | ||||||||
Net current-period other comprehensive income (loss) | 0 | (1) | 0 | ||||||||
Accumulated Other Comprehensive Loss, Ending Balance | $ 0 | 0 | 0 | 1 | |||||||
Accumulated Translation Adjustment [Member] | |||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||||||||
Accumulated Other Comprehensive Loss, Beginning Balance | (283) | (280) | (283) | (280) | (287) | ||||||
Other comprehensive loss before reclassifications | (32) | (3) | 7 | ||||||||
Amounts reclassified out of accumulated other comprehensive loss | 0 | 0 | 0 | ||||||||
Net current-period other comprehensive income (loss) | (32) | (3) | 7 | ||||||||
Accumulated Other Comprehensive Loss, Ending Balance | (283) | (315) | (283) | (280) | |||||||
Pension Benefits | |||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||||||||
Accumulated Other Comprehensive Loss, Beginning Balance | $ (1,928) | $ (2,361) | (1,928) | (2,361) | (2,315) | ||||||
Other comprehensive loss before reclassifications | 201 | 279 | (177) | ||||||||
Amounts reclassified out of accumulated other comprehensive loss | 122 | 154 | 131 | ||||||||
Net current-period other comprehensive income (loss) | 323 | 433 | (46) | ||||||||
Accumulated Other Comprehensive Loss, Ending Balance | (1,928) | (1,605) | (1,928) | (2,361) | |||||||
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) | 0 | 0 | (1) | ||||||||
Amortization of actuarial loss | 114 | 138 | 133 | ||||||||
Other Comprehensive Income (Loss), Defined Benefit Plan, Settlement and Curtailment Gain (Loss), after Tax | 9 | 0 | 0 | ||||||||
Total before tax | 123 | 161 | 132 | ||||||||
Tax expense | (1) | (7) | (1) | ||||||||
Reclassification from AOCI, Current Period, Net of Tax, Attributable to Parent | 122 | 154 | 131 | ||||||||
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] | |||||||||||
Debt Instrument, Unamortized Discount | 1 | ||||||||||
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 | 16.2 | ||||||||||
Share Price | $ 15.76 | ||||||||||
Stock Issued During Period, Value, New Issues | $ 256 | ||||||||||
Insurance Settlement [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | Pension Benefits | |||||||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract] | |||||||||||
Other Comprehensive Income (Loss), Defined Benefit Plan, Settlement and Curtailment Gain (Loss), after Tax | $ 0 | 23 | $ 0 | ||||||||
Pension Benefits | |||||||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||||||
Deferred Tax Assets, Net | $ 8 | $ 8 |
Stockholders' Deficit - Rollfor
Stockholders' Deficit - Rollforward of Common Stock (Details) - USD ($) $ / shares in Units, $ in Millions | Sep. 05, 2016 | Apr. 30, 2014 | Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | Oct. 31, 2015 |
Class of Stock [Line Items] | ||||||
Preferred Stock, Shares Authorized | 30,000,000 | |||||
Preference Stock | $ 10 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Beginning balance (in shares) | 98,500,000 | 81,600,000 | 81,500,000 | |||
Shares issued (in shares) | 500,000 | 17,000,000 | 100,000 | |||
Shares acquired (in shares) | (100,000) | (100,000) | 0 | |||
Ending balance (in shares) | 98,900,000 | 98,500,000 | 81,600,000 | 81,500,000 | ||
Series D Convertible Junior Preference Stock | 70,182 | |||||
Optional redemption price | $ 25 | |||||
Debt Instrument, Unamortized Discount | $ 58 | |||||
Common Stock | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Beginning balance (in shares) | 103,100,000 | 86,800,000 | 86,800,000 | |||
Shares issued (in shares) | 0 | 16,300,000 | 0 | |||
Shares acquired (in shares) | 0 | 0 | 0 | |||
Ending balance (in shares) | 103,100,000 | 103,100,000 | 86,800,000 | 86,800,000 | ||
Treasury Stock | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Beginning balance (in shares) | 4,600,000 | 5,200,000 | 5,300,000 | |||
Shares issued (in shares) | (500,000) | (700,000) | (100,000) | |||
Shares acquired (in shares) | (100,000) | (100,000) | 0 | |||
Ending balance (in shares) | 4,200,000 | 4,600,000 | 5,200,000 | 5,300,000 | ||
Volkswagen Truck and Bus GmbH [Member] | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Stock Issued During Period, Shares, New Issues | 16,200,000 | |||||
Stock Issued During Period, Value, New Issues | $ 256 | |||||
Share Price | $ 15.76 | |||||
Stock Purchase Agreement, Ownership Percentage Transferred to Acquirer | 19.90% | |||||
Stock Purchase Agreement, Ownership Percentage Transferred to Acquirer, Pro Forma | 16.60% | |||||
Manufacturing Operations [Member] | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Debt Instrument, Unamortized Discount | $ 46 | |||||
Four Point Five Zero Senior Subordinated Convertible Notes [Member] | Manufacturing Operations [Member] | Convertible Subordinated Debt [Member] | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Long-term Debt, Fair Value | $ 177 | |||||
Debt Instrument, Unamortized Discount | 0 | $ 5 | ||||
Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | Convertible Subordinated Debt [Member] | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Debt Instrument, Unamortized Discount | 1 | |||||
Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | Manufacturing Operations [Member] | Convertible Subordinated Debt [Member] | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Long-term Debt, Fair Value | 367 | |||||
Debt Instrument, Convertible, Carrying Amount of Equity Component | 22 | 44 | ||||
Debt Instrument, Unamortized Discount | $ 5 | $ 14 | ||||
Debt Related Commitment Fees and Debt Issuance Costs | 9 | |||||
Additional Paid-in Capital [Member] | Four Point Seven Five Senior Subordinated Convertible Notes [Member] [Member] | Manufacturing Operations [Member] | Convertible Subordinated Debt [Member] | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Debt Related Commitment Fees and Debt Issuance Costs | $ 1 |
Earnings (Loss) Per Share Att_3
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, 2018 | Jul. 31, 2018 | Apr. 30, 2018 | Jan. 31, 2018 | Oct. 31, 2017 | Jul. 31, 2017 | Apr. 30, 2017 | Jan. 31, 2017 | Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Earnings Per Share [Abstract] | |||||||||||
Income (loss) from continuing operations, net of tax | $ 188 | $ 340 | $ 29 | $ (97) | |||||||
Income from discontinued operations, net of tax | $ 0 | 0 | 1 | 0 | |||||||
Net loss attributable to Navistar International Corporation | $ 340 | $ 30 | $ (97) | ||||||||
Basic (in shares) | 98.9 | 93 | 81.7 | ||||||||
Weighted Average Number Diluted Shares Outstanding Adjustment | 0.7 | 0.5 | 0 | ||||||||
Diluted (in shares) | 99.6 | 93.5 | 81.7 | ||||||||
Basic: Loss from Continuing Operations (in dollars per share) | $ 1.90 | $ 1.72 | $ 0.56 | $ (0.74) | $ 1.37 | $ 0.37 | $ (0.86) | $ (0.76) | $ 3.44 | $ 0.31 | $ (1.19) |
Basic: Income (Loss) from Discontinued Operations (in dollars per share) | 0 | 0 | 0 | 0 | 0 | 0.01 | 0 | 0 | 0 | 0.01 | 0 |
Basic (in dollars per share) | 1.90 | 1.72 | 0.56 | (0.74) | 1.37 | 0.38 | (0.86) | (0.76) | 3.44 | 0.32 | (1.19) |
Diluted: Loss from Continuing Operations (in dollars per share) | 1.89 | 1.71 | 0.55 | (0.74) | 1.36 | 0.37 | (0.86) | (0.76) | 3.41 | 0.31 | (1.19) |
Diluted: Income (Loss) from Discontinued Operations (in dollars per share) | 0 | 0 | 0 | 0 | 0 | 0.01 | 0 | 0 | 0 | 0.01 | 0 |
Diluted (in dollars per share) | $ 1.89 | $ 1.71 | $ 0.55 | $ (0.74) | $ 1.36 | $ 0.38 | $ (0.86) | $ (0.76) | $ 3.41 | $ 0.32 | $ (1.19) |
Earnings (Loss) Per Share Att_4
Earnings (Loss) Per Share Attributable to Navistar International Corporation - Narrative (Details) $ / shares in Units, shares in Millions | Sep. 05, 2016USD ($)$ / sharesshares | Oct. 31, 2018USD ($)$ / shares | Oct. 31, 2018USD ($)$ / sharesshares | Oct. 31, 2017shares | Oct. 31, 2016shares |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 9.8 | 13.9 | 15 | ||
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 | 3.4 | 3.4 | ||
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 | 7.6 | 7.6 | 8 | ||
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 | 16.2 | ||||
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 Plan_3
Stock-based Compensation Plans - Narrative (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |||||
Oct. 31, 2018 | Oct. 31, 2017 | 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 | $ 18.90 | $ 13.61 | $ 5.15 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value | $ 3 | $ 3 | $ 0 | |||
Stock-based compensation | 17 | 25 | 15 | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 14 | |||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year | |||||
Proceeds from exercise of stock options | $ 8 | $ 12 | $ 0 | |||
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 | 19,491 | |||||
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 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | |||||
Equity Instruments Other than Options, Grants in Period | 4,000 | 5,000 | 5,000 | |||
Equity Instruments Other than Options, Vested in Period | 4,000 | 5,000 | 5,000 | |||
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 34.97 | $ 24.62 | $ 12.52 | |||
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 | $ 7 | $ 9 | $ 8 | |||
Performance-based Stock Options [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Equity Instruments Other than Options, Grants in Period | 13,000 | 0 | 0 | |||
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 27.67 | $ 0 | $ 0 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other Than Options, Exercisable, Number | 151,968,000 | 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 | 29,712 | |||||
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 | 187,000 | 258,000 | 650,000 | |||
Equity Instruments Other than Options, Vested in Period | 319,000 | 456,000 | 231,000 | |||
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 40.12 | $ 27.48 | $ 7.26 | |||
Employee Service Share-based Compensation, Cash Flow Effect, Cash Used to Settle Awards | $ 13 | $ 13 | $ 2 | |||
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 | 3,142,917 | |||||
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 Plan_4
Stock-based Compensation Plans - Schedule of Stock Options (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | ||||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | Oct. 31, 2015 | Oct. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Intrinsic Value | $ 3 | $ 3 | $ 0 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |||||
Options, Outstanding, Number | 2,408 | 2,835 | 2,886 | ||
Options, Grants in Period, Net of Forfeitures | 236 | 301 | 35 | ||
Options, Exercises in Period | (236) | (325) | 0 | ||
Options, Forfeitures and Expirations in Period | (628) | (403) | (86) | ||
Options, Outstanding, Number | 1,780 | 2,408 | 2,835 | 2,886 | |
Options, Exercisable, Number | 1,396 | 2,073 | 2,695 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | |||||
Options, Outstanding, Weighted Average Exercise Price | $ 38.81 | $ 38.89 | $ 39.33 | ||
Options, Grants in Period, Weighted Average Exercise Price | 40.44 | 27.88 | 10.60 | ||
Options, Exercises in Period, Weighted Average Exercise Price | 32.78 | 30.25 | 0 | ||
Options, Forfeitures and Expirations in Period, Weighted Average Exercise Price | 56.64 | 38.13 | 42.30 | ||
Options, Outstanding, Weighted Average Exercise Price | 28.98 | 38.81 | 38.89 | $ 39.33 | |
Options, Exercisable, Weighted Average Exercise Price | $ 33.55 | $ 40.72 | $ 39.29 | ||
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, Options, Exercises in Period, Intrinsic Value | $ 1 | $ 2 | |||
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 | 152 | 599 | 973 | 1,409 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 27.59 | $ 27.59 | $ 30.47 | $ 31.64 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 13 | 0 | 0 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 27.67 | $ 0 | $ 0 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period | 434 | 374 | 436 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | $ 27.59 | $ 35.09 | $ 34.22 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other Than Options, Exercisable, Number | 151,968 | 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 | 387 | 431 | 567 | 615 | |
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, Vested in Period | 44 | 130 | 0 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | $ 27.24 | $ 27.24 | $ 0 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period | 0 | 6 | 48 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | $ 0 | $ 27.24 | $ 27.24 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other Than Options, Exercisable, Number | 387 | 431 | 567 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other Than Options, Exercisable, Weighted Average Grant Date Fair Value | $ 27.24 | $ 27.24 | $ 27.24 | ||
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 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number | 0 | 0 | 0 | 0 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 0 | $ 0 | $ 0 | $ 0 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 4 | 5 | 5 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 34.97 | $ 24.62 | $ 12.52 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 4 | 5 | 5 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | $ 34.97 | $ 24.62 | $ 12.52 |
Stock-based Compensation Plan_5
Stock-based Compensation Plans - Schedule of Option Exercise Prices (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | |||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | Oct. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 1,780 | 2,408 | 2,835 | 2,886 |
Options, Exercisable, Number | 1,396 | 2,073 | 2,695 | |
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 | 813 | |||
Stock Options Weighted Average Remaining Contractual Life | 3.7 | |||
Exercise Price Range, Outstanding Options, Weighted Average Exercise Price | $ 28.19 | |||
Options, Outstanding, Intrinsic Value | $ 0 | |||
Exercise Price Range, Number of Exercisable Options | 637 | |||
weighted average reamining contractual term | 2.5 | |||
Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $ 28.52 | |||
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 | 684 | |||
Stock Options Weighted Average Remaining Contractual Life | 0.9 | |||
Exercise Price Range, Outstanding Options, Weighted Average Exercise Price | $ 37.02 | |||
Options, Outstanding, Intrinsic Value | $ 0 | |||
Exercise Price Range, Number of Exercisable Options | 678 | |||
weighted average reamining contractual term | 0.8 | |||
Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $ 37.05 | |||
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 | 283 | |||
Stock Options Weighted Average Remaining Contractual Life | 7.3 | |||
Exercise Price Range, Outstanding Options, Weighted Average Exercise Price | $ 41.52 | |||
Options, Outstanding, Intrinsic Value | $ 0 | |||
Exercise Price Range, Number of Exercisable Options | 81 | |||
weighted average reamining contractual term | 2.4 | |||
Exercise Price Range, Exercisable Options, Weighted Average Exercise Price | $ 43.86 | |||
Options, Exercisable, Intrinsic Value | $ 0 |
Stock-based Compensation Plan_6
Stock-based Compensation Plans - Schedule of Valuation Assumptions (Details) | 12 Months Ended | ||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
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 | 2.50% | 1.90% | 1.70% |
Expected Volatility Rate | 49.10% | 55.20% | 56.80% |
Expected Term | 5 years 3 months 18 days | 5 years | 4 years 9 months 15 days |
Stock-based Compensation Plan_7
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, 2018 | Oct. 31, 2017 | 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] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | 0.00% | ||||
Allocated Share-based Compensation Expense | $ 17 | $ 25 | $ 15 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 14 | ||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year | ||||
Proceeds from exercise of stock options | $ 8 | $ 12 | $ 0 | ||
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 | 0 | 0 | 244 | ||
Equity Instruments Other than Options, Forfeited in Period | 0 | 0 | (244) | ||
Equity Instruments Other than Options, Nonvested, Number | 0 | 0 | 0 | 244 | |
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 | $ 0 | $ 28.73 | ||
Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | 0 | 0 | 28.73 | ||
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 0 | $ 0 | $ 0 | $ 28.73 | |
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 | 431 | 567 | 615 | ||
Equity Instruments Other than Options, Vested in Period | (44) | (130) | 0 | ||
Equity Instruments Other than Options, Forfeited in Period | 0 | (6) | (48) | ||
Equity Instruments Other than Options, Nonvested, Number | 387 | 431 | 567 | 615 | |
Equity Instruments Other Than Options, Exercisable, Number | 387 | 431 | 567 | ||
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, Vested in Period, Weighted Average Grant Date Fair Value | 27.24 | 27.24 | $ 0 | ||
Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | 0 | 27.24 | 27.24 | ||
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 27.24 | $ 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 | 619 | 613 | 69 | ||
Equity Instruments Other than Options, Grants in Period | (168) | (210) | (624) | ||
Equity Instruments Other than Options, Vested in Period | (214) | (204) | (66) | ||
Equity Instruments Other than Options, Forfeited in Period | (71) | 0 | (14) | ||
Equity Instruments Other than Options, Nonvested, Number | 502 | 619 | 613 | 69 | |
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 | $ 15.04 | $ 8.74 | $ 28.60 | ||
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | 40.05 | 27.28 | 8.76 | ||
Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | 9.59 | 8.74 | 28.66 | ||
Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | 20.24 | 0 | 13.07 | ||
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 25.01 | $ 15.04 | $ 8.74 | $ 28.60 | |
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 | 599 | 973 | 1,409 | ||
Equity Instruments Other than Options, Grants in Period | (13) | 0 | 0 | ||
Equity Instruments Other than Options, Forfeited in Period | (434) | (374) | (436) | ||
Equity Instruments Other than Options, Nonvested, Number | 152 | 599 | 973 | 1,409 | |
Equity Instruments Other Than Options, Exercisable, Number | 151,968 | 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 | $ 27.59 | $ 30.47 | $ 31.64 | ||
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | 27.67 | 0 | 0 | ||
Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | 27.59 | 35.09 | 34.22 | ||
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 27.59 | $ 27.59 | $ 30.47 | $ 31.64 | |
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 | ||||
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 | 0 | 0 | ||
Equity Instruments Other than Options, Grants in Period | (4) | (5) | (5) | ||
Equity Instruments Other than Options, Vested in Period | (4) | (5) | (5) | ||
Equity Instruments Other than Options, Nonvested, Number | 0 | 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 | $ 0 | $ 0 | $ 0 | ||
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | 34.97 | 24.62 | 12.52 | ||
Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | 34.97 | 24.62 | 12.52 | ||
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 0 | $ 0 | $ 0 | $ 0 | |
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 | 587 | 817 | 498 | ||
Equity Instruments Other than Options, Grants in Period | (187) | (258) | (650) | ||
Equity Instruments Other than Options, Vested in Period | (319) | (456) | (231) | ||
Equity Instruments Other than Options, Forfeited in Period | (27) | (32) | (100) | ||
Equity Instruments Other than Options, Nonvested, Number | 428 | 587 | 817 | 498 | |
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 | $ 18.02 | $ 13.95 | $ 29.96 | ||
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | 40.12 | 27.48 | 7.26 | ||
Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | 16.42 | 15.92 | 26.06 | ||
Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | 22.76 | 20.17 | 22.19 | ||
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 28.58 | $ 18.02 | $ 13.95 | $ 29.96 | |
Employee Service Share-based Compensation, Cash Flow Effect, Cash Used to Settle Awards | $ 13 | $ 13 | $ 2 | ||
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 | $ 7 | $ 9 | $ 8 | ||
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 | 0 | 70 | 172 | ||
Equity Instruments Other than Options, Forfeited in Period | 0 | (70) | (102) | ||
Equity Instruments Other than Options, Nonvested, Number | 0 | 0 | 70 | 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 | $ 0 | $ 50.52 | $ 69.64 | ||
Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | 0 | 50.52 | 82.86 | ||
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 0 | $ 0 | $ 50.52 | $ 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 | 220 | 379 | 434 | ||
Equity Instruments Other than Options, Grants in Period | 0 | 0 | 0 | ||
Equity Instruments Other than Options, Vested in Period | (121) | 0 | 0 | ||
Equity Instruments Other than Options, Forfeited in Period | (99) | (159) | (55) | ||
Equity Instruments Other than Options, Nonvested, Number | 0 | 220 | 379 | 434 | |
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 | $ 27.59 | $ 30.63 | $ 30.64 | ||
Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | 0 | 0 | 0 | ||
Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | 27.59 | 0 | 0 | ||
Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | 27.59 | 34.86 | 30.65 | ||
Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 0 | $ 27.59 | $ 30.63 | $ 30.64 |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Supplemental Cash Flow Elements [Abstract] | |||
Equity in loss (income) of non-consolidated affiliates | $ 0 | $ (6) | $ (6) |
Dividends from non-consolidated affiliates | 7 | 7 | 12 |
Equity in loss of non-consolidated affiliates, net of dividends | 7 | 1 | 6 |
Loss (gain) on sale of property and equipment | 0 | (9) | 2 |
Loss on sale and impairment of repossessed collateral | 1 | 7 | 6 |
Income from operating leases | (24) | (26) | (20) |
Other non-cash operating activities | (23) | (28) | (12) |
Other current assets | (7) | (19) | 8 |
Other noncurrent assets | (19) | (38) | (11) |
Other current liabilities | 116 | (35) | (165) |
Postretirement benefits liabilities | (131) | (65) | (47) |
Other noncurrent liabilities | 58 | (62) | (114) |
Other, net | 9 | (7) | (41) |
Changes in other assets and liabilities | 26 | (226) | (370) |
Interest, net of amounts capitalized | 306 | 294 | 291 |
Income taxes, net of refunds | 18 | 19 | 44 |
Property and equipment acquired under capital leases | 0 | 0 | 1 |
Transfers (to)/from inventories (from)/to property and equipment for leases to others | $ (9) | $ (7) | $ (27) |
Selected Quarterly Financial _3
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, 2018 | Jul. 31, 2018 | Apr. 30, 2018 | Jan. 31, 2018 | Oct. 31, 2017 | Jul. 31, 2017 | Apr. 30, 2017 | Jan. 31, 2017 | Oct. 31, 2018 | Oct. 31, 2017 | Oct. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Sales and revenues, net | $ 3,317 | $ 2,606 | $ 2,422 | $ 1,905 | $ 2,598 | $ 2,213 | $ 2,096 | $ 1,663 | $ 10,250 | $ 8,570 | $ 8,111 |
Gross Profit | 573 | 470 | 395 | 335 | 470 | 375 | 287 | 259 | |||
Total before tax | 170 | 55 | (73) | 135 | 36 | (80) | (62) | 368 | 54 | (65) | |
Income (loss) from continuing operations, net of tax | 188 | 340 | 29 | (97) | |||||||
Income from discontinued operations, net of tax | 0 | 0 | 0 | 0 | 1 | 0 | 0 | 0 | 1 | 0 | |
Income from discontinued operations, net of tax | 0 | 0 | 1 | 0 | |||||||
Net income (loss) | $ 188 | $ 170 | $ 55 | $ (73) | $ 135 | $ 37 | $ (80) | $ (62) | $ 368 | $ 55 | $ (65) |
Basic: Loss from Continuing Operations (in dollars per share) | $ 1.90 | $ 1.72 | $ 0.56 | $ (0.74) | $ 1.37 | $ 0.37 | $ (0.86) | $ (0.76) | $ 3.44 | $ 0.31 | $ (1.19) |
Basic: Income (Loss) from Discontinued Operations (in dollars per share) | 0 | 0 | 0 | 0 | 0 | 0.01 | 0 | 0 | 0 | 0.01 | 0 |
Basic (in dollars per share) | 1.90 | 1.72 | 0.56 | (0.74) | 1.37 | 0.38 | (0.86) | (0.76) | 3.44 | 0.32 | (1.19) |
Diluted: Loss from Continuing Operations (in dollars per share) | 1.89 | 1.71 | 0.55 | (0.74) | 1.36 | 0.37 | (0.86) | (0.76) | 3.41 | 0.31 | (1.19) |
Diluted: Income (Loss) from Discontinued Operations (in dollars per share) | 0 | 0 | 0 | 0 | 0 | 0.01 | 0 | 0 | 0 | 0.01 | 0 |
Diluted (in dollars per share) | $ 1.89 | $ 1.71 | $ 0.55 | $ (0.74) | $ 1.36 | $ 0.38 | $ (0.86) | $ (0.76) | $ 3.41 | $ 0.32 | $ (1.19) |
Basic (in shares) | 98.9 | 93 | 81.7 | ||||||||
Diluted (in shares) | 99.6 | 93.5 | 81.7 | ||||||||
Asset impairment charges | $ 14 | $ 13 | $ 27 | ||||||||
Goodwill | $ 38 | $ 38 | $ 38 | $ 38 |
Subsequent Events (Details)
Subsequent Events (Details) $ in Millions | Oct. 31, 2018USD ($) |
Subsequent Events [Abstract] | |
Business Combination, Step Acquisition, Equity Interest in Acquiree, Percentage | 100.00% |
business acquisition value | $ 140 |