10-Q

Use these links to rapidly review the document
TABLE OF CONTENTS

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM 10-Q

ý	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 2015
or
o	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from                to

Commission File Number: 333-182411

CNH INDUSTRIAL CAPITAL LLC
(Exact name of registrant as specified in its charter)

Delaware (State or other jurisdiction of incorporation or organization)		39-1937630 (I.R.S. Employer Identification Number)
5729 Washington Avenue Racine, Wisconsin (Address of principal executive offices)	(262) 636-6011 (Registrant's telephone number, including area code)	53406 (Zip code)

        Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. ý Yes    o No*

        Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). ý Yes    o No

        Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of "large accelerated filer," "accelerated filer" and "smaller reporting company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer o Accelerated filer o Non-accelerated filer ý
(Do not check if a
smaller reporting company) Smaller reporting company o

        Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). o Yes    ý No

        As of June 30, 2015, all of the limited liability company interests of the registrant were held by CNH Industrial America LLC, a wholly-owned subsidiary of CNH Industrial N.V.

        The registrant meets the conditions set forth in General Instruction H(1)(a) and (b) of Form 10-Q and is therefore filing this Form with certain reduced disclosures as permitted by those instructions.

* The registrant has been subject to the filing requirements of Section 15(d) of the Securities Exchange Act of 1934 since April 24, 2015. The registrant has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months as if it were subject to such filing requirements during the entirety of such period.

TABLE OF CONTENTS

		PAGE
PART I. FINANCIAL INFORMATION
Item 1.	Financial Statements		1
	Consolidated Statements of Income for the Three and Six Months Ended June 30, 2015 and 2014 (Unaudited)		1
	Consolidated Statements of Comprehensive Income for the Three and Six Months Ended June 30, 2015 and 2014 (Unaudited)		2
	Consolidated Balance Sheets as of June 30, 2015 and December 31, 2014 (Unaudited)		3
	Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2015 and 2014 (Unaudited)		5
	Consolidated Statements of Changes in Stockholder's Equity for the Six Months Ended June 30, 2015 and 2014 (Unaudited)		6
	Condensed Notes to Consolidated Financial Statements (Unaudited)		7
Item 2.	Management's Discussion and Analysis of Financial Condition and Results of Operations		41
Item 3.	Quantitative and Qualitative Disclosures About Market Risk		*
Item 4.	Controls and Procedures		49
PART II. OTHER INFORMATION
Item 1.	Legal Proceedings		50
Item 1A.	Risk Factors		50
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds		*
Item 3.	Defaults Upon Senior Securities		*
Item 4.	Mine Safety Disclosures		50
Item 5.	Other Information		50
Item 6.	Exhibits		50

*

This item has been omitted pursuant to the reduced disclosure format as set forth in General Instruction (H)(2) of Form 10-Q

PART I. FINANCIAL INFORMATION

Item 1.    Financial Statements

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME

FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2015 AND 2014

(Dollars in thousands)

(Unaudited)

	Three Months Ended June 30,					Six Months Ended June 30,
	2015		2014			2015			2014
REVENUES
Interest income on retail notes and finance leases	$	53,028	$	51,091		$	102,151		$	99,616
Interest income on wholesale notes		20,453		17,326			39,385			32,827
Interest and other income from affiliates		101,494		111,749			205,648			219,099
Rental income on operating leases		52,178		39,721			100,986			76,203
Other income		7,388		13,877			11,957			27,007
Total revenues		234,541		233,764			460,127			454,752
EXPENSES
Interest expense:
Interest expense to third parties		65,056		62,774			128,893			124,374
Interest expense to affiliates		6,456		7,895			17,313			9,423
Total interest expense		71,512		70,669			146,206			133,797
Administrative and operating expenses:
Fees charged by affiliates		12,006		12,964			24,879			26,331
Provision for credit losses, net		7,176		5,928			11,137			7,388
Depreciation of equipment on operating leases		46,099		33,403			90,672			63,551
Other expenses		9,157		9,540			16,656			20,551
Total administrative and operating expenses		74,438		61,835			143,344			117,821
Total expenses		145,950		132,504			289,550			251,618
INCOME BEFORE TAXES		88,591		101,260			170,577			203,134
Income tax provision		30,673		32,598			58,948			67,405
NET INCOME		57,918		68,662			111,629			135,729
Net income attributed to noncontrolling interest		—		(334	)		(259	)		(662	)
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	57,918	$	68,328		$	111,370		$	135,067

See the accompanying Condensed Notes to Consolidated Financial Statements (Unaudited).

1

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2015 AND 2014

(Dollars in thousands)

(Unaudited)

	Three Months Ended June 30,					Six Months Ended June 30,
	2015		2014			2015			2014
NET INCOME	$	57,918	$	68,662		$	111,629		$	135,729
Other comprehensive income (loss):
Foreign currency translation adjustment		18,471		23,409			(44,597	)		(1,638	)
Pension liability adjustment		64		67			173			157
Change in unrealized gains on retained interests		—		—			—			(244	)
Change in derivative financial instruments		514		805			(566	)		1,463
Total other comprehensive income (loss)		19,049		24,281			(44,990	)		(262	)
COMPREHENSIVE INCOME (LOSS)		76,967		92,943			66,639			135,467
Less: comprehensive income attributable to noncontrolling interest		—		(334	)		(259	)		(662	)
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	76,967	$	92,609		$	66,380		$	134,805

See the accompanying Condensed Notes to Consolidated Financial Statements (Unaudited).

2

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

AS OF JUNE 30, 2015 AND DECEMBER 31, 2014

(Dollars in thousands)

(Unaudited)

	June 30, 2015			December 31, 2014
ASSETS
Cash and cash equivalents	$	412,773		$	347,987
Restricted cash		614,936			858,825
Receivables, less allowance for credit losses of $96,953 and $95,542, respectively		12,276,196			12,789,027
Affiliated accounts and notes receivable		49,702			58,731
Equipment on operating leases, net		1,658,124			1,458,325
Equipment held for sale		173,876			129,700
Goodwill		110,968			112,851
Other intangible assets, net		7,801			8,355
Other assets		73,960			145,764
TOTAL	$	15,378,336		$	15,909,565
LIABILITIES AND STOCKHOLDER'S EQUITY
Liabilities:
Short-term debt (including current maturities of long-term debt)	$	4,579,772		$	4,632,208
Accounts payable and other accrued liabilities		705,835			645,941
Affiliated debt		—			862,445
Long-term debt		8,525,750			8,193,039
Total liabilities		13,811,357			14,333,633
Commitments and contingent liabilities (Note 10)
Stockholder's equity:
Member's capital		—			—
Paid-in capital		843,625			843,250
Accumulated other comprehensive income (loss)		(94,918	)		(49,928	)
Retained earnings		818,272			746,758
Total CNH Industrial Capital LLC stockholder's equity		1,566,979			1,540,080
Noncontrolling interest		—			35,852
Total stockholder's equity		1,566,979			1,575,932
TOTAL	$	15,378,336		$	15,909,565

See the accompanying Condensed Notes to Consolidated Financial Statements (Unaudited).

3

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

AS OF JUNE 30, 2015 AND DECEMBER 31, 2014

(Dollars in thousands)

(Unaudited)

        The following table presents certain assets and liabilities of consolidated variable interest entities ("VIEs"), which are included in the consolidated balance sheets. The assets in the table include only those assets that can be used to settle obligations of consolidated VIEs. The liabilities in the table include third-party liabilities of the consolidated VIEs, for which creditors do not have recourse to the general credit of CNH Industrial Capital LLC.

	June 30, 2015		December 31, 2014
Restricted cash	$	614,835	$	858,725
Receivables, less allowance for credit losses of $81,667 and $78,960, respectively		9,215,112		9,266,204
Equipment on operating leases, net		—		83,195
TOTAL	$	9,829,947	$	10,208,124
Short-term debt (including current maturities of long-term debt)	$	3,829,772	$	3,853,058
Long-term debt		5,478,796		5,839,213
TOTAL	$	9,308,568	$	9,692,271

See the accompanying Condensed Notes to Consolidated Financial Statements (Unaudited).

4

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

FOR THE SIX MONTHS ENDED JUNE 30, 2015 AND 2014

(Dollars in thousands)

(Unaudited)

	2015			2014
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$	111,629		$	135,729
Adjustments to reconcile net income to net cash from operating activities:
Depreciation on property and equipment and equipment on operating leases		90,690			63,571
Amortization of intangibles		603			510
Provision for credit losses, net		11,137			7,388
Deferred income tax expense (benefit)		42,198			(6,763	)
Stock compensation expense		375			440
Changes in components of working capital:
Change in affiliated accounts and notes receivables		8,303			97,842
Change in other assets and equipment held for sale		73,791			51,146
Change in accounts payable and other accrued liabilities		26,204			27,701
Net cash from (used in) operating activities		364,930			377,564
CASH FLOWS FROM INVESTING ACTIVITIES
Cost of receivables acquired		(6,732,217	)		(9,465,506	)
Collections of receivables		7,097,962			8,231,504
Change in restricted cash		236,291			175,894
Purchase of equipment on operating leases		(498,693	)		(388,889	)
Proceeds from disposal of equipment on operating leases		141,983			138,248
Capital expenditures for property and equipment and software		(49	)		(20	)
Net cash from (used in) investing activities		245,277			(1,308,769	)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issuance of affiliated debt		1,017,264			1,192,548
Payment of affiliated debt		(1,879,709	)		(1,009,605	)
Proceeds from issuance of long-term debt		2,760,549			2,915,590
Payment of long-term debt		(2,367,558	)		(2,260,292	)
Change in short-term borrowings, net		—			(355,951	)
Dividends paid to CNH Industrial America LLC		(15,000	)		(90,000	)
Preferred dividend paid to CNH Industrial Canada Ltd.		(551	)		—
Redemption of preferred stock of subsidiary		(60,416	)		—
Net cash from (used in) financing activities		(545,421	)		392,290
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS		64,786			(538,915	)
CASH AND CASH EQUIVALENTS
Beginning of period		347,987			697,608
End of period	$	412,773		$	158,693
CASH PAID DURING THE PERIOD FOR INTEREST	$	147,125		$	129,244
CASH PAID DURING THE PERIOD FOR TAXES	$	11,527		$	20,790

See the accompanying Condensed Notes to Consolidated Financial Statements (Unaudited).

5

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDER'S EQUITY

FOR THE SIX MONTHS ENDED JUNE 30, 2015 AND 2014

(Dollars in thousands)

(Unaudited)

	Company Stockholder
	Member's Capital		Paid-in Capital		Accumulated Other Comprehensive (Loss) Income			Retained Earnings			Non- Controlling Interest			Total
BALANCE—January 1, 2014	$	—	$	842,182	$	6,072		$	603,735		$	58,428		$	1,510,417
Net income		—		—		—			135,067			662			135,729
Dividend paid to CNH Industrial America LLC		—		—		—			(90,000	)		—			(90,000	)
Foreign currency translation adjustment		—		—		(1,638	)		—			—			(1,638	)
Stock compensation		—		440		—			—			—			440
Pension liability adjustment, net of tax		—		—		157			—			—			157
Change in unrealized gain on retained interests, net of tax		—		—		(244	)		—			—			(244	)
Change in derivative financial instruments, net of tax		—		—		1,463			—			—			1,463
BALANCE—June 30, 2014	$	—	$	842,622	$	5,810		$	648,802		$	59,090		$	1,556,324
BALANCE—January 1, 2015	$	—	$	843,250	$	(49,928	)	$	746,758		$	35,852		$	1,575,932
Net income		—		—		—			111,370			259			111,629
Dividends paid to CNH Industrial America LLC		—		—		—			(15,000	)		—			(15,000	)
Preferred dividend paid to CNH Industrial Canada Ltd		—		—		—			—			(551	)		(551	)
Redemption of preferred stock of subsidiary		—		—		—			(24,856	)		(35,560	)		(60,416	)
Foreign currency translation adjustment		—		—		(44,597	)		—			—			(44,597	)
Stock compensation		—		375		—			—			—			375
Pension liability adjustment, net of tax		—		—		173			—			—			173
Change in derivative financial instruments, net of tax		—		—		(566	)		—			—			(566	)
BALANCE—June 30, 2015	$	—	$	843,625	$	(94,918	)	$	818,272		$	—		$	1,566,979

See the accompanying Condensed Notes to Consolidated Financial Statements (Unaudited).

6

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Dollars in thousands)

(Unaudited)

NOTE 1: BASIS OF PRESENTATION

        CNH Industrial Capital LLC and its primary operating subsidiaries, including New Holland Credit Company, LLC ("New Holland Credit"), CNH Industrial Capital America LLC ("CNH Industrial Capital America"), and CNH Industrial Capital Canada Ltd. ("CNH Industrial Capital Canada") (collectively, "CNH Industrial Capital" or the "Company"), are each a subsidiary of CNH Industrial America LLC ("CNH Industrial America"), which is an indirect wholly-owned subsidiary of CNH Industrial N.V. ("CNHI" and, together with its consolidated subsidiaries, "CNH Industrial"). CNH Industrial America and CNH Industrial Canada Ltd. (collectively, "CNH Industrial North America") design, manufacture, and sell agricultural and construction equipment. CNH Industrial Capital provides financial services for CNH Industrial North America dealers and end-use customers primarily located in the United States and Canada.

        CNHI is incorporated in and under the laws of The Netherlands, with its principal office at Cranes Farm Road, Basildon, United Kingdom. The common shares of CNHI are listed on the New York Stock Exchange under the symbol "CNHI," as well as on the Mercato Telematico Azionario managed by Borsa Italiana S.p.A.

        Effective October 24, 2014, CNH Industrial Capital closed on a series of agreements with Citibank, N.A. and certain affiliates of Citibank, N.A. (together, "Citi"), pursuant to which Citi acquired CNH Industrial Capital's portfolio of commercial revolving accounts ("CRA") receivables. Pursuant to these agreements, Citi offers a private-label CRA product through CNH Industrial dealers in North America.

        The Company has prepared the accompanying consolidated financial statements in accordance with accounting principles generally accepted in the United States ("U.S. GAAP") for interim financial information, which should be read in conjunction with the audited financial statements in its Annual Report on Form 10-K for the year ended December 31, 2014. Certain financial information that is normally included in annual financial statements prepared in conformity with U.S. GAAP, which is not required for interim reporting purposes, has been condensed or omitted. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of our interim unaudited financial statements have been reflected.

        The consolidated financial statements include the Company and its consolidated subsidiaries. The consolidated financial statements are expressed in U.S. dollars. The consolidated financial statements include the accounts of the Company's subsidiaries in which the Company has a controlling financial interest and reflect the noncontrolling interests of the minority owners of the subsidiaries that are not fully owned for the periods presented, as applicable. A controlling financial interest may exist based on ownership of a majority of the voting interest of a subsidiary, or based on the Company's determination that it is the primary beneficiary of a variable interest entity ("VIE"). The primary beneficiary of a VIE is the party that has the power to direct the activities that most significantly impact the economic performance of the entity and the obligation to absorb losses or the right to receive benefits that could potentially be significant to the entity. The Company assesses whether it is the primary beneficiary on an ongoing basis, as prescribed by the accounting guidance on the consolidation of VIEs. The consolidated status of the VIEs with which the Company is involved may change as a result of such reassessments.

        The preparation of consolidated financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities

7

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 1: BASIS OF PRESENTATION (Continued)

and disclosure of contingent assets and liabilities and reported amounts of revenues and expenses. Significant estimates in these consolidated financial statements include the allowance for credit losses and residual values of equipment on operating leases. Actual results could differ from those estimates.

NOTE 2: NEW ACCOUNTING PRONOUNCEMENTS

        In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2014-09, Revenue from Contracts with Customers ("ASU 2014-09"). ASU 2014-09 supersedes the revenue recognition requirements in Accounting Standards Codification 605—Revenue Recognition and most industry-specific guidance throughout the Codification. The standard requires that an entity recognizes revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. ASU 2014-09 is effective for fiscal years beginning after December 15, 2016, and for interim periods within those fiscal years. On July 9, 2015, the FASB approved a one-year deferral and the option to adopt early. The guidance can be applied retrospectively to each prior reporting period present (full retrospective method) or retrospectively with a cumulative effect adjustment to retained earnings for initial application of the guidance at the date of initial adoption (modified retrospective method). The Company is in the process of assessing the impact of the adoption of ASU 2014-09 on its financial position, results of operations and cash flows.

        In August 2014, the FASB issued ASU No. 2014-15, Uncertainties About an Entity's Ability to Continue as a Going Concern ("ASU 2014-15"). ASU 2014-15 provides guidance on determining when and how to disclose going-concern uncertainties in the financial statements. The new standard requires management to perform interim and annual assessments of an entity's ability to continue as a going concern within one year of the date of issuance of the entity's financial statements. An entity must also provide certain disclosures if there is "substantial doubt" about the entity's ability to continue as a going concern. ASU 2014-15 is effective for annual periods ending after December 15, 2016, and interim periods thereafter. Early adoption is permitted. The Company does not believe the adoption of this standard will have a material impact on its financial position or results of operations.

        In February 2015, the FASB issued ASU No. 2015-02, Consolidation ("ASU 2015-02"). ASU 2015-02 is intended to improve targeted areas of consolidation guidance for legal entities such as limited partnerships, limited liability companies and securitized structures. The new standard eliminates the previous deferral in Accounting Standards Codification 810, which allowed reporting entities with interests in certain investment funds to follow previously issued consolidations guidance, and makes changes to both the variable interest model and the voting model. ASU 2015-02 is effective for annual periods ending after December 15, 2015. The Company is currently assessing the impact of the adoption of ASU 2015-02 on its financial position, results of operations and cash flows.

        In April 2015, the FASB issued ASU No. 2015-03, Interest—Imputation of Interest ("ASU 2015-03"). ASU 2015-03 is intended to simplify the presentation of debt issuance costs. The new standard requires the debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying value of that debt liability, consistent with debt discounts. ASU 2015-03 is effective for annual and interim periods beginning after December 15, 2015. The Company does not

8

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 2: NEW ACCOUNTING PRONOUNCEMENTS (Continued)

believe the adoption of this standard will have a material impact on its financial position or results of operations.

NOTE 3: ACCUMULATED OTHER COMPREHENSIVE INCOME

        Accumulated other comprehensive income ("AOCI") is comprised of net income and other adjustments, including foreign currency translation adjustments, pension plan adjustments, changes in fair value of the retained interests in the off-book retail transactions and changes in the fair value of certain derivative financial instruments qualifying as cash flow hedges. The Company does not provide income taxes on currency translation adjustments ("CTA"), as the historical earnings from the Company's foreign subsidiaries are considered to be permanently reinvested. If current year earnings are repatriated, the amount to be repatriated is determined in U.S. dollars and converted to the equivalent amount of foreign currency at the time of repatriation; therefore, the repatriation of current year earnings will not have an impact on the CTA component of the Company's AOCI balance.

        The following table summarizes the change in the components of the Company's AOCI balance and related tax effects for the three months ended June 30, 2015:

	Currency Translation Adjustment			Pension Liability			Unrealized Losses on Derivatives			Total
Beginning balance, gross	$	(106,128	)	$	(6,261	)	$	(5,438	)	$	(117,827	)
Tax asset (liability)		—			2,286			1,574			3,860
Beginning balance, net of tax		(106,128	)		(3,975	)		(3,864	)		(113,967	)
Other comprehensive income (loss) before reclassifications		18,471			(81	)		276			18,666
Amounts reclassified from accumulated other comprehensive income (loss)		—			183			469			652
Tax effects		—			(38	)		(231	)		(269	)
Net current-period other comprehensive income (loss)		18,471			64			514			19,049
BALANCE at June 30, 2015	$	(87,657	)	$	(3,911	)	$	(3,350	)	$	(94,918	)

9

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 3: ACCUMULATED OTHER COMPREHENSIVE INCOME (Continued)

        The following table summarizes the change in the components of the Company's AOCI balance and related tax effects for the six months ended June 30, 2015:

	Currency Translation Adjustment			Pension Liability			Unrealized Losses on Derivatives			Total
Beginning balance, gross	$	(43,060	)	$	(6,425	)	$	(4,099	)	$	(53,584	)
Tax asset (liability)		—			2,341			1,315			3,656
Beginning balance, net of tax		(43,060	)		(4,084	)		(2,784	)		(49,928	)
Other comprehensive income (loss) before reclassifications		(44,597	)		(100	)		(2,518	)		(47,215	)
Amounts reclassified from accumulated other comprehensive income (loss)		—			366			1,924			2,290
Tax effects		—			(93	)		28			(65	)
Net current-period other comprehensive income (loss)		(44,597	)		173			(566	)		(44,990	)
BALANCE at June 30, 2015	$	(87,657	)	$	(3,911	)	$	(3,350	)	$	(94,918	)

        The following table summarizes the change in the components of the Company's AOCI balance and related tax effects for the three months ended June 30, 2014:

	Currency Translation Adjustment			Pension Liability			Unrealized Losses on Derivatives			Total
Beginning balance, gross	$	(10,285	)	$	(5,751	)	$	(6,811	)	$	(22,847	)
Tax asset (liability)		—			2,099			2,277			4,376
Beginning balance, net of tax		(10,285	)		(3,652	)		(4,534	)		(18,471	)
Other comprehensive income (loss) before reclassifications		23,409			—			(222	)		23,187
Amounts reclassified from accumulated other comprehensive income (loss)		—			108			1,503			1,611
Tax effects		—			(41	)		(476	)		(517	)
Net current-period other comprehensive income (loss)		23,409			67			805			24,281
BALANCE at June 30, 2014	$	13,124		$	(3,585	)	$	(3,729	)	$	5,810

10

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 3: ACCUMULATED OTHER COMPREHENSIVE INCOME (Continued)

        The following table summarizes the change in the components of the Company's AOCI balance and related tax effects for the six months ended June 30, 2014:

	Currency Translation Adjustment			Pension Liability			Unrealized Gains on Retained Interests			Unrealized Losses on Derivatives			Total
Beginning balance, gross	$	14,762		$	(5,891	)	$	388		$	(7,855	)	$	1,404
Tax asset (liability)		—			2,149			(144	)		2,663			4,668
Beginning balance, net of tax		14,762			(3,742	)		244			(5,192	)		6,072
Other comprehensive income (loss) before reclassifications		(1,638	)		—			—			(529	)		(2,167	)
Amounts reclassified from accumulated other comprehensive income (loss)		—			248			(388	)		2,854			2,714
Tax effects		—			(91	)		144			(862	)		(809	)
Net current-period other comprehensive income (loss)		(1,638	)		157			(244	)		1,463			(262	)
BALANCE at June 30, 2014	$	13,124		$	(3,585	)	$	—		$	(3,729	)	$	5,810

11

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 3: ACCUMULATED OTHER COMPREHENSIVE INCOME (Continued)

        The reclassifications out of AOCI and the location on the consolidated statements of income for the three and six months ended June 30, 2015 and 2014 are as follows:

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014			Affected Line Item
Amortization of defined benefit pension items:
	$	(183	)	$	(108	)	$	(366	)	$	(248	)	Insignificant items
		(183	)		(108	)		(366	)		(248	)	Income before taxes
		67			41			128			91		Income tax benefit
	$	(116	)	$	(67	)	$	(238	)	$	(157	)	Net of tax
Unrealized gains on retained interests:
	$	—		$	—		$	—		$	388		Insignificant items
		—			—			—			388		Income before taxes
		—			—			—			(144	)	Income tax provision
	$	—		$	—		$	—		$	244		Net of tax
Unrealized losses on derivatives:
	$	(469	)	$	(1,503	)	$	(1,924	)	$	(2,854	)	Interest expense to third parties
		(469	)		(1,503	)		(1,924	)		(2,854	)	Income before taxes
		156			536			639			1,003		Income tax benefit
	$	(313	)	$	(967	)	$	(1,285	)	$	(1,851	)	Net of tax

12

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 4: RECEIVABLES

        A summary of receivables included in the consolidated balance sheets as of June 30, 2015 and December 31, 2014 is as follows:

	June 30, 2015			December 31, 2014
Retail note receivables	$	621,947		$	902,016
Wholesale receivables		909,077			984,832
Finance lease receivables		36,848			43,061
Restricted receivables		10,805,277			10,954,660
Gross receivables		12,373,149			12,884,569
Less
Allowance for credit losses		(96,953	)		(95,542	)
Total receivables, net	$	12,276,196		$	12,789,027

Restricted Receivables and Securitization

        As part of its overall funding strategy, the Company periodically transfers certain financial receivables into VIEs that are special purpose entities ("SPEs") as part of its asset-backed securitization programs.

        SPEs utilized in the securitization programs differ from other entities included in the Company's consolidated financial statements because the assets they hold are legally isolated from the Company's assets. For bankruptcy analysis purposes, the Company has sold the receivables to the SPEs in a true sale and the SPEs are separate legal entities. Upon transfer of the receivables to the SPEs, the receivables and certain cash flows derived from them become restricted for use in meeting obligations to the SPEs' creditors. The SPEs have ownership of cash balances that also have restrictions for the benefit of the SPEs' investors. The Company's interests in the SPEs' receivables are subordinate to the interests of third-party investors. None of the receivables that are directly or indirectly sold or transferred in any of these transactions are available to pay the Company's creditors until all obligations of the SPE have been fulfilled or the receivables are removed from the SPE.

        The secured borrowings related to the restricted receivables are obligations that are payable as the receivables are collected. The following table summarizes the restricted receivables as of June 30, 2015 and December 31, 2014:

	June 30, 2015		December 31, 2014
Retail note receivables	$	7,763,669	$	7,798,882
Wholesale receivables		3,041,608		3,153,814
Finance lease receivables		—		1,964
Total	$	10,805,277	$	10,954,660

        Within the U.S. retail receivables securitization programs, qualifying retail receivables are sold to limited purpose, bankruptcy remote SPEs. In turn, these SPEs establish separate trusts to which the

13

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 4: RECEIVABLES (Continued)

receivables are transferred in exchange for proceeds from asset backed securities issued by the trusts. In Canada, the receivables are transferred directly to the trusts. These trusts were determined to be VIEs. In its role as servicer, CNH Industrial Capital has the power to direct the trusts' activities. Through its retained interests, the Company has an obligation to absorb certain losses, or the right to receive certain benefits, that could potentially be significant to the trusts. Consequently, the Company has consolidated these retail trusts.

        With regard to the wholesale receivable securitization programs, the Company sells eligible receivables on a revolving basis to structured master trust facilities which are limited-purpose, bankruptcy-remote SPEs. These trusts were determined to be VIEs. In its role as servicer, CNH Industrial Capital has the power to direct the trusts' activities. Through its retained interests, the Company provides security to investors in the event that cash collections from the receivables are not sufficient to make principal and interest payments on the securities. Consequently, CNH Industrial Capital has consolidated these wholesale trusts.

Allowance for Credit Losses

        The allowance for credit losses is the Company's estimate of probable losses for receivables owned by the Company and consists of two components, depending on whether the receivable has been individually identified as being impaired. The first component of the allowance for credit losses covers the receivables specifically reviewed by management for which the Company has determined it is probable that it will not collect all the principal and interest payments as per the terms of the contract. Receivables are individually reviewed for impairment based on, among other items, amounts outstanding, days past due and prior collection history. These receivables are subject to impairment measurement at the loan level based either on the present value of expected future cash flows discounted at the receivables' effective interest rate or the fair value of the collateral for collateral-dependent receivables.

        The second component of the allowance for credit losses covers all receivables that have not been individually reviewed for impairment. The allowance for these receivables is based on aggregated portfolio evaluations, generally by financial product. The allowance for retail credit losses is based on loss forecast models that consider a variety of factors that include, but are not limited to, historical loss experience, collateral value, portfolio balance and delinquency. The allowance for wholesale credit losses is based on loss forecast models that consider the same factors as the retail models plus dealer risk ratings. The loss forecast models are updated on a quarterly basis. In addition, qualitative factors that are not fully captured in the loss forecast models, including industry trends, and macroeconomic factors are considered in the evaluation of the adequacy of the allowance for credit losses. These qualitative factors are subjective and require a degree of management judgment.

        Charge-offs of principal amounts of receivables outstanding are deducted from the allowance at the point when it is determined to be probable that all amounts due will not be collected

        The Company's allowance for credit losses is segregated into two portfolio segments: retail and wholesale. A portfolio segment is the level at which the Company develops a systematic methodology for determining its allowance for credit losses. The retail segment includes retail notes and finance lease receivables. The wholesale segment includes wholesale financing to CNH Industrial North America

14

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 4: RECEIVABLES (Continued)

dealers. Prior to sale of its CRA portfolio to Citi, there was a third segment called other, which included the Company's CRA portfolio.

        Further, the Company evaluates its portfolio segments by class of receivable: United States and Canada. Typically, the Company's receivables within a geographic area have similar risk profiles and methods for assessing and monitoring risk. These classes align with management reporting.

        Allowance for credit losses activity for the three months ended June 30, 2015 is as follows:

	Retail			Wholesale			Total
Allowance for credit losses:
Beginning balance	$	86,472		$	6,605		$	93,077
Charge-offs		(4,045	)		(135	)		(4,180	)
Recoveries		698			7			705
Provision		7,432			(256	)		7,176
Foreign currency translation and other		122			53			175
Ending balance	$	90,679		$	6,274		$	96,953

        Allowance for credit losses activity for the six months ended June 30, 2015 is as follows:

	Retail			Wholesale			Total
Allowance for credit losses:
Beginning balance	$	88,697		$	6,845		$	95,542
Charge-offs		(9,714	)		(256	)		(9,970	)
Recoveries		1,130			14			1,144
Provision		11,377			(240	)		11,137
Foreign currency translation and other		(811	)		(89	)		(900	)
Ending balance	$	90,679		$	6,274		$	96,953
Ending balance: individually evaluated for impairment	$	17,591		$	2,533		$	20,124
Ending balance: collectively evaluated for impairment	$	73,088		$	3,741		$	76,829
Receivables:
Ending balance	$	8,422,464		$	3,950,685		$	12,373,149
Ending balance: individually evaluated for impairment	$	116,547		$	48,427		$	164,974
Ending balance: collectively evaluated for impairment	$	8,305,917		$	3,902,258		$	12,208,175

15

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 4: RECEIVABLES (Continued)

        Allowance for credit losses activity for the three months ended June 30, 2014 is as follows:

	Retail			Wholesale			Other			Total
Allowance for credit losses:
Beginning balance	$	85,794		$	7,651		$	6,975		$	100,420
Charge-offs		(3,239	)		(548	)		(1,486	)		(5,273	)
Recoveries		674			6			615			1,295
Provision		3,606			458			1,864			5,928
Foreign currency translation and other		(226	)		48			23			(155	)
Ending balance	$	86,609		$	7,615		$	7,991		$	102,215

        Allowance for credit losses activity for the six months ended June 30, 2014 is as follows:

	Retail			Wholesale			Other			Total
Allowance for credit losses:
Beginning balance	$	87,701		$	7,363		$	6,889		$	101,953
Charge-offs		(5,609	)		(799	)		(2,710	)		(9,118	)
Recoveries		1,255			55			1,151			2,461
Provision		3,753			974			2,661			7,388
Foreign currency translation and other		(491	)		22			—			(469	)
Ending balance	$	86,609		$	7,615		$	7,991		$	102,215
Ending balance: individually evaluated for impairment	$	10,731		$	4,112		$	—		$	14,843
Ending balance: collectively evaluated for impairment	$	75,878		$	3,503		$	7,991		$	87,372
Receivables:
Ending balance	$	8,669,831		$	4,567,991		$	266,891		$	13,504,713
Ending balance: individually evaluated for impairment	$	42,268		$	58,096		$	—		$	100,364
Ending balance: collectively evaluated for impairment	$	8,627,563		$	4,509,895		$	266,891		$	13,404,349

16

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 4: RECEIVABLES (Continued)

        Allowance for credit losses activity for the year ended December 31, 2014 is as follows:

	Retail			Wholesale			Other			Total
Allowance for credit losses:
Beginning balance	$	87,701		$	7,363		$	6,889		$	101,953
Charge-offs		(12,426	)		(804	)		(4,281	)		(17,511	)
Recoveries		2,941			514			2,000			5,455
Provision (benefit)		12,040			(133	)		2,217			14,124
Foreign currency translation and other		(1,559	)		(95	)		(6,825	)		(8,479	)
Ending balance	$	88,697		$	6,845		$	—		$	95,542
Ending balance: individually evaluated for impairment	$	12,736		$	3,329		$	—		$	16,065
Ending balance: collectively evaluated for impairment	$	75,961		$	3,516		$	—		$	79,477
Receivables:
Ending balance	$	8,745,923		$	4,138,646		$	—		$	12,884,569
Ending balance: individually evaluated for impairment	$	56,791		$	72,297		$	—		$	129,088
Ending balance: collectively evaluated for impairment	$	8,689,132		$	4,066,349		$	—		$	12,755,481

        Utilizing an internal credit scoring model, which considers customers' attributes, prior credit history and each retail transaction's attributes, the Company assigns a credit quality rating to each retail customer, by specific transaction, as part of the retail underwriting process. This rating is used in setting the terms on the transaction, including the interest rate. A description of the general characteristics of the customers' risk grades is as follows:

        Titanium—Customers from whom the Company expects no collection or loss activity.

        Platinum—Customers from whom the Company expects minimal, if any, collection or loss activity.

        Gold, Silver, Bronze—Customers defined as those with the potential for collection or loss activity.

        A breakdown of the retail portfolio by the customer's risk grade at the time of origination as of June 30, 2015 and December 31, 2014 is as follows:

	June 30, 2015		December 31, 2014
Titanium	$	4,710,279	$	4,866,060
Platinum		2,285,267		2,386,558
Gold		1,198,091		1,254,335
Silver		196,116		207,682
Bronze		32,711		31,288
Total	$	8,422,464	$	8,745,923

17

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 4: RECEIVABLES (Continued)

        As part of the ongoing monitoring of the credit quality of the wholesale portfolio, the Company utilizes an internal credit scoring model that assigns a risk grade for each dealer. The scoring model considers the strength of the dealer's financial condition and payment history. The Company considers the dealers' ratings in the quarterly credit allowance analysis. A description of the general characteristics of the dealer risk grades is as follows:

        Grades A and B—Includes receivables due from dealers that have significant capital strength, moderate leverage, stable earnings and growth, and excellent payment performance.

        Grade C—Includes receivables due from dealers with moderate credit risk. Dealers of this grade are differentiated from higher grades on a basis of leverage or payment performance.

        Grade D—Includes receivables due from dealers with additional credit risk. These dealers require additional monitoring due to their weaker financial condition or payment performance.

        A breakdown of the wholesale portfolio by its credit quality indicators as of June 30, 2015 and December 31, 2014 is as follows:

	June 30, 2015		December 31, 2014
A	$	1,687,122	$	2,117,160
B		1,718,002		1,572,953
C		389,098		315,825
D		156,463		132,708
Total	$	3,950,685	$	4,138,646

        The following tables present information at the level at which management assesses and monitors its credit risk. Receivables are considered past due if the required principal and interest payments have not been received as of the date such payments were due. Delinquency is reported on receivables greater than 30 days past due.

18

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 4: RECEIVABLES (Continued)

        The aging of receivables as of June 30, 2015 and December 31, 2014 is as follows:

	June 30, 2015
	31 - 60 Days Past Due		61 - 90 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Receivables		Recorded Investment > 90 Days and Accruing
Retail
United States	$	26,322	$	12,063	$	19,075	$	57,460	$	7,078,787	$	7,136,247	$	3,786
Canada	$	5,413	$	2,611	$	780	$	8,804	$	1,277,413	$	1,286,217	$	462
Wholesale
United States	$	269	$	45	$	21	$	335	$	3,220,713	$	3,221,048	$	—
Canada	$	93	$	2	$	164	$	259	$	729,378	$	729,637	$	—
Total
Retail	$	31,735	$	14,674	$	19,855	$	66,264	$	8,356,200	$	8,422,464	$	4,248
Wholesale	$	362	$	47	$	185	$	594	$	3,950,091	$	3,950,685	$	—

	December 31, 2014
	31 - 60 Days Past Due		61 - 90 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Receivables		Recorded Investment > 90 Days and Accruing
Retail
United States	$	27,846	$	8,584	$	15,884	$	52,314	$	7,296,162	$	7,348,476	$	5,480
Canada	$	2,721	$	268	$	397	$	3,386	$	1,394,061	$	1,397,447	$	171
Wholesale
United States	$	882	$	52	$	110	$	1,044	$	3,359,183	$	3,360,227	$	86
Canada	$	181	$	—	$	3	$	184	$	778,235	$	778,419	$	2
Total
Retail	$	30,567	$	8,852	$	16,281	$	55,700	$	8,690,223	$	8,745,923	$	5,651
Wholesale	$	1,063	$	52	$	113	$	1,228	$	4,137,418	$	4,138,646	$	88

        Impaired receivables are receivables for which the Company has determined it will not collect all the principal and interest payments as per the terms of the contract. As of June 30, 2015 and December 31,

19

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 4: RECEIVABLES (Continued)

2014, the Company's recorded investment in impaired receivables individually evaluated for impairment and the related unpaid principal balances and allowances are as follows:

	June 30, 2015						December 31, 2014
	Recorded Investment		Unpaid Principal Balance		Related Allowance		Recorded Investment		Unpaid Principal Balance		Related Allowance
With no related allowance recorded
Retail
United States	$	61,902	$	61,453	$	—	$	23,420	$	23,164	$	—
Canada	$	4,765	$	4,710	$	—	$	960	$	954	$	—
Wholesale
United States	$	24,791	$	24,791	$	—	$	—	$	—	$	—
Canada	$	—	$	—	$	—	$	11,790	$	11,790	$	—
With an allowance recorded
Retail
United States	$	48,849	$	47,500	$	17,323	$	31,945	$	31,029	$	12,607
Canada	$	1,031	$	1,011	$	268	$	466	$	459	$	129
Wholesale
United States	$	10,072	$	10,035	$	1,203	$	45,868	$	45,623	$	2,220
Canada	$	13,564	$	13,559	$	1,330	$	14,639	$	14,639	$	1,109
Total
Retail	$	116,547	$	114,674	$	17,591	$	56,791	$	55,606	$	12,736
Wholesale	$	48,427	$	48,385	$	2,533	$	72,297	$	72,052	$	3,329

20

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 4: RECEIVABLES (Continued)

        For the three months ended June 30, 2015 and 2014, the Company's average recorded investment in impaired receivables individually evaluated for impairment (based on a four-month average) and the related interest income recognized are as follows:

	2015				2014
	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
With no related allowance recorded
Retail
United States	$	58,704	$	839	$	13,683	$	120
Canada	$	4,832	$	95	$	—	$	—
Wholesale
United States	$	23,018	$	372	$	7,986	$	129
Canada	$	—	$	—	$	—	$	—
With an allowance recorded
Retail
United States	$	48,889	$	153	$	27,273	$	73
Canada	$	1,034	$	—	$	1,963	$	30
Wholesale
United States	$	10,379	$	169	$	25,891	$	125
Canada	$	14,130	$	153	$	28,591	$	130
Total
Retail	$	113,459	$	1,087	$	42,919	$	223
Wholesale	$	47,527	$	694	$	62,468	$	384

21

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 4: RECEIVABLES (Continued)

        For the six months ended June 30, 2015 and 2014, the Company's average recorded investment in impaired receivables individually evaluated for impairment (based on a seven-month average) and the related interest income recognized are as follows:

	2015				2014
	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
With no related allowance recorded
Retail
United States	$	58,457	$	1,609	$	13,717	$	222
Canada	$	4,884	$	190	$	—	$	—
Wholesale
United States	$	25,039	$	369	$	8,554	$	222
Canada	$	—	$	—	$	—	$	—
With an allowance recorded
Retail
United States	$	46,829	$	191	$	27,920	$	774
Canada	$	1,042	$	3	$	1,857	$	75
Wholesale
United States	$	9,940	$	323	$	24,747	$	242
Canada	$	14,036	$	269	$	28,916	$	351
Total
Retail	$	111,212	$	1,993	$	43,494	$	1,071
Wholesale	$	49,015	$	961	$	62,217	$	815

        Recognition of income is generally suspended when management determines that collection of future finance income is not probable or when an account becomes 120 days delinquent, whichever occurs first. Interest accrual is resumed if the receivable becomes contractually current and collection becomes probable. Previously suspended income is recognized at that time. The receivables on nonaccrual status as of June 30, 2015 and December 31, 2014 are as follows:

	June 30, 2015						December 31, 2014
	Retail		Wholesale		Total		Retail		Wholesale		Total
United States	$	45,223	$	10,035	$	55,258	$	22,512	$	45,623	$	68,135
Canada	$	1,039	$	13,559	$	14,598	$	280	$	15,368	$	15,648

Troubled Debt Restructurings

        A restructuring of a receivable constitutes a troubled debt restructuring ("TDR") when the lender grants a concession it would not otherwise consider to a borrower experiencing financial difficulties. As a collateral-based lender, the Company typically will repossess collateral in lieu of restructuring receivables. As such, for retail receivables, concessions are typically provided based on bankruptcy court proceedings.

22

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 4: RECEIVABLES (Continued)

For wholesale receivables, concessions granted may include extended contract maturities, inclusion of interest-only periods, modification of a contractual interest rate to a below market interest rate and waiving of interest and principal.

        TDRs are reviewed along with other receivables as part of management's ongoing evaluation of the adequacy of the allowance for credit losses. The allowance for credit losses attributable to TDRs is based on the most probable source of repayment, which is normally the liquidation of collateral. In determining collateral value, the Company estimates the current fair market value of the equipment collateral and considers credit enhancements such as additional collateral and third-party guarantees.

        Before removing a receivable from TDR classification, a review of the borrower is conducted. If concerns exist about the future ability of the borrower to meet its obligations under the loans based on a credit review, the TDR classification is not removed from the receivable.

        As of June 30, 2015, the Company had approximately 622 retail and finance lease receivable contracts classified as TDRs, of which the pre-modification value was $18,149 and the post-modification value was $16,773. A court has determined the concession in 344 of these cases. The pre-modification value of these contracts was $5,857 and the post-modification value was $4,826. As of June 30, 2014, the Company had approximately 715 retail and finance lease receivable contracts classified as TDRs, of which the pre-modification value was $15,715 and the post-modification value was $13,765. A court has determined the concession in 475 of these cases. The pre-modification value of these contracts was $8,648 and the post-modification value was $7,072. As the outcome of the bankruptcy cases is determined by a court based on available assets, subsequent re-defaults are unusual and were not material for retail and finance lease receivable contracts that were modified in a TDR during the previous 12 months ended June 30, 2015 and 2014.

        As of June 30, 2015 and 2014, the Company's wholesale TDRs were immaterial.

NOTE 5: DEBT

        On May 13, 2015, the Company, through a bankruptcy-remote trust, issued $999,645 of amortizing asset-backed notes secured by U.S. retail loan contracts.

        On May 20, 2015 the Company renewed a $500,000 U.S. wholesale committed asset-backed facility, with a maturity date of May 19, 2016.

        On June 26, 2015, the Company completed an offering of $600,000 in aggregate principal amount of its 3.875% unsecured notes due 2018, issued at a price of 99.642%.

        On June 29, 2015, the Company drew $100,000 on an existing revolving credit facility. The loan was repaid on July 6, 2015.

NOTE 6: INCOME TAXES

        The effective tax rates for the three months ended June 30, 2015 and 2014 were 34.6% and 32.2%, respectively. The effective tax rate was 34.6% for the six-month period ended June 30, 2015, compared to 33.2% for the same period in 2014. The increase in the effective rates was due to a favorable discrete tax

23

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 6: INCOME TAXES (Continued)

benefit recognized in 2014. The Company's provision for income taxes is based on an estimated tax rate for the year applied to the year-to-date federal, state and foreign income. The 2015 estimated annual tax rate is expected to be lower than the U.S. federal corporate income tax rate of 35% primarily due to profits in tax jurisdictions with lower rates, including Canada.

NOTE 7: FINANCIAL INSTRUMENTS

        The Company may elect to measure many financial instruments and certain other items at fair value. This fair value option must be applied on an instrument-by-instrument basis with changes in fair value reported in earnings. The election can be made at the acquisition of an eligible financial asset, financial liability, or firm commitment or when certain specified reconsideration events occur. The fair value election may not be revoked once made. The Company did not elect the fair value measurement option for eligible items.

Fair-Value Hierarchy

        U.S. GAAP specifies a hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company's internally-developed market assumptions. These two types of inputs have created the following fair-value hierarchy:

Level 1—Quoted prices for identical instruments in active markets.

Level 2—Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets.

Level 3—Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable.

        This hierarchy requires the use of observable market data when available.

Determination of Fair Value

        When available, the Company uses quoted market prices to determine fair value and classifies such items in Level 1. In some cases where a market price is not available, the Company will make use of observable market-based inputs to calculate fair value, in which case the items are classified in Level 2.

        If quoted or observable market prices are not available, fair value is based upon internally developed valuation techniques that use, where possible, current market-based or independently sourced market parameters such as interest rates, currency rates, or yield curves. Items valued using such internally generated valuation techniques are classified according to the lowest level input or value driver that is significant to the valuation. Thus, an item may be classified in Level 3 even though there may be some significant inputs that are readily observable.

        The following section describes the valuation methodologies used by the Company to measure various financial instruments at fair value, including an indication of the level in the fair value hierarchy in which

24

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 7: FINANCIAL INSTRUMENTS (Continued)

each instrument is generally classified. Where appropriate, the description includes details of the valuation models and the key inputs to those models, as well as any significant assumptions.

Derivatives

        The Company utilizes derivative instruments to mitigate its exposure to interest rate and foreign currency exposures. Derivatives used as hedges are effective at reducing the risk associated with the exposure being hedged and are designated as a hedge at the inception of the derivative contract. The Company does not hold or issue derivative or other financial instruments for speculative purposes. The credit risk for the interest rate hedges is reduced through diversification among counterparties, utilizing mandatory termination clauses and/or collateral support agreements. Derivative instruments are generally classified in Level 2 or 3 of the fair value hierarchy. The cash flows underlying all derivative contracts were recorded in operating activities in the consolidated statements of cash flows.

Interest Rate Derivatives

        The Company has entered into interest rate derivatives in order to manage interest rate exposures arising in the normal course of business. Interest rate derivatives that have been designated in cash flow hedging relationships are being used by the Company to mitigate the risk of rising interest rates related to debt and anticipated issuance of fixed-rate debt in future periods. Gains and losses on these instruments, to the extent that the hedge relationship has been effective, are deferred in accumulated other comprehensive income (loss) and recognized in interest expense over the period in which the Company recognizes interest expense on the related debt. Ineffectiveness recognized related to these hedging relationships was not significant for the six months ended June 30, 2015 and 2014. These amounts are recorded in "Other expenses" in the consolidated statements of income. The maximum length of time over which the Company is hedging its interest rate exposure through the use of derivative instruments designated in cash flow hedge relationships is 49 months. The after-tax losses deferred in accumulated other comprehensive income (loss) that will be recognized in interest expense over the next 12 months are approximately $1,358.

        The Company also enters into interest rate derivatives with substantially similar economic terms that are not designated as hedging instruments to mitigate interest rate risk related to the Company's committed asset-backed facilities. These facilities require the Company to enter into interest rate derivatives. To ensure that these transactions do not result in the Company being exposed to this risk, the Company enters into an offsetting position. Unrealized and realized gains and losses resulting from fair value changes in these instruments are recognized directly in income and were insignificant for the three and six months ended June 30, 2015 and 2014.

        The Company's interest rate derivatives are considered Level 2. The fair market value of these derivatives is calculated using market data input for forecasted benchmark interest rates and can be compared to actively traded derivatives. If the future notional amount of the Company's interest rate derivatives is not known in advance, the derivatives are considered Level 3 derivatives. The fair market value of these derivatives is calculated using market data input and a forecasted future notional balance. The total notional amount of the Company's interest rate derivatives was approximately $2,279,323 and

25

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 7: FINANCIAL INSTRUMENTS (Continued)

$3,457,267 at June 30, 2015 and December 31, 2014, respectively. The seven-month average notional amounts as of June 30, 2015 and 2014 were $3,117,683 and $2,954,996, respectively.

Foreign Exchange Contracts

        The Company uses forward contracts to hedge certain assets and liabilities denominated in foreign currencies. Such derivatives are considered economic hedges and are not designated as hedging instruments. The changes in the fair value of these instruments are recognized directly as income in "Other expenses" and are expected to offset the foreign exchange gains or losses on the exposures being managed.

        All of the Company's foreign exchange derivatives are considered Level 2 as the fair value is calculated using market data input and can be compared to actively traded derivatives.

Financial Statement Impact of the Company's Derivatives

        The fair values of the Company's derivatives as of June 30, 2015 and December 31, 2014 in the consolidated balance sheets are recorded as follows:

	June 30, 2015		December 31, 2014
Derivatives Designated as Hedging Instruments:
Other assets:
Interest rate derivatives	$	1,497	$	680
Accounts payable and other accrued liabilities:
Interest rate derivatives	$	1,352	$	212
Derivatives Not Designated as Hedging Instruments:
Other assets:
Interest rate derivatives	$	3,206	$	6,727
Foreign exchange contracts		—		136
Total	$	3,206	$	6,863
Accounts payable and other accrued liabilities:
Interest rate derivatives	$	3,206	$	6,727
Foreign exchange contracts		5		—
Total	$	3,211	$	6,727

26

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 7: FINANCIAL INSTRUMENTS (Continued)

        Pre-tax gains (losses) on the consolidated statements of income related to the Company's derivatives for the three and six months ended June 30, 2015 and 2014 are recorded in the following accounts:

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Cash Flow Hedges
Recognized in accumulated other comprehensive income (loss) (effective portion) Interest rate derivatives	$	276		$	(222	)	$	(2,518	)	$	(529	)
Reclassified from accumulated other comprehensive income (loss) (effective portion) Interest rate derivatives—Interest expense to third parties		(469	)		(1,503	)		(1,924	)		(2,854	)
Not Designated as Hedges
Foreign exchange contracts—Other expenses		5			24			(234	)		(126	)

Items Measured at Fair Value on a Recurring Basis

        The following table presents the Company's assets and liabilities that are measured at fair value on a recurring basis as of June 30, 2015 and December 31, 2014, all of which are classified as Level 2:

	June 30, 2015		December 31, 2014
Assets
Interest rate derivatives	$	4,703	$	7,407
Foreign exchange contracts		—		136
Total assets	$	4,703	$	7,543
Liabilities
Interest rate derivatives	$	4,558	$	6,939
Foreign exchange contracts		5		—
Total liabilities	$	4,563	$	6,939

        There were no transfers between Level 1, Level 2 and Level 3 hierarchy levels during the periods presented.

Fair Value of Other Financial Instruments

        The carrying amount of cash and cash equivalents, restricted cash, floating-rate affiliated accounts and notes receivable, floating-rate short-term debt, interest payable and short-term affiliated debt was assumed to approximate its fair value. Under the fair value hierarchy, cash and cash equivalents and restricted cash are classified as Level 1 and the remainder of the financial instruments listed is classified as Level 2.

27

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 7: FINANCIAL INSTRUMENTS (Continued)

Financial Instruments Not Carried at Fair Value

        The carrying amount and estimated fair value of assets and liabilities considered financial instruments as of June 30, 2015 and December 31, 2014 are as follows:

	June 30, 2015				December 31, 2014
	Carrying Amount		Estimated Fair Value *		Carrying Amount		Estimated Fair Value *
Receivables	$	12,276,196	$	12,251,364	$	12,789,027	$	12,854,705
Long-term debt	$	8,525,750	$	8,553,625	$	8,193,039	$	8,195,209

*

Under the fair value hierarchy, receivables measurements are classified as Level 3 and long-term debt measurements are classified as Level 2.

Financial Assets

        The fair value of receivables was determined by discounting the estimated future payments using a discount rate which includes an estimate for credit risk.

Financial Liabilities

        The fair values of long-term debt were based on current market quotes for identical or similar borrowings and credit risk.

28

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 8: SEGMENT AND GEOGRAPHICAL INFORMATION

        The Company's segment data is based on disclosure requirements of accounting guidance on segment reporting, which requires financial information be reported on the basis that is used internally for measuring segment performance. The Company's reportable segments are strategic business units that are organized around differences in geographic areas. Each segment is managed separately as they require different knowledge of regulatory environments and marketing strategies. The operating segments offer primarily the same services within each of the respective segments.

        A summary of the Company's reportable segment information is as follows:

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Revenues
United States	$	191,363		$	184,235		$	374,485		$	359,907
Canada		44,234			50,761			87,739			97,277
Eliminations		(1,056	)		(1,232	)		(2,097	)		(2,432	)
Total	$	234,541		$	233,764		$	460,127		$	454,752
Interest expense
United States	$	60,544		$	58,095		$	124,105		$	110,548
Canada		12,024			13,806			24,198			25,681
Eliminations		(1,056	)		(1,232	)		(2,097	)		(2,432	)
Total	$	71,512		$	70,669		$	146,206		$	133,797
Segment net income
United States	$	42,507		$	48,465		$	83,325		$	98,864
Canada		15,411			20,197			28,304			36,865
Total	$	57,918		$	68,662		$	111,629		$	135,729
Depreciation and amortization
United States	$	37,488		$	25,105		$	73,849		$	47,227
Canada		8,922			8,563			17,444			16,854
Total	$	46,410		$	33,668		$	91,293		$	64,081
Expenditures for equipment on operating leases
United States	$	198,286		$	201,980		$	419,365		$	333,427
Canada		55,084			34,221			79,328			55,462
Total	$	253,370		$	236,201		$	498,693		$	388,889
Provision for credit losses
United States	$	6,934		$	4,178		$	10,124		$	5,249
Canada		242			1,750			1,013			2,139
Total	$	7,176		$	5,928		$	11,137		$	7,388

29

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 8: SEGMENT AND GEOGRAPHICAL INFORMATION (Continued)

	As of June 30, 2015			As of December 31, 2014
Segment assets
United States	$	13,214,282		$	13,430,826
Canada		2,559,323			2,693,008
Eliminations		(395,269	)		(214,269	)
Total	$	15,378,336		$	15,909,565
Managed receivables
United States	$	10,357,295		$	10,708,704
Canada		2,015,854			2,175,865
Total	$	12,373,149		$	12,884,569

NOTE 9: RELATED-PARTY TRANSACTIONS

        The Company receives compensation from CNH Industrial North America for retail installment sales contracts and finance leases that were created under certain low-rate financing programs and interest waiver programs offered to customers by CNH Industrial North America. For selected operating leases, CNH Industrial North America compensates the Company for the difference between the market rental rates and the amount paid by the customer. Similarly, for selected wholesale receivables, CNH Industrial North America and other affiliates compensate the Company for the difference between market rates and the amount paid by the dealer. The Company is also compensated for lending funds to CNH Industrial North America and other affiliates for various purposes.

        The summary of sources included in "Interest and other income from affiliates" in the accompanying consolidated statements of income for the three and six months ended June 30, 2015 and 2014 is as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2015		2014		2015		2014
Subsidy received from CNH Industrial North America:
Retail	$	48,603	$	57,324	$	99,489	$	116,826
Wholesale		37,151		42,987		74,812		80,812
Operating lease		15,740		11,438		31,347		21,461
Total interest and other income from affiliates	$	101,494	$	111,749	$	205,648	$	219,099

        Fees charged by affiliates represent payroll and other human resource services CNH Industrial America performs on behalf of the Company.

30

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 9: RELATED-PARTY TRANSACTIONS (Continued)

        As of June 30, 2015 and December 31, 2014, the Company had various accounts and notes receivable and debt with the following affiliates:

	June 30, 2015		December 31, 2014
Affiliated receivables from:
CNH Industrial America	$	26,706	$	39,677
CNH Industrial Canada Ltd.		10,705		6,763
Other affiliates		12,291		12,291
Total affiliated receivables	$	49,702	$	58,731
Affiliated debt owed to:
CNH Industrial America	$	—	$	713,230
CNH Industrial Canada Ltd.		—		149,215
Total affiliated debt	$	—	$	862,445

        Included in "Other Assets" in the accompanying balance sheets were tax receivables due from related parties of $28,415 and $62,515, respectively, as of June 30, 2015 and December 31, 2014. Accounts payable and other accrued liabilities of $27,407 and $5,282, respectively, as of June 30, 2015 and December 31, 2014, were payable to related parties. Interest expense to affiliates was $6,456 and $7,895, respectively, for the three months ended June 30, 2015 and 2014 and $17,313 and $9,423, respectively, for the six months ended June 30, 2015 and 2014.

        In order to utilize the marketing channels for used equipment that exist in CNH Industrial Capital, $19,541 of inventory was transferred from CNH Industrial America at cost at December 31, 2014, of which $13,889 was included in "Equipment held for sale" in the accompanying consolidated balance sheets as of June 30, 2015.

        On March 31, 2015, CNH Industrial Capital Canada redeemed all of its outstanding shares of preferred stock for C$76,618 ($60,416). These shares earned dividends of 12-month LIBOR plus 1.2% per annum. Dividends were accrued and recorded in "Net income attributed to noncontrolling interest" in the consolidated statements of income. A dividend of C$668 ($551) was paid by CNH Industrial Capital Canada to CNH Industrial Canada Ltd. in March 2015, which represented all accrued and unpaid dividends on the preferred stock through the redemption date.

NOTE 10: COMMITMENTS AND CONTINGENCIES

Legal Matters

        The Company is party to various litigation matters and claims arising from its operations. Management believes that the outcome of these proceedings, individually and in the aggregate, will not have a material adverse effect on the Company's financial position or results of operations.

31

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 10: COMMITMENTS AND CONTINGENCIES (Continued)

Guarantees

        The Company provides payment guarantees on the financial debt of various foreign financial services subsidiaries of CNHI for approximately $261,085. The guarantees are in effect for the term of the underlying funding facilities plus 365 days. The underlying facilities are renewable annually.

Commitments

        The Company has various agreements to extend credit for the wholesale and dealer financing managed portfolio. At June 30, 2015, the total credit limit available was $6,426,349, of which $3,865,974 was utilized.

NOTE 11: SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION

        CNH Industrial Capital America and New Holland Credit, which are 100%-owned subsidiaries of CNH Industrial Capital LLC (the "Guarantor Entities"), guarantee certain indebtedness of CNH Industrial Capital LLC. As the guarantees are full, unconditional, and joint and several and because the Guarantor Entities are 100%-owned by CNH Industrial Capital LLC, the Company has included the following condensed consolidating financial information as of June 30, 2015 and December 31, 2014 and for the three and six months ended June 30, 2015 and 2014. The condensed consolidating financial information reflects investments in consolidated subsidiaries under the equity method of accounting.

32

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 11: SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION (Continued)

	Condensed Statements of Comprehensive Income for the Three Months Ended June 30, 2015
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries		Eliminations			Consolidated
REVENUES
Interest income on retail notes and finance leases	$	—		$	2,353		$	50,675	$	—		$	53,028
Interest income on wholesale notes		—			(176	)		20,629		—			20,453
Interest and other income from affiliates		21,576			53,964			85,212		(59,258	)		101,494
Rental income on operating leases		—			40,843			11,335		—			52,178
Other income		—			29,254			811		(22,677	)		7,388
Total revenues		21,576			126,238			168,662		(81,935	)		234,541
EXPENSES
Interest expense:
Interest expense to third parties		32,353			2,884			29,819		—			65,056
Interest expense to affiliates		—			56,042			9,672		(59,258	)		6,456
Total interest expense		32,353			58,926			39,491		(59,258	)		71,512
Administrative and operating expenses:
Fees charged by affiliates		—			11,443			23,240		(22,677	)		12,006
Provision for credit losses, net		—			1,083			6,093		—			7,176
Depreciation of equipment on operating leases		—			36,493			9,606		—			46,099
Other expenses		—			4,751			4,406		—			9,157
Total administrative and operating expenses		—			53,770			43,345		(22,677	)		74,438
Total expenses		32,353			112,696			82,836		(81,935	)		145,950
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method		(10,777	)		13,542			85,826		—			88,591
Income tax provision (benefit)		(4,154	)		5,508			29,319		—			30,673
Equity in income of consolidated subsidiaries accounted for under the equity method		64,541			56,507			—		(121,048	)		—
NET INCOME		57,918			64,541			56,507		(121,048	)		57,918
Net income attributed to noncontrolling interest		—			—			—		—			—
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	57,918		$	64,541		$	56,507	$	(121,048	)	$	57,918
COMPREHENSIVE INCOME (LOSS)	$	76,967		$	83,590		$	72,697	$	(156,287	)	$	76,967
Comprehensive income attributed to noncontrolling interest		—			—			—		—			—
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	76,967		$	83,590		$	72,697	$	(156,287	)	$	76,967

33

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 11: SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION (Continued)

	Condensed Statements of Comprehensive Income for the Six Months Ended June 30, 2015
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries			Eliminations			Consolidated
REVENUES
Interest income on retail notes and finance leases	$	—		$	2,746		$	99,405		$	—		$	102,151
Interest income on wholesale notes		—			(472	)		39,857			—			39,385
Interest and other income from affiliates		45,232			110,646			171,739			(121,969	)		205,648
Rental income on operating leases		—			76,402			24,584			—			100,986
Other income		—			54,888			1,648			(44,579	)		11,957
Total revenues		45,232			244,210			337,233			(166,548	)		460,127
EXPENSES
Interest expense:
Interest expense to third parties		67,477			(567	)		61,983			—			128,893
Interest expense to affiliates		—			119,935			19,347			(121,969	)		17,313
Total interest expense		67,477			119,368			81,330			(121,969	)		146,206
Administrative and operating expenses:
Fees charged by affiliates		—			23,713			45,745			(44,579	)		24,879
Provision (benefit) for credit losses, net		—			(578	)		11,715			—			11,137
Depreciation of equipment on operating leases		—			69,960			20,712			—			90,672
Other expenses		—			10,446			6,210			—			16,656
Total administrative and operating expenses		—			103,541			84,382			(44,579	)		143,344
Total expenses		67,477			222,909			165,712			(166,548	)		289,550
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method		(22,245	)		21,301			171,521			—			170,577
Income tax provision (benefit)		(8,569	)		7,141			60,376			—			58,948
Equity in income of consolidated subsidiaries accounted for under the equity method		125,046			110,886			—			(235,932	)		—
NET INCOME		111,370			125,046			111,145			(235,932	)		111,629
Net income attributed to noncontrolling interest		—			—			(259	)		—			(259	)
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	111,370		$	125,046		$	110,886		$	(235,932	)	$	111,370
COMPREHENSIVE INCOME (LOSS)	$	66,380		$	80,056		$	72,046		$	(151,843	)	$	66,639
Comprehensive income attributed to noncontrolling interest		—			—			(259	)		—			(259	)
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	66,380		$	80,056		$	71,787		$	(151,843	)	$	66,380

34

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 11: SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION (Continued)

	Condensed Balance Sheets as of June 30, 2015
	CNH Industrial Capital LLC		Guarantor Entities			All Other Subsidiaries		Eliminations			Consolidated
ASSETS
Cash and cash equivalents	$	—	$	125,565		$	287,208	$	—		$	412,773
Restricted cash		—		100			614,836		—			614,936
Receivables, less allowance for credit losses		—		1,526,522			10,749,674		—			12,276,196
Affiliated accounts and notes receivable		3,644,202		1,978,938			1,487,979		(7,061,417	)		49,702
Equipment on operating leases, net		—		1,397,891			260,233		—			1,658,124
Equipment held for sale		—		156,714			17,162		—			173,876
Investments in consolidated subsidiaries accounted for under the equity method		1,979,435		2,275,714			—		(4,255,149	)		—
Goodwill and intangible assets, net		—		89,373			29,396		—			118,769
Other assets		23,442		(13,605	)		69,315		(5,192	)		73,960
TOTAL	$	5,647,079	$	7,537,212		$	13,515,803	$	(11,321,758	)	$	15,378,336
LIABILITIES AND STOCKHOLDER'S EQUITY
Liabilities:
Short-term debt, including current maturities of long-term debt	$	750,000	$	—		$	3,829,772	$	—		$	4,579,772
Accounts payable and other accrued liabilities		283,146		2,210,497			970,334		(2,758,142	)		705,835
Affiliated debt		—		3,347,280			961,187		(4,308,467	)		—
Long-term debt		3,046,954		—			5,478,796		—			8,525,750
Total liabilities		4,080,100		5,557,777			11,240,089		(7,066,609	)		13,811,357
Stockholder's equity		1,566,979		1,979,435			2,275,714		(4,255,149	)		1,566,979
TOTAL	$	5,647,079	$	7,537,212		$	13,515,803	$	(11,321,758	)	$	15,378,336

35

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 11: SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION (Continued)

	Condensed Statements of Cash Flows for the Six Months Ended June 30, 2015
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries			Eliminations			Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	$	(683,880	)	$	(34,139	)	$	116,113		$	966,836		$	364,930
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired		—			(5,550,956	)		(5,324,652	)		4,143,391			(6,732,217	)
Collections of receivables		—			5,869,591			5,370,817			(4,142,446	)		7,097,962
Change in restricted cash		—			—			236,291			—			236,291
Purchase of equipment on operating leases, net		—			(387,904	)		31,194			—			(356,710	)
Capital expenditures for property and equipment and software		—			(49	)		—			—			(49	)
Net cash from (used in) investing activities		—			(69,318	)		313,650			945			245,277
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity		—			26,451			78,885			(967,781	)		(862,445	)
Net change in indebtedness		698,880			(22,772	)		(283,117	)		—			392,991
Dividends paid to CNH Industrial America LLC		(15,000	)		—			—			—			(15,000	)
Preferred dividend paid to CNH Industrial Canada Ltd.		—			—			(551	)		—			(551	)
Redemption of preferred stock of subsidiary		—			—			(60,416	)		—			(60,416	)
Net cash from (used in) financing activities		683,880			3,679			(265,199	)		(967,781	)		(545,421	)
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS		—			(99,778	)		164,564			—			64,786
CASH AND CASH EQUIVALENTS:
Beginning of period		—			225,343			122,644			—			347,987
End of period	$	—		$	125,565		$	287,208		$	—		$	412,773

36

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 11: SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION (Continued)

	Condensed Statements of Comprehensive Income for the Three Months Ended June 30, 2014
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries			Eliminations			Consolidated
REVENUES
Interest income on retail notes and finance leases	$	—		$	3,389		$	47,702		$	—		$	51,091
Interest income on wholesale notes		—			(321	)		17,647			—			17,326
Interest and other income from affiliates		21,301			55,401			98,875			(63,828	)		111,749
Rental income on operating leases		—			25,350			14,371			—			39,721
Other income		—			36,223			1,911			(24,257	)		13,877
Total revenues		21,301			120,042			180,506			(88,085	)		233,764
EXPENSES
Interest expense:
Interest expense to third parties		29,076			(508	)		34,206			—			62,774
Interest expense to affiliates		—			60,023			11,700			(63,828	)		7,895
Total interest expense		29,076			59,515			45,906			(63,828	)		70,669
Administrative and operating expenses:
Fees charged by affiliates		—			10,619			26,602			(24,257	)		12,964
Provision for credit losses, net		—			2,880			3,048			—			5,928
Depreciation of equipment on operating leases		—			21,389			12,014			—			33,403
Other expenses		—			7,716			1,824			—			9,540
Total administrative and operating expenses		—			42,604			43,488			(24,257	)		61,835
Total expenses		29,076			102,119			89,394			(88,085	)		132,504
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method		(7,775	)		17,923			91,112			—			101,260
Income tax provision (benefit)		(2,981	)		7,105			28,474			—			32,598
Equity in income of consolidated subsidiaries accounted for under the equity method		73,122			62,304			—			(135,426	)		—
NET INCOME		68,328			73,122			62,638			(135,426	)		68,662
Net income attributed to noncontrolling interest		—			—			(334	)		—			(334	)
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	68,328		$	73,122		$	62,304		$	(135,426	)	$	68,328
COMPREHENSIVE INCOME	$	92,609		$	97,403		$	83,482		$	(180,551	)	$	92,943
Comprehensive income attributed to noncontrolling interest		—			—			(334	)		—			(334	)
COMPREHENSIVE INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	92,609		$	97,403		$	83,148		$	(180,551	)	$	92,609

37

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 11: SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION (Continued)

	Condensed Statements of Comprehensive Income for the Six Months Ended June 30, 2014
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries			Eliminations			Consolidated
REVENUES
Interest income on retail notes and finance leases	$	—		$	5,105		$	94,511		$	—		$	99,616
Interest income on wholesale notes		—			(592	)		33,419			—			32,827
Interest and other income from affiliates		43,344			108,555			193,215			(126,015	)		219,099
Rental income on operating leases		—			47,578			28,625			—			76,203
Other income		—			70,030			3,965			(46,988	)		27,007
Total revenues		43,344			230,676			353,735			(173,003	)		454,752
EXPENSES
Interest expense:
Interest expense to third parties		58,952			(4,280	)		69,702			—			124,374
Interest expense to affiliates		—			113,490			21,948			(126,015	)		9,423
Total interest expense		58,952			109,210			91,650			(126,015	)		133,797
Administrative and operating expenses:
Fees charged by affiliates		—			21,386			51,933			(46,988	)		26,331
Provision (benefit) for credit losses, net		—			(1,290	)		8,678			—			7,388
Depreciation of equipment on operating leases		—			39,492			24,059			—			63,551
Other expenses		—			19,732			819			—			20,551
Total administrative and operating expenses		—			79,320			85,489			(46,988	)		117,821
Total expenses		58,952			188,530			177,139			(173,003	)		251,618
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method		(15,608	)		42,146			176,596			—			203,134
Income tax provision (benefit)		(5,975	)		15,747			57,633			—			67,405
Equity in income of consolidated subsidiaries accounted for under the equity method		144,700			118,301			—			(263,001	)		—
NET INCOME		135,067			144,700			118,963			(263,001	)		135,729
Net income attributed to noncontrolling interest		—			—			(662	)		—			(662	)
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	135,067		$	144,700		$	118,301		$	(263,001	)	$	135,067
COMPREHENSIVE INCOME	$	134,805		$	144,438		$	119,038		$	(262,814	)	$	135,467
Comprehensive income attributed to noncontrolling interest		—			—			(662	)		—			(662	)
COMPREHENSIVE INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	134,805		$	144,438		$	118,376		$	(262,814	)	$	134,805

38

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 11: SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION (Continued)

	Condensed Balance Sheets as of December 31, 2014
	CNH Industrial Capital LLC		Guarantor Entities		All Other Subsidiaries		Eliminations			Consolidated
ASSETS
Cash and cash equivalents	$	—	$	225,343	$	122,644	$	—		$	347,987
Restricted cash		—		100		858,725		—			858,825
Receivables, less allowance for credit losses		—		1,845,524		10,943,503		—			12,789,027
Affiliated accounts and notes receivable		2,749,776		1,712,656		1,365,447		(5,769,148	)		58,731
Equipment on operating leases, net		—		1,128,542		329,783		—			1,458,325
Equipment held for sale		—		121,190		8,510		—			129,700
Investments in consolidated subsidiaries accounted for under the equity method		1,923,861		2,228,741		—		(4,152,602	)		—
Goodwill and intangible assets, net		—		89,927		31,279		—			121,206
Other assets		20,778		77,597		51,637		(4,248	)		145,764
TOTAL	$	4,694,415	$	7,429,620	$	13,711,528	$	(9,925,998	)	$	15,909,565
LIABILITIES AND STOCKHOLDER'S EQUITY
Liabilities:
Short-term debt, including current maturities of long-term debt	$	750,000	$	19,128	$	3,863,080	$	—		$	4,632,208
Accounts payable and other accrued liabilities		56,261		2,162,159		860,231		(2,432,710	)		645,941
Affiliated debt		—		3,320,828		882,303		(3,340,686	)		862,445
Long-term debt		2,348,074		3,644		5,841,321		—			8,193,039
Total liabilities		3,154,335		5,505,759		11,446,935		(5,773,396	)		14,333,633
Stockholder's equity		1,540,080		1,923,861		2,264,593		(4,152,602	)		1,575,932
TOTAL	$	4,694,415	$	7,429,620	$	13,711,528	$	(9,925,998	)	$	15,909,565

39

CNH INDUSTRIAL CAPITAL LLC AND SUBSIDIARIES

CONDENSED NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)

(Dollars in thousands)

(Unaudited)

NOTE 11: SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION (Continued)

	Condensed Statements of Cash Flows for the Six Months Ended June 30, 2014
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries			Eliminations			Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	$	(408,899	)	$	(617,000	)	$	986,700		$	416,763		$	377,564
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired		—			(7,833,353	)		(8,054,568	)		6,422,415			(9,465,506	)
Collections of receivables		—			8,031,668			6,621,055			(6,421,219	)		8,231,504
Change in restricted cash		—			—			175,894			—			175,894
Purchase of equipment on operating leases, net		—			(230,967	)		(19,674	)		—			(250,641	)
Capital expenditures for property and equipment and software		—			(14	)		(6	)		—			(20	)
Net cash from (used in) investing activities		—			(32,666	)		(1,277,299	)		1,196			(1,308,769	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity		—			530,205			70,697			(417,959	)		182,943
Net change in indebtedness		498,899			(46,403	)		(153,149	)		—			299,347
Dividends paid to CNH Industrial America LLC		(90,000	)		—			—			—			(90,000	)
Net cash from (used in) financing activities		408,899			483,802			(82,452	)		(417,959	)		392,290
DECREASE IN CASH AND CASH EQUIVALENTS		—			(165,864	)		(373,051	)		—			(538,915	)
CASH AND CASH EQUIVALENTS:
Beginning of period		—			308,507			389,101			—			697,608
End of period	$	—		$	142,643		$	16,050		$	—		$	158,693

NOTE 12: SUBSEQUENT EVENTS

        As of June 30, 2015, the Company had a $250,000 unsecured facility with a final maturity in July 2016, consisting of a $150,000 term loan and a $100,000 revolving credit facility, which was fully drawn. On July 6, 2015, the Company repaid the $100,000 revolving credit facility. On July 8, 2015, the Company terminated the revolving commitment and repaid the $150,000 term loan.

40

Item 2.    Management's Discussion and Analysis of Financial Condition and Results of Operations

Overview

Organization

        We offer a range of financial products and services to the dealers and customers of CNH Industrial North America. The principal products offered are retail financing for the purchase or lease of new and used CNH Industrial North America equipment and wholesale financing to CNH Industrial North America dealers. Wholesale financing consists primarily of floor plan financing, as well as financing equipment used in dealer-owned rental yards, parts inventory and working capital needs. In addition, we purchase equipment from dealers that is leased to retail customers under operating lease agreements.

Trends and Economic Conditions

        Our business is closely related to the agricultural and construction equipment industries because we offer financing products for such equipment. For the three months ended June 30, 2015, CNH Industrial's Agricultural Equipment net sales decreased 31.6% compared to the three months ended June 30, 2014. CNH Industrial's Construction Equipment net sales decreased 20.5% for the three months ended June 30, 2015 compared to the three months ended June 30, 2014.

        In general, our receivable mix between agricultural and construction equipment financing directionally reflects the mix of equipment sales by CNH Industrial North America. As such, changes in the agricultural industry or with respect to our agricultural equipment borrowers ("farmers") may affect the majority of our portfolio.

        The financing we provide to our borrowers is secured by the financed equipment, which typically has a long useful life and is a key component in the farmers' sources of income. All of these factors contribute to the strong credit performance of our portfolio in recent periods.

        Net income attributable to CNH Industrial Capital LLC was $57.9 million for the three months ended June 30, 2015, down $10.4 million compared to the same period in 2014. The decrease was primarily driven by higher depreciation costs associated with the operating lease portfolio. Net income attributable to CNH Industrial Capital LLC was $111.4 million and $135.1 million for the six months ended June 30, 2015 and 2014, respectively. The decrease was primarily driven by the reduction in net interest margin and higher depreciation costs associated with the operating lease portfolio. The receivables balance greater than 30 days past due as a percentage of managed receivables was 0.5%, 0.4% and 0.3% at June 30, 2015, December 31, 2014 and June 30, 2014, respectively.

        Macroeconomic issues for us include the uncertainty of governmental actions in respect to monetary, fiscal and legislative policies, the global economic recovery, capital market disruptions, trade agreements and financial regulatory reform. Significant volatility in the price of certain commodities could also impact CNH Industrial North America's and our results.

41

Results of Operations

Three and Six Months Ended June 30, 2015 Compared to Three and Six Months Ended June 30, 2014

Revenues

        Revenues for the three and six months ended June 30, 2015 and 2014 were as follows (dollars in thousands):

	Three Months Ended June 30,
	2015		2014		$ Change			% Change
Interest income on retail notes and finance leases	$	53,028	$	51,091	$	1,937			3.8	%
Interest income on wholesale notes		20,453		17,326		3,127			18.0
Interest and other income from affiliates		101,494		111,749		(10,255	)		(9.2	)
Rental income on operating leases		52,178		39,721		12,457			31.4
Other income		7,388		13,877		(6,489	)		(46.8	)
Total revenues	$	234,541	$	233,764	$	777			0.3	%

	Six Months Ended June 30,
	2015		2014		$ Change			% Change
Interest income on retail notes and finance leases	$	102,151	$	99,616	$	2,535			2.5	%
Interest income on wholesale notes		39,385		32,827		6,558			20.0
Interest and other income from affiliates		205,648		219,099		(13,451	)		(6.1	)
Rental income on operating leases		100,986		76,203		24,783			32.5
Other income		11,957		27,007		(15,050	)		(55.7	)
Total revenues	$	460,127	$	454,752	$	5,375			1.2	%

        Revenues totaled $234.5 million and $460.1 million for the three and six months ended June 30, 2015 compared to $233.8 million and $454.8 million for the same periods in 2014. A higher average portfolio primarily drove the year-over-year increase, partially offset by a decrease in our average yield. The average yield for the managed receivables was 5.1% and 5.3% for the three months ended June 30, 2015 and 2014, respectively, and 5.1% and 5.3% for the six months ended June 30, 2015 and 2014, respectively.

        Interest income on retail notes and finance leases for the three and six months ended June 30, 2015 was $53.0 million and $102.2 million, respectively, representing increases of $1.9 million and $2.5 million from the same periods in 2014. For the second quarter, the increase was primarily due to a $2.5 million favorable impact from higher interest rates, partially offset by a $0.6 million unfavorable impact from lower average earning assets. For the six months ended June 30, 2015, compared to the same period in 2014, the increase was due to a $2.5 million favorable impact from higher interest rates.

        Interest income on wholesale notes for the three and six months ended June 30, 2015 was $20.5 million and $39.4 million, representing an increase of $3.1 million and $6.6 million from the same periods in 2014. The increase was primarily due to the favorable impact from higher average earning assets.

        Interest and other income from affiliates for the three and six months ended June 30, 2015 was $101.5 million and $205.6 million, respectively, compared to $111.7 million and $219.1 million, respectively, for the three and six months ended June 30, 2014. For the three and six months ended June 30, 2015, compensation from CNH Industrial North America for retail low-rate financing programs and interest waiver programs offered to customers was $48.6 million and $99.5 million, respectively, a decrease of $8.7 million and $17.3 million from the same periods in 2014. The decrease was primarily due to lower

42

originations and a reduction in marketing programs. For the three and six months ended June 30, 2015, compensation from CNH Industrial North America for wholesale marketing programs was $37.2 million and $74.8 million, respectively, compared to $43.0 million and $80.8 million, respectively for the same period in 2014. For selected operating leases, compensation from CNH Industrial North America for the difference between market rental rates and the amounts paid by customers was $15.7 million and $31.3 million for the three and six months ended June 30, 2015, an increase of $4.3 million and $9.9 million, respectively, from the same periods in 2014. This increase was primarily due to higher originations.

        Rental income on operating leases for the three and six months ended June 30, 2015 was $52.2 million and $101.0 million, representing an increase of $12.5 million and $24.8 million from the same periods in 2014. The second quarter increase was due to a $16.1 million favorable impact from higher average earning assets, partially offset by a $3.6 million unfavorable impact from lower rates. The six month increase was due to a $32.7 million favorable impact from higher average earning assets, partially offset by a $7.9 million unfavorable impact from lower rates.

        Other income for the three and six months ended June 30, 2015 was $7.4 million and $12.0 million, respectively, representing a decrease of $6.5 million and $15.1 million from the same periods in 2014. The decrease was largely due to the sale of our commercial revolving account portfolio ("CRA").

Expenses

        Expenses for the three and six months ended June 30, 2015 and 2014 were as follows (dollars in thousands):

	Three Months Ended June 30,
	2015		2014		$ Change			% Change
Total interest expense	$	71,512	$	70,669	$	843			1.2	%
Fees charged by affiliates		12,006		12,964		(958	)		(7.4	)
Provision for credit losses, net		7,176		5,928		1,248			21.1
Depreciation of equipment on operating leases		46,099		33,403		12,696			38.0
Other expenses		9,157		9,540		(383	)		(4.0	)
Total expenses	$	145,950	$	132,504	$	13,446			10.1	%

	Six Months Ended June 30,
	2015		2014		$ Change			% Change
Total interest expense	$	146,206	$	133,797	$	12,409			9.3	%
Fees charged by affiliates		24,879		26,331		(1,452	)		(5.5	)
Provision for credit losses, net		11,137		7,388		3,749			50.7
Depreciation of equipment on operating leases		90,672		63,551		27,121			42.7
Other expenses		16,656		20,551		(3,895	)		(19.0	)
Total expenses	$	289,550	$	251,618	$	37,932			15.1	%

        Interest expense totaled $71.5 million and $146.2 million for the three and six months ended June 30, 2015, respectively, compared to $70.7 million and $133.8 million for the same periods in 2014. For the second quarter, the increase was due to a $3.7 million unfavorable impact from higher average interest rates, partially offset by $2.9 million favorable impact from lower average total debt. For the six months, the increase was due primarily to a $7.4 million unfavorable impact from higher average interest rates and $5.0 million unfavorable impact from higher average total debt.

43

        The provision for credit losses was $7.2 million and $11.1 million for the three and six months ended June 30, 2015, respectively, compared to $5.9 million and $7.4 million for the same periods in 2014. Included in the net provisions for the three and six months ended June 30, 2014 are collections from certain customers previously identified as impaired.

        Depreciation of equipment on operating leases increased for the three and six months ended June 30, 2015 compared to the same periods in 2014, primarily due to a higher operating lease portfolio.

        The effective tax rates for the three months ended June 30, 2015 and 2014 were 34.6% and 32.2%, respectively. The effective tax rate was 34.6% for the six-month period ended June 30, 2015, compared to 33.2% for the same period in 2014. The increase in the effective rates was due to a favorable discrete tax benefit recognized in 2014.

Receivables and Equipment on Operating Leases Originated and Held

        Receivables and equipment on operating lease originations for the three and six months ended June 30, 2015 and 2014 were as follows (dollars in thousands):

	Three Months Ended June 30,
	2015		2014		$ Change			% Change
Retail receivables	$	780,028	$	998,091	$	(218,063	)		(21.8	)%
Wholesale receivables		2,636,406		3,750,468		(1,114,062	)		(29.7	)
Other receivables		—		269,885		(269,885	)		(100.0	)
Equipment on operating leases		253,370		236,201		17,169			7.3
Total originations	$	3,669,804	$	5,254,645	$	(1,584,841	)		(30.2	)%

	Six Months Ended June 30,
	2015		2014		$ Change			% Change
Retail receivables	$	1,601,278	$	1,962,304	$	(361,026	)		(18.4	)%
Wholesale receivables		5,130,939		7,040,559		(1,909,620	)		(27.1	)
Other receivables		—		451,615		(451,615	)		(100.0	)
Equipment on operating leases		498,693		388,889		109,804			28.2
Total originations	$	7,230,910	$	9,843,367	$	(2,612,457	)		(26.5	)%

        Retail and wholesale originations decreased in the six months ended June 30, 2015 compared to the same period in 2014, primarily due to a decrease in unit sales of CNH Industrial North America equipment. The increase in equipment on operating lease originations for 2015 compared to 2014 was primarily due to an increased customer preference for leasing products.

        Total receivables and equipment on operating leases held as of June 30, 2015, December 31, 2014 and June 30, 2014 were as follows (dollars in thousands):

	June 30, 2015		December 31, 2014		June 30, 2014
Retail receivables	$	8,422,464	$	8,745,923	$	8,669,831
Wholesale receivables		3,950,685		4,138,646		4,567,991
Other receivables		—		—		266,891
Equipment on operating leases		1,658,124		1,458,325		1,160,431
Total receivables and equipment on operating leases	$	14,031,273	$	14,342,894	$	14,665,144

44

        The total retail receivables balance greater than 30 days past due as a percentage of the retail receivables was 0.8%, 0.6% and 0.4% at June 30, 2015, December 31, 2014 and June 30, 2014, respectively. At those same dates, the total wholesale receivables balance greater than 30 days past due as a percentage of the wholesale receivables was not significant. Total retail receivables on nonaccrual status, which represent receivables for which we have ceased accruing finance income, were $34.3 million, $22.8 million and $23.9 million at June 30, 2015, December 31, 2014 and June 30, 2014, respectively. Total wholesale receivables on nonaccrual status were $23.6 million, $61.0 million and $48.0 million at June 30, 2015, December 31, 2014 and June 30, 2014, respectively.

        Total receivable write-off amounts and recoveries, by product, for the three and six months ended June 30, 2015 and 2014 were as follows (dollars in thousands):

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Write-offs:
Retail	$	4,045		$	3,239		$	9,714		$	5,609
Wholesale		135			548			256			799
Other		—			1,486			—			2,710
Total write-offs		4,180			5,273			9,970			9,118
Recoveries:
Retail		(698	)		(674	)		(1,130	)		(1,255	)
Wholesale		(7	)		(6	)		(14	)		(55	)
Other		—			(615	)		—			(1,151	)
Total recoveries		(705	)		(1,295	)		(1,144	)		(2,461	)
Write-offs, net of recoveries:
Retail		3,347			2,565			8,584			4,354
Wholesale		128			542			242			744
Other		—			871			—			1,559
Total write-offs, net of recoveries	$	3,475		$	3,978		$	8,826		$	6,657

        Our allowance for credit losses on all receivables financed totaled $97.0 million at June 30, 2015, $95.5 million at December 31, 2014 and $102.2 million at June 30, 2014. The decrease in the allowance for credit losses from June 30, 2014 to June 30, 2015 was primarily due to the sale of our CRA portfolio. The level of the allowance is based on quantitative and qualitative factors, including historical loss experience by product category, portfolio duration, delinquency trends, economic conditions, collateral value and credit risk quality. We believe our allowance is sufficient to provide for losses in our receivable portfolio as of June 30, 2015.

Liquidity and Capital Resources

        The following discussion of liquidity and capital resources principally focuses on our statements of cash flows, balance sheets and capitalization. CNH Industrial Capital's current funding strategy is to maintain sufficient liquidity and flexible access to a wide variety of financial instruments and funding options.

        In the past, securitization has been one of our most economical sources of funding and, therefore, the majority of our originated receivables are securitized, with the cash generated from such receivables utilized to repay the related debt or, in the case of wholesale receivables, to purchase new receivables. We expect securitization to continue to represent a substantial portion of our capital structure.

45

        In addition, we have committed secured and unsecured facilities, unsecured bonds, affiliate borrowings and cash to fund our liquidity and capital needs. We have accessed the unsecured bond market in order to add more diversity to our funding sources. As of June 30, 2015, our outstanding unsecured senior notes totaled $3.5 billion. We expect continued changes to our funding profile, with less reliance on the securitization market, as costs and terms of accessing the unsecured bond market continue to improve.

Cash Flows

        For the six months ended June 30, 2015 and 2014, our cash flows were as follows (dollars in thousands):

	2015			2014
	(in thousands)
Cash flows from (used in):
Operating activities	$	364,930		$	377,564
Investing activities		245,277			(1,308,769	)
Financing activities		(545,421	)		392,290
Net cash increase (decrease)	$	64,786		$	(538,915	)

        Operating activities in the six months ended June 30, 2015 generated cash of $365 million, resulting primarily from net income of $112 million, adjusted by depreciation and amortization of $91 million, deferred income tax expense of $42 million and cash from changes in working capital of $108 million. The decrease in cash provided by operating activities for the six months ended June 30, 2015 compared to the same period in 2014 was primarily due to a $68 million decrease in working capital and a $24 million decrease in net income, partially offset by $27 million in higher depreciation expense and an increase in deferred income tax expense of $49 million.

        Investing activities in the six months ended June 30, 2015 generated cash of $245 million, resulting primarily from a net liquidation in receivables of $366 million, a decrease in restricted cash of $236 million and proceeds from the sale of equipment on operating leases of $142 million, partially offset by $499 million in expenditures for equipment on operating leases. The increase in cash provided by investing activities for the six months ended June 30, 2015 compared to the same period in 2014 was primarily due to a $1,600 million net decrease in receivables acquired.

        Financing activities in the six months ended June 30, 2015 used cash of $545 million, resulting primarily from net cash paid on affiliated debt of $862 million, $60 million redemption of preferred stock and a $15 million dividend paid to CNH Industrial America, partially offset by net proceeds received from long-term debt of $393 million. The increase in cash used in financing activities in the six months ended June 30, 2015 compared to the same period in 2014 was primarily due to a $1,045 million and a $262 million increase in net cash payment on affiliated debt and long-term debt, respectively, and the $60 million redemption of preferred stock of subsidiary, partially offset by a decrease in short-term borrowings of $356 million in 2014 and lower dividends of $75 million paid to CNH Industrial America.

Securitization

        CNH Industrial Capital and its predecessor entities have been securitizing receivables since 1992. Because this market generally remains a cost-effective financing source and allows access to a wide investor base, we expect to continue utilizing securitization as one of our core sources of funding in the near future. CNH Industrial Capital has completed public and private issuances of asset-backed securities in both the U.S. and Canada and, as of June 30, 2015, the amounts outstanding were approximately $7.2 billion.

46

Committed Asset-Backed Facilities

        CNH Industrial Capital has committed asset-backed facilities with several banks, primarily through their commercial paper conduit programs. Committed asset-backed facilities for the U.S. and Canada totaled $2.9 billion at June 30, 2015, with original borrowing maturities of up to two years. The unused availability under the facilities varies during the year, depending on origination volume and the refinancing of receivables with term securitization transactions and/or other financing. At June 30, 2015, approximately $0.8 billion of funding was available for use under these facilities.

Unsecured Funding

        As of June 30, 2015, we had outstanding unsecured senior notes of $750 million at an annual fixed rate of 3.875% due 2015, $500 million at an annual fixed rate of 6.250% due 2016, $500 million at an annual fixed rate of 3.250% due 2017, $600 million at an annual fixed rate of 3.625% due 2018, $600 million at an annual fixed rate of 3.875% due 2018, and $500 million at an annual fixed rate of 3.375% due 2019.

        As of June 30, 2015, we had a $250 million, unsecured facility with a final maturity in July 2016, consisting of a $150 million term loan and a $100 million revolving credit facility, which was fully drawn. On July 6, 2015, we repaid the $100 million revolving credit facility. On July 8, 2015, we terminated the revolving commitment and repaid the $150 million term loan.

        As of June 30, 2015, we had available a $250 million, unsecured credit facility with a consortium of banks, with a final maturity in June 2017.

        As of June 30, 2015, we had a $100 million unsecured term loan with a final maturity date in March 2018.

Affiliate Sources

        CNH Industrial Capital borrows, as needed, from CNH Industrial. This source of funding is primarily used to finance various on-book assets and provides additional flexibility when evaluating market conditions and potential third-party financing options. We have obtained financing from CNHI treasury subsidiaries and, from time to time, have entered into term loan agreements. At June 30, 2015, we had no affiliated debt compared to affiliated debt of $862 million at December 31, 2014.

Equity Position

        Our equity position also supports our capabilities to access various funding sources. Our stockholder's equity at June 30, 2015 and December 31, 2014 was $1.6 billion.

        During the first quarter of 2015, CNH Industrial Capital LLC paid a cash dividend of $15 million to CNH Industrial America and CNH Industrial Capital Canada paid a cash dividend on preferred stock of C$0.7 million ($0.6 million) to CNH Industrial Canada Ltd. In addition, CNH Industrial Capital Canada redeemed all of its outstanding preferred stock for C$77 million ($60 million).

Liquidity

        The majority of CNH Industrial Capital's debt is self-liquidating from the cash generated by the underlying amortizing receivables. Normally, additional liquidity should not be necessary for the repayment of such debt. New originations of retail receivables are usually warehoused in committed asset-backed facilities until being refinanced in the term ABS market or with other third-party debt. New

47

wholesale receivables are typically financed through a master trust and funded by variable funding notes or on a term basis. Our liquidity available for use as of June 30, 2015 is as follows (dollars in thousands):

	2015
Cash, cash equivalents and restricted cash	$	1,027,709
Committed asset-backed facilities		2,877,842
Committed unsecured facilities		350,000
Total cash and facilities		4,255,551
Less: restricted cash		(614,936	)
Less: facilities utilization		(2,198,718	)
Total available for use	$	1,441,897

        The liquidity available for use varies due to changes in origination volumes, reflecting the financing needs of our customers, and is influenced by the timing of any refinancing of underlying receivables.

        In connection with a limited number of funding transactions, we provide financial guarantees to various parties on behalf of certain foreign financial services subsidiaries of CNHI for approximately $261.1 million as of June 30, 2015. The guarantees are in effect for the term of the underlying funding facilities plus 365 days. The underlying facilities are renewable annually.

Cautionary Note Regarding Forward-Looking Statements

        All statements other than statements of historical fact contained in this quarterly report, including statements regarding our competitive strengths; business strategy; future financial position or operating results; budgets; projections with respect to revenue, income, capital expenditures, capital structure or other financial items; costs; and plans and objectives of management regarding operations, products and services, are forward-looking statements. These statements may include terminology such as "may," "will," "expect," "could," "should," "intend," "estimate," "anticipate," "believe," "outlook," "continue," "remain," "on track," "design," "target," "objective," "goal," "forecast," "projection," "prospects," "plan," or similar terminology. Forward-looking statements are not guarantees of future performance. Rather, they are based on current views and assumptions and involve known and unknown risks, uncertainties and other factors, many of which are outside our control and are difficult to predict. If any of these risks and uncertainties materialize or other assumptions underlying any of the forward-looking statements prove to be incorrect, the actual results or developments may differ materially from any future results or developments expressed or implied by the forward-looking statements.

        Our outlook is predominantly based on our interpretation of what we consider to be key economic assumptions and involves risk and uncertainties that could cause actual results to differ (possibly materially) from such forward-looking statements. Macroeconomic factors including monetary policy, interest rates, currency exchange rates, inflation, deflation, credit availability and government intervention in an attempt to influence such factors may have a material impact on our customers and the demand for our financing products and services. The demand for CNH Industrial North America's products and, in turn, our financing products and services is influenced by a number of factors, including among other things: general economic conditions; changes in governmental banking, monetary and fiscal policies; legislation, particularly relating to capital goods-related issues such as agriculture, the environment, debt relief and subsidy program policies, trade and commerce and infrastructure development; government policies on international trade and investment, including sanctions, import quotas, capital controls and tariffs; actions of competitors; development and use of new technologies and technological difficulties; compliance requirements imposed if additional engine emissions legislation and/or regulations are adopted; production difficulties, including capacity and supply constraints and excess inventory levels; labor relations; interest rates and currency exchange rates; inflation and deflation; energy prices; housing starts and other construction activity; our ability to obtain financing or to refinance existing debt; restrictive

48

covenants in our debt agreements; actions by rating agencies concerning the ratings on our debt and asset-backed securities and the credit rating of CNHI; a decline in the price of used equipment; the effect of changes in laws and regulations, the results of legal proceeding, employee relations, political and civil unrest; volatility and deterioration of capital and financial markets, including further worsening of the Eurozone sovereign debt crisis, other similar risks and uncertainties and our success, and CNH Industrial's success, in managing the risks involved in the foregoing.

        Forward-looking statements speak only as of the date on which such statements are made.

        Furthermore, in light of ongoing economic uncertainty, both globally and in the industries in which we operate, it is particularly difficult to forecast our results and any estimates or forecasts of particular periods that we provide are uncertain. Accordingly, investors should not place undue reliance on such forward-looking statements. We can give no assurance that the expectations reflected in our forward-looking statements will prove to be correct. Our actual results could differ materially from those anticipated in these forward-looking statements. Our outlook is based upon assumptions, which are sometimes based upon estimates and data received from third parties. Such estimates and data are often revised. All written and oral forward-looking statements attributable to us are expressly qualified in their entirety by the factors we disclose that could cause our actual results to differ materially from our expectations. We undertake no obligation to update or revise publicly any forward-looking statements.

Critical Accounting Policies and Estimates

        See our critical accounting policies and estimates discussed in our annual report for the year ended December 31, 2014 under the caption "Management's Discussion and Analysis of Financial Condition and Results of Operations" and Note 2 to our audited consolidated financial statements included in such annual report. There were no material changes to these policies or estimates during the three months ended June 30, 2015.

New Accounting Pronouncements

        In April 2015, the Financial Accounting Standards Board issued Accounting Standards Update ("ASU") No. 2015-03, Interest—Imputation of Interest ("ASU 2015-03"). ASU 2015-03 is intended to simplify the presentation of debt issuance costs. The new standard requires the debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying value of that debt liability, consistent with debt discounts. ASU 2015-03 is effective for annual and interim periods beginning after December 15, 2015. We do not believe the adoption of this standard will have a material impact on our financial position or results of operations.

Item 4.    Controls and Procedures

Disclosure Controls and Procedures

        Under the supervision, and with the participation, of our management, including our President and Chief Financial Officer, we conducted an evaluation of the effectiveness of our disclosure controls and procedures (as defined in Rule 15d-15(e) under the Securities Exchange Act of 1934, as amended (the "Exchange Act")) as of June 30, 2015. Based on that evaluation, our President and Chief Financial Officer concluded that the disclosure controls and procedures are effective to provide reasonable assurance that information required to be disclosed in our Exchange Act filings is recorded, processed, summarized and reported within the time periods specified in the SEC's rules and forms and that such information is accumulated and communicated to our management, including our President and Chief Financial Officer, as appropriate, to allow timely decisions regarding required disclosure.

Changes in Internal Control over Financial Reporting

        There has been no change in our internal control over financial reporting during the three months ended June 30, 2015 that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

49

PART II. OTHER INFORMATION

Item 1.    Legal Proceedings

        CNH Industrial Capital is party to various litigation matters and claims arising from its operations. Management believes that the outcome of these proceedings, individually and in the aggregate, will not have a material adverse effect on CNH Industrial Capital's financial position or results of operations.

Item 1A.    Risk Factors

        See our most recent annual report on Form 10-K (Part I, Item 1A). There was no material change in our risk factors during the six months ended June 30, 2015.

Item 4.    Mine Safety Disclosures

        Not applicable.

Item 5.    Other Information

        None.

Item 6.    Exhibits

Exhibit			Description
	4.1		Indenture, dated as of June 26, 2015, among CNH Industrial Capital LLC, the guarantors named on the signature pages thereto and Wells Fargo Bank, National Association, as trustee (incorporated by reference to Exhibit 4.1 to the current report on Form 8-K of the registrant filed June 26, 2015 (File No. 333-182411)).
	4.2		Registration Rights Agreement, dated as of June 26, 2015, among CNH Industrial Capital LLC, the guarantors named on the signature pages thereto and J.P. Morgan Securities LLC, Merrill Lynch, Pierce, Fenner & Smith Incorporated, Morgan Stanley & Co. LLC and Société Générale (incorporated by reference to Exhibit 4.2 to the current report on Form 8-K of the registrant filed June 26, 2015 (File No. 333-182411)).
	12.1		Statement regarding computation of ratio of earnings to fixed charges.
	31.1		Certifications of President Pursuant to Exchange Act Rule 15d-14(a), as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
	31.2		Certifications of Chief Financial Officer Pursuant to Exchange Act Rule 15d-14(a), as Adopted Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
	32.1	†	Certification required by Exchange Act Rule 15(d)-14(b) and Section 1350 of Chapter 63 of Title 18 of the United States Code (18 U.S.C. 1350).
	101		Interactive data files pursuant to Rule 405 of Regulation S-T: (i) Consolidated Statements of Income for the three and six months ended June 30, 2015 and 2014, (ii) Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2015 and 2014, (iii) Consolidated Balance Sheets as of June 30, 2015 and December 31, 2014, (iv) Consolidated Statements of Cash Flows for the six months ended June 30, 2015 and 2014, (v) Consolidated Statements of Changes in Stockholder's Equity for the six months ended June 30, 2015 and 2014 and (vi) Condensed Notes to Consolidated Financial Statements.

†

These certifications are deemed not filed for purposes of section 18 of the Exchange Act, or otherwise subject to the liability of that section; nor shall they be deemed incorporated by reference into any filing under the Securities Act of 1933 or the Exchange Act.

50

SIGNATURES

        Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	CNH INDUSTRIAL CAPITAL LLC
Date: August 3, 2015	By:	/s/ BRETT D. DAVIS
		Name:	Brett D. Davis
		Title:	Chairman and President

51

EX-12.1

QuickLinks -- Click here to rapidly navigate through this document

EXHIBIT 12.1

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

        For the three and six months ended June 30, 2015 and 2014, the computation of ratio of earnings to fixed charges is as follows (dollars in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2015		2014		2015		2014
Earnings:
Income before taxes	$	88,591	$	101,260	$	170,577	$	203,134
Fixed charges		71,533		70,687		146,245		133,832
Total earnings	$	160,124	$	171,947	$	316,822	$	336,966
Fixed charges:
Interest expense inclusive of amortized premiums, discounts and capitalized expenses related to indebtedness	$	71,512	$	70,669	$	146,206	$	133,797
Estimate of the interest component of rental expense		21		18		39		35
Total fixed charges	$	71,533	$	70,687	$	146,245	$	133,832
Ratio of earnings to fixed charges		2.24		2.43		2.17		2.52

QuickLinks

EXHIBIT 12.1

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

EX-31.1

QuickLinks -- Click here to rapidly navigate through this document

EXHIBIT 31.1

CERTIFICATIONS

I, Brett D. Davis, certify that:

1.

I have reviewed this quarterly report on Form 10-Q of CNH Industrial Capital LLC;



2.

Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;



3.

Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;



4.

The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:



(a)

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;



(b)

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;



(c)

Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and



(d)

Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and



5.

The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):



(a)

All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and



(b)

Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: August 3, 2015	By:	/s/ BRETT D. DAVIS
	Name:	Brett D. Davis
	Title:	President

QuickLinks

EXHIBIT 31.1

CERTIFICATIONS

EX-31.2

QuickLinks -- Click here to rapidly navigate through this document

EXHIBIT 31.2

CERTIFICATIONS

I, Douglas MacLeod, certify that:

1.

I have reviewed this quarterly report on Form 10-Q of CNH Industrial Capital LLC;



2.

Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;



3.

Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;



4.

The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:



(a)

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;



(b)

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;



(c)

Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and



(d)

Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and



5.

The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):



(a)

All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and



(b)

Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: August 3, 2015	By:	/s/ DOUGLAS MACLEOD
	Name:	Douglas MacLeod
	Title:	Chief Financial Officer

QuickLinks

EXHIBIT 31.2

CERTIFICATIONS

EX-32.1

QuickLinks -- Click here to rapidly navigate through this document

EXHIBIT 32.1

CERTIFICATION

        Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (subsections (a) and (b) of Section 1350, Chapter 63 of Title 18, United States Code), each of the undersigned officers of CNH Industrial Capital LLC (the "Company") does hereby certify, to such officer's knowledge, that:

        The Quarterly Report on Form 10-Q for the quarter ended June 30, 2015 of the Company (the "Report") fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934 and information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

August 3, 2015	/s/ BRETT D. DAVIS Brett D. Davis President
August 3, 2015	/s/ DOUGLAS MACLEOD Douglas MacLeod Chief Financial Officer

        A signed original of this written statement has been provided to CNH Industrial Capital LLC and will be retained by CNH Industrial Capital LLC and furnished to the Securities and Exchange Commission or its staff upon request.

        The foregoing certification is being furnished solely pursuant to 18 U.S.C §1350 and is not being filed as part of the Report or as a separate disclosure document.

QuickLinks

EXHIBIT 32.1

CERTIFICATION

XML

FINANCIAL INSTRUMENTS (Details 4) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Financial Instruments Not Carried at Fair Value
Receivables	$ 12,276,196	$ 12,789,027
Long-term debt	8,525,750	8,193,039
Carrying Amount
Financial Instruments Not Carried at Fair Value
Receivables	12,276,196	12,789,027
Long-term debt	8,525,750	8,193,039
Estimated Fair Value
Financial Instruments Not Carried at Fair Value
Receivables	12,251,364	12,854,705
Long-term debt	$ 8,553,625	$ 8,195,209

XML

SUBSEQUENT EVENTS (Details) - USD ($) $ in Thousands	Jul. 08, 2015	Jul. 06, 2015	Jun. 30, 2015
Unsecured Facilities
Subsequent Events
Maximum borrowing capacity			$ 250,000
Revolving credit facilities
Subsequent Events
Maximum borrowing capacity			100,000
Term loan
Subsequent Events
Maximum borrowing capacity			$ 150,000
Subsequent event | Revolving credit facilities
Subsequent Events
Repayment of facility		$ 100,000
Subsequent event | Term loan
Subsequent Events
Repayment of facility	$ 150,000

XML

RECEIVABLES (Details 6) - Retail $ in Thousands	6 Months Ended
	Jun. 30, 2015 USD ($) item	Jun. 30, 2014 USD ($) item
Troubled Debt Restructurings
Number of contracts classified as TDRs | item	622	715
Pre-modification value	$ 18,149	$ 15,715
Post-modification value	$ 16,773	$ 13,765
Number of cases in which the court has determined the concession | item	344	475
Pre-modification value for cases in which the court has determined the concession	$ 5,857	$ 8,648
Post-modification value for cases in which the court has determined the concession	$ 4,826	$ 7,072

XML

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION (Tables)

6 Months Ended

Jun. 30, 2015

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION

Schedule of condensed statements of comprehensive income

	Condensed Statements of Comprehensive Income for the Three Months Ended June 30, 2015
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries		Eliminations			Consolidated
REVENUES
Interest income on retail notes and finance leases	$	—		$	2,353		$	50,675	$	—		$	53,028
Interest income on wholesale notes		—			(176	)		20,629		—			20,453
Interest and other income from affiliates		21,576			53,964			85,212		(59,258	)		101,494
Rental income on operating leases		—			40,843			11,335		—			52,178
Other income		—			29,254			811		(22,677	)		7,388
Total revenues		21,576			126,238			168,662		(81,935	)		234,541
EXPENSES
Interest expense:
Interest expense to third parties		32,353			2,884			29,819		—			65,056
Interest expense to affiliates		—			56,042			9,672		(59,258	)		6,456
Total interest expense		32,353			58,926			39,491		(59,258	)		71,512
Administrative and operating expenses:
Fees charged by affiliates		—			11,443			23,240		(22,677	)		12,006
Provision for credit losses, net		—			1,083			6,093		—			7,176
Depreciation of equipment on operating leases		—			36,493			9,606		—			46,099
Other expenses		—			4,751			4,406		—			9,157
Total administrative and operating expenses		—			53,770			43,345		(22,677	)		74,438
Total expenses		32,353			112,696			82,836		(81,935	)		145,950
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method		(10,777	)		13,542			85,826		—			88,591
Income tax provision (benefit)		(4,154	)		5,508			29,319		—			30,673
Equity in income of consolidated subsidiaries accounted for under the equity method		64,541			56,507			—		(121,048	)		—
NET INCOME		57,918			64,541			56,507		(121,048	)		57,918
Net income attributed to noncontrolling interest		—			—			—		—			—
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	57,918		$	64,541		$	56,507	$	(121,048	)	$	57,918
COMPREHENSIVE INCOME (LOSS)	$	76,967		$	83,590		$	72,697	$	(156,287	)	$	76,967
Comprehensive income attributed to noncontrolling interest		—			—			—		—			—
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	76,967		$	83,590		$	72,697	$	(156,287	)	$	76,967

	Condensed Statements of Comprehensive Income for the Six Months Ended June 30, 2015
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries			Eliminations			Consolidated
REVENUES
Interest income on retail notes and finance leases	$	—		$	2,746		$	99,405		$	—		$	102,151
Interest income on wholesale notes		—			(472	)		39,857			—			39,385
Interest and other income from affiliates		45,232			110,646			171,739			(121,969	)		205,648
Rental income on operating leases		—			76,402			24,584			—			100,986
Other income		—			54,888			1,648			(44,579	)		11,957
Total revenues		45,232			244,210			337,233			(166,548	)		460,127
EXPENSES
Interest expense:
Interest expense to third parties		67,477			(567	)		61,983			—			128,893
Interest expense to affiliates		—			119,935			19,347			(121,969	)		17,313
Total interest expense		67,477			119,368			81,330			(121,969	)		146,206
Administrative and operating expenses:
Fees charged by affiliates		—			23,713			45,745			(44,579	)		24,879
Provision (benefit) for credit losses, net		—			(578	)		11,715			—			11,137
Depreciation of equipment on operating leases		—			69,960			20,712			—			90,672
Other expenses		—			10,446			6,210			—			16,656
Total administrative and operating expenses		—			103,541			84,382			(44,579	)		143,344
Total expenses		67,477			222,909			165,712			(166,548	)		289,550
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method		(22,245	)		21,301			171,521			—			170,577
Income tax provision (benefit)		(8,569	)		7,141			60,376			—			58,948
Equity in income of consolidated subsidiaries accounted for under the equity method		125,046			110,886			—			(235,932	)		—
NET INCOME		111,370			125,046			111,145			(235,932	)		111,629
Net income attributed to noncontrolling interest		—			—			(259	)		—			(259	)
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	111,370		$	125,046		$	110,886		$	(235,932	)	$	111,370
COMPREHENSIVE INCOME (LOSS)	$	66,380		$	80,056		$	72,046		$	(151,843	)	$	66,639
Comprehensive income attributed to noncontrolling interest		—			—			(259	)		—			(259	)
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	66,380		$	80,056		$	71,787		$	(151,843	)	$	66,380

	Condensed Statements of Comprehensive Income for the Three Months Ended June 30, 2014
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries			Eliminations			Consolidated
REVENUES
Interest income on retail notes and finance leases	$	—		$	3,389		$	47,702		$	—		$	51,091
Interest income on wholesale notes		—			(321	)		17,647			—			17,326
Interest and other income from affiliates		21,301			55,401			98,875			(63,828	)		111,749
Rental income on operating leases		—			25,350			14,371			—			39,721
Other income		—			36,223			1,911			(24,257	)		13,877
Total revenues		21,301			120,042			180,506			(88,085	)		233,764
EXPENSES
Interest expense:
Interest expense to third parties		29,076			(508	)		34,206			—			62,774
Interest expense to affiliates		—			60,023			11,700			(63,828	)		7,895
Total interest expense		29,076			59,515			45,906			(63,828	)		70,669
Administrative and operating expenses:
Fees charged by affiliates		—			10,619			26,602			(24,257	)		12,964
Provision for credit losses, net		—			2,880			3,048			—			5,928
Depreciation of equipment on operating leases		—			21,389			12,014			—			33,403
Other expenses		—			7,716			1,824			—			9,540
Total administrative and operating expenses		—			42,604			43,488			(24,257	)		61,835
Total expenses		29,076			102,119			89,394			(88,085	)		132,504
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method		(7,775	)		17,923			91,112			—			101,260
Income tax provision (benefit)		(2,981	)		7,105			28,474			—			32,598
Equity in income of consolidated subsidiaries accounted for under the equity method		73,122			62,304			—			(135,426	)		—
NET INCOME		68,328			73,122			62,638			(135,426	)		68,662
Net income attributed to noncontrolling interest		—			—			(334	)		—			(334	)
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	68,328		$	73,122		$	62,304		$	(135,426	)	$	68,328
COMPREHENSIVE INCOME	$	92,609		$	97,403		$	83,482		$	(180,551	)	$	92,943
Comprehensive income attributed to noncontrolling interest		—			—			(334	)		—			(334	)
COMPREHENSIVE INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	92,609		$	97,403		$	83,148		$	(180,551	)	$	92,609

	Condensed Statements of Comprehensive Income for the Six Months Ended June 30, 2014
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries			Eliminations			Consolidated
REVENUES
Interest income on retail notes and finance leases	$	—		$	5,105		$	94,511		$	—		$	99,616
Interest income on wholesale notes		—			(592	)		33,419			—			32,827
Interest and other income from affiliates		43,344			108,555			193,215			(126,015	)		219,099
Rental income on operating leases		—			47,578			28,625			—			76,203
Other income		—			70,030			3,965			(46,988	)		27,007
Total revenues		43,344			230,676			353,735			(173,003	)		454,752
EXPENSES
Interest expense:
Interest expense to third parties		58,952			(4,280	)		69,702			—			124,374
Interest expense to affiliates		—			113,490			21,948			(126,015	)		9,423
Total interest expense		58,952			109,210			91,650			(126,015	)		133,797
Administrative and operating expenses:
Fees charged by affiliates		—			21,386			51,933			(46,988	)		26,331
Provision (benefit) for credit losses, net		—			(1,290	)		8,678			—			7,388
Depreciation of equipment on operating leases		—			39,492			24,059			—			63,551
Other expenses		—			19,732			819			—			20,551
Total administrative and operating expenses		—			79,320			85,489			(46,988	)		117,821
Total expenses		58,952			188,530			177,139			(173,003	)		251,618
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method		(15,608	)		42,146			176,596			—			203,134
Income tax provision (benefit)		(5,975	)		15,747			57,633			—			67,405
Equity in income of consolidated subsidiaries accounted for under the equity method		144,700			118,301			—			(263,001	)		—
NET INCOME		135,067			144,700			118,963			(263,001	)		135,729
Net income attributed to noncontrolling interest		—			—			(662	)		—			(662	)
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	135,067		$	144,700		$	118,301		$	(263,001	)	$	135,067
COMPREHENSIVE INCOME	$	134,805		$	144,438		$	119,038		$	(262,814	)	$	135,467
Comprehensive income attributed to noncontrolling interest		—			—			(662	)		—			(662	)
COMPREHENSIVE INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	134,805		$	144,438		$	118,376		$	(262,814	)	$	134,805

Schedule of condensed balance sheets

	Condensed Balance Sheets as of June 30, 2015
	CNH Industrial Capital LLC		Guarantor Entities			All Other Subsidiaries		Eliminations			Consolidated
ASSETS
Cash and cash equivalents	$	—	$	125,565		$	287,208	$	—		$	412,773
Restricted cash		—		100			614,836		—			614,936
Receivables, less allowance for credit losses		—		1,526,522			10,749,674		—			12,276,196
Affiliated accounts and notes receivable		3,644,202		1,978,938			1,487,979		(7,061,417	)		49,702
Equipment on operating leases, net		—		1,397,891			260,233		—			1,658,124
Equipment held for sale		—		156,714			17,162		—			173,876
Investments in consolidated subsidiaries accounted for under the equity method		1,979,435		2,275,714			—		(4,255,149	)		—
Goodwill and intangible assets, net		—		89,373			29,396		—			118,769
Other assets		23,442		(13,605	)		69,315		(5,192	)		73,960
TOTAL	$	5,647,079	$	7,537,212		$	13,515,803	$	(11,321,758	)	$	15,378,336
LIABILITIES AND STOCKHOLDER'S EQUITY
Liabilities:
Short-term debt, including current maturities of long-term debt	$	750,000	$	—		$	3,829,772	$	—		$	4,579,772
Accounts payable and other accrued liabilities		283,146		2,210,497			970,334		(2,758,142	)		705,835
Affiliated debt		—		3,347,280			961,187		(4,308,467	)		—
Long-term debt		3,046,954		—			5,478,796		—			8,525,750
Total liabilities		4,080,100		5,557,777			11,240,089		(7,066,609	)		13,811,357
Stockholder's equity		1,566,979		1,979,435			2,275,714		(4,255,149	)		1,566,979
TOTAL	$	5,647,079	$	7,537,212		$	13,515,803	$	(11,321,758	)	$	15,378,336

	Condensed Balance Sheets as of December 31, 2014
	CNH Industrial Capital LLC		Guarantor Entities		All Other Subsidiaries		Eliminations			Consolidated
ASSETS
Cash and cash equivalents	$	—	$	225,343	$	122,644	$	—		$	347,987
Restricted cash		—		100		858,725		—			858,825
Receivables, less allowance for credit losses		—		1,845,524		10,943,503		—			12,789,027
Affiliated accounts and notes receivable		2,749,776		1,712,656		1,365,447		(5,769,148	)		58,731
Equipment on operating leases, net		—		1,128,542		329,783		—			1,458,325
Equipment held for sale		—		121,190		8,510		—			129,700
Investments in consolidated subsidiaries accounted for under the equity method		1,923,861		2,228,741		—		(4,152,602	)		—
Goodwill and intangible assets, net		—		89,927		31,279		—			121,206
Other assets		20,778		77,597		51,637		(4,248	)		145,764
TOTAL	$	4,694,415	$	7,429,620	$	13,711,528	$	(9,925,998	)	$	15,909,565
LIABILITIES AND STOCKHOLDER'S EQUITY
Liabilities:
Short-term debt, including current maturities of long-term debt	$	750,000	$	19,128	$	3,863,080	$	—		$	4,632,208
Accounts payable and other accrued liabilities		56,261		2,162,159		860,231		(2,432,710	)		645,941
Affiliated debt		—		3,320,828		882,303		(3,340,686	)		862,445
Long-term debt		2,348,074		3,644		5,841,321		—			8,193,039
Total liabilities		3,154,335		5,505,759		11,446,935		(5,773,396	)		14,333,633
Stockholder's equity		1,540,080		1,923,861		2,264,593		(4,152,602	)		1,575,932
TOTAL	$	4,694,415	$	7,429,620	$	13,711,528	$	(9,925,998	)	$	15,909,565

Schedule of condensed statements of cash flows

	Condensed Statements of Cash Flows for the Six Months Ended June 30, 2015
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries			Eliminations			Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	$	(683,880	)	$	(34,139	)	$	116,113		$	966,836		$	364,930
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired		—			(5,550,956	)		(5,324,652	)		4,143,391			(6,732,217	)
Collections of receivables		—			5,869,591			5,370,817			(4,142,446	)		7,097,962
Change in restricted cash		—			—			236,291			—			236,291
Purchase of equipment on operating leases, net		—			(387,904	)		31,194			—			(356,710	)
Capital expenditures for property and equipment and software		—			(49	)		—			—			(49	)
Net cash from (used in) investing activities		—			(69,318	)		313,650			945			245,277
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity		—			26,451			78,885			(967,781	)		(862,445	)
Net change in indebtedness		698,880			(22,772	)		(283,117	)		—			392,991
Dividends paid to CNH Industrial America LLC		(15,000	)		—			—			—			(15,000	)
Preferred dividend paid to CNH Industrial Canada Ltd.		—			—			(551	)		—			(551	)
Redemption of preferred stock of subsidiary		—			—			(60,416	)		—			(60,416	)
Net cash from (used in) financing activities		683,880			3,679			(265,199	)		(967,781	)		(545,421	)
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS		—			(99,778	)		164,564			—			64,786
CASH AND CASH EQUIVALENTS:
Beginning of period		—			225,343			122,644			—			347,987
End of period	$	—		$	125,565		$	287,208		$	—		$	412,773

	Condensed Statements of Cash Flows for the Six Months Ended June 30, 2014
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries			Eliminations			Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	$	(408,899	)	$	(617,000	)	$	986,700		$	416,763		$	377,564
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired		—			(7,833,353	)		(8,054,568	)		6,422,415			(9,465,506	)
Collections of receivables		—			8,031,668			6,621,055			(6,421,219	)		8,231,504
Change in restricted cash		—			—			175,894			—			175,894
Purchase of equipment on operating leases, net		—			(230,967	)		(19,674	)		—			(250,641	)
Capital expenditures for property and equipment and software		—			(14	)		(6	)		—			(20	)
Net cash from (used in) investing activities		—			(32,666	)		(1,277,299	)		1,196			(1,308,769	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity		—			530,205			70,697			(417,959	)		182,943
Net change in indebtedness		498,899			(46,403	)		(153,149	)		—			299,347
Dividends paid to CNH Industrial America LLC		(90,000	)		—			—			—			(90,000	)
Net cash from (used in) financing activities		408,899			483,802			(82,452	)		(417,959	)		392,290
DECREASE IN CASH AND CASH EQUIVALENTS		—			(165,864	)		(373,051	)		—			(538,915	)
CASH AND CASH EQUIVALENTS:
Beginning of period		—			308,507			389,101			—			697,608
End of period	$	—		$	142,643		$	16,050		$	—		$	158,693

XML

COMMITMENTS AND CONTINGENCIES (Details) - Jun. 30, 2015 - USD ($) $ in Thousands	Total
COMMITMENTS AND CONTINGENCIES
Payment guarantees on the financial debt of various foreign financial services subsidiaries	$ 261,085
Term of the guarantee in addition to term of the facility	P365D
Total credit limit	$ 6,426,349
Utilized	$ 3,865,974

XML

FINANCIAL INSTRUMENTS (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Fair market value of derivatives
Derivative assets designated as hedging instruments, classified in other assets	$ 1,497		$ 1,497		$ 680
Derivative liabilities designated as hedging instruments, classified in accounts payable and other accrued liabilities	1,352		1,352		212
Interest rate derivatives, derivative assets not designated as hedging instruments, classified in other assets	3,206		3,206		6,727
Foreign exchange contracts, derivatives not designated as hedging instruments, classified in other assets					136
Derivative assets not designated as hedging instruments, classified in other assets	3,206		3,206		6,863
Interest rate derivatives, derivative not designated as hedging instruments, classified in accounts payable and other accrued liabilities	3,206		3,206		6,727
Foreign exchange contracts, derivatives not designated as hedging instruments, classified in accounts payable and other accrued liabilities	5		5
Derivative liabilities not designated as hedging instruments, classified in accounts payable and other accrued liabilities	3,211		3,211		6,727
Cash Flow Hedges, Recognized in accumulated other comprehensive income (effective portion), Interest rate derivatives	276	$ (222)	(2,518)	$ (529)
Cash Flow Hedges, Reclassified from accumulated other comprehensive income (effective portion), Interest rate derivatives - Interest expense to third parties	(469)	(1,503)	(1,924)	(2,854)
Foreign exchange contracts, other expenses, not designated as hedges	5	$ 24	(234)	(126)
Interest Rate Derivatives
Fair market value of derivatives
Total notional amount of interest rate derivatives	$ 2,279,323		2,279,323		$ 3,457,267
Seven-month average notional amounts of interest rate derivatives			$ 3,117,683	$ 2,954,996

XML

NEW ACCOUNTING PRONOUNCEMENTS

6 Months Ended

Jun. 30, 2015

NEW ACCOUNTING PRONOUNCEMENTS

NEW ACCOUNTING PRONOUNCEMENTS

NOTE 2: NEW ACCOUNTING PRONOUNCEMENTS

        In May 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2014-09, Revenue from Contracts with Customers ("ASU 2014-09"). ASU 2014-09 supersedes the revenue recognition requirements in Accounting Standards Codification 605—Revenue Recognition and most industry-specific guidance throughout the Codification. The standard requires that an entity recognizes revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. ASU 2014-09 is effective for fiscal years beginning after December 15, 2016, and for interim periods within those fiscal years. On July 9, 2015, the FASB approved a one-year deferral and the option to adopt early. The guidance can be applied retrospectively to each prior reporting period present (full retrospective method) or retrospectively with a cumulative effect adjustment to retained earnings for initial application of the guidance at the date of initial adoption (modified retrospective method). The Company is in the process of assessing the impact of the adoption of ASU 2014-09 on its financial position, results of operations and cash flows.

        In August 2014, the FASB issued ASU No. 2014-15, Uncertainties About an Entity's Ability to Continue as a Going Concern ("ASU 2014-15"). ASU 2014-15 provides guidance on determining when and how to disclose going-concern uncertainties in the financial statements. The new standard requires management to perform interim and annual assessments of an entity's ability to continue as a going concern within one year of the date of issuance of the entity's financial statements. An entity must also provide certain disclosures if there is "substantial doubt" about the entity's ability to continue as a going concern. ASU 2014-15 is effective for annual periods ending after December 15, 2016, and interim periods thereafter. Early adoption is permitted. The Company does not believe the adoption of this standard will have a material impact on its financial position or results of operations.

        In February 2015, the FASB issued ASU No. 2015-02, Consolidation ("ASU 2015-02"). ASU 2015-02 is intended to improve targeted areas of consolidation guidance for legal entities such as limited partnerships, limited liability companies and securitized structures. The new standard eliminates the previous deferral in Accounting Standards Codification 810, which allowed reporting entities with interests in certain investment funds to follow previously issued consolidations guidance, and makes changes to both the variable interest model and the voting model. ASU 2015-02 is effective for annual periods ending after December 15, 2015. The Company is currently assessing the impact of the adoption of ASU 2015-02 on its financial position, results of operations and cash flows.

        In April 2015, the FASB issued ASU No. 2015-03, Interest—Imputation of Interest ("ASU 2015-03"). ASU 2015-03 is intended to simplify the presentation of debt issuance costs. The new standard requires the debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying value of that debt liability, consistent with debt discounts. ASU 2015-03 is effective for annual and interim periods beginning after December 15, 2015. The Company does not believe the adoption of this standard will have a material impact on its financial position or results of operations.

XML

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
REVENUES
Interest income on retail notes and finance leases	$ 53,028	$ 51,091	$ 102,151	$ 99,616
Interest income on wholesale notes	20,453	17,326	39,385	32,827
Interest and other income from affiliates	101,494	111,749	205,648	219,099
Rental income on operating leases	52,178	39,721	100,986	76,203
Other income	7,388	13,877	11,957	27,007
Total revenues	234,541	233,764	460,127	454,752
Interest expense:
Interest expense to third parties	65,056	62,774	128,893	124,374
Interest expense to affiliates	6,456	7,895	17,313	9,423
Total interest expense	71,512	70,669	146,206	133,797
Administrative and operating expenses:
Fees charged by affiliates	12,006	12,964	24,879	26,331
Provision for credit losses, net	7,176	5,928	11,137	7,388	$ 14,124
Depreciation of equipment on operating leases	46,099	33,403	90,672	63,551
Other expenses	9,157	9,540	16,656	20,551
Total administrative and operating expenses	74,438	61,835	143,344	117,821
Total expenses	145,950	132,504	289,550	251,618
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method	88,591	101,260	170,577	203,134
Income tax provision (benefit)	30,673	32,598	58,948	67,405
NET INCOME	57,918	68,662	111,629	135,729
Net income attributed to noncontrolling interest		(334)	(259)	(662)
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	57,918	68,328	111,370	135,067
COMPREHENSIVE INCOME (LOSS)	76,967	92,943	66,639	135,467
Comprehensive income attributed to noncontrolling interest		(334)	(259)	(662)
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	76,967	92,609	66,380	134,805
Eliminations
REVENUES
Interest and other income from affiliates	(59,258)	(63,828)	(121,969)	(126,015)
Other income	(22,677)	(24,257)	(44,579)	(46,988)
Total revenues	(81,935)	(88,085)	(166,548)	(173,003)
Interest expense:
Interest expense to affiliates	(59,258)	(63,828)	(121,969)	(126,015)
Total interest expense	(59,258)	(63,828)	(121,969)	(126,015)
Administrative and operating expenses:
Fees charged by affiliates	(22,677)	(24,257)	(44,579)	(46,988)
Total administrative and operating expenses	(22,677)	(24,257)	(44,579)	(46,988)
Total expenses	(81,935)	(88,085)	(166,548)	(173,003)
Equity in income of consolidated subsidiaries accounted for under the equity method	(121,048)	(135,426)	(235,932)	(263,001)
NET INCOME	(121,048)	(135,426)	(235,932)	(263,001)
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	(121,048)	(135,426)	(235,932)	(263,001)
COMPREHENSIVE INCOME (LOSS)	(156,287)	(180,551)	(151,843)	(262,814)
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	(156,287)	(180,551)	(151,843)	(262,814)
CNH Industrial Capital LLC
REVENUES
Interest and other income from affiliates	21,576	21,301	45,232	43,344
Total revenues	21,576	21,301	45,232	43,344
Interest expense:
Interest expense to third parties	32,353	29,076	67,477	58,952
Total interest expense	32,353	29,076	67,477	58,952
Administrative and operating expenses:
Total expenses	32,353	29,076	67,477	58,952
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method	(10,777)	(7,775)	(22,245)	(15,608)
Income tax provision (benefit)	(4,154)	(2,981)	(8,569)	(5,975)
Equity in income of consolidated subsidiaries accounted for under the equity method	64,541	73,122	125,046	144,700
NET INCOME	57,918	68,328	111,370	135,067
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	57,918	68,328	111,370	135,067
COMPREHENSIVE INCOME (LOSS)	76,967	92,609	66,380	134,805
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	76,967	92,609	66,380	134,805
Guarantor Entities
REVENUES
Interest income on retail notes and finance leases	2,353	3,389	2,746	5,105
Interest income on wholesale notes	(176)	(321)	(472)	(592)
Interest and other income from affiliates	53,964	55,401	110,646	108,555
Rental income on operating leases	40,843	25,350	76,402	47,578
Other income	29,254	36,223	54,888	70,030
Total revenues	126,238	120,042	244,210	230,676
Interest expense:
Interest expense to third parties	2,884	(508)	(567)	(4,280)
Interest expense to affiliates	56,042	60,023	119,935	113,490
Total interest expense	58,926	59,515	119,368	109,210
Administrative and operating expenses:
Fees charged by affiliates	11,443	10,619	23,713	21,386
Provision for credit losses, net	1,083	2,880	(578)	(1,290)
Depreciation of equipment on operating leases	36,493	21,389	69,960	39,492
Other expenses	4,751	7,716	10,446	19,732
Total administrative and operating expenses	53,770	42,604	103,541	79,320
Total expenses	112,696	102,119	222,909	188,530
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method	13,542	17,923	21,301	42,146
Income tax provision (benefit)	5,508	7,105	7,141	15,747
Equity in income of consolidated subsidiaries accounted for under the equity method	56,507	62,304	110,886	118,301
NET INCOME	64,541	73,122	125,046	144,700
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	64,541	73,122	125,046	144,700
COMPREHENSIVE INCOME (LOSS)	83,590	97,403	80,056	144,438
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$ 83,590	97,403	$ 80,056	144,438
CNH Industrial Capital America LLC
Condensed Statements of Comprehensive Income
Ownership percentage	100.00%		100.00%
New Holland Credit Company LLC
Condensed Statements of Comprehensive Income
Ownership percentage	100.00%		100.00%
All Other Subsidiaries
REVENUES
Interest income on retail notes and finance leases	$ 50,675	47,702	$ 99,405	94,511
Interest income on wholesale notes	20,629	17,647	39,857	33,419
Interest and other income from affiliates	85,212	98,875	171,739	193,215
Rental income on operating leases	11,335	14,371	24,584	28,625
Other income	811	1,911	1,648	3,965
Total revenues	168,662	180,506	337,233	353,735
Interest expense:
Interest expense to third parties	29,819	34,206	61,983	69,702
Interest expense to affiliates	9,672	11,700	19,347	21,948
Total interest expense	39,491	45,906	81,330	91,650
Administrative and operating expenses:
Fees charged by affiliates	23,240	26,602	45,745	51,933
Provision for credit losses, net	6,093	3,048	11,715	8,678
Depreciation of equipment on operating leases	9,606	12,014	20,712	24,059
Other expenses	4,406	1,824	6,210	819
Total administrative and operating expenses	43,345	43,488	84,382	85,489
Total expenses	82,836	89,394	165,712	177,139
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method	85,826	91,112	171,521	176,596
Income tax provision (benefit)	29,319	28,474	60,376	57,633
NET INCOME	56,507	62,638	111,145	118,963
Net income attributed to noncontrolling interest		(334)	(259)	(662)
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	56,507	62,304	110,886	118,301
COMPREHENSIVE INCOME (LOSS)	72,697	83,482	72,046	119,038
Comprehensive income attributed to noncontrolling interest		(334)	(259)	(662)
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$ 72,697	$ 83,148	$ 71,787	$ 118,376

XML

RECEIVABLES (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Allowance for credit losses:
Beginning balance	$ 93,077	$ 100,420	$ 95,542	$ 101,953	$ 101,953
Charge-offs	(4,180)	(5,273)	(9,970)	(9,118)	(17,511)
Recoveries	705	1,295	1,144	2,461	5,455
Provision (benefit)	7,176	5,928	11,137	7,388	14,124
Foreign currency translation and other	175	(155)	(900)	(469)	(8,479)
Ending balance	96,953	102,215	96,953	102,215	95,542
Ending balance: individually evaluated for impairment	20,124	14,843	20,124	14,843	16,065
Ending balance: collectively evaluated for impairment	76,829	87,372	76,829	87,372	79,477
Receivables:
Ending balance	12,373,149	13,504,713	12,373,149	13,504,713	12,884,569
Ending balance: individually evaluated for impairment	164,974	100,364	164,974	100,364	129,088
Ending balance: collectively evaluated for impairment	12,208,175	13,404,349	12,208,175	13,404,349	12,755,481
Retail
Allowance for credit losses:
Beginning balance	86,472	85,794	88,697	87,701	87,701
Charge-offs	(4,045)	(3,239)	(9,714)	(5,609)	(12,426)
Recoveries	698	674	1,130	1,255	2,941
Provision (benefit)	7,432	3,606	11,377	3,753	12,040
Foreign currency translation and other	122	(226)	(811)	(491)	(1,559)
Ending balance	90,679	86,609	90,679	86,609	88,697
Ending balance: individually evaluated for impairment	17,591	10,731	17,591	10,731	12,736
Ending balance: collectively evaluated for impairment	73,088	75,878	73,088	75,878	75,961
Receivables:
Ending balance	8,422,464	8,669,831	8,422,464	8,669,831	8,745,923
Ending balance: individually evaluated for impairment	116,547	42,268	116,547	42,268	56,791
Ending balance: collectively evaluated for impairment	8,305,917	8,627,563	8,305,917	8,627,563	8,689,132
Wholesale
Allowance for credit losses:
Beginning balance	6,605	7,651	6,845	7,363	7,363
Charge-offs	(135)	(548)	(256)	(799)	(804)
Recoveries	7	6	14	55	514
Provision (benefit)	(256)	458	(240)	974	(133)
Foreign currency translation and other	53	48	(89)	22	(95)
Ending balance	6,274	7,615	6,274	7,615	6,845
Ending balance: individually evaluated for impairment	2,533	4,112	2,533	4,112	3,329
Ending balance: collectively evaluated for impairment	3,741	3,503	3,741	3,503	3,516
Receivables:
Ending balance	3,950,685	4,567,991	3,950,685	4,567,991	4,138,646
Ending balance: individually evaluated for impairment	48,427	58,096	48,427	58,096	72,297
Ending balance: collectively evaluated for impairment	$ 3,902,258	4,509,895	$ 3,902,258	4,509,895	4,066,349
Other
Allowance for credit losses:
Beginning balance		6,975		6,889	6,889
Charge-offs		(1,486)		(2,710)	(4,281)
Recoveries		615		1,151	2,000
Provision (benefit)		1,864		2,661	2,217
Foreign currency translation and other		23			$ (6,825)
Ending balance		7,991		7,991
Ending balance: collectively evaluated for impairment		7,991		7,991
Receivables:
Ending balance		266,891		266,891
Ending balance: collectively evaluated for impairment		$ 266,891		$ 266,891

XML

RECEIVABLES (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2015 USD ($) item	Mar. 31, 2015 USD ($)	Dec. 31, 2014 USD ($)	Jun. 30, 2014 USD ($)	Mar. 31, 2014 USD ($)	Dec. 31, 2013 USD ($)
Receivables
Gross receivables	$ 12,373,149		$ 12,884,569	$ 13,504,713
Less: Allowance for credit losses	(96,953)	$ (93,077)	(95,542)	$ (102,215)	$ (100,420)	$ (101,953)
Total receivables, net	12,276,196		12,789,027
Restricted Receivables	10,805,277		10,954,660
Receivables directly or indirectly sold or transferred and available to pay the entity's creditors prior to all obligations of the SPE having been fulfilled	$ 0
Number of components of allowance for credit losses | item	2
Number of portfolio segments in which allowance for credit losses is segregated | item	2
Retail
Receivables
Gross receivables	$ 621,947		902,016
Restricted Receivables	7,763,669		7,798,882
Wholesale
Receivables
Gross receivables	909,077		984,832
Restricted Receivables	3,041,608		3,153,814
Finance lease receivables
Receivables
Gross receivables	36,848		43,061
Restricted Receivables			1,964
Restricted receivables
Receivables
Restricted Receivables	$ 10,805,277		$ 10,954,660

XML

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION (Details 2) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014	Dec. 31, 2013
ASSETS
Cash and cash equivalents	$ 412,773	$ 347,987	$ 158,693	$ 697,608
Restricted cash	614,936	858,825
Receivables, less allowance for credit losses	12,276,196	12,789,027
Affiliated accounts and notes receivable	49,702	58,731
Equipment on operating leases, net	1,658,124	1,458,325
Equipment held for sale	173,876	129,700
Goodwill and intangible assets, net	118,769	121,206
Other assets	73,960	145,764
TOTAL	15,378,336	15,909,565
Liabilities:
Short-term debt, including current maturities of long-term debt	4,579,772	4,632,208
Accounts payable and other accrued liabilities	705,835	645,941
Affiliated debt		862,445
Long-term debt	8,525,750	8,193,039
Total liabilities	13,811,357	14,333,633
Stockholder's equity	1,566,979	1,575,932	1,556,324	1,510,417
TOTAL	15,378,336	15,909,565
Eliminations
ASSETS
Affiliated accounts and notes receivable	(7,061,417)	(5,769,148)
Investments in consolidated subsidiaries accounted for under the equity method	(4,255,149)	(4,152,602)
Other assets	(5,192)	(4,248)
TOTAL	(11,321,758)	(9,925,998)
Liabilities:
Accounts payable and other accrued liabilities	(2,758,142)	(2,432,710)
Affiliated debt	(4,308,467)	(3,340,686)
Total liabilities	(7,066,609)	(5,773,396)
Stockholder's equity	(4,255,149)	(4,152,602)
TOTAL	(11,321,758)	(9,925,998)
CNH Industrial Capital LLC
ASSETS
Affiliated accounts and notes receivable	3,644,202	2,749,776
Investments in consolidated subsidiaries accounted for under the equity method	1,979,435	1,923,861
Other assets	23,442	20,778
TOTAL	5,647,079	4,694,415
Liabilities:
Short-term debt, including current maturities of long-term debt	750,000	750,000
Accounts payable and other accrued liabilities	283,146	56,261
Long-term debt	3,046,954	2,348,074
Total liabilities	4,080,100	3,154,335
Stockholder's equity	1,566,979	1,540,080
TOTAL	5,647,079	4,694,415
Guarantor Entities
ASSETS
Cash and cash equivalents	125,565	225,343	142,643	308,507
Restricted cash	100	100
Receivables, less allowance for credit losses	1,526,522	1,845,524
Affiliated accounts and notes receivable	1,978,938	1,712,656
Equipment on operating leases, net	1,397,891	1,128,542
Equipment held for sale	156,714	121,190
Investments in consolidated subsidiaries accounted for under the equity method	2,275,714	2,228,741
Goodwill and intangible assets, net	89,373	89,927
Other assets	(13,605)	77,597
TOTAL	7,537,212	7,429,620
Liabilities:
Short-term debt, including current maturities of long-term debt		19,128
Accounts payable and other accrued liabilities	2,210,497	2,162,159
Affiliated debt	3,347,280	3,320,828
Long-term debt		3,644
Total liabilities	5,557,777	5,505,759
Stockholder's equity	1,979,435	1,923,861
TOTAL	7,537,212	7,429,620
All Other Subsidiaries
ASSETS
Cash and cash equivalents	287,208	122,644	$ 16,050	$ 389,101
Restricted cash	614,836	858,725
Receivables, less allowance for credit losses	10,749,674	10,943,503
Affiliated accounts and notes receivable	1,487,979	1,365,447
Equipment on operating leases, net	260,233	329,783
Equipment held for sale	17,162	8,510
Goodwill and intangible assets, net	29,396	31,279
Other assets	69,315	51,637
TOTAL	13,515,803	13,711,528
Liabilities:
Short-term debt, including current maturities of long-term debt	3,829,772	3,863,080
Accounts payable and other accrued liabilities	970,334	860,231
Affiliated debt	961,187	882,303
Long-term debt	5,478,796	5,841,321
Total liabilities	11,240,089	11,446,935
Stockholder's equity	2,275,714	2,264,593
TOTAL	$ 13,515,803	$ 13,711,528

XML

RECEIVABLES (Details 3) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014
Financing receivable, recorded investment
Gross receivables	$ 12,373,149	$ 12,884,569	$ 13,504,713
Retail
Financing receivable, recorded investment
Gross receivables	8,422,464	8,745,923	8,669,831
Retail | Titanium
Financing receivable, recorded investment
Gross receivables	4,710,279	4,866,060
Retail | Platinum
Financing receivable, recorded investment
Gross receivables	2,285,267	2,386,558
Retail | Gold
Financing receivable, recorded investment
Gross receivables	1,198,091	1,254,335
Retail | Silver
Financing receivable, recorded investment
Gross receivables	196,116	207,682
Retail | Bronze
Financing receivable, recorded investment
Gross receivables	32,711	31,288
Wholesale
Financing receivable, recorded investment
Gross receivables	3,950,685	4,138,646	$ 4,567,991
Wholesale | GradeA
Financing receivable, recorded investment
Gross receivables	1,687,122	2,117,160
Wholesale | GradeB
Financing receivable, recorded investment
Gross receivables	1,718,002	1,572,953
Wholesale | GradeC
Financing receivable, recorded investment
Gross receivables	389,098	315,825
Wholesale | GradeD
Financing receivable, recorded investment
Gross receivables	$ 156,463	$ 132,708

XML

RECEIVABLES (Details 4) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014
Financing receivable, recorded investment
Total Receivables	$ 12,373,149	$ 12,884,569	$ 13,504,713
Retail
Financing receivable, recorded investment
31-60 Days Past Due	31,735	30,567
61-90 Days Past Due	14,674	8,852
Greater Than 90 Days	19,855	16,281
Total Past Due	66,264	55,700
Current	8,356,200	8,690,223
Total Receivables	8,422,464	8,745,923	8,669,831
Recorded Investment > 90 Days and Accruing	4,248	5,651
Retail | United States
Financing receivable, recorded investment
31-60 Days Past Due	26,322	27,846
61-90 Days Past Due	12,063	8,584
Greater Than 90 Days	19,075	15,884
Total Past Due	57,460	52,314
Current	7,078,787	7,296,162
Total Receivables	7,136,247	7,348,476
Recorded Investment > 90 Days and Accruing	3,786	5,480
Retail | Canada
Financing receivable, recorded investment
31-60 Days Past Due	5,413	2,721
61-90 Days Past Due	2,611	268
Greater Than 90 Days	780	397
Total Past Due	8,804	3,386
Current	1,277,413	1,394,061
Total Receivables	1,286,217	1,397,447
Recorded Investment > 90 Days and Accruing	462	171
Wholesale
Financing receivable, recorded investment
31-60 Days Past Due	362	1,063
61-90 Days Past Due	47	52
Greater Than 90 Days	185	113
Total Past Due	594	1,228
Current	3,950,091	4,137,418
Total Receivables	3,950,685	4,138,646	$ 4,567,991
Recorded Investment > 90 Days and Accruing		88
Wholesale | United States
Financing receivable, recorded investment
31-60 Days Past Due	269	882
61-90 Days Past Due	45	52
Greater Than 90 Days	21	110
Total Past Due	335	1,044
Current	3,220,713	3,359,183
Total Receivables	3,221,048	3,360,227
Recorded Investment > 90 Days and Accruing		86
Wholesale | Canada
Financing receivable, recorded investment
31-60 Days Past Due	93	181
61-90 Days Past Due	2
Greater Than 90 Days	164	3
Total Past Due	259	184
Current	729,378	778,235
Total Receivables	$ 729,637	778,419
Recorded Investment > 90 Days and Accruing		$ 2

XML

BASIS OF PRESENTATION

6 Months Ended

Jun. 30, 2015

BASIS OF PRESENTATION

BASIS OF PRESENTATION

NOTE 1: BASIS OF PRESENTATION

        CNH Industrial Capital LLC and its primary operating subsidiaries, including New Holland Credit Company, LLC ("New Holland Credit"), CNH Industrial Capital America LLC ("CNH Industrial Capital America"), and CNH Industrial Capital Canada Ltd. ("CNH Industrial Capital Canada") (collectively, "CNH Industrial Capital" or the "Company"), are each a subsidiary of CNH Industrial America LLC ("CNH Industrial America"), which is an indirect wholly-owned subsidiary of CNH Industrial N.V. ("CNHI" and, together with its consolidated subsidiaries, "CNH Industrial"). CNH Industrial America and CNH Industrial Canada Ltd. (collectively, "CNH Industrial North America") design, manufacture, and sell agricultural and construction equipment. CNH Industrial Capital provides financial services for CNH Industrial North America dealers and end-use customers primarily located in the United States and Canada.

        CNHI is incorporated in and under the laws of The Netherlands, with its principal office at Cranes Farm Road, Basildon, United Kingdom. The common shares of CNHI are listed on the New York Stock Exchange under the symbol "CNHI," as well as on the Mercato Telematico Azionario managed by Borsa Italiana S.p.A.

        Effective October 24, 2014, CNH Industrial Capital closed on a series of agreements with Citibank, N.A. and certain affiliates of Citibank, N.A. (together, "Citi"), pursuant to which Citi acquired CNH Industrial Capital's portfolio of commercial revolving accounts ("CRA") receivables. Pursuant to these agreements, Citi offers a private-label CRA product through CNH Industrial dealers in North America.

        The Company has prepared the accompanying consolidated financial statements in accordance with accounting principles generally accepted in the United States ("U.S. GAAP") for interim financial information, which should be read in conjunction with the audited financial statements in its Annual Report on Form 10-K for the year ended December 31, 2014. Certain financial information that is normally included in annual financial statements prepared in conformity with U.S. GAAP, which is not required for interim reporting purposes, has been condensed or omitted. In the opinion of management, all adjustments, consisting of normal recurring adjustments, necessary for a fair presentation of our interim unaudited financial statements have been reflected.

        The consolidated financial statements include the Company and its consolidated subsidiaries. The consolidated financial statements are expressed in U.S. dollars. The consolidated financial statements include the accounts of the Company's subsidiaries in which the Company has a controlling financial interest and reflect the noncontrolling interests of the minority owners of the subsidiaries that are not fully owned for the periods presented, as applicable. A controlling financial interest may exist based on ownership of a majority of the voting interest of a subsidiary, or based on the Company's determination that it is the primary beneficiary of a variable interest entity ("VIE"). The primary beneficiary of a VIE is the party that has the power to direct the activities that most significantly impact the economic performance of the entity and the obligation to absorb losses or the right to receive benefits that could potentially be significant to the entity. The Company assesses whether it is the primary beneficiary on an ongoing basis, as prescribed by the accounting guidance on the consolidation of VIEs. The consolidated status of the VIEs with which the Company is involved may change as a result of such reassessments.

        The preparation of consolidated financial statements in accordance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities and reported amounts of revenues and expenses. Significant estimates in these consolidated financial statements include the allowance for credit losses and residual values of equipment on operating leases. Actual results could differ from those estimates.

XML

RECEIVABLES (Details 5) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Unpaid Principal Balance
Period considered for average recorded investment	4 months	4 months	7 months	7 months
Interest Income Recognized
Delinquency period of accounts considered for recognition of income			120 days		120 days
Minimum account delinquency period for an account to be classified as past due			30 days		30 days
United States
Interest Income Recognized
Receivables on nonaccrual status	$ 55,258		$ 55,258		$ 68,135
Canada
Interest Income Recognized
Receivables on nonaccrual status	14,598		14,598		15,648
Retail | United States
Interest Income Recognized
Receivables on nonaccrual status	45,223		45,223		22,512
Retail | Canada
Interest Income Recognized
Receivables on nonaccrual status	1,039		1,039		280
Wholesale | United States
Interest Income Recognized
Receivables on nonaccrual status	10,035		10,035		45,623
Wholesale | Canada
Interest Income Recognized
Receivables on nonaccrual status	13,559		13,559		15,368
Individually evaluated for impairment | Retail
Recorded Investment
Total	116,547		116,547		56,791
Unpaid Principal Balance
Total	114,674		114,674		55,606
Related Allowance	17,591		17,591		12,736
Average Recorded Investment
Total	113,459	$ 42,919	111,212	$ 43,494
Interest Income Recognized
Total	1,087	223	1,993	1,071
Individually evaluated for impairment | Retail | United States
Recorded Investment
With no related allowance recorded	61,902		61,902		23,420
With an allowance recorded	48,849		48,849		31,945
Unpaid Principal Balance
With no related allowance recorded	61,453		61,453		23,164
With an allowance recorded	47,500		47,500		31,029
Related Allowance	17,323		17,323		12,607
Average Recorded Investment
With no related allowance recorded	58,704	13,683	58,457	13,717
With an allowance recorded	48,889	27,273	46,829	27,920
Interest Income Recognized
With no related allowance recorded	839	120	1,609	222
With an allowance recorded	153	73	191	774
Individually evaluated for impairment | Retail | Canada
Recorded Investment
With no related allowance recorded	4,765		4,765		960
With an allowance recorded	1,031		1,031		466
Unpaid Principal Balance
With no related allowance recorded	4,710		4,710		954
With an allowance recorded	1,011		1,011		459
Related Allowance	268		268		129
Average Recorded Investment
With no related allowance recorded	4,832		4,884
With an allowance recorded	1,034	1,963	1,042	1,857
Interest Income Recognized
With no related allowance recorded	95		190
With an allowance recorded		30	3	75
Individually evaluated for impairment | Wholesale
Recorded Investment
Total	48,427		48,427		72,297
Unpaid Principal Balance
Total	48,385		48,385		72,052
Related Allowance	2,533		2,533		3,329
Average Recorded Investment
Total	47,527	62,468	49,015	62,217
Interest Income Recognized
Total	694	384	961	815
Individually evaluated for impairment | Wholesale | United States
Recorded Investment
With no related allowance recorded	24,791		24,791
With an allowance recorded	10,072		10,072		45,868
Unpaid Principal Balance
With no related allowance recorded	24,791		24,791
With an allowance recorded	10,035		10,035		45,623
Related Allowance	1,203		1,203		2,220
Average Recorded Investment
With no related allowance recorded	23,018	7,986	25,039	8,554
With an allowance recorded	10,379	25,891	9,940	24,747
Interest Income Recognized
With no related allowance recorded	372	129	369	222
With an allowance recorded	169	125	323	242
Individually evaluated for impairment | Wholesale | Canada
Recorded Investment
With no related allowance recorded					11,790
With an allowance recorded	13,564		13,564		14,639
Unpaid Principal Balance
With no related allowance recorded					11,790
With an allowance recorded	13,559		13,559		14,639
Related Allowance	1,330		1,330		$ 1,109
Average Recorded Investment
With an allowance recorded	14,130	28,591	14,036	28,916
Interest Income Recognized
With an allowance recorded	$ 153	$ 130	$ 269	$ 351

XML

SEGMENT AND GEOGRAPHICAL INFORMATION (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Segment And Geographical Information
Revenues	$ 234,541	$ 233,764	$ 460,127	$ 454,752
Interest expense	71,512	70,669	146,206	133,797
Segment net income	57,918	68,662	111,629	135,729
Depreciation and amortization	46,410	33,668	91,293	64,081
Expenditures for equipment on operating leases	253,370	236,201	498,693	388,889
Provision for credit losses	7,176	5,928	11,137	7,388	$ 14,124
Additional disclosures
Segment assets	15,378,336		15,378,336		15,909,565
Managed receivables	12,373,149		12,373,149		12,884,569
Eliminations.
Segment And Geographical Information
Revenues	(1,056)	(1,232)	(2,097)	(2,432)
Interest expense	(1,056)	(1,232)	(2,097)	(2,432)
Additional disclosures
Segment assets	(395,269)		(395,269)		(214,269)
United States
Segment And Geographical Information
Segment net income	42,507	48,465	83,325	98,864
Depreciation and amortization	37,488	25,105	73,849	47,227
Expenditures for equipment on operating leases	198,286	201,980	419,365	333,427
Provision for credit losses	6,934	4,178	10,124	5,249
Additional disclosures
Managed receivables	10,357,295		10,357,295		10,708,704
United States | Operating segment
Segment And Geographical Information
Revenues	191,363	184,235	374,485	359,907
Interest expense	60,544	58,095	124,105	110,548
Additional disclosures
Segment assets	13,214,282		13,214,282		13,430,826
Canada
Segment And Geographical Information
Segment net income	15,411	20,197	28,304	36,865
Depreciation and amortization	8,922	8,563	17,444	16,854
Expenditures for equipment on operating leases	55,084	34,221	79,328	55,462
Provision for credit losses	242	1,750	1,013	2,139
Additional disclosures
Managed receivables	2,015,854		2,015,854		2,175,865
Canada | Operating segment
Segment And Geographical Information
Revenues	44,234	50,761	87,739	97,277
Interest expense	12,024	$ 13,806	24,198	$ 25,681
Additional disclosures
Segment assets	$ 2,559,323		$ 2,559,323		$ 2,693,008

XML

CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
REVENUES
Interest income on retail notes and finance leases	$ 53,028	$ 51,091	$ 102,151	$ 99,616
Interest income on wholesale notes	20,453	17,326	39,385	32,827
Interest and other income from affiliates	101,494	111,749	205,648	219,099
Rental income on operating leases	52,178	39,721	100,986	76,203
Other income	7,388	13,877	11,957	27,007
Total revenues	234,541	233,764	460,127	454,752
Interest expense:
Interest expense to third parties	65,056	62,774	128,893	124,374
Interest expense to affiliates	6,456	7,895	17,313	9,423
Total interest expense	71,512	70,669	146,206	133,797
Administrative and operating expenses:
Fees charged by affiliates	12,006	12,964	24,879	26,331
Provision for credit losses, net	7,176	5,928	11,137	7,388	$ 14,124
Depreciation of equipment on operating leases	46,099	33,403	90,672	63,551
Other expenses	9,157	9,540	16,656	20,551
Total administrative and operating expenses	74,438	61,835	143,344	117,821
Total expenses	145,950	132,504	289,550	251,618
INCOME BEFORE TAXES	88,591	101,260	170,577	203,134
Income tax provision	30,673	32,598	58,948	67,405
NET INCOME	57,918	68,662	111,629	135,729
Net income attributed to noncontrolling interest		(334)	(259)	(662)
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$ 57,918	$ 68,328	$ 111,370	$ 135,067

XML

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION (Details 3) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from operating activities	$ 364,930	$ 377,564
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired	(6,732,217)	(9,465,506)
Collections of receivables	7,097,962	8,231,504
Change in restricted cash	236,291	175,894
Purchase of equipment on operating leases, net	(356,710)	(250,641)
Capital expenditures for property and equipment and software	(49)	(20)
Net cash from (used in) investing activities	245,277	(1,308,769)
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity	(862,445)	182,943
Net change in indebtedness	392,991	299,347
Dividends paid to CNH Industrial America LLC	(15,000)	(90,000)
Preferred dividend paid to CNH Industrial Canada Ltd.	(551)
Redemption of preferred stock of subsidiary	(60,416)
Net cash from (used in) financing activities	(545,421)	392,290
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	64,786	(538,915)
CASH AND CASH EQUIVALENTS
Beginning of period	347,987	697,608
End of period	412,773	158,693
Eliminations
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from operating activities	966,836	416,763
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired	4,143,391	6,422,415
Collections of receivables	(4,142,446)	(6,421,219)
Net cash from (used in) investing activities	945	1,196
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity	(967,781)	(417,959)
Net cash from (used in) financing activities	(967,781)	(417,959)
CNH Industrial Capital LLC
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from operating activities	(683,880)	(408,899)
CASH FLOWS FROM FINANCING ACTIVITIES:
Net change in indebtedness	698,880	498,899
Dividends paid to CNH Industrial America LLC	(15,000)	(90,000)
Net cash from (used in) financing activities	683,880	408,899
Guarantor Entities
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from operating activities	(34,139)	(617,000)
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired	(5,550,956)	(7,833,353)
Collections of receivables	5,869,591	8,031,668
Purchase of equipment on operating leases, net	(387,904)	(230,967)
Capital expenditures for property and equipment and software	(49)	(14)
Net cash from (used in) investing activities	(69,318)	(32,666)
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity	26,451	530,205
Net change in indebtedness	(22,772)	(46,403)
Net cash from (used in) financing activities	3,679	483,802
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	(99,778)	(165,864)
CASH AND CASH EQUIVALENTS
Beginning of period	225,343	308,507
End of period	125,565	142,643
All Other Subsidiaries
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from operating activities	116,113	986,700
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired	(5,324,652)	(8,054,568)
Collections of receivables	5,370,817	6,621,055
Change in restricted cash	236,291	175,894
Purchase of equipment on operating leases, net	31,194	(19,674)
Capital expenditures for property and equipment and software		(6)
Net cash from (used in) investing activities	313,650	(1,277,299)
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity	78,885	70,697
Net change in indebtedness	(283,117)	(153,149)
Preferred dividend paid to CNH Industrial Canada Ltd.	(551)
Redemption of preferred stock of subsidiary	(60,416)
Net cash from (used in) financing activities	(265,199)	(82,452)
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	164,564	(373,051)
CASH AND CASH EQUIVALENTS
Beginning of period	122,644	389,101
End of period	$ 287,208	$ 16,050

XML

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$ 111,629	$ 135,729
Adjustments to reconcile net income to net cash from operating activities:
Depreciation on property and equipment and equipment on operating leases	90,690	63,571
Amortization of intangibles	603	510
Provision for credit losses, net	11,137	7,388
Deferred income tax expense (benefit)	42,198	(6,763)
Stock compensation expense	375	440
Changes in components of working capital:
Change in affiliated accounts and notes receivables	8,303	97,842
Change in other assets and equipment held for sale	73,791	51,146
Change in accounts payable and other accrued liabilities	26,204	27,701
Net cash from operating activities	364,930	377,564
CASH FLOWS FROM INVESTING ACTIVITIES
Cost of receivables acquired	(6,732,217)	(9,465,506)
Collections of receivables	7,097,962	8,231,504
Change in restricted cash	236,291	175,894
Purchase of equipment on operating leases	(498,693)	(388,889)
Proceeds from disposal of equipment on operating leases	141,983	138,248
Capital expenditures for property and equipment and software	(49)	(20)
Net cash from (used in) investing activities	245,277	(1,308,769)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issuance of affiliated debt	1,017,264	1,192,548
Payment of affiliated debt	(1,879,709)	(1,009,605)
Proceeds from issuance of long-term debt	2,760,549	2,915,590
Payment of long-term debt	(2,367,558)	(2,260,292)
Change in short-term borrowings, net		(355,951)
Dividends paid to CNH Industrial America LLC	(15,000)	(90,000)
Preferred dividend paid to CNH Industrial Canada Ltd.	(551)
Redemption of preferred stock of subsidiary	(60,416)
Net cash from (used in) financing activities	(545,421)	392,290
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	64,786	(538,915)
CASH AND CASH EQUIVALENTS
Beginning of period	347,987	697,608
End of period	412,773	158,693
CASH PAID DURING THE PERIOD FOR INTEREST	147,125	129,244
CASH PAID DURING THE PERIOD FOR TAXES	$ 11,527	$ 20,790

XML

INCOME TAXES (Details)	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Reconciliation of statutory and effective income tax rate
Effective tax rate (as a percent)	34.60%	32.20%	34.60%	33.20%
Tax provision at statutory rate (as a percent)			35.00%

XML

FINANCIAL INSTRUMENTS (Tables)

6 Months Ended

Jun. 30, 2015

FINANCIAL INSTRUMENTS

Schedule of fair values of derivatives in the consolidated balance sheets

	June 30, 2015		December 31, 2014
Derivatives Designated as Hedging Instruments:
Other assets:
Interest rate derivatives	$	1,497	$	680
Accounts payable and other accrued liabilities:
Interest rate derivatives	$	1,352	$	212
Derivatives Not Designated as Hedging Instruments:
Other assets:
Interest rate derivatives	$	3,206	$	6,727
Foreign exchange contracts		—		136
Total	$	3,206	$	6,863
Accounts payable and other accrued liabilities:
Interest rate derivatives	$	3,206	$	6,727
Foreign exchange contracts		5		—
Total	$	3,211	$	6,727

Schedule of pre-tax gains (losses) on the consolidated statements of income related to the Company's derivatives

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Cash Flow Hedges
Recognized in accumulated other comprehensive income (loss) (effective portion) Interest rate derivatives	$	276		$	(222	)	$	(2,518	)	$	(529	)
Reclassified from accumulated other comprehensive income (loss) (effective portion) Interest rate derivatives—Interest expense to third parties		(469	)		(1,503	)		(1,924	)		(2,854	)
Not Designated as Hedges
Foreign exchange contracts—Other expenses		5			24			(234	)		(126	)

Schedule of fair-value hierarchy levels of assets and liabilities measured at fair value on a recurring basis

	June 30, 2015		December 31, 2014
Assets
Interest rate derivatives	$	4,703	$	7,407
Foreign exchange contracts		—		136
Total assets	$	4,703	$	7,543
Liabilities
Interest rate derivatives	$	4,558	$	6,939
Foreign exchange contracts		5		—
Total liabilities	$	4,563	$	6,939

Schedule of carrying amount and estimated fair value of assets and liabilities considered financial instruments

	June 30, 2015				December 31, 2014
	Carrying Amount		Estimated Fair Value *		Carrying Amount		Estimated Fair Value *
Receivables	$	12,276,196	$	12,251,364	$	12,789,027	$	12,854,705
Long-term debt	$	8,525,750	$	8,553,625	$	8,193,039	$	8,195,209

*           Under the fair value hierarchy, receivables measurements are classified as Level 3 and long-term debt measurements are classified as Level 2.

XML

FINANCIAL INSTRUMENTS (Details) - Jun. 30, 2015 - USD ($) $ in Thousands	Total
FINANCIAL INSTRUMENTS
Maximum length of time of interest rate derivative instruments designated in cash flow hedge relationships	49 months
After-tax losses deferred in accumulated other comprehensive (loss) income that will be recognized in interest expense over the next 12 months	$ (1,358)

XML

RELATED-PARTY TRANSACTIONS (Tables)

6 Months Ended

Jun. 30, 2015

RELATED - PARTY TRANSACTIONS

Summary of the sources included in "Interest and other income from affiliates" in the accompanying consolidated statements of income

	Three Months Ended June 30,				Six Months Ended June 30,
	2015		2014		2015		2014
Subsidy received from CNH Industrial North America:
Retail	$	48,603	$	57,324	$	99,489	$	116,826
Wholesale		37,151		42,987		74,812		80,812
Operating lease		15,740		11,438		31,347		21,461
Total interest and other income from affiliates	$	101,494	$	111,749	$	205,648	$	219,099

Schedule of various accounts and notes receivable and debt with the affiliates

	June 30, 2015		December 31, 2014
Affiliated receivables from:
CNH Industrial America	$	26,706	$	39,677
CNH Industrial Canada Ltd.		10,705		6,763
Other affiliates		12,291		12,291
Total affiliated receivables	$	49,702	$	58,731
Affiliated debt owed to:
CNH Industrial America	$	—	$	713,230
CNH Industrial Canada Ltd.		—		149,215
Total affiliated debt	$	—	$	862,445

XML

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDER'S EQUITY - USD ($) $ in Thousands	Paid-in Capital	Accumulated Other Comprehensive Income (Loss)	Retained Earnings	Noncontrolling Interest	Total
BALANCE at Dec. 31, 2013	$ 842,182	$ 6,072	$ 603,735	$ 58,428	$ 1,510,417
Increase (Decrease) in Stockholder's Equity
Net income			135,067	662	135,729
Dividends paid to CNH Industrial America LLC			(90,000)		(90,000)
Foreign currency translation adjustment		(1,638)			(1,638)
Stock compensation	440				440
Pension liability adjustment, net of tax		157			157
Change in unrealized gain on retained interests, net of tax		(244)			(244)
Change in derivative financial instruments, net of tax		1,463			1,463
BALANCE at Jun. 30, 2014	842,622	5,810	648,802	59,090	1,556,324
BALANCE at Dec. 31, 2014	843,250	(49,928)	746,758	35,852	1,575,932
Increase (Decrease) in Stockholder's Equity
Net income			111,370	259	111,629
Dividends paid to CNH Industrial America LLC			(15,000)		(15,000)
Preferred dividend paid to CNH Industrial Canada Ltd				(551)	(551)
Redemption of preferred stock of subsidiary			(24,856)	$ (35,560)	(60,416)
Foreign currency translation adjustment		(44,597)			(44,597)
Stock compensation	375				375
Pension liability adjustment, net of tax		173			173
Change in derivative financial instruments, net of tax		(566)			(566)
BALANCE at Jun. 30, 2015	$ 843,625	$ (94,918)	$ 818,272		$ 1,566,979

XML

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
NET INCOME	$ 57,918	$ 68,662	$ 111,629	$ 135,729
Other comprehensive income (loss):
Foreign currency translation adjustment	18,471	23,409	(44,597)	(1,638)
Pension liability adjustment	64	67	173	157
Change in unrealized gains on retained interests				(244)
Change in derivative financial instruments	514	805	(566)	1,463
Total other comprehensive income (loss)	19,049	24,281	(44,990)	(262)
COMPREHENSIVE INCOME (LOSS)	76,967	92,943	66,639	135,467
Less: comprehensive income attributable to noncontrolling interest		(334)	(259)	(662)
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$ 76,967	$ 92,609	$ 66,380	$ 134,805

XML

COMMITMENTS AND CONTINGENCIES

6 Months Ended

Jun. 30, 2015

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES

NOTE 10: COMMITMENTS AND CONTINGENCIES

Legal Matters

        The Company is party to various litigation matters and claims arising from its operations. Management believes that the outcome of these proceedings, individually and in the aggregate, will not have a material adverse effect on the Company's financial position or results of operations.

Guarantees

        The Company provides payment guarantees on the financial debt of various foreign financial services subsidiaries of CNHI for approximately $261,085. The guarantees are in effect for the term of the underlying funding facilities plus 365 days. The underlying facilities are renewable annually.

Commitments

        The Company has various agreements to extend credit for the wholesale and dealer financing managed portfolio. At June 30, 2015, the total credit limit available was $6,426,349, of which $3,865,974 was utilized.

XML

Document and Entity Information - Jun. 30, 2015 - shares	Total
Document and Entity Information
Entity Registrant Name	CNH INDUSTRIAL CAPITAL LLC
Entity Central Index Key	0001552493
Document Type	10-Q
Document Period End Date	Jun. 30, 2015
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding	0
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q2

XML

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION

6 Months Ended

Jun. 30, 2015

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION

SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION

NOTE 11: SUPPLEMENTAL CONDENSED CONSOLIDATING FINANCIAL INFORMATION

        CNH Industrial Capital America and New Holland Credit, which are 100%-owned subsidiaries of CNH Industrial Capital LLC (the "Guarantor Entities"), guarantee certain indebtedness of CNH Industrial Capital LLC. As the guarantees are full, unconditional, and joint and several and because the Guarantor Entities are 100%-owned by CNH Industrial Capital LLC, the Company has included the following condensed consolidating financial information as of June 30, 2015 and December 31, 2014 and for the three and six months ended June 30, 2015 and 2014. The condensed consolidating financial information reflects investments in consolidated subsidiaries under the equity method of accounting.

	Condensed Statements of Comprehensive Income for the Three Months Ended June 30, 2015
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries		Eliminations			Consolidated
REVENUES
Interest income on retail notes and finance leases	$	—		$	2,353		$	50,675	$	—		$	53,028
Interest income on wholesale notes		—			(176	)		20,629		—			20,453
Interest and other income from affiliates		21,576			53,964			85,212		(59,258	)		101,494
Rental income on operating leases		—			40,843			11,335		—			52,178
Other income		—			29,254			811		(22,677	)		7,388
Total revenues		21,576			126,238			168,662		(81,935	)		234,541
EXPENSES
Interest expense:
Interest expense to third parties		32,353			2,884			29,819		—			65,056
Interest expense to affiliates		—			56,042			9,672		(59,258	)		6,456
Total interest expense		32,353			58,926			39,491		(59,258	)		71,512
Administrative and operating expenses:
Fees charged by affiliates		—			11,443			23,240		(22,677	)		12,006
Provision for credit losses, net		—			1,083			6,093		—			7,176
Depreciation of equipment on operating leases		—			36,493			9,606		—			46,099
Other expenses		—			4,751			4,406		—			9,157
Total administrative and operating expenses		—			53,770			43,345		(22,677	)		74,438
Total expenses		32,353			112,696			82,836		(81,935	)		145,950
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method		(10,777	)		13,542			85,826		—			88,591
Income tax provision (benefit)		(4,154	)		5,508			29,319		—			30,673
Equity in income of consolidated subsidiaries accounted for under the equity method		64,541			56,507			—		(121,048	)		—
NET INCOME		57,918			64,541			56,507		(121,048	)		57,918
Net income attributed to noncontrolling interest		—			—			—		—			—
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	57,918		$	64,541		$	56,507	$	(121,048	)	$	57,918
COMPREHENSIVE INCOME (LOSS)	$	76,967		$	83,590		$	72,697	$	(156,287	)	$	76,967
Comprehensive income attributed to noncontrolling interest		—			—			—		—			—
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	76,967		$	83,590		$	72,697	$	(156,287	)	$	76,967

	Condensed Statements of Comprehensive Income for the Six Months Ended June 30, 2015
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries			Eliminations			Consolidated
REVENUES
Interest income on retail notes and finance leases	$	—		$	2,746		$	99,405		$	—		$	102,151
Interest income on wholesale notes		—			(472	)		39,857			—			39,385
Interest and other income from affiliates		45,232			110,646			171,739			(121,969	)		205,648
Rental income on operating leases		—			76,402			24,584			—			100,986
Other income		—			54,888			1,648			(44,579	)		11,957
Total revenues		45,232			244,210			337,233			(166,548	)		460,127
EXPENSES
Interest expense:
Interest expense to third parties		67,477			(567	)		61,983			—			128,893
Interest expense to affiliates		—			119,935			19,347			(121,969	)		17,313
Total interest expense		67,477			119,368			81,330			(121,969	)		146,206
Administrative and operating expenses:
Fees charged by affiliates		—			23,713			45,745			(44,579	)		24,879
Provision (benefit) for credit losses, net		—			(578	)		11,715			—			11,137
Depreciation of equipment on operating leases		—			69,960			20,712			—			90,672
Other expenses		—			10,446			6,210			—			16,656
Total administrative and operating expenses		—			103,541			84,382			(44,579	)		143,344
Total expenses		67,477			222,909			165,712			(166,548	)		289,550
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method		(22,245	)		21,301			171,521			—			170,577
Income tax provision (benefit)		(8,569	)		7,141			60,376			—			58,948
Equity in income of consolidated subsidiaries accounted for under the equity method		125,046			110,886			—			(235,932	)		—
NET INCOME		111,370			125,046			111,145			(235,932	)		111,629
Net income attributed to noncontrolling interest		—			—			(259	)		—			(259	)
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	111,370		$	125,046		$	110,886		$	(235,932	)	$	111,370
COMPREHENSIVE INCOME (LOSS)	$	66,380		$	80,056		$	72,046		$	(151,843	)	$	66,639
Comprehensive income attributed to noncontrolling interest		—			—			(259	)		—			(259	)
COMPREHENSIVE INCOME (LOSS) ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	66,380		$	80,056		$	71,787		$	(151,843	)	$	66,380

	Condensed Balance Sheets as of June 30, 2015
	CNH Industrial Capital LLC		Guarantor Entities			All Other Subsidiaries		Eliminations			Consolidated
ASSETS
Cash and cash equivalents	$	—	$	125,565		$	287,208	$	—		$	412,773
Restricted cash		—		100			614,836		—			614,936
Receivables, less allowance for credit losses		—		1,526,522			10,749,674		—			12,276,196
Affiliated accounts and notes receivable		3,644,202		1,978,938			1,487,979		(7,061,417	)		49,702
Equipment on operating leases, net		—		1,397,891			260,233		—			1,658,124
Equipment held for sale		—		156,714			17,162		—			173,876
Investments in consolidated subsidiaries accounted for under the equity method		1,979,435		2,275,714			—		(4,255,149	)		—
Goodwill and intangible assets, net		—		89,373			29,396		—			118,769
Other assets		23,442		(13,605	)		69,315		(5,192	)		73,960
TOTAL	$	5,647,079	$	7,537,212		$	13,515,803	$	(11,321,758	)	$	15,378,336
LIABILITIES AND STOCKHOLDER'S EQUITY
Liabilities:
Short-term debt, including current maturities of long-term debt	$	750,000	$	—		$	3,829,772	$	—		$	4,579,772
Accounts payable and other accrued liabilities		283,146		2,210,497			970,334		(2,758,142	)		705,835
Affiliated debt		—		3,347,280			961,187		(4,308,467	)		—
Long-term debt		3,046,954		—			5,478,796		—			8,525,750
Total liabilities		4,080,100		5,557,777			11,240,089		(7,066,609	)		13,811,357
Stockholder's equity		1,566,979		1,979,435			2,275,714		(4,255,149	)		1,566,979
TOTAL	$	5,647,079	$	7,537,212		$	13,515,803	$	(11,321,758	)	$	15,378,336

	Condensed Statements of Cash Flows for the Six Months Ended June 30, 2015
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries			Eliminations			Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	$	(683,880	)	$	(34,139	)	$	116,113		$	966,836		$	364,930
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired		—			(5,550,956	)		(5,324,652	)		4,143,391			(6,732,217	)
Collections of receivables		—			5,869,591			5,370,817			(4,142,446	)		7,097,962
Change in restricted cash		—			—			236,291			—			236,291
Purchase of equipment on operating leases, net		—			(387,904	)		31,194			—			(356,710	)
Capital expenditures for property and equipment and software		—			(49	)		—			—			(49	)
Net cash from (used in) investing activities		—			(69,318	)		313,650			945			245,277
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity		—			26,451			78,885			(967,781	)		(862,445	)
Net change in indebtedness		698,880			(22,772	)		(283,117	)		—			392,991
Dividends paid to CNH Industrial America LLC		(15,000	)		—			—			—			(15,000	)
Preferred dividend paid to CNH Industrial Canada Ltd.		—			—			(551	)		—			(551	)
Redemption of preferred stock of subsidiary		—			—			(60,416	)		—			(60,416	)
Net cash from (used in) financing activities		683,880			3,679			(265,199	)		(967,781	)		(545,421	)
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS		—			(99,778	)		164,564			—			64,786
CASH AND CASH EQUIVALENTS:
Beginning of period		—			225,343			122,644			—			347,987
End of period	$	—		$	125,565		$	287,208		$	—		$	412,773

	Condensed Statements of Comprehensive Income for the Three Months Ended June 30, 2014
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries			Eliminations			Consolidated
REVENUES
Interest income on retail notes and finance leases	$	—		$	3,389		$	47,702		$	—		$	51,091
Interest income on wholesale notes		—			(321	)		17,647			—			17,326
Interest and other income from affiliates		21,301			55,401			98,875			(63,828	)		111,749
Rental income on operating leases		—			25,350			14,371			—			39,721
Other income		—			36,223			1,911			(24,257	)		13,877
Total revenues		21,301			120,042			180,506			(88,085	)		233,764
EXPENSES
Interest expense:
Interest expense to third parties		29,076			(508	)		34,206			—			62,774
Interest expense to affiliates		—			60,023			11,700			(63,828	)		7,895
Total interest expense		29,076			59,515			45,906			(63,828	)		70,669
Administrative and operating expenses:
Fees charged by affiliates		—			10,619			26,602			(24,257	)		12,964
Provision for credit losses, net		—			2,880			3,048			—			5,928
Depreciation of equipment on operating leases		—			21,389			12,014			—			33,403
Other expenses		—			7,716			1,824			—			9,540
Total administrative and operating expenses		—			42,604			43,488			(24,257	)		61,835
Total expenses		29,076			102,119			89,394			(88,085	)		132,504
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method		(7,775	)		17,923			91,112			—			101,260
Income tax provision (benefit)		(2,981	)		7,105			28,474			—			32,598
Equity in income of consolidated subsidiaries accounted for under the equity method		73,122			62,304			—			(135,426	)		—
NET INCOME		68,328			73,122			62,638			(135,426	)		68,662
Net income attributed to noncontrolling interest		—			—			(334	)		—			(334	)
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	68,328		$	73,122		$	62,304		$	(135,426	)	$	68,328
COMPREHENSIVE INCOME	$	92,609		$	97,403		$	83,482		$	(180,551	)	$	92,943
Comprehensive income attributed to noncontrolling interest		—			—			(334	)		—			(334	)
COMPREHENSIVE INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	92,609		$	97,403		$	83,148		$	(180,551	)	$	92,609

	Condensed Statements of Comprehensive Income for the Six Months Ended June 30, 2014
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries			Eliminations			Consolidated
REVENUES
Interest income on retail notes and finance leases	$	—		$	5,105		$	94,511		$	—		$	99,616
Interest income on wholesale notes		—			(592	)		33,419			—			32,827
Interest and other income from affiliates		43,344			108,555			193,215			(126,015	)		219,099
Rental income on operating leases		—			47,578			28,625			—			76,203
Other income		—			70,030			3,965			(46,988	)		27,007
Total revenues		43,344			230,676			353,735			(173,003	)		454,752
EXPENSES
Interest expense:
Interest expense to third parties		58,952			(4,280	)		69,702			—			124,374
Interest expense to affiliates		—			113,490			21,948			(126,015	)		9,423
Total interest expense		58,952			109,210			91,650			(126,015	)		133,797
Administrative and operating expenses:
Fees charged by affiliates		—			21,386			51,933			(46,988	)		26,331
Provision (benefit) for credit losses, net		—			(1,290	)		8,678			—			7,388
Depreciation of equipment on operating leases		—			39,492			24,059			—			63,551
Other expenses		—			19,732			819			—			20,551
Total administrative and operating expenses		—			79,320			85,489			(46,988	)		117,821
Total expenses		58,952			188,530			177,139			(173,003	)		251,618
Income (loss) before income taxes and equity in income of consolidated subsidiaries accounted for under the equity method		(15,608	)		42,146			176,596			—			203,134
Income tax provision (benefit)		(5,975	)		15,747			57,633			—			67,405
Equity in income of consolidated subsidiaries accounted for under the equity method		144,700			118,301			—			(263,001	)		—
NET INCOME		135,067			144,700			118,963			(263,001	)		135,729
Net income attributed to noncontrolling interest		—			—			(662	)		—			(662	)
NET INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	135,067		$	144,700		$	118,301		$	(263,001	)	$	135,067
COMPREHENSIVE INCOME	$	134,805		$	144,438		$	119,038		$	(262,814	)	$	135,467
Comprehensive income attributed to noncontrolling interest		—			—			(662	)		—			(662	)
COMPREHENSIVE INCOME ATTRIBUTABLE TO CNH INDUSTRIAL CAPITAL LLC	$	134,805		$	144,438		$	118,376		$	(262,814	)	$	134,805

	Condensed Balance Sheets as of December 31, 2014
	CNH Industrial Capital LLC		Guarantor Entities		All Other Subsidiaries		Eliminations			Consolidated
ASSETS
Cash and cash equivalents	$	—	$	225,343	$	122,644	$	—		$	347,987
Restricted cash		—		100		858,725		—			858,825
Receivables, less allowance for credit losses		—		1,845,524		10,943,503		—			12,789,027
Affiliated accounts and notes receivable		2,749,776		1,712,656		1,365,447		(5,769,148	)		58,731
Equipment on operating leases, net		—		1,128,542		329,783		—			1,458,325
Equipment held for sale		—		121,190		8,510		—			129,700
Investments in consolidated subsidiaries accounted for under the equity method		1,923,861		2,228,741		—		(4,152,602	)		—
Goodwill and intangible assets, net		—		89,927		31,279		—			121,206
Other assets		20,778		77,597		51,637		(4,248	)		145,764
TOTAL	$	4,694,415	$	7,429,620	$	13,711,528	$	(9,925,998	)	$	15,909,565
LIABILITIES AND STOCKHOLDER'S EQUITY
Liabilities:
Short-term debt, including current maturities of long-term debt	$	750,000	$	19,128	$	3,863,080	$	—		$	4,632,208
Accounts payable and other accrued liabilities		56,261		2,162,159		860,231		(2,432,710	)		645,941
Affiliated debt		—		3,320,828		882,303		(3,340,686	)		862,445
Long-term debt		2,348,074		3,644		5,841,321		—			8,193,039
Total liabilities		3,154,335		5,505,759		11,446,935		(5,773,396	)		14,333,633
Stockholder's equity		1,540,080		1,923,861		2,264,593		(4,152,602	)		1,575,932
TOTAL	$	4,694,415	$	7,429,620	$	13,711,528	$	(9,925,998	)	$	15,909,565

	Condensed Statements of Cash Flows for the Six Months Ended June 30, 2014
	CNH Industrial Capital LLC			Guarantor Entities			All Other Subsidiaries			Eliminations			Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES:
Net cash from (used in) operating activities	$	(408,899	)	$	(617,000	)	$	986,700		$	416,763		$	377,564
CASH FLOWS FROM INVESTING ACTIVITIES:
Cost of receivables acquired		—			(7,833,353	)		(8,054,568	)		6,422,415			(9,465,506	)
Collections of receivables		—			8,031,668			6,621,055			(6,421,219	)		8,231,504
Change in restricted cash		—			—			175,894			—			175,894
Purchase of equipment on operating leases, net		—			(230,967	)		(19,674	)		—			(250,641	)
Capital expenditures for property and equipment and software		—			(14	)		(6	)		—			(20	)
Net cash from (used in) investing activities		—			(32,666	)		(1,277,299	)		1,196			(1,308,769	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Intercompany activity		—			530,205			70,697			(417,959	)		182,943
Net change in indebtedness		498,899			(46,403	)		(153,149	)		—			299,347
Dividends paid to CNH Industrial America LLC		(90,000	)		—			—			—			(90,000	)
Net cash from (used in) financing activities		408,899			483,802			(82,452	)		(417,959	)		392,290
DECREASE IN CASH AND CASH EQUIVALENTS		—			(165,864	)		(373,051	)		—			(538,915	)
CASH AND CASH EQUIVALENTS:
Beginning of period		—			308,507			389,101			—			697,608
End of period	$	—		$	142,643		$	16,050		$	—		$	158,693

XML

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
ASSETS
Cash and cash equivalents	$ 412,773	$ 347,987
Restricted cash	614,936	858,825
Receivables, less allowance for credit losses of $96,953 and $95,542, respectively	12,276,196	12,789,027
Affiliated accounts and notes receivable	49,702	58,731
Equipment on operating leases, net	1,658,124	1,458,325
Equipment held for sale	173,876	129,700
Goodwill	110,968	112,851
Other intangible assets, net	7,801	8,355
Other assets	73,960	145,764
TOTAL	15,378,336	15,909,565
Liabilities:
Short-term debt (including current maturities of long-term debt)	4,579,772	4,632,208
Accounts payable and other accrued liabilities	705,835	645,941
Affiliated debt		862,445
Long-term debt	8,525,750	8,193,039
Total liabilities	$ 13,811,357	$ 14,333,633
Commitments and contingent liabilities (Note 10)
Stockholder's equity:
Member's capital
Paid-in capital	$ 843,625	$ 843,250
Accumulated other comprehensive income (loss)	(94,918)	(49,928)
Retained earnings	818,272	746,758
Total CNH Industrial Capital LLC stockholder's equity	1,566,979	1,540,080
Noncontrolling interest		35,852
Total stockholder's equity	1,566,979	1,575,932
TOTAL	$ 15,378,336	$ 15,909,565

XML

DEBT

6 Months Ended

Jun. 30, 2015

DEBT

DEBT

NOTE 5: DEBT

        On May 13, 2015, the Company, through a bankruptcy-remote trust, issued $999,645 of amortizing asset-backed notes secured by U.S. retail loan contracts.

        On May 20, 2015 the Company renewed a $500,000 U.S. wholesale committed asset-backed facility, with a maturity date of May 19, 2016.

        On June 26, 2015, the Company completed an offering of $600,000 in aggregate principal amount of its 3.875% unsecured notes due 2018, issued at a price of 99.642%.

        On June 29, 2015, the Company drew $100,000 on an existing revolving credit facility. The loan was repaid on July 6, 2015.

XML

RECEIVABLES

6 Months Ended

Jun. 30, 2015

RECEIVABLES

RECEIVABLES

NOTE 4: RECEIVABLES

        A summary of receivables included in the consolidated balance sheets as of June 30, 2015 and December 31, 2014 is as follows:

	June 30, 2015			December 31, 2014
Retail note receivables	$	621,947		$	902,016
Wholesale receivables		909,077			984,832
Finance lease receivables		36,848			43,061
Restricted receivables		10,805,277			10,954,660
Gross receivables		12,373,149			12,884,569
Less
Allowance for credit losses		(96,953	)		(95,542	)
Total receivables, net	$	12,276,196		$	12,789,027

Restricted Receivables and Securitization

        As part of its overall funding strategy, the Company periodically transfers certain financial receivables into VIEs that are special purpose entities ("SPEs") as part of its asset-backed securitization programs.

        SPEs utilized in the securitization programs differ from other entities included in the Company's consolidated financial statements because the assets they hold are legally isolated from the Company's assets. For bankruptcy analysis purposes, the Company has sold the receivables to the SPEs in a true sale and the SPEs are separate legal entities. Upon transfer of the receivables to the SPEs, the receivables and certain cash flows derived from them become restricted for use in meeting obligations to the SPEs' creditors. The SPEs have ownership of cash balances that also have restrictions for the benefit of the SPEs' investors. The Company's interests in the SPEs' receivables are subordinate to the interests of third-party investors. None of the receivables that are directly or indirectly sold or transferred in any of these transactions are available to pay the Company's creditors until all obligations of the SPE have been fulfilled or the receivables are removed from the SPE.

        The secured borrowings related to the restricted receivables are obligations that are payable as the receivables are collected. The following table summarizes the restricted receivables as of June 30, 2015 and December 31, 2014:

	June 30, 2015		December 31, 2014
Retail note receivables	$	7,763,669	$	7,798,882
Wholesale receivables		3,041,608		3,153,814
Finance lease receivables		—		1,964
Total	$	10,805,277	$	10,954,660

        Within the U.S. retail receivables securitization programs, qualifying retail receivables are sold to limited purpose, bankruptcy remote SPEs. In turn, these SPEs establish separate trusts to which the receivables are transferred in exchange for proceeds from asset backed securities issued by the trusts. In Canada, the receivables are transferred directly to the trusts. These trusts were determined to be VIEs. In its role as servicer, CNH Industrial Capital has the power to direct the trusts' activities. Through its retained interests, the Company has an obligation to absorb certain losses, or the right to receive certain benefits, that could potentially be significant to the trusts. Consequently, the Company has consolidated these retail trusts.

        With regard to the wholesale receivable securitization programs, the Company sells eligible receivables on a revolving basis to structured master trust facilities which are limited-purpose, bankruptcy-remote SPEs. These trusts were determined to be VIEs. In its role as servicer, CNH Industrial Capital has the power to direct the trusts' activities. Through its retained interests, the Company provides security to investors in the event that cash collections from the receivables are not sufficient to make principal and interest payments on the securities. Consequently, CNH Industrial Capital has consolidated these wholesale trusts.

Allowance for Credit Losses

        The allowance for credit losses is the Company's estimate of probable losses for receivables owned by the Company and consists of two components, depending on whether the receivable has been individually identified as being impaired. The first component of the allowance for credit losses covers the receivables specifically reviewed by management for which the Company has determined it is probable that it will not collect all the principal and interest payments as per the terms of the contract. Receivables are individually reviewed for impairment based on, among other items, amounts outstanding, days past due and prior collection history. These receivables are subject to impairment measurement at the loan level based either on the present value of expected future cash flows discounted at the receivables' effective interest rate or the fair value of the collateral for collateral-dependent receivables.

        The second component of the allowance for credit losses covers all receivables that have not been individually reviewed for impairment. The allowance for these receivables is based on aggregated portfolio evaluations, generally by financial product. The allowance for retail credit losses is based on loss forecast models that consider a variety of factors that include, but are not limited to, historical loss experience, collateral value, portfolio balance and delinquency. The allowance for wholesale credit losses is based on loss forecast models that consider the same factors as the retail models plus dealer risk ratings. The loss forecast models are updated on a quarterly basis. In addition, qualitative factors that are not fully captured in the loss forecast models, including industry trends, and macroeconomic factors are considered in the evaluation of the adequacy of the allowance for credit losses. These qualitative factors are subjective and require a degree of management judgment.

        Charge-offs of principal amounts of receivables outstanding are deducted from the allowance at the point when it is determined to be probable that all amounts due will not be collected

        The Company's allowance for credit losses is segregated into two portfolio segments: retail and wholesale. A portfolio segment is the level at which the Company develops a systematic methodology for determining its allowance for credit losses. The retail segment includes retail notes and finance lease receivables. The wholesale segment includes wholesale financing to CNH Industrial North America dealers. Prior to sale of its CRA portfolio to Citi, there was a third segment called other, which included the Company's CRA portfolio.

        Further, the Company evaluates its portfolio segments by class of receivable: United States and Canada. Typically, the Company's receivables within a geographic area have similar risk profiles and methods for assessing and monitoring risk. These classes align with management reporting.

        Allowance for credit losses activity for the three months ended June 30, 2015 is as follows:

	Retail			Wholesale			Total
Allowance for credit losses:
Beginning balance	$	86,472		$	6,605		$	93,077
Charge-offs		(4,045	)		(135	)		(4,180	)
Recoveries		698			7			705
Provision		7,432			(256	)		7,176
Foreign currency translation and other		122			53			175
Ending balance	$	90,679		$	6,274		$	96,953

        Allowance for credit losses activity for the six months ended June 30, 2015 is as follows:

	Retail			Wholesale			Total
Allowance for credit losses:
Beginning balance	$	88,697		$	6,845		$	95,542
Charge-offs		(9,714	)		(256	)		(9,970	)
Recoveries		1,130			14			1,144
Provision		11,377			(240	)		11,137
Foreign currency translation and other		(811	)		(89	)		(900	)
Ending balance	$	90,679		$	6,274		$	96,953
Ending balance: individually evaluated for impairment	$	17,591		$	2,533		$	20,124
Ending balance: collectively evaluated for impairment	$	73,088		$	3,741		$	76,829
Receivables:
Ending balance	$	8,422,464		$	3,950,685		$	12,373,149
Ending balance: individually evaluated for impairment	$	116,547		$	48,427		$	164,974
Ending balance: collectively evaluated for impairment	$	8,305,917		$	3,902,258		$	12,208,175

        Allowance for credit losses activity for the three months ended June 30, 2014 is as follows:

	Retail			Wholesale			Other			Total
Allowance for credit losses:
Beginning balance	$	85,794		$	7,651		$	6,975		$	100,420
Charge-offs		(3,239	)		(548	)		(1,486	)		(5,273	)
Recoveries		674			6			615			1,295
Provision		3,606			458			1,864			5,928
Foreign currency translation and other		(226	)		48			23			(155	)
Ending balance	$	86,609		$	7,615		$	7,991		$	102,215

        Allowance for credit losses activity for the six months ended June 30, 2014 is as follows:

	Retail			Wholesale			Other			Total
Allowance for credit losses:
Beginning balance	$	87,701		$	7,363		$	6,889		$	101,953
Charge-offs		(5,609	)		(799	)		(2,710	)		(9,118	)
Recoveries		1,255			55			1,151			2,461
Provision		3,753			974			2,661			7,388
Foreign currency translation and other		(491	)		22			—			(469	)
Ending balance	$	86,609		$	7,615		$	7,991		$	102,215
Ending balance: individually evaluated for impairment	$	10,731		$	4,112		$	—		$	14,843
Ending balance: collectively evaluated for impairment	$	75,878		$	3,503		$	7,991		$	87,372
Receivables:
Ending balance	$	8,669,831		$	4,567,991		$	266,891		$	13,504,713
Ending balance: individually evaluated for impairment	$	42,268		$	58,096		$	—		$	100,364
Ending balance: collectively evaluated for impairment	$	8,627,563		$	4,509,895		$	266,891		$	13,404,349

        Allowance for credit losses activity for the year ended December 31, 2014 is as follows:

	Retail			Wholesale			Other			Total
Allowance for credit losses:
Beginning balance	$	87,701		$	7,363		$	6,889		$	101,953
Charge-offs		(12,426	)		(804	)		(4,281	)		(17,511	)
Recoveries		2,941			514			2,000			5,455
Provision (benefit)		12,040			(133	)		2,217			14,124
Foreign currency translation and other		(1,559	)		(95	)		(6,825	)		(8,479	)
Ending balance	$	88,697		$	6,845		$	—		$	95,542
Ending balance: individually evaluated for impairment	$	12,736		$	3,329		$	—		$	16,065
Ending balance: collectively evaluated for impairment	$	75,961		$	3,516		$	—		$	79,477
Receivables:
Ending balance	$	8,745,923		$	4,138,646		$	—		$	12,884,569
Ending balance: individually evaluated for impairment	$	56,791		$	72,297		$	—		$	129,088
Ending balance: collectively evaluated for impairment	$	8,689,132		$	4,066,349		$	—		$	12,755,481

        Utilizing an internal credit scoring model, which considers customers' attributes, prior credit history and each retail transaction's attributes, the Company assigns a credit quality rating to each retail customer, by specific transaction, as part of the retail underwriting process. This rating is used in setting the terms on the transaction, including the interest rate. A description of the general characteristics of the customers' risk grades is as follows:

        Titanium—Customers from whom the Company expects no collection or loss activity.

        Platinum—Customers from whom the Company expects minimal, if any, collection or loss activity.

        Gold, Silver, Bronze—Customers defined as those with the potential for collection or loss activity.

        A breakdown of the retail portfolio by the customer's risk grade at the time of origination as of June 30, 2015 and December 31, 2014 is as follows:

	June 30, 2015		December 31, 2014
Titanium	$	4,710,279	$	4,866,060
Platinum		2,285,267		2,386,558
Gold		1,198,091		1,254,335
Silver		196,116		207,682
Bronze		32,711		31,288
Total	$	8,422,464	$	8,745,923

        As part of the ongoing monitoring of the credit quality of the wholesale portfolio, the Company utilizes an internal credit scoring model that assigns a risk grade for each dealer. The scoring model considers the strength of the dealer's financial condition and payment history. The Company considers the dealers' ratings in the quarterly credit allowance analysis. A description of the general characteristics of the dealer risk grades is as follows:

        Grades A and B—Includes receivables due from dealers that have significant capital strength, moderate leverage, stable earnings and growth, and excellent payment performance.

        Grade C—Includes receivables due from dealers with moderate credit risk. Dealers of this grade are differentiated from higher grades on a basis of leverage or payment performance.

        Grade D—Includes receivables due from dealers with additional credit risk. These dealers require additional monitoring due to their weaker financial condition or payment performance.

        A breakdown of the wholesale portfolio by its credit quality indicators as of June 30, 2015 and December 31, 2014 is as follows:

	June 30, 2015		December 31, 2014
A	$	1,687,122	$	2,117,160
B		1,718,002		1,572,953
C		389,098		315,825
D		156,463		132,708
Total	$	3,950,685	$	4,138,646

        The following tables present information at the level at which management assesses and monitors its credit risk. Receivables are considered past due if the required principal and interest payments have not been received as of the date such payments were due. Delinquency is reported on receivables greater than 30 days past due.

        The aging of receivables as of June 30, 2015 and December 31, 2014 is as follows:

	June 30, 2015
	31 - 60 Days Past Due		61 - 90 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Receivables		Recorded Investment > 90 Days and Accruing
Retail
United States	$	26,322	$	12,063	$	19,075	$	57,460	$	7,078,787	$	7,136,247	$	3,786
Canada	$	5,413	$	2,611	$	780	$	8,804	$	1,277,413	$	1,286,217	$	462
Wholesale
United States	$	269	$	45	$	21	$	335	$	3,220,713	$	3,221,048	$	—
Canada	$	93	$	2	$	164	$	259	$	729,378	$	729,637	$	—
Total
Retail	$	31,735	$	14,674	$	19,855	$	66,264	$	8,356,200	$	8,422,464	$	4,248
Wholesale	$	362	$	47	$	185	$	594	$	3,950,091	$	3,950,685	$	—

	December 31, 2014
	31 - 60 Days Past Due		61 - 90 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Receivables		Recorded Investment > 90 Days and Accruing
Retail
United States	$	27,846	$	8,584	$	15,884	$	52,314	$	7,296,162	$	7,348,476	$	5,480
Canada	$	2,721	$	268	$	397	$	3,386	$	1,394,061	$	1,397,447	$	171
Wholesale
United States	$	882	$	52	$	110	$	1,044	$	3,359,183	$	3,360,227	$	86
Canada	$	181	$	—	$	3	$	184	$	778,235	$	778,419	$	2
Total
Retail	$	30,567	$	8,852	$	16,281	$	55,700	$	8,690,223	$	8,745,923	$	5,651
Wholesale	$	1,063	$	52	$	113	$	1,228	$	4,137,418	$	4,138,646	$	88

        Impaired receivables are receivables for which the Company has determined it will not collect all the principal and interest payments as per the terms of the contract. As of June 30, 2015 and December 31, 2014, the Company's recorded investment in impaired receivables individually evaluated for impairment and the related unpaid principal balances and allowances are as follows:

	June 30, 2015						December 31, 2014
	Recorded Investment		Unpaid Principal Balance		Related Allowance		Recorded Investment		Unpaid Principal Balance		Related Allowance
With no related allowance recorded
Retail
United States	$	61,902	$	61,453	$	—	$	23,420	$	23,164	$	—
Canada	$	4,765	$	4,710	$	—	$	960	$	954	$	—
Wholesale
United States	$	24,791	$	24,791	$	—	$	—	$	—	$	—
Canada	$	—	$	—	$	—	$	11,790	$	11,790	$	—
With an allowance recorded
Retail
United States	$	48,849	$	47,500	$	17,323	$	31,945	$	31,029	$	12,607
Canada	$	1,031	$	1,011	$	268	$	466	$	459	$	129
Wholesale
United States	$	10,072	$	10,035	$	1,203	$	45,868	$	45,623	$	2,220
Canada	$	13,564	$	13,559	$	1,330	$	14,639	$	14,639	$	1,109
Total
Retail	$	116,547	$	114,674	$	17,591	$	56,791	$	55,606	$	12,736
Wholesale	$	48,427	$	48,385	$	2,533	$	72,297	$	72,052	$	3,329

        For the three months ended June 30, 2015 and 2014, the Company's average recorded investment in impaired receivables individually evaluated for impairment (based on a four-month average) and the related interest income recognized are as follows:

	2015				2014
	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
With no related allowance recorded
Retail
United States	$	58,704	$	839	$	13,683	$	120
Canada	$	4,832	$	95	$	—	$	—
Wholesale
United States	$	23,018	$	372	$	7,986	$	129
Canada	$	—	$	—	$	—	$	—
With an allowance recorded
Retail
United States	$	48,889	$	153	$	27,273	$	73
Canada	$	1,034	$	—	$	1,963	$	30
Wholesale
United States	$	10,379	$	169	$	25,891	$	125
Canada	$	14,130	$	153	$	28,591	$	130
Total
Retail	$	113,459	$	1,087	$	42,919	$	223
Wholesale	$	47,527	$	694	$	62,468	$	384

        For the six months ended June 30, 2015 and 2014, the Company's average recorded investment in impaired receivables individually evaluated for impairment (based on a seven-month average) and the related interest income recognized are as follows:

	2015				2014
	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
With no related allowance recorded
Retail
United States	$	58,457	$	1,609	$	13,717	$	222
Canada	$	4,884	$	190	$	—	$	—
Wholesale
United States	$	25,039	$	369	$	8,554	$	222
Canada	$	—	$	—	$	—	$	—
With an allowance recorded
Retail
United States	$	46,829	$	191	$	27,920	$	774
Canada	$	1,042	$	3	$	1,857	$	75
Wholesale
United States	$	9,940	$	323	$	24,747	$	242
Canada	$	14,036	$	269	$	28,916	$	351
Total
Retail	$	111,212	$	1,993	$	43,494	$	1,071
Wholesale	$	49,015	$	961	$	62,217	$	815

        Recognition of income is generally suspended when management determines that collection of future finance income is not probable or when an account becomes 120 days delinquent, whichever occurs first. Interest accrual is resumed if the receivable becomes contractually current and collection becomes probable. Previously suspended income is recognized at that time. The receivables on nonaccrual status as of June 30, 2015 and December 31, 2014 are as follows:

	June 30, 2015						December 31, 2014
	Retail		Wholesale		Total		Retail		Wholesale		Total
United States	$	45,223	$	10,035	$	55,258	$	22,512	$	45,623	$	68,135
Canada	$	1,039	$	13,559	$	14,598	$	280	$	15,368	$	15,648

Troubled Debt Restructurings

        A restructuring of a receivable constitutes a troubled debt restructuring ("TDR") when the lender grants a concession it would not otherwise consider to a borrower experiencing financial difficulties. As a collateral-based lender, the Company typically will repossess collateral in lieu of restructuring receivables. As such, for retail receivables, concessions are typically provided based on bankruptcy court proceedings. For wholesale receivables, concessions granted may include extended contract maturities, inclusion of interest-only periods, modification of a contractual interest rate to a below market interest rate and waiving of interest and principal.

        TDRs are reviewed along with other receivables as part of management's ongoing evaluation of the adequacy of the allowance for credit losses. The allowance for credit losses attributable to TDRs is based on the most probable source of repayment, which is normally the liquidation of collateral. In determining collateral value, the Company estimates the current fair market value of the equipment collateral and considers credit enhancements such as additional collateral and third-party guarantees.

        Before removing a receivable from TDR classification, a review of the borrower is conducted. If concerns exist about the future ability of the borrower to meet its obligations under the loans based on a credit review, the TDR classification is not removed from the receivable.

        As of June 30, 2015, the Company had approximately 622 retail and finance lease receivable contracts classified as TDRs, of which the pre-modification value was $18,149 and the post-modification value was $16,773. A court has determined the concession in 344 of these cases. The pre-modification value of these contracts was $5,857 and the post-modification value was $4,826. As of June 30, 2014, the Company had approximately 715 retail and finance lease receivable contracts classified as TDRs, of which the pre-modification value was $15,715 and the post-modification value was $13,765. A court has determined the concession in 475 of these cases. The pre-modification value of these contracts was $8,648 and the post-modification value was $7,072. As the outcome of the bankruptcy cases is determined by a court based on available assets, subsequent re-defaults are unusual and were not material for retail and finance lease receivable contracts that were modified in a TDR during the previous 12 months ended June 30, 2015 and 2014.

        As of June 30, 2015 and 2014, the Company's wholesale TDRs were immaterial.

XML

SEGMENT AND GEOGRAPHICAL INFORMATION (Tables)

6 Months Ended

Jun. 30, 2015

SEGMENT AND GEOGRAPHICAL INFORMATION

Summary of reportable segment information

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Revenues
United States	$	191,363		$	184,235		$	374,485		$	359,907
Canada		44,234			50,761			87,739			97,277
Eliminations		(1,056	)		(1,232	)		(2,097	)		(2,432	)
Total	$	234,541		$	233,764		$	460,127		$	454,752
Interest expense
United States	$	60,544		$	58,095		$	124,105		$	110,548
Canada		12,024			13,806			24,198			25,681
Eliminations		(1,056	)		(1,232	)		(2,097	)		(2,432	)
Total	$	71,512		$	70,669		$	146,206		$	133,797
Segment net income
United States	$	42,507		$	48,465		$	83,325		$	98,864
Canada		15,411			20,197			28,304			36,865
Total	$	57,918		$	68,662		$	111,629		$	135,729
Depreciation and amortization
United States	$	37,488		$	25,105		$	73,849		$	47,227
Canada		8,922			8,563			17,444			16,854
Total	$	46,410		$	33,668		$	91,293		$	64,081
Expenditures for equipment on operating leases
United States	$	198,286		$	201,980		$	419,365		$	333,427
Canada		55,084			34,221			79,328			55,462
Total	$	253,370		$	236,201		$	498,693		$	388,889
Provision for credit losses
United States	$	6,934		$	4,178		$	10,124		$	5,249
Canada		242			1,750			1,013			2,139
Total	$	7,176		$	5,928		$	11,137		$	7,388

	As of June 30, 2015			As of December 31, 2014
Segment assets
United States	$	13,214,282		$	13,430,826
Canada		2,559,323			2,693,008
Eliminations		(395,269	)		(214,269	)
Total	$	15,378,336		$	15,909,565
Managed receivables
United States	$	10,357,295		$	10,708,704
Canada		2,015,854			2,175,865
Total	$	12,373,149		$	12,884,569

XML

SUBSEQUENT EVENTS

6 Months Ended

Jun. 30, 2015

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS

NOTE 12: SUBSEQUENT EVENTS

        As of June 30, 2015, the Company had a $250,000 unsecured facility with a final maturity in July 2016, consisting of a $150,000 term loan and a $100,000 revolving credit facility, which was fully drawn. On July 6, 2015, the Company repaid the $100,000 revolving credit facility. On July 8, 2015, the Company terminated the revolving commitment and repaid the $150,000 term loan.

XML

SEGMENT AND GEOGRAPHICAL INFORMATION

6 Months Ended

Jun. 30, 2015

SEGMENT AND GEOGRAPHICAL INFORMATION

SEGMENT AND GEOGRAPHICAL INFORMATION

NOTE 8: SEGMENT AND GEOGRAPHICAL INFORMATION

        The Company's segment data is based on disclosure requirements of accounting guidance on segment reporting, which requires financial information be reported on the basis that is used internally for measuring segment performance. The Company's reportable segments are strategic business units that are organized around differences in geographic areas. Each segment is managed separately as they require different knowledge of regulatory environments and marketing strategies. The operating segments offer primarily the same services within each of the respective segments.

        A summary of the Company's reportable segment information is as follows:

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Revenues
United States	$	191,363		$	184,235		$	374,485		$	359,907
Canada		44,234			50,761			87,739			97,277
Eliminations		(1,056	)		(1,232	)		(2,097	)		(2,432	)
Total	$	234,541		$	233,764		$	460,127		$	454,752
Interest expense
United States	$	60,544		$	58,095		$	124,105		$	110,548
Canada		12,024			13,806			24,198			25,681
Eliminations		(1,056	)		(1,232	)		(2,097	)		(2,432	)
Total	$	71,512		$	70,669		$	146,206		$	133,797
Segment net income
United States	$	42,507		$	48,465		$	83,325		$	98,864
Canada		15,411			20,197			28,304			36,865
Total	$	57,918		$	68,662		$	111,629		$	135,729
Depreciation and amortization
United States	$	37,488		$	25,105		$	73,849		$	47,227
Canada		8,922			8,563			17,444			16,854
Total	$	46,410		$	33,668		$	91,293		$	64,081
Expenditures for equipment on operating leases
United States	$	198,286		$	201,980		$	419,365		$	333,427
Canada		55,084			34,221			79,328			55,462
Total	$	253,370		$	236,201		$	498,693		$	388,889
Provision for credit losses
United States	$	6,934		$	4,178		$	10,124		$	5,249
Canada		242			1,750			1,013			2,139
Total	$	7,176		$	5,928		$	11,137		$	7,388

	As of June 30, 2015			As of December 31, 2014
Segment assets
United States	$	13,214,282		$	13,430,826
Canada		2,559,323			2,693,008
Eliminations		(395,269	)		(214,269	)
Total	$	15,378,336		$	15,909,565
Managed receivables
United States	$	10,357,295		$	10,708,704
Canada		2,015,854			2,175,865
Total	$	12,373,149		$	12,884,569

XML

INCOME TAXES

6 Months Ended

Jun. 30, 2015

INCOME TAXES

INCOME TAXES

NOTE 6: INCOME TAXES

        The effective tax rates for the three months ended June 30, 2015 and 2014 were 34.6% and 32.2%, respectively. The effective tax rate was 34.6% for the six-month period ended June 30, 2015, compared to 33.2% for the same period in 2014. The increase in the effective rates was due to a favorable discrete tax benefit recognized in 2014. The Company's provision for income taxes is based on an estimated tax rate for the year applied to the year-to-date federal, state and foreign income. The 2015 estimated annual tax rate is expected to be lower than the U.S. federal corporate income tax rate of 35% primarily due to profits in tax jurisdictions with lower rates, including Canada.

XML

FINANCIAL INSTRUMENTS

6 Months Ended

Jun. 30, 2015

FINANCIAL INSTRUMENTS

FINANCIAL INSTRUMENTS

NOTE 7: FINANCIAL INSTRUMENTS

        The Company may elect to measure many financial instruments and certain other items at fair value. This fair value option must be applied on an instrument-by-instrument basis with changes in fair value reported in earnings. The election can be made at the acquisition of an eligible financial asset, financial liability, or firm commitment or when certain specified reconsideration events occur. The fair value election may not be revoked once made. The Company did not elect the fair value measurement option for eligible items.

Fair-Value Hierarchy

        U.S. GAAP specifies a hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company's internally-developed market assumptions. These two types of inputs have created the following fair-value hierarchy:

Level 1—Quoted prices for identical instruments in active markets.

Level 2—Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets.

Level 3—Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable.

        This hierarchy requires the use of observable market data when available.

Determination of Fair Value

        When available, the Company uses quoted market prices to determine fair value and classifies such items in Level 1. In some cases where a market price is not available, the Company will make use of observable market-based inputs to calculate fair value, in which case the items are classified in Level 2.

        If quoted or observable market prices are not available, fair value is based upon internally developed valuation techniques that use, where possible, current market-based or independently sourced market parameters such as interest rates, currency rates, or yield curves. Items valued using such internally generated valuation techniques are classified according to the lowest level input or value driver that is significant to the valuation. Thus, an item may be classified in Level 3 even though there may be some significant inputs that are readily observable.

        The following section describes the valuation methodologies used by the Company to measure various financial instruments at fair value, including an indication of the level in the fair value hierarchy in which each instrument is generally classified. Where appropriate, the description includes details of the valuation models and the key inputs to those models, as well as any significant assumptions.

Derivatives

        The Company utilizes derivative instruments to mitigate its exposure to interest rate and foreign currency exposures. Derivatives used as hedges are effective at reducing the risk associated with the exposure being hedged and are designated as a hedge at the inception of the derivative contract. The Company does not hold or issue derivative or other financial instruments for speculative purposes. The credit risk for the interest rate hedges is reduced through diversification among counterparties, utilizing mandatory termination clauses and/or collateral support agreements. Derivative instruments are generally classified in Level 2 or 3 of the fair value hierarchy. The cash flows underlying all derivative contracts were recorded in operating activities in the consolidated statements of cash flows.

Interest Rate Derivatives

        The Company has entered into interest rate derivatives in order to manage interest rate exposures arising in the normal course of business. Interest rate derivatives that have been designated in cash flow hedging relationships are being used by the Company to mitigate the risk of rising interest rates related to debt and anticipated issuance of fixed-rate debt in future periods. Gains and losses on these instruments, to the extent that the hedge relationship has been effective, are deferred in accumulated other comprehensive income (loss) and recognized in interest expense over the period in which the Company recognizes interest expense on the related debt. Ineffectiveness recognized related to these hedging relationships was not significant for the six months ended June 30, 2015 and 2014. These amounts are recorded in "Other expenses" in the consolidated statements of income. The maximum length of time over which the Company is hedging its interest rate exposure through the use of derivative instruments designated in cash flow hedge relationships is 49 months. The after-tax losses deferred in accumulated other comprehensive income (loss) that will be recognized in interest expense over the next 12 months are approximately $1,358.

        The Company also enters into interest rate derivatives with substantially similar economic terms that are not designated as hedging instruments to mitigate interest rate risk related to the Company's committed asset-backed facilities. These facilities require the Company to enter into interest rate derivatives. To ensure that these transactions do not result in the Company being exposed to this risk, the Company enters into an offsetting position. Unrealized and realized gains and losses resulting from fair value changes in these instruments are recognized directly in income and were insignificant for the three and six months ended June 30, 2015 and 2014.

        The Company's interest rate derivatives are considered Level 2. The fair market value of these derivatives is calculated using market data input for forecasted benchmark interest rates and can be compared to actively traded derivatives. If the future notional amount of the Company's interest rate derivatives is not known in advance, the derivatives are considered Level 3 derivatives. The fair market value of these derivatives is calculated using market data input and a forecasted future notional balance. The total notional amount of the Company's interest rate derivatives was approximately $2,279,323 and $3,457,267 at June 30, 2015 and December 31, 2014, respectively. The seven-month average notional amounts as of June 30, 2015 and 2014 were $3,117,683 and $2,954,996, respectively.

Foreign Exchange Contracts

        The Company uses forward contracts to hedge certain assets and liabilities denominated in foreign currencies. Such derivatives are considered economic hedges and are not designated as hedging instruments. The changes in the fair value of these instruments are recognized directly as income in "Other expenses" and are expected to offset the foreign exchange gains or losses on the exposures being managed.

        All of the Company's foreign exchange derivatives are considered Level 2 as the fair value is calculated using market data input and can be compared to actively traded derivatives.

Financial Statement Impact of the Company's Derivatives

        The fair values of the Company's derivatives as of June 30, 2015 and December 31, 2014 in the consolidated balance sheets are recorded as follows:

	June 30, 2015		December 31, 2014
Derivatives Designated as Hedging Instruments:
Other assets:
Interest rate derivatives	$	1,497	$	680
Accounts payable and other accrued liabilities:
Interest rate derivatives	$	1,352	$	212
Derivatives Not Designated as Hedging Instruments:
Other assets:
Interest rate derivatives	$	3,206	$	6,727
Foreign exchange contracts		—		136
Total	$	3,206	$	6,863
Accounts payable and other accrued liabilities:
Interest rate derivatives	$	3,206	$	6,727
Foreign exchange contracts		5		—
Total	$	3,211	$	6,727

        Pre-tax gains (losses) on the consolidated statements of income related to the Company's derivatives for the three and six months ended June 30, 2015 and 2014 are recorded in the following accounts:

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Cash Flow Hedges
Recognized in accumulated other comprehensive income (loss) (effective portion) Interest rate derivatives	$	276		$	(222	)	$	(2,518	)	$	(529	)
Reclassified from accumulated other comprehensive income (loss) (effective portion) Interest rate derivatives—Interest expense to third parties		(469	)		(1,503	)		(1,924	)		(2,854	)
Not Designated as Hedges
Foreign exchange contracts—Other expenses		5			24			(234	)		(126	)

Items Measured at Fair Value on a Recurring Basis

        The following table presents the Company's assets and liabilities that are measured at fair value on a recurring basis as of June 30, 2015 and December 31, 2014, all of which are classified as Level 2:

	June 30, 2015		December 31, 2014
Assets
Interest rate derivatives	$	4,703	$	7,407
Foreign exchange contracts		—		136
Total assets	$	4,703	$	7,543
Liabilities
Interest rate derivatives	$	4,558	$	6,939
Foreign exchange contracts		5		—
Total liabilities	$	4,563	$	6,939

        There were no transfers between Level 1, Level 2 and Level 3 hierarchy levels during the periods presented.

Fair Value of Other Financial Instruments

        The carrying amount of cash and cash equivalents, restricted cash, floating-rate affiliated accounts and notes receivable, floating-rate short-term debt, interest payable and short-term affiliated debt was assumed to approximate its fair value. Under the fair value hierarchy, cash and cash equivalents and restricted cash are classified as Level 1 and the remainder of the financial instruments listed is classified as Level 2.

Financial Instruments Not Carried at Fair Value

        The carrying amount and estimated fair value of assets and liabilities considered financial instruments as of June 30, 2015 and December 31, 2014 are as follows:

	June 30, 2015				December 31, 2014
	Carrying Amount		Estimated Fair Value *		Carrying Amount		Estimated Fair Value *
Receivables	$	12,276,196	$	12,251,364	$	12,789,027	$	12,854,705
Long-term debt	$	8,525,750	$	8,553,625	$	8,193,039	$	8,195,209

*           Under the fair value hierarchy, receivables measurements are classified as Level 3 and long-term debt measurements are classified as Level 2.

Financial Assets

        The fair value of receivables was determined by discounting the estimated future payments using a discount rate which includes an estimate for credit risk.

Financial Liabilities

        The fair values of long-term debt were based on current market quotes for identical or similar borrowings and credit risk.

XML

RELATED - PARTY TRANSACTIONS

6 Months Ended

Jun. 30, 2015

RELATED - PARTY TRANSACTIONS

RELATED-PARTY TRANSACTIONS

NOTE 9: RELATED-PARTY TRANSACTIONS

        The Company receives compensation from CNH Industrial North America for retail installment sales contracts and finance leases that were created under certain low-rate financing programs and interest waiver programs offered to customers by CNH Industrial North America. For selected operating leases, CNH Industrial North America compensates the Company for the difference between the market rental rates and the amount paid by the customer. Similarly, for selected wholesale receivables, CNH Industrial North America and other affiliates compensate the Company for the difference between market rates and the amount paid by the dealer. The Company is also compensated for lending funds to CNH Industrial North America and other affiliates for various purposes.

        The summary of sources included in "Interest and other income from affiliates" in the accompanying consolidated statements of income for the three and six months ended June 30, 2015 and 2014 is as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2015		2014		2015		2014
Subsidy received from CNH Industrial North America:
Retail	$	48,603	$	57,324	$	99,489	$	116,826
Wholesale		37,151		42,987		74,812		80,812
Operating lease		15,740		11,438		31,347		21,461
Total interest and other income from affiliates	$	101,494	$	111,749	$	205,648	$	219,099

        Fees charged by affiliates represent payroll and other human resource services CNH Industrial America performs on behalf of the Company.

        As of June 30, 2015 and December 31, 2014, the Company had various accounts and notes receivable and debt with the following affiliates:

	June 30, 2015		December 31, 2014
Affiliated receivables from:
CNH Industrial America	$	26,706	$	39,677
CNH Industrial Canada Ltd.		10,705		6,763
Other affiliates		12,291		12,291
Total affiliated receivables	$	49,702	$	58,731
Affiliated debt owed to:
CNH Industrial America	$	—	$	713,230
CNH Industrial Canada Ltd.		—		149,215
Total affiliated debt	$	—	$	862,445

        Included in "Other Assets" in the accompanying balance sheets were tax receivables due from related parties of $28,415 and $62,515, respectively, as of June 30, 2015 and December 31, 2014. Accounts payable and other accrued liabilities of $27,407 and $5,282, respectively, as of June 30, 2015 and December 31, 2014, were payable to related parties. Interest expense to affiliates was $6,456 and $7,895, respectively, for the three months ended June 30, 2015 and 2014 and $17,313 and $9,423, respectively, for the six months ended June 30, 2015 and 2014.

        In order to utilize the marketing channels for used equipment that exist in CNH Industrial Capital, $19,541 of inventory was transferred from CNH Industrial America at cost at December 31, 2014, of which $13,889 was included in "Equipment held for sale" in the accompanying consolidated balance sheets as of June 30, 2015.

        On March 31, 2015, CNH Industrial Capital Canada redeemed all of its outstanding shares of preferred stock for C$76,618 ($60,416). These shares earned dividends of 12-month LIBOR plus 1.2% per annum. Dividends were accrued and recorded in "Net income attributed to noncontrolling interest" in the consolidated statements of income. A dividend of C$668 ($551) was paid by CNH Industrial Capital Canada to CNH Industrial Canada Ltd. in March 2015, which represented all accrued and unpaid dividends on the preferred stock through the redemption date.

XML

DEBT (Details) - USD ($) $ in Thousands	Jun. 29, 2015	Jun. 26, 2015	May. 20, 2015	May. 13, 2015
U.S. wholesale committed asset-backed facility
Debt
Debt issued			$ 500,000
Committed Asset-Backed Facilities
Debt
Debt issued				$ 999,645
Revolving credit facilities
Debt
Amount drawn on revolving credit facility	$ 100,000
3.875% unsecured notes due 2018
Debt
Debt issued		$ 600,000
Interest rate (as a percent)		3.875%
Issue price of debt (as a percent)		99.642%

XML

RECEIVABLES (Tables)

6 Months Ended

Jun. 30, 2015

Receivables

Summary of receivables

	June 30, 2015			December 31, 2014
Retail note receivables	$	621,947		$	902,016
Wholesale receivables		909,077			984,832
Finance lease receivables		36,848			43,061
Restricted receivables		10,805,277			10,954,660
Gross receivables		12,373,149			12,884,569
Less
Allowance for credit losses		(96,953	)		(95,542	)
Total receivables, net	$	12,276,196		$	12,789,027

Summary of restricted receivables

	June 30, 2015		December 31, 2014
Retail note receivables	$	7,763,669	$	7,798,882
Wholesale receivables		3,041,608		3,153,814
Finance lease receivables		—		1,964
Total	$	10,805,277	$	10,954,660

Schedule of allowance for credit losses activity

        Allowance for credit losses activity for the three months ended June 30, 2015 is as follows:

	Retail			Wholesale			Total
Allowance for credit losses:
Beginning balance	$	86,472		$	6,605		$	93,077
Charge-offs		(4,045	)		(135	)		(4,180	)
Recoveries		698			7			705
Provision		7,432			(256	)		7,176
Foreign currency translation and other		122			53			175
Ending balance	$	90,679		$	6,274		$	96,953

        Allowance for credit losses activity for the six months ended June 30, 2015 is as follows:

	Retail			Wholesale			Total
Allowance for credit losses:
Beginning balance	$	88,697		$	6,845		$	95,542
Charge-offs		(9,714	)		(256	)		(9,970	)
Recoveries		1,130			14			1,144
Provision		11,377			(240	)		11,137
Foreign currency translation and other		(811	)		(89	)		(900	)
Ending balance	$	90,679		$	6,274		$	96,953
Ending balance: individually evaluated for impairment	$	17,591		$	2,533		$	20,124
Ending balance: collectively evaluated for impairment	$	73,088		$	3,741		$	76,829
Receivables:
Ending balance	$	8,422,464		$	3,950,685		$	12,373,149
Ending balance: individually evaluated for impairment	$	116,547		$	48,427		$	164,974
Ending balance: collectively evaluated for impairment	$	8,305,917		$	3,902,258		$	12,208,175

        Allowance for credit losses activity for the three months ended June 30, 2014 is as follows:

	Retail			Wholesale			Other			Total
Allowance for credit losses:
Beginning balance	$	85,794		$	7,651		$	6,975		$	100,420
Charge-offs		(3,239	)		(548	)		(1,486	)		(5,273	)
Recoveries		674			6			615			1,295
Provision		3,606			458			1,864			5,928
Foreign currency translation and other		(226	)		48			23			(155	)
Ending balance	$	86,609		$	7,615		$	7,991		$	102,215

        Allowance for credit losses activity for the six months ended June 30, 2014 is as follows:

	Retail			Wholesale			Other			Total
Allowance for credit losses:
Beginning balance	$	87,701		$	7,363		$	6,889		$	101,953
Charge-offs		(5,609	)		(799	)		(2,710	)		(9,118	)
Recoveries		1,255			55			1,151			2,461
Provision		3,753			974			2,661			7,388
Foreign currency translation and other		(491	)		22			—			(469	)
Ending balance	$	86,609		$	7,615		$	7,991		$	102,215
Ending balance: individually evaluated for impairment	$	10,731		$	4,112		$	—		$	14,843
Ending balance: collectively evaluated for impairment	$	75,878		$	3,503		$	7,991		$	87,372
Receivables:
Ending balance	$	8,669,831		$	4,567,991		$	266,891		$	13,504,713
Ending balance: individually evaluated for impairment	$	42,268		$	58,096		$	—		$	100,364
Ending balance: collectively evaluated for impairment	$	8,627,563		$	4,509,895		$	266,891		$	13,404,349

        Allowance for credit losses activity for the year ended December 31, 2014 is as follows:

	Retail			Wholesale			Other			Total
Allowance for credit losses:
Beginning balance	$	87,701		$	7,363		$	6,889		$	101,953
Charge-offs		(12,426	)		(804	)		(4,281	)		(17,511	)
Recoveries		2,941			514			2,000			5,455
Provision (benefit)		12,040			(133	)		2,217			14,124
Foreign currency translation and other		(1,559	)		(95	)		(6,825	)		(8,479	)
Ending balance	$	88,697		$	6,845		$	—		$	95,542
Ending balance: individually evaluated for impairment	$	12,736		$	3,329		$	—		$	16,065
Ending balance: collectively evaluated for impairment	$	75,961		$	3,516		$	—		$	79,477
Receivables:
Ending balance	$	8,745,923		$	4,138,646		$	—		$	12,884,569
Ending balance: individually evaluated for impairment	$	56,791		$	72,297		$	—		$	129,088
Ending balance: collectively evaluated for impairment	$	8,689,132		$	4,066,349		$	—		$	12,755,481

Schedule of aging of financing receivables

	June 30, 2015
	31 - 60 Days Past Due		61 - 90 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Receivables		Recorded Investment > 90 Days and Accruing
Retail
United States	$	26,322	$	12,063	$	19,075	$	57,460	$	7,078,787	$	7,136,247	$	3,786
Canada	$	5,413	$	2,611	$	780	$	8,804	$	1,277,413	$	1,286,217	$	462
Wholesale
United States	$	269	$	45	$	21	$	335	$	3,220,713	$	3,221,048	$	—
Canada	$	93	$	2	$	164	$	259	$	729,378	$	729,637	$	—
Total
Retail	$	31,735	$	14,674	$	19,855	$	66,264	$	8,356,200	$	8,422,464	$	4,248
Wholesale	$	362	$	47	$	185	$	594	$	3,950,091	$	3,950,685	$	—

	December 31, 2014
	31 - 60 Days Past Due		61 - 90 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Receivables		Recorded Investment > 90 Days and Accruing
Retail
United States	$	27,846	$	8,584	$	15,884	$	52,314	$	7,296,162	$	7,348,476	$	5,480
Canada	$	2,721	$	268	$	397	$	3,386	$	1,394,061	$	1,397,447	$	171
Wholesale
United States	$	882	$	52	$	110	$	1,044	$	3,359,183	$	3,360,227	$	86
Canada	$	181	$	—	$	3	$	184	$	778,235	$	778,419	$	2
Total
Retail	$	30,567	$	8,852	$	16,281	$	55,700	$	8,690,223	$	8,745,923	$	5,651
Wholesale	$	1,063	$	52	$	113	$	1,228	$	4,137,418	$	4,138,646	$	88

Schedule of recorded investment in impaired receivables and the related unpaid principal balances and allowances

	June 30, 2015						December 31, 2014
	Recorded Investment		Unpaid Principal Balance		Related Allowance		Recorded Investment		Unpaid Principal Balance		Related Allowance
With no related allowance recorded
Retail
United States	$	61,902	$	61,453	$	—	$	23,420	$	23,164	$	—
Canada	$	4,765	$	4,710	$	—	$	960	$	954	$	—
Wholesale
United States	$	24,791	$	24,791	$	—	$	—	$	—	$	—
Canada	$	—	$	—	$	—	$	11,790	$	11,790	$	—
With an allowance recorded
Retail
United States	$	48,849	$	47,500	$	17,323	$	31,945	$	31,029	$	12,607
Canada	$	1,031	$	1,011	$	268	$	466	$	459	$	129
Wholesale
United States	$	10,072	$	10,035	$	1,203	$	45,868	$	45,623	$	2,220
Canada	$	13,564	$	13,559	$	1,330	$	14,639	$	14,639	$	1,109
Total
Retail	$	116,547	$	114,674	$	17,591	$	56,791	$	55,606	$	12,736
Wholesale	$	48,427	$	48,385	$	2,533	$	72,297	$	72,052	$	3,329

Schedule of average recorded investment in impaired receivables and the related interest income recognized

        For the three months ended June 30, 2015 and 2014, the Company's average recorded investment in impaired receivables individually evaluated for impairment (based on a four-month average) and the related interest income recognized are as follows:

	2015				2014
	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
With no related allowance recorded
Retail
United States	$	58,704	$	839	$	13,683	$	120
Canada	$	4,832	$	95	$	—	$	—
Wholesale
United States	$	23,018	$	372	$	7,986	$	129
Canada	$	—	$	—	$	—	$	—
With an allowance recorded
Retail
United States	$	48,889	$	153	$	27,273	$	73
Canada	$	1,034	$	—	$	1,963	$	30
Wholesale
United States	$	10,379	$	169	$	25,891	$	125
Canada	$	14,130	$	153	$	28,591	$	130
Total
Retail	$	113,459	$	1,087	$	42,919	$	223
Wholesale	$	47,527	$	694	$	62,468	$	384

        For the six months ended June 30, 2015 and 2014, the Company's average recorded investment in impaired receivables individually evaluated for impairment (based on a seven-month average) and the related interest income recognized are as follows:

	2015				2014
	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
With no related allowance recorded
Retail
United States	$	58,457	$	1,609	$	13,717	$	222
Canada	$	4,884	$	190	$	—	$	—
Wholesale
United States	$	25,039	$	369	$	8,554	$	222
Canada	$	—	$	—	$	—	$	—
With an allowance recorded
Retail
United States	$	46,829	$	191	$	27,920	$	774
Canada	$	1,042	$	3	$	1,857	$	75
Wholesale
United States	$	9,940	$	323	$	24,747	$	242
Canada	$	14,036	$	269	$	28,916	$	351
Total
Retail	$	111,212	$	1,993	$	43,494	$	1,071
Wholesale	$	49,015	$	961	$	62,217	$	815

Schedule of receivables on nonaccrual status

	June 30, 2015						December 31, 2014
	Retail		Wholesale		Total		Retail		Wholesale		Total
United States	$	45,223	$	10,035	$	55,258	$	22,512	$	45,623	$	68,135
Canada	$	1,039	$	13,559	$	14,598	$	280	$	15,368	$	15,648

Retail

Receivables

Schedule of breakdown of the portfolio by its credit quality indicators

	June 30, 2015		December 31, 2014
Titanium	$	4,710,279	$	4,866,060
Platinum		2,285,267		2,386,558
Gold		1,198,091		1,254,335
Silver		196,116		207,682
Bronze		32,711		31,288
Total	$	8,422,464	$	8,745,923

Wholesale

Receivables

Schedule of breakdown of the portfolio by its credit quality indicators

	June 30, 2015		December 31, 2014
A	$	1,687,122	$	2,117,160
B		1,718,002		1,572,953
C		389,098		315,825
D		156,463		132,708
Total	$	3,950,685	$	4,138,646

XML

ACCUMULATED OTHER COMPREHENSIVE INCOME (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Mar. 31, 2015	Dec. 31, 2014	Mar. 31, 2014	Dec. 31, 2013
Changes in accumulated other comprehensive income by component
Beginning balance, gross					$ (117,827)	$ (53,584)	$ (22,847)	$ 1,404
Tax asset (liability)					3,860	3,656	4,376	4,668
Beginning balance, net of tax	$ (113,967)	$ (18,471)	$ (49,928)	$ 6,072
Other comprehensive income (loss) before reclassifications	18,666	23,187	(47,215)	(2,167)
Amounts reclassified from accumulated other comprehensive income (loss)	652	1,611	2,290	2,714
Tax effects	(269)	(517)	(65)	(809)
Total other comprehensive income (loss)	19,049	24,281	(44,990)	(262)
Ending balance	(94,918)	5,810	(94,918)	5,810
Currency Translation Adjustment
Changes in accumulated other comprehensive income by component
Beginning balance, gross					(106,128)	(43,060)	(10,285)	14,762
Beginning balance, net of tax	(106,128)	(10,285)	(43,060)	14,762
Other comprehensive income (loss) before reclassifications	18,471	23,409	(44,597)	(1,638)
Total other comprehensive income (loss)	18,471	23,409	(44,597)	(1,638)
Ending balance	(87,657)	13,124	(87,657)	13,124
Pension Liability
Changes in accumulated other comprehensive income by component
Beginning balance, gross					(6,261)	(6,425)	(5,751)	(5,891)
Tax asset (liability)					2,286	2,341	2,099	2,149
Beginning balance, net of tax	(3,975)	(3,652)	(4,084)	(3,742)
Other comprehensive income (loss) before reclassifications	(81)		(100)
Amounts reclassified from accumulated other comprehensive income (loss)	183	108	366	248
Tax effects	(38)	(41)	(93)	(91)
Total other comprehensive income (loss)	64	67	173	157
Ending balance	(3,911)	(3,585)	(3,911)	(3,585)
Unrealized Gains on Retained Interests
Changes in accumulated other comprehensive income by component
Beginning balance, gross								388
Tax asset (liability)								(144)
Beginning balance, net of tax				244
Amounts reclassified from accumulated other comprehensive income (loss)				(388)
Tax effects				144
Total other comprehensive income (loss)				(244)
Unrealized losses on derivatives
Changes in accumulated other comprehensive income by component
Beginning balance, gross					(5,438)	(4,099)	(6,811)	(7,855)
Tax asset (liability)					$ 1,574	$ 1,315	$ 2,277	$ 2,663
Beginning balance, net of tax	(3,864)	(4,534)	(2,784)	(5,192)
Other comprehensive income (loss) before reclassifications	276	(222)	(2,518)	(529)
Amounts reclassified from accumulated other comprehensive income (loss)	469	1,503	1,924	2,854
Tax effects	(231)	(476)	28	(862)
Total other comprehensive income (loss)	514	805	(566)	1,463
Ending balance	$ (3,350)	$ (3,729)	$ (3,350)	$ (3,729)

XML

RELATED PARTY TRANSACTIONS (Details) CAD in Thousands, $ in Thousands	1 Months Ended		3 Months Ended		6 Months Ended		12 Months Ended
	Mar. 31, 2015 CAD	Mar. 31, 2015 USD ($)	Jun. 30, 2015 USD ($)	Jun. 30, 2014 USD ($)	Jun. 30, 2015 USD ($)	Jun. 30, 2014 USD ($)	Dec. 31, 2014 USD ($)
RELATED-PARTY TRANSACTIONS
Total interest and other income from affiliates			$ 101,494	$ 111,749	$ 205,648	$ 219,099
Affiliated receivables			49,702		49,702		$ 58,731
Affiliated debt							862,445
Tax receivable due from related party					28,415		62,515
Other information
Accounts payable and other accrued liabilities payable to related parties			27,407		27,407		5,282
Assets Held-for-sale, Current			173,876		173,876		129,700
Interest expense to related affiliates			6,456	7,895	17,313	9,423
Preferred stock redemption amount					60,416
Dividends paid to CNH Industrial Canada Ltd.					551
CNH Industrial North America
RELATED-PARTY TRANSACTIONS
Retail			48,603	57,324	99,489	116,826
Wholesale			37,151	42,987	74,812	80,812
Operating lease			15,740	$ 11,438	31,347	$ 21,461
CNH Industrial America LLC
RELATED-PARTY TRANSACTIONS
Affiliated receivables			26,706		26,706		39,677
Affiliated debt							713,230
Other information
Assets Held-for-sale, Current			13,889		13,889		19,541
CNH Industrial Canada LLC
RELATED-PARTY TRANSACTIONS
Affiliated receivables			$ 10,705		$ 10,705		6,763
Affiliated debt							149,215
CNH Industrial Canada LLC | CNH Industrial Capital Canada Ltd
Other information
Shares of preferred stock redeemed by affiliated entity (as a percent)			100.00%
Preferred stock redemption amount	CAD 76,618	$ 60,416
Reference rate for dividends					12-month LIBOR
Margin on reference rate for dividends (as a percent)			1.20%		1.20%
Dividends paid to CNH Industrial Canada Ltd.	CAD 668	$ 551
Other affiliates
RELATED-PARTY TRANSACTIONS
Affiliated receivables			$ 12,291		$ 12,291		$ 12,291

XML

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Allowance for credit losses	$ 96,953	$ 95,542
Restricted cash	614,936	858,825
Receivables, less allowance for credit losses of $81,667 and $78,960, respectively	12,276,196	12,789,027
Equipment on operating leases, net	1,658,124	1,458,325
TOTAL	15,378,336	15,909,565
Short-term debt (including current maturities of long-term debt)	4,579,772	4,632,208
Long-term debt	8,525,750	8,193,039
Total liabilities	13,811,357	14,333,633
Consolidated variable interest entities ("VIEs")
Allowance for credit losses	81,667	78,960
Restricted cash	614,835	858,725
Receivables, less allowance for credit losses of $81,667 and $78,960, respectively	9,215,112	9,266,204
Equipment on operating leases, net		83,195
TOTAL	9,829,947	10,208,124
Short-term debt (including current maturities of long-term debt)	3,829,772	3,853,058
Long-term debt	5,478,796	5,839,213
Total liabilities	$ 9,308,568	$ 9,692,271

XML

ACCUMULATED OTHER COMPREHENSIVE INCOME

6 Months Ended

Jun. 30, 2015

ACCUMULATED OTHER COMPREHENSIVE INCOME

ACCUMULATED OTHER COMPREHENSIVE INCOME

NOTE 3: ACCUMULATED OTHER COMPREHENSIVE INCOME

        Accumulated other comprehensive income ("AOCI") is comprised of net income and other adjustments, including foreign currency translation adjustments, pension plan adjustments, changes in fair value of the retained interests in the off-book retail transactions and changes in the fair value of certain derivative financial instruments qualifying as cash flow hedges. The Company does not provide income taxes on currency translation adjustments ("CTA"), as the historical earnings from the Company's foreign subsidiaries are considered to be permanently reinvested. If current year earnings are repatriated, the amount to be repatriated is determined in U.S. dollars and converted to the equivalent amount of foreign currency at the time of repatriation; therefore, the repatriation of current year earnings will not have an impact on the CTA component of the Company's AOCI balance.

        The following table summarizes the change in the components of the Company's AOCI balance and related tax effects for the three months ended June 30, 2015:

	Currency Translation Adjustment			Pension Liability			Unrealized Losses on Derivatives			Total
Beginning balance, gross	$	(106,128	)	$	(6,261	)	$	(5,438	)	$	(117,827	)
Tax asset (liability)		—			2,286			1,574			3,860
Beginning balance, net of tax		(106,128	)		(3,975	)		(3,864	)		(113,967	)
Other comprehensive income (loss) before reclassifications		18,471			(81	)		276			18,666
Amounts reclassified from accumulated other comprehensive income (loss)		—			183			469			652
Tax effects		—			(38	)		(231	)		(269	)
Net current-period other comprehensive income (loss)		18,471			64			514			19,049
BALANCE at June 30, 2015	$	(87,657	)	$	(3,911	)	$	(3,350	)	$	(94,918	)

        The following table summarizes the change in the components of the Company's AOCI balance and related tax effects for the six months ended June 30, 2015:

	Currency Translation Adjustment			Pension Liability			Unrealized Losses on Derivatives			Total
Beginning balance, gross	$	(43,060	)	$	(6,425	)	$	(4,099	)	$	(53,584	)
Tax asset (liability)		—			2,341			1,315			3,656
Beginning balance, net of tax		(43,060	)		(4,084	)		(2,784	)		(49,928	)
Other comprehensive income (loss) before reclassifications		(44,597	)		(100	)		(2,518	)		(47,215	)
Amounts reclassified from accumulated other comprehensive income (loss)		—			366			1,924			2,290
Tax effects		—			(93	)		28			(65	)
Net current-period other comprehensive income (loss)		(44,597	)		173			(566	)		(44,990	)
BALANCE at June 30, 2015	$	(87,657	)	$	(3,911	)	$	(3,350	)	$	(94,918	)

        The following table summarizes the change in the components of the Company's AOCI balance and related tax effects for the three months ended June 30, 2014:

	Currency Translation Adjustment			Pension Liability			Unrealized Losses on Derivatives			Total
Beginning balance, gross	$	(10,285	)	$	(5,751	)	$	(6,811	)	$	(22,847	)
Tax asset (liability)		—			2,099			2,277			4,376
Beginning balance, net of tax		(10,285	)		(3,652	)		(4,534	)		(18,471	)
Other comprehensive income (loss) before reclassifications		23,409			—			(222	)		23,187
Amounts reclassified from accumulated other comprehensive income (loss)		—			108			1,503			1,611
Tax effects		—			(41	)		(476	)		(517	)
Net current-period other comprehensive income (loss)		23,409			67			805			24,281
BALANCE at June 30, 2014	$	13,124		$	(3,585	)	$	(3,729	)	$	5,810

        The following table summarizes the change in the components of the Company's AOCI balance and related tax effects for the six months ended June 30, 2014:

	Currency Translation Adjustment			Pension Liability			Unrealized Gains on Retained Interests			Unrealized Losses on Derivatives			Total
Beginning balance, gross	$	14,762		$	(5,891	)	$	388		$	(7,855	)	$	1,404
Tax asset (liability)		—			2,149			(144	)		2,663			4,668
Beginning balance, net of tax		14,762			(3,742	)		244			(5,192	)		6,072
Other comprehensive income (loss) before reclassifications		(1,638	)		—			—			(529	)		(2,167	)
Amounts reclassified from accumulated other comprehensive income (loss)		—			248			(388	)		2,854			2,714
Tax effects		—			(91	)		144			(862	)		(809	)
Net current-period other comprehensive income (loss)		(1,638	)		157			(244	)		1,463			(262	)
BALANCE at June 30, 2014	$	13,124		$	(3,585	)	$	—		$	(3,729	)	$	5,810

        The reclassifications out of AOCI and the location on the consolidated statements of income for the three and six months ended June 30, 2015 and 2014 are as follows:

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014			Affected Line Item
Amortization of defined benefit pension items:
	$	(183	)	$	(108	)	$	(366	)	$	(248	)	Insignificant items
		(183	)		(108	)		(366	)		(248	)	Income before taxes
		67			41			128			91		Income tax benefit
	$	(116	)	$	(67	)	$	(238	)	$	(157	)	Net of tax
Unrealized gains on retained interests:
	$	—		$	—		$	—		$	388		Insignificant items
		—			—			—			388		Income before taxes
		—			—			—			(144	)	Income tax provision
	$	—		$	—		$	—		$	244		Net of tax
Unrealized losses on derivatives:
	$	(469	)	$	(1,503	)	$	(1,924	)	$	(2,854	)	Interest expense to third parties
		(469	)		(1,503	)		(1,924	)		(2,854	)	Income before taxes
		156			536			639			1,003		Income tax benefit
	$	(313	)	$	(967	)	$	(1,285	)	$	(1,851	)	Net of tax

XML

ACCUMULATED OTHER COMPREHENSIVE INCOME (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Reclassifications out of accumulated other comprehensive income and the location on the consolidated statements of income
Interest expense to third parties	$ (65,056)	$ (62,774)	$ (128,893)	$ (124,374)
Income before taxes	88,591	101,260	170,577	203,134
Income tax (benefit) provision	(30,673)	(32,598)	(58,948)	(67,405)
Net income	57,918	68,662	111,629	135,729
Pension Liability | Amounts Reclassified from AOCI
Reclassifications out of accumulated other comprehensive income and the location on the consolidated statements of income
Insignificant items	(183)	(108)	(366)	(248)
Income before taxes	(183)	(108)	(366)	(248)
Income tax (benefit) provision	67	41	128	91
Net income	(116)	(67)	(238)	(157)
Unrealized Gains on Retained Interests | Amounts Reclassified from AOCI
Reclassifications out of accumulated other comprehensive income and the location on the consolidated statements of income
Insignificant items				388
Income before taxes				388
Income tax (benefit) provision				(144)
Net income				244
Unrealized losses on derivatives | Amounts Reclassified from AOCI
Reclassifications out of accumulated other comprehensive income and the location on the consolidated statements of income
Interest expense to third parties	(469)	(1,503)	(1,924)	(2,854)
Income before taxes	(469)	(1,503)	(1,924)	(2,854)
Income tax (benefit) provision	156	536	639	1,003
Net income	$ (313)	$ (967)	$ (1,285)	$ (1,851)

XML

FINANCIAL INSTRUMENTS (Details 3) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Assets
Foreign exchange contracts		$ 136
Liabilities
Foreign exchange contracts	$ 5
Assets transferred between Level 1, Level 2 and Level 3	0	0
Liabilities transferred between Level 1, Level 2 and Level 3	0	0
Recurring | Level 2
Assets
Interest rate derivatives	4,703	7,407
Foreign exchange contracts		136
Total assets	4,703	7,543
Liabilities
Interest rate derivatives	4,558	6,939
Foreign exchange contracts	5
Total liabilities	$ 4,563	$ 6,939

XML

ACCUMULATED OTHER COMPREHENSIVE INCOME (Tables)

6 Months Ended

Jun. 30, 2015

ACCUMULATED OTHER COMPREHENSIVE INCOME

Schedule of changes in the components of AOCI and related tax effects

        The following table summarizes the change in the components of the Company's AOCI balance and related tax effects for the three months ended June 30, 2015:

	Currency Translation Adjustment			Pension Liability			Unrealized Losses on Derivatives			Total
Beginning balance, gross	$	(106,128	)	$	(6,261	)	$	(5,438	)	$	(117,827	)
Tax asset (liability)		—			2,286			1,574			3,860
Beginning balance, net of tax		(106,128	)		(3,975	)		(3,864	)		(113,967	)
Other comprehensive income (loss) before reclassifications		18,471			(81	)		276			18,666
Amounts reclassified from accumulated other comprehensive income (loss)		—			183			469			652
Tax effects		—			(38	)		(231	)		(269	)
Net current-period other comprehensive income (loss)		18,471			64			514			19,049
BALANCE at June 30, 2015	$	(87,657	)	$	(3,911	)	$	(3,350	)	$	(94,918	)

        The following table summarizes the change in the components of the Company's AOCI balance and related tax effects for the six months ended June 30, 2015:

	Currency Translation Adjustment			Pension Liability			Unrealized Losses on Derivatives			Total
Beginning balance, gross	$	(43,060	)	$	(6,425	)	$	(4,099	)	$	(53,584	)
Tax asset (liability)		—			2,341			1,315			3,656
Beginning balance, net of tax		(43,060	)		(4,084	)		(2,784	)		(49,928	)
Other comprehensive income (loss) before reclassifications		(44,597	)		(100	)		(2,518	)		(47,215	)
Amounts reclassified from accumulated other comprehensive income (loss)		—			366			1,924			2,290
Tax effects		—			(93	)		28			(65	)
Net current-period other comprehensive income (loss)		(44,597	)		173			(566	)		(44,990	)
BALANCE at June 30, 2015	$	(87,657	)	$	(3,911	)	$	(3,350	)	$	(94,918	)

        The following table summarizes the change in the components of the Company's AOCI balance and related tax effects for the three months ended June 30, 2014:

	Currency Translation Adjustment			Pension Liability			Unrealized Losses on Derivatives			Total
Beginning balance, gross	$	(10,285	)	$	(5,751	)	$	(6,811	)	$	(22,847	)
Tax asset (liability)		—			2,099			2,277			4,376
Beginning balance, net of tax		(10,285	)		(3,652	)		(4,534	)		(18,471	)
Other comprehensive income (loss) before reclassifications		23,409			—			(222	)		23,187
Amounts reclassified from accumulated other comprehensive income (loss)		—			108			1,503			1,611
Tax effects		—			(41	)		(476	)		(517	)
Net current-period other comprehensive income (loss)		23,409			67			805			24,281
BALANCE at June 30, 2014	$	13,124		$	(3,585	)	$	(3,729	)	$	5,810

        The following table summarizes the change in the components of the Company's AOCI balance and related tax effects for the six months ended June 30, 2014:

	Currency Translation Adjustment			Pension Liability			Unrealized Gains on Retained Interests			Unrealized Losses on Derivatives			Total
Beginning balance, gross	$	14,762		$	(5,891	)	$	388		$	(7,855	)	$	1,404
Tax asset (liability)		—			2,149			(144	)		2,663			4,668
Beginning balance, net of tax		14,762			(3,742	)		244			(5,192	)		6,072
Other comprehensive income (loss) before reclassifications		(1,638	)		—			—			(529	)		(2,167	)
Amounts reclassified from accumulated other comprehensive income (loss)		—			248			(388	)		2,854			2,714
Tax effects		—			(91	)		144			(862	)		(809	)
Net current-period other comprehensive income (loss)		(1,638	)		157			(244	)		1,463			(262	)
BALANCE at June 30, 2014	$	13,124		$	(3,585	)	$	—		$	(3,729	)	$	5,810

Schedule of reclassifications out of AOCI and the location on the consolidated statements of income

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014			Affected Line Item
Amortization of defined benefit pension items:
	$	(183	)	$	(108	)	$	(366	)	$	(248	)	Insignificant items
		(183	)		(108	)		(366	)		(248	)	Income before taxes
		67			41			128			91		Income tax benefit
	$	(116	)	$	(67	)	$	(238	)	$	(157	)	Net of tax
Unrealized gains on retained interests:
	$	—		$	—		$	—		$	388		Insignificant items
		—			—			—			388		Income before taxes
		—			—			—			(144	)	Income tax provision
	$	—		$	—		$	—		$	244		Net of tax
Unrealized losses on derivatives:
	$	(469	)	$	(1,503	)	$	(1,924	)	$	(2,854	)	Interest expense to third parties
		(469	)		(1,503	)		(1,924	)		(2,854	)	Income before taxes
		156			536			639			1,003		Income tax benefit
	$	(313	)	$	(967	)	$	(1,285	)	$	(1,851	)	Net of tax