OTHER LIABILITIES

3 Months Ended

Mar. 31, 2021

Other Liabilities Disclosure [Abstract]

OTHER LIABILITIES

OTHER LIABILITIES

A summary of Other liabilities as of March 31, 2021 and December 31, 2020 is as follows:

	March 31, 2021		December 31, 2020
	(in millions)
Advances on buy-back agreements	$	1,154	$	1,355
Warranty and campaign programs	997		995
Marketing and sales incentive programs	1,313		1,324
Tax payables	711		654
Accrued expenses and deferred income	673		672
Accrued employee benefits	643		681
Lease liabilities	428		453
Legal reserves and other provisions	325		332
Contract reserve	388		389
Contract liabilities(1)	1,332		1,381
Restructuring reserve	69		76
Other	1,065		1,100
Total	$	9,098	$	9,412

(1)Contract liabilities include $709 million and $740 million at March 31, 2021 and December 31, 2020, respectively, for future rents related to buy-back agreements.

Warranty and Campaign Programs

CNH Industrial pays for basic warranty and other service action costs. A summary of recorded activity for the three months ended March 31, 2021 and 2020 for the basic warranty and accruals for campaign programs are as follows:

	Three Months Ended March 31,
	2021		2020
	(in millions)
Balance at beginning of period	$	995	$	919
Current year additions	202		184
Claims paid	(164)		(169)
Currency translation adjustment and other	(36)		(47)
Balance at end of period	$	997	$	887

Restructuring Expense

The Company incurred restructuring expenses of $2 million and $5 million during the three months ended March 31, 2021 and 2020, respectively.