We monitor the credit quality of Receivables based on delinquency status, defined as follows:

Accrued finance income and lease revenue reversed on non-performing Receivables, and finance income and lease revenue recognized from cash payments on non-performing Receivables were as follows:

Total Receivable balances represent principal plus accrued interest. Receivable balances are written off to the allowance for credit losses when, in the judgment of management, they are considered uncollectible. Write-offs generally occur when Customer Receivables are 120 days delinquent, and on a case-by-case basis when wholesale receivables are 60 days delinquent. In these situations, collateral is repossessed (for collateral-dependent Receivables) or the account is designated for litigation, and the estimated uncollectible amount is written off to the allowance for credit losses.

The credit quality and aging analysis of Customer Receivables by year of origination was as follows:


	January 26, 2025
	2025		2024		2023		2022		2021		Prior Years		Revolving Charge Accounts		Total
Customer Receivables:
Agriculture and turf
Current	$	2,152.3	$	11,464.4	$	6,777.2	$	4,157.4	$	2,226.8	$	832.9	$	2,948.5	$	30,559.5
30-59 days past due		7.5		101.9		81.8		45.3		23.6		10.8		125.7		396.6
60-89 days past due		.3		38.4		33.0		17.2		9.3		4.6		23.3		126.1
90+ days past due				2.2		.8		.3		3.4		.4				7.1
Non-performing				42.1		112.8		74.5		40.0		30.2		14.1		313.7
Construction and forestry
Current		803.9		2,392.2		1,381.0		742.0		292.8		59.3		99.6		5,770.8
30-59 days past due		6.5		65.1		37.5		24.4		10.2		2.3		5.3		151.3
60-89 days past due				26.8		17.1		9.5		4.0		1.3		2.5		61.2
90+ days past due				.8		.1		.2				.2				1.3
Non-performing				61.4		93.7		53.5		32.3		13.5		1.2		255.6
Total Customer Receivables	$	2,970.5	$	14,195.3	$	8,535.0	$	5,124.3	$	2,642.4	$	955.5	$	3,220.2	$	37,643.2

Write-offs for the three months ended January 26, 2025:
Agriculture and turf			$	4.5	$	8.4	$	4.8	$	1.6	$	2.2	$	10.0	$	31.5
Construction and forestry				7.8		7.5		3.9		1.3		.4		2.5		23.4
Total			$	12.3	$	15.9	$	8.7	$	2.9	$	2.6	$	12.5	$	54.9


	October 27, 2024
	2024		2023		2022		2021		2020		Prior Years		Revolving Charge Accounts		Total
Customer Receivables:
Agriculture and turf
Current	$	12,957.7	$	7,528.9	$	4,715.5	$	2,633.1	$	915.6	$	232.8	$	4,351.5	$	33,335.1
30-59 days past due		39.5		93.3		49.2		25.2		10.6		3.6		39.2		260.6
60-89 days past due		18.4		43.7		16.7		8.8		7.0		1.9		12.3		108.8
90+ days past due		.4		.9		.3		2.2		.2						4.0
Non-performing		22.2		84.9		69.9		40.4		18.4		11.7		13.9		261.4
Construction and forestry
Current		2,636.0		1,564.0		893.1		380.1		83.2		41.9		114.2		5,712.5
30-59 days past due		49.4		41.3		23.2		9.8		2.5		1.5		4.0		131.7
60-89 days past due		20.0		23.5		8.2		5.8		1.5		.3		1.8		61.1
90+ days past due		.4		.5		.1		.2		.2						1.4
Non-performing		38.2		89.4		64.5		30.6		8.5		3.8		1.9		236.9
Total Customer Receivables	$	15,782.2	$	9,470.4	$	5,840.7	$	3,136.2	$	1,047.7	$	297.5	$	4,538.8	$	40,113.5

Write-offs for the twelve months ended October 27, 2024:
Agriculture and turf	$	4.0	$	29.2	$	23.5	$	10.3	$	9.9	$	3.1	$	86.0	$	166.0
Construction and forestry		8.2		33.4		23.4		10.3		4.7		2.5		7.8		90.3
Total	$	12.2	$	62.6	$	46.9	$	20.6	$	14.6	$	5.6	$	93.8	$	256.3


	January 28, 2024
	2024		2023		2022		2021		2020		Prior Years		Revolving Charge Accounts		Total
Customer Receivables:
Agriculture and turf
Current	$	2,740.5	$	11,557.0	$	6,550.6	$	3,954.2	$	1,692.4	$	667.3	$	2,719.3	$	29,881.3
30-59 days past due		4.5		105.0		58.5		40.8		18.8		10.0		69.7		307.3
60-89 days past due		.5		45.9		19.3		12.7		6.1		4.3		15.8		104.6
90+ days past due				1.1		.5		3.0		4.4		.3				9.3
Non-performing		.3		39.1		78.6		48.7		26.9		24.8		10.4		228.8
Construction and forestry
Current		677.8		2,156.0		1,400.8		716.3		216.8		94.0		101.2		5,362.9
30-59 days past due		7.2		64.9		35.5		24.1		7.8		3.3		5.3		148.1
60-89 days past due		.4		24.2		19.2		11.7		5.7		2.8		2.2		66.2
90+ days past due						.2						.2				.4
Non-performing				55.3		74.8		44.6		17.9		7.5		1.6		201.7
Total Customer Receivables	$	3,431.2	$	14,048.5	$	8,238.0	$	4,856.1	$	1,996.8	$	814.5	$	2,925.5	$	36,310.6

Write-offs for the three months ended January 28, 2024:
Agriculture and turf			$	1.5	$	2.9	$	1.8	$	3.6	$	.6	$	8.8	$	19.2
Construction and forestry	$	.2		5.5		4.5		2.2		.8		.7		1.9		15.8
Total	$	.2	$	7.0	$	7.4	$	4.0	$	4.4	$	1.3	$	10.7	$	35.0


	January 26		October 27		January 28
		2025		2024		2024
Wholesale receivables:
Agriculture and turf
Current	$	9,791.4	$	10,439.1	$	10,924.9
30-59 days past due		6.4		4.5		9.8
60-89 days past due		7.9		4.2		17.4
90+ days past due		9.3		10.2		34.7
Non-performing		29.0		35.3		5.8
Construction and forestry
Current		2,917.3		3,599.9		3,533.5
30-59 days past due		4.1		8.1		4.5
60-89 days past due		4.1		5.1		2.2
90+ days past due		13.7		7.7		10.0
Total wholesale receivables	$	12,783.2	$	14,114.1	$	14,542.8

The allowance for credit losses is an estimate of the credit losses expected over the life of our Receivable portfolio. Non-performing Receivables are included in the estimate of expected credit losses. The allowance is measured on a collective basis for receivables with similar risk characteristics. Receivables that do not share risk characteristics are evaluated on an individual basis. Risk characteristics include:

Recoveries from freestanding credit enhancements, such as dealer deposits and certain credit insurance and bank guarantee contracts, are not included in the estimate of expected credit losses. Recoveries from dealer deposits are recognized in “Other income” when the dealer’s deposit account is charged, while recoveries from other freestanding credit enhancements are generally recognized when the associated credit loss is recorded.

An analysis of the allowance for credit losses and investment in Receivables was as follows:


	Three Months Ended January 26, 2025
	Retail Notes		Revolving
	& Financing		Charge		Wholesale		Total
	Leases		Accounts		Receivables		Receivables
Allowance for credit losses:
Beginning of period balance	$	192.4	$	7.6	$	27.5	$	227.5
Provision (credit) for credit losses*		62.3		1.9		(3.6)		60.6
Write-offs		(42.4)		(12.5)		(.2)		(55.1)
Recoveries		2.2		8.7				10.9
Translation adjustments		(.3)				(1.6)		(1.9)
End of period balance	$	214.2	$	5.7	$	22.1	$	242.0

Receivables:
End of period balance	$	34,423.0	$	3,220.2	$	12,783.2	$	50,426.4


	Three Months Ended January 28, 2024
	Retail Notes		Revolving
	& Financing		Charge		Wholesale		Total
	Leases		Accounts		Receivables		Receivables
Allowance for credit losses:
Beginning of period balance	$	114.9	$	20.4	$	11.1	$	146.4
Provision (credit) for credit losses*		22.8		(2.0)		(.4)		20.4
Write-offs		(24.3)		(10.7)				(35.0)
Recoveries		1.7		7.6				9.3
Translation adjustments						(1.5)		(1.5)
End of period balance	$	115.1	$	15.3	$	9.2	$	139.6

Receivables:
End of period balance	$	33,385.1	$	2,925.5	$	14,542.8	$	50,853.4

^* Excludes provision (credit) for credit losses on unfunded commitments of $(.2) and $.6 for the three months ended January 26, 2025 and January 28, 2024, respectively. The estimated credit losses related to unfunded commitments are recorded in “Accounts payable and accrued expenses.”

The allowance for credit losses increased in the first three months of 2025, primarily due to higher expected losses on retail notes and financing leases as a result of elevated delinquencies and market conditions. We monitor the economy as part of the allowance setting process, including potential impacts of the agricultural cycle and interest rates, among other factors, and qualitative adjustments to the allowance are incorporated as necessary.

Recoveries from freestanding credit enhancements recorded in “Other income” were $7.9 and $7.3 for the first three months of 2025 and 2024, respectively.

We occasionally grant contractual modifications to customers experiencing financial difficulties. Before offering a modification, we evaluate the ability of the customer to meet the modified payment terms. Modifications offered include payment deferrals, term extensions, or a combination thereof. Finance charges continue to accrue during the deferral or extension period with the exception of modifications related to bankruptcy proceedings. Our allowance for credit losses incorporates historical loss information, including the effects of loan modifications with customers. Therefore, additional adjustments to the allowance are generally not recorded upon modification of a loan.

The ending amortized cost of Receivables modified with borrowers experiencing financial difficulty during the first quarter ended January 26, 2025 and January 28, 2024 were $24.1 and $9.3, respectively. These modifications represented .05% and .02% of our Receivable portfolio for the same periods, respectively.

The financial effects of payment deferrals with borrowers experiencing financial difficulty resulted in a weighted average payment deferral of 7 months, while term extensions added a weighted average of 12 months to the terms of the modified contracts. Additionally, modifications with a combination of both payment deferrals and term extensions resulted in a weighted average payment deferral of 5 months and a weighted average term extension of 7 months.

We continue to monitor the performance of Receivables that are modified with borrowers experiencing financial difficulty. The ending amortized cost and performance of Receivables modified during the prior twelve months ended January 26, 2025 and January 28, 2024 were as follows:

^* In accordance with the adoption date of the accounting modification guidance, this period includes Receivables modified during the prior three months.

Defaults and subsequent write-offs of Receivables modified in the prior twelve months were not significant during the three months ended January 26, 2025 and January 28, 2024. In addition, at January 26, 2025, commitments to provide additional financing to these customers were not significant.