Financing Receivables and Operating Leases (Tables)

6 Months Ended

Apr. 30, 2015

Financing Receivables and Operating Leases

Components of financing receivables

	As of
	April 30, 2015			October 31, 2014
	In millions
Minimum lease payments receivable	$	6,693		$	6,982
Unguaranteed residual value		226			235
Unearned income		(514	)		(547	)
Financing receivables, gross		6,405			6,670
Allowance for doubtful accounts		(104	)		(111	)
Financing receivables, net		6,301			6,559
Less: current portion(1)		(2,842	)		(2,946	)
Amounts due after one year, net(1)	$	3,459		$	3,613

(1) HP includes the current portion in Financing receivables and amounts due after one year, net in Long-term financing receivables and other assets in the accompanying Consolidated Condensed Balance Sheets.

Credit risk profile of gross financing receivables

	As of
	April 30, 2015		October 31, 2014
	In millions
Risk Rating:
Low	$	3,318	$	3,536
Moderate		2,998		3,022
High		89		112
Total	$	6,405	$	6,670

Schedule of changes in allowance for doubtful accounts related to financing receivables

	Six months ended April 30, 2015
	In millions
Balance at beginning of period	$	111
Provision for doubtful accounts		7
Deductions		(14	)
Balance at end of period	$	104

Allowance and related gross financing receivables collectively and individually evaluated for loss

	As of
	April 30, 2015		October 31, 2014
	In millions
Gross financing receivables collectively evaluated for loss	$	6,180	$	6,378
Gross financing receivables individually evaluated for loss		225		292
Total	$	6,405	$	6,670
Allowance for financing receivables collectively evaluated for loss	$	80	$	92
Allowance for financing receivables individually evaluated for loss		24		19
Total	$	104	$	111

Summary of the aging and non-accrual status of gross financing receivables

	As of
	April 30, 2015		October 31, 2014
	In millions
Billed(1):
Current 1-30 days	$	339	$	243
Past due 31-60 days		33		46
Past due 61-90 days		25		12
Past due >90 days		51		49
Unbilled sales-type and direct-financing lease receivables		5,957		6,320
Total gross financing receivables	$	6,405	$	6,670
Gross financing receivables on non-accrual status(2)	$	113	$	130
Gross financing receivables 90 days past due and still accruing interest(2)	$	112	$	162

(1)	Includes billed operating lease receivables and billed sales-type and direct-financing lease receivables.
(2)	Includes billed operating lease receivables and billed and unbilled sales-type and direct-financing lease receivables.

Schedule of operating lease assets included in machinery and equipment

	As of
	April 30, 2015			October 31, 2014
	In millions
Equipment leased to customers	$	3,996		$	3,977
Accumulated depreciation		(1,390	)		(1,382	)
	$	2,606		$	2,595