Transactions with Related Parties (Tables)

12 Months Ended

Dec. 31, 2021

We have variable amount and term lending agreements and other notes receivable with Caterpillar. Under these agreements, we may borrow up to $2.40 billion from Caterpillar, and Caterpillar may borrow up to $1.73 billion from us. The variable amount lending agreements are in effect for indefinite periods of time and may be changed or terminated by either party with 30 days notice. The term lending agreements have remaining maturities ranging up to ten years. We extended a $2 billion committed credit facility to Caterpillar, which expired in February 2019. Under this agreement, we received a fee from Caterpillar based on amounts drawn under the credit facility and a commitment fee for the undrawn amounts under the credit facility. Information concerning these agreements was as follows:


(Millions of dollars)	2021		2020		2019
Payable to Caterpillar - borrowings as of December 31,	$	22	$	1,022	$	618
Payable to Caterpillar - other as of December 31,	$	73	$	65	$	75
Notes receivable from Caterpillar as of December 31,	$	389	$	356	$	296
Other receivables from Caterpillar as of December 31,(2)	$	70	$	65	$	64
Interest expense	$	—	$	2	$	32
Interest income on Notes Receivable with Caterpillar(1)	$	14	$	14	$	26
Fees on committed credit facility extended to Caterpillar(1)	$	—	$	—	$	5

(1) Included in Other revenues, net in the Consolidated Statements of Profit.

(2) Included in Other assets in the Consolidated Statements of Financial Position.

We have agreements with Caterpillar to purchase certain trade receivables at a discount. In addition, we receive fee revenue from Caterpillar for our centralized activities benefiting the global factoring program. In the Consolidated Statements of Cash Flows, collection of the discount is included in investing activities as the receivables are collected. Information pertaining to these purchases was as follows:


(Millions of dollars)
	2021		2020		2019
Purchases made	$	40,140	$	32,937	$	42,817
Revenue earned	$	301	$	308	$	455
Purchased Receivables as of December 31,	$	4,462	$	3,646	$	4,448