Finance Receivables (Tables)

3 Months Ended

Mar. 31, 2023

Mar. 31, 2022

Summary of finance receivables included in the Consolidated Statements of Financial Position

A summary of finance receivables included in the Consolidated Statements of Financial Position was as follows:


(Millions of dollars)	March 31, 2023		December 31, 2022
Retail loans, net(1)	$	15,013	$	14,973
Retail leases, net	6,826		6,965
Caterpillar purchased receivables, net	4,731		4,297
Wholesale loans, net(1)	759		545
Wholesale leases, net	7		7
Total finance receivables	27,336		26,787
Less: Allowance for credit losses	(348)		(346)
Total finance receivables, net	$	26,988	$	26,441

(1) Includes failed sale leasebacks.

Allowance for credit losses and total finance receivables

An analysis of the allowance for credit losses was as follows:


(Millions of dollars)	Three Months Ended March 31, 2023								Three Months Ended March 31, 2022
Allowance for Credit Losses:	Customer		Dealer		Caterpillar Purchased Receivables		Total		Customer		Dealer		Caterpillar Purchased Receivables		Total
Beginning Balance	$	277	$	65	$	4	$	346	$	251	$	82	$	4	$	337
Write-offs	(20)		—		—		(20)		(20)		—		—		(20)
Recoveries	10		—		—		10		12		—		—		12
Provision for credit losses(1)	10		—		1		11		26		(1)		1		26
Other	1		—		—		1		2		—		—		2
Ending Balance	$	278	$	65	$	5	$	348	$	271	$	81	$	5	$	357










Finance Receivables	$	20,117	$	2,488	$	4,731	$	27,336	$	20,953	$	2,112	$	4,647	$	27,712

(1) Excludes provision for credit losses on unfunded commitments and other miscellaneous receivables.

Write-offs by origination year

Gross write-offs by origination year for the Customer portfolio segment were as follows:


(Millions of Dollars)	Three Months Ended March 31, 2023
	2023		2022		2021		2020		2019		Prior		Revolving Finance Receivables		Total

North America	$	—	$	3	$	3	$	—	$	—	$	—	$	4	$	10
EAME	—		1		—		1		—		—		—		2
Asia/Pacific	—		—		2		1		1		—		—		4

Latin America	—		—		1		2		1		—		—		4

Total	$	—	$	4	$	6	$	4	$	2	$	—	$	4	$	20

Amortized cost of finance receivables in the Customer portfolio segment by origination year

The tables below summarize the aging category of our amortized cost of finance receivables in the Customer portfolio segment by origination year.


(Millions of dollars)	March 31, 2023
	2023		2022		2021		2020		2019		Prior		Revolving Finance Receivables		Total Finance Receivables
North America
Current	$	886	$	3,585	$	2,931	$	1,308	$	525	$	168	$	255	$	9,658
31-60 days past due	3		29		30		18		8		2		3		93
61-90 days past due	—		11		8		5		2		1		2		29
91+ days past due	—		12		19		12		5		5		3		56

EAME
Current	310		1,198		864		423		234		189		—		3,218
31-60 days past due	2		15		12		4		2		1		—		36
61-90 days past due	—		7		5		3		2		—		—		17
91+ days past due	—		8		23		14		3		2		—		50

Asia/Pacific
Current	282		1,028		676		300		93		30		46		2,455
31-60 days past due	—		9		12		9		2		—		—		32
61-90 days past due	—		4		4		3		1		—		—		12
91+ days past due	—		4		6		5		3		1		—		19

Mining
Current	319		848		550		192		158		99		56		2,222
31-60 days past due	—		5		—		4		1		—		—		10
61-90 days past due	—		—		—		—		—		—		—		—
91+ days past due	—		—		1		—		—		—		—		1

Latin America
Current	182		716		339		124		51		28		—		1,440
31-60 days past due	—		17		32		4		9		9		—		71
61-90 days past due	—		4		4		1		—		3		—		12
91+ days past due	—		5		14		8		2		1		—		30

Power Finance
Current	12		80		80		140		49		159		133		653
31-60 days past due	—		—		—		—		—		2		—		2
61-90 days past due	—		—		—		—		—		1		—		1
91+ days past due	—		—		—		—		—		—		—		—



Totals by Aging Category
Current	1,991		7,455		5,440		2,487		1,110		673		490		19,646
31-60 days past due	5		75		86		39		22		14		3		244
61-90 days past due	—		26		21		12		5		5		2		71
91+ days past due	—		29		63		39		13		9		3		156
Total	$	1,996	$	7,585	$	5,610	$	2,577	$	1,150	$	701	$	498	$	20,117


(Millions of dollars)	December 31, 2022
	2022		2021		2020		2019		2018		Prior		Revolving Finance Receivables		Total Finance Receivables
North America
Current	$	3,915	$	3,276	$	1,525	$	653	$	206	$	34	$	240	$	9,849
31-60 days past due	25		26		18		12		4		1		4		90
61-90 days past due	9		15		7		3		1		—		3		38
91+ days past due	11		16		12		6		4		3		4		56

EAME
Current	1,270		953		477		280		155		68		—		3,203
31-60 days past due	10		12		7		1		1		—		—		31
61-90 days past due	8		4		3		1		—		—		—		16
91+ days past due	6		25		16		4		1		1		—		53

Asia/Pacific
Current	1,174		805		393		124		37		5		40		2,578
31-60 days past due	10		12		8		1		1		—		—		32
61-90 days past due	2		5		4		2		—		—		—		13
91+ days past due	2		6		6		4		—		—		—		18

Mining
Current	875		627		227		193		94		108		80		2,204
31-60 days past due	—		1		—		—		—		—		—		1
61-90 days past due	—		—		—		—		—		—		—		—
91+ days past due	—		—		—		—		—		1		—		1

Latin America
Current	770		400		150		69		26		20		—		1,435
31-60 days past due	7		8		4		2		—		1		—		22
61-90 days past due	2		5		1		1		—		—		—		9
91+ days past due	2		13		11		2		1		—		—		29

Power Finance
Current	82		87		146		51		18		161		125		670
31-60 days past due	—		—		—		—		—		—		—		—
61-90 days past due	—		—		—		—		—		—		—		—
91+ days past due	—		—		—		—		—		5		—		5



Totals by Aging Category
Current	8,086		6,148		2,918		1,370		536		396		485		19,939
31-60 days past due	52		59		37		16		6		2		4		176
61-90 days past due	21		29		15		7		1		—		3		76
91+ days past due	21		60		45		16		6		10		4		162
Total	$	8,180	$	6,296	$	3,015	$	1,409	$	549	$	408	$	496	$	20,353

Aging related to finance receivables

The tables below summarize the aging category of our amortized cost of finance receivables in the Caterpillar Purchased Receivables portfolio segment.


(Millions of dollars)
	March 31, 2023
	31-60 Days Past Due		61-90 Days Past Due		91+ Days Past Due		Total Past Due		Current		Total Finance Receivables














North America	$	6	$	4	$	3	$	13	$	2,679	$	2,692
EAME	—		1		2		3		883		886
Asia/Pacific	1		1		1		3		706		709

Latin America	7		2		14		23		409		432
Power Finance	3		—		1		4		8		12
Total	$	17	$	8	$	21	$	46	$	4,685	$	4,731


(Millions of dollars)
	December 31, 2022
	31-60 Days Past Due		61-90 Days Past Due		91+ Days Past Due		Total Past Due		Current		Total Finance Receivables















North America	$	11	$	7	$	4	$	22	$	2,458	$	2,480
EAME	1		—		2		3		812		815
Asia/Pacific	6		2		2		10		555		565

Latin America	9		2		14		25		406		431
Power Finance	1		—		—		1		5		6
Total	$	28	$	11	$	22	$	61	$	4,236	$	4,297

Finance receivables on non-accrual status

In our Customer portfolio segment, finance receivables which were on non-accrual status and finance receivables over 90 days past due and still accruing income were as follows:


(Millions of dollars)	March 31, 2023						December 31, 2022
	Amortized Cost						Amortized Cost
	Non-accrual With an Allowance		Non-accrual Without an Allowance		91+ Still Accruing		Non-accrual With an Allowance		Non-accrual Without an Allowance		91+ Still Accruing
North America	$	48	$	—	$	12	$	52	$	4	$	11
EAME	44		—		6		43		—		10
Asia/Pacific	12		—		7		11		—		7
Mining	2		—		—		—		1		—
Latin America	77		—		—		45		—		—
Power Finance	8		—		—		5		11		—
Total	$	191	$	—	$	25	$	156	$	16	$	28

Interest income recognized for customer finance receivables on non-accrual status was not material during each of the three months ended March 31, 2023 and 2022.

Finance receivables modified as TDRs

Finance receivables in the Customer portfolio segment modified as TDRs were as follows:


(Millions of dollars)	Three Months Ended March 31, 2022
		Pre-TDR Amortized Cost		Post-TDR Amortized Cost

EAME		1		1



Power Finance		6		6
Total		$	7	$	7

During the three months ended March 31, 2022, the Post-TDR amortized cost of TDRs in the Customer portfolio segment with a payment default (defined as 91+ days past due) which had been modified within twelve months prior to the default date was $5 million, all of which was in Mining.