Condensed consolidating guarantor and non-guarantor financial information (Tables)

6 Months Ended

Apr. 30, 2012

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Condensed Consolidating Statement of Operations

	NIC			Navistar, Inc.			Non-Guarantor Subsidiaries			Eliminations and Other			Consolidated
(in millions)
Condensed Consolidating Statement of Operations for the Six Months Ended April 30, 2011
Sales and revenues, net	$	—		$	3,831		$	5,819		$	(3,552	)	$	6,098
Costs of products sold	—			3,553			4,846			(3,499		)	4,900
Restructuring charges	—			23			1			—			24
All other operating expenses (income)	41			613			441			(53		)	1,042
Total costs and expenses	41			4,189			5,288			(3,552		)	5,966
Equity in income (loss) of affiliates	120			344			(20		)	(477		)	(33		)
Income (loss) before income taxes	79			(14		)	511			(477		)	99
Income tax benefit (expense)	(11		)	1			(52		)	57			(5		)
Net income (loss)	68			(13		)	459			(420		)	94
Less: Net income attributable to non-controlling interest	—			—			26			—			26
Net income (loss) attributable to Navistar International Corporation	$	68		$	(13	)	$	433		$	(420	)	$	68

	NIC			Navistar, Inc.			Non-Guarantor Subsidiaries			Eliminations and Other			Consolidated
(in millions)
Condensed Consolidating Statement of Operations for the Three Months Ended April 30, 2011
Sales and revenues, net	$	—		$	2,144		$	3,238		$	(2,027	)	$	3,355
Costs of products sold	17			1,987			2,681			(1,984		)	2,701
Restructuring charges	—			2			—			—			2
All other operating expenses (income)	17			338			217			(29		)	543
Total costs and expenses	34			2,327			2,898			(2,013		)	3,246
Equity in income (loss) of affiliates	120			219			(10		)	(345		)	(16		)
Income (loss) before income taxes	86			36			330			(359		)	93
Income tax benefit (expense)	(12		)	(5		)	(36		)	48			(5		)
Net income (loss)	74			31			294			(311		)	88
Less: Net income attributable to non-controlling interest	—			—			14			—			14
Net income (loss) attributable to Navistar International Corporation	$	74		$	31		$	280		$	(311	)	$	74

	NIC			Navistar, Inc.			Non-Guarantor Subsidiaries			Eliminations and Other			Consolidated
(in millions)
Condensed Consolidating Statement of Operations for the Three Months Ended April 30, 2012
Sales and revenues, net	$	—		$	2,172		$	3,011		$	(1,885	)	$	3,298
Costs of products sold	—			2,205			2,599			(1,860		)	2,944
Restructuring charges	—			19			1			—			20
Impairment of intangible assets	—			—			38			—			38
All other operating expenses	14			357			241			(25		)	587
Total costs and expenses	14			2,581			2,879			(1,885		)	3,589
Equity in income (loss) of affiliates	(96		)	271			(6		)	(173		)	(4		)
Income (loss) before income taxes	(110		)	(138		)	126			(173		)	(295		)
Income tax benefit (expense)	(62		)	(63		)	221			37			133
Net income (loss)	(172		)	(201		)	347			(136		)	(162		)
Less: Net income attributable to non-controlling interests	—			—			10			—			10
Net income (loss) attributable to Navistar International Corporation	$	(172	)	$	(201	)	$	337		$	(136	)	$	(172	)

	NIC			Navistar, Inc.			Non-Guarantor Subsidiaries			Eliminations and Other			Consolidated
(in millions)
Condensed Consolidating Statement of Operations for the Six Months Ended April 30, 2012
Sales and revenues, net	$	—		$	4,134		$	5,835		$	(3,619	)	$	6,350
Costs of products sold	—			4,200			5,023			(3,581		)	5,642
Restructuring charges	—			20			—			—			20
Impairment of intangible assets	—			—			38			—			38
All other operating expenses	39			690			477			(51		)	1,155
Total costs and expenses	39			4,910			5,538			(3,632		)	6,855
Equity in income (loss) of affiliates	(296		)	366			(13		)	(68		)	(11		)
Income (loss) before income taxes	(335		)	(410		)	284			(55		)	(516		)
Income tax benefit	10			14			187			3			214
Net income (loss)	(325		)	(396		)	471			(52		)	(302		)
Less: Net income attributable to non-controlling interests	—			—			23			—			23
Net income (loss) attributable to Navistar International Corporation	$	(325	)	$	(396	)	$	448		$	(52	)	$	(325	)

Condensed Consolidating Statements of Comprehensive Income [Table Text Block]

	NIC			Navistar, Inc.			Non-Guarantor Subsidiaries			Eliminations and Other			Consolidated
(in millions)
Condensed Consolidating Statement of Comprehensive Income for the Three Months Ended April 30, 2012
Net income (loss) attributable to Navistar International Corporation	$	(172	)	$	(201	)	$	337		$	(136	)	$	(172	)
Other comprehensive income (loss):
Foreign currency translation adjustment	(65		)	—			(65		)	65			(65		)
Defined benefit plans (net of tax of $12, $12, $–, $(12) and $12, respectively)	17			16			2			(18		)	17
Total other comprehensive income (loss)	(48		)	16			(63		)	47			(48		)
Total comprehensive income (loss) attributable to Navistar International Corporation	$	(220	)	$	(185	)	$	274		$	(89	)	$	(220	)

	NIC		Navistar, Inc.		Non-Guarantor Subsidiaries		Eliminations and Other			Consolidated
(in millions)
Condensed Consolidating Statement of Comprehensive Income for the Three Months Ended April 30, 2011
Net income (loss) attributable to Navistar International Corporation	$	74	$	31	$	280	$	(311	)	$	74
Other comprehensive income (loss):
Foreign currency translation adjustment	46		—		46		(46		)	46
Defined benefit plans (net of tax of $– for all subsidiaries presented)	16		12		4		(16		)	16
Total other comprehensive income (loss)	62		12		50		(62		)	62
Total comprehensive income (loss) attributable to Navistar International Corporation	$	136	$	43	$	330	$	(373	)	$	136

	NIC			Navistar, Inc.			Non-Guarantor Subsidiaries			Eliminations and Other			Consolidated
(in millions)
Condensed Consolidating Statement of Comprehensive Income for the Six Months Ended April 30, 2012
Net income (loss) attributable to Navistar International Corporation	$	(325	)	$	(396	)	$	448		$	(52	)	$	(325	)
Other comprehensive income (loss):
Foreign currency translation adjustment	(78		)	—			(78		)	78			(78		)
Defined benefit plans (net of tax of $24, $23, $1, $(24) and $24, respectively)	40			36			5			(41		)	40
Total other comprehensive income (loss)	(38		)	36			(73		)	37			(38		)
Total comprehensive income (loss) attributable to Navistar International Corporation	$	(363	)	$	(360	)	$	375		$	(15	)	$	(363	)

	NIC		Navistar, Inc.			Non-Guarantor Subsidiaries			Eliminations and Other			Consolidated
(in millions)
Condensed Consolidating Statement of Comprehensive Income for the Six Months Ended April 30, 2011
Net income (loss) attributable to Navistar International Corporation	$	68	$	(13	)	$	433		$	(420	)	$	68
Other comprehensive income (loss):
Foreign currency translation adjustment	61		—			61			(61		)	61
Defined benefit plans (net of tax of $– for all subsidiaries presented)	79		70			(15		)	(55		)	79
Total other comprehensive income (loss)	140		70			46			(116		)	140
Total comprehensive income (loss) attributable to Navistar International Corporation	$	208	$	57		$	479		$	(536	)	$	208

Condensed Consolidating Balance Sheet

	NIC			Navistar, Inc.			Non-Guarantor Subsidiaries			Eliminations and Other			Consolidated
(in millions)
Condensed Consolidating Balance Sheet as of April 30, 2012
Assets
Cash and cash equivalents	$	112		$	48		$	240		$	—		$	400
Marketable securities	55			—			282			—			337
Restricted cash and cash equivalents	13			8			124			—			145
Finance and other receivables, net	5			139			3,453			2			3,599
Inventories	—			761			1,240			(53		)	1,948
Investments in non-consolidated affiliates	(2,459		)	6,286			51			(3,820		)	58
Property and equipment, net	—			739			953			(2		)	1,690
Goodwill	—			—			295			—			295
Deferred taxes, net	44			1,887			306			1			2,238
Other	115			167			394			(2		)	674
Total assets	$	(2,115	)	$	10,035		$	7,338		$	(3,874	)	$	11,384
Liabilities and stockholders’ equity (deficit)
Debt	$	1,604		$	295		$	2,832		$	(234	)	$	4,497
Postretirement benefits liabilities	—			2,893			321			—			3,214
Amounts due to (from) affiliates	(5,996		)	9,753			(3,837		)	80			—
Other liabilities	2,727			(49		)	1,537			(135		)	4,080
Total liabilities	(1,665		)	12,892			853			(289		)	11,791
Redeemable equity securities	5			—			—			—			5
Stockholders’ equity attributable to non-controlling interests	—			—			43			—			43
Stockholders’ equity (deficit) attributable to Navistar International Corporation	(455		)	(2,857		)	6,442			(3,585		)	(455		)
Total liabilities and stockholders’ equity (deficit)	$	(2,115	)	$	10,035		$	7,338		$	(3,874	)	$	11,384

	NIC			Navistar, Inc.			Non-Guarantor Subsidiaries			Eliminations and Other			Consolidated
(in millions)
Condensed Consolidating Balance Sheet as of October 31, 2011
Assets
Cash and cash equivalents	$	226		$	13		$	300		$	—		$	539
Marketable securities	429			1			288			—			718
Restricted cash and cash equivalents	20			9			298			—			327
Finance and other receivables, net	3			154			4,070			27			4,254
Inventories	—			650			1,113			(49		)	1,714
Investments in non-consolidated affiliates	(2,094		)	5,818			54			(3,718		)	60
Property and equipment, net	—			600			972			(2		)	1,570
Goodwill	—			—			319			—			319
Deferred taxes, net	31			1,912			114			—			2,057
Other	168			152			416			(3		)	733
Total assets	$	(1,217	)	$	9,309		$	7,944		$	(3,745	)	$	12,291
Liabilities and stockholders’ equity (deficit)
Debt	$	1,689		$	156		$	3,242		$	(231	)	$	4,856
Postretirement benefits liabilities	—			2,981			335			—			3,316
Amounts due to (from) affiliates	(5,574		)	9,055			(3,595		)	114			—
Other liabilities	2,690			(194		)	1,717			(122		)	4,091
Total liabilities	(1,195		)	11,998			1,699			(239		)	12,263
Redeemable equity securities	5			—			—			—			5
Stockholders’ equity (deficit) attributable to non-controlling interest	—			—			52			(2		)	50
Stockholders’ equity (deficit) attributable to Navistar International Corporation	(27		)	(2,689		)	6,193			(3,504		)	(27		)
Total liabilities and stockholders’ equity (deficit)	$	(1,217	)	$	9,309		$	7,944		$	(3,745	)	$	12,291

Condensed Consolidating Statement of Cash Flows

	NIC			Navistar, Inc.			Non-Guarantor Subsidiaries			Eliminations and Other			Consolidated
(in millions)
Condensed Consolidating Statement of Cash Flows for the Six Months Ended April 30, 2012
Net cash provided by (used in) operations	$	(463	)	$	(267	)	$	248		$	531		$	49
Cash flows from investment activities
Net change in restricted cash and cash equivalents	6			2			174			—			182
Net sales of marketable securities	374			—			7			—			381
Capital expenditures and purchase of equipment leased to others	—			(115		)	(89		)	—			(204		)
Other investing activities	—			(104		)	70			—			(34		)
Net cash provided by (used in) investment activities	380			(217		)	162			—			325
Cash flows from financing activities
Net borrowings (repayments) of debt	(50		)	519			(429		)	(440		)	(400		)
Other financing activities	19			—			(38		)	(91		)	(110		)
Net cash provided by (used in) financing activities	(31		)	519			(467		)	(531		)	(510		)
Effect of exchange rate changes on cash and cash equivalents	—			—			(3		)	—			(3		)
Increase (decrease) in cash and cash equivalents	(114		)	35			(60		)	—			(139		)
Cash and cash equivalents at beginning of the period	226			13			300			—			539
Cash and cash equivalents at end of the period	$	112		$	48		$	240		$	—		$	400

	NIC			Navistar, Inc.			Non-Guarantor Subsidiaries			Eliminations and Other			Consolidated
(in millions)
Condensed Consolidating Statement of Cash Flows for the Six Months Ended April 30, 2011
Net cash provided by (used in) operations	$	(84	)	$	61		$	142		$	107		$	226
Cash flows from investment activities
Net change in restricted cash and cash equivalents	—			—			(8		)	—			(8		)
Net purchases in marketable securities	(34		)	—			(118		)	—			(152		)
Capital expenditures and purchase of equipment leased to others	—			(104		)	(104		)	—			(208		)
Other investing activities	—			(20		)	14			—			(6		)
Net cash used in investment activities	(34		)	(124		)	(216		)	—			(374		)
Cash flows from financing activities
Net borrowings (repayments) of debt	27			62			(36		)	(107		)	(54		)
Other financing activities	28			—			(32		)	—			(4		)
Net cash provided by (used in) financing activities	55			62			(68		)	(107		)	(58		)
Effect of exchange rate changes on cash and cash equivalents	—			(1		)	12			—			11
Decrease in cash and cash equivalents	(63		)	(2		)	(130		)	—			(195		)
Cash and cash equivalents at beginning of the period	239			22			324			—			585
Cash and cash equivalents at end of the period	$	176		$	20		$	194		$	—		$	390